Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
In Billions, except Share data, unless otherwise specified | Dec. 31, 2013 | Jan. 31, 2014 | Jun. 30, 2013 |
Document Information [Line Items] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Trading Symbol | 'ED | ' | ' |
Entity Registrant Name | 'CONSOLIDATED EDISON INC | ' | ' |
Entity Central Index Key | '0001047862 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 292,902,495 | ' |
Entity Public Float | ' | ' | $17.10 |
Consolidated Edison Co. of New York, Inc. [Member] | ' | ' | ' |
Document Information [Line Items] | ' | ' | ' |
Entity Registrant Name | 'CONSOLIDATED EDISON CO OF NEW YORK INC | ' | ' |
Entity Central Index Key | '0000023632 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Filer Category | 'Non-accelerated Filer | ' | ' |
Consolidated_Income_Statement
Consolidated Income Statement (USD $) | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
OPERATING REVENUES | ' | ' | ' |
Electric | $8,756 | $8,765 | $8,866 |
Gas | 1,821 | 1,618 | 1,735 |
Steam | 683 | 596 | 683 |
Non-utility | 1,094 | 1,209 | 1,602 |
TOTAL OPERATING REVENUES | 12,354 | 12,188 | 12,886 |
OPERATING EXPENSES | ' | ' | ' |
Purchased power | 3,099 | 3,116 | 3,967 |
Fuel | 320 | 310 | 412 |
Gas purchased for resale | 635 | 461 | 622 |
Other operations and maintenance | 3,137 | 3,182 | 2,969 |
Depreciation and amortization | 1,024 | 955 | 884 |
Taxes, other than income taxes | 1,895 | 1,825 | 1,793 |
TOTAL OPERATING EXPENSES | 10,110 | 9,849 | 10,647 |
OPERATING INCOME | 2,244 | 2,339 | 2,239 |
OTHER INCOME (DEDUCTIONS) | ' | ' | ' |
Investment and other income | 24 | 18 | 23 |
Allowance for equity funds used during construction | 4 | 4 | 11 |
Other deductions | -15 | -16 | -17 |
TOTAL OTHER INCOME | 13 | 6 | 17 |
INCOME BEFORE INTEREST AND INCOME TAX EXPENSE | 2,257 | 2,345 | 2,256 |
INTEREST EXPENSE | ' | ' | ' |
Interest on long-term debt | 578 | 586 | 582 |
Other interest | 143 | 20 | 18 |
Allowance for borrowed funds used during construction | -2 | -2 | -6 |
NET INTEREST EXPENSE | 719 | 604 | 594 |
INCOME BEFORE INCOME TAX EXPENSE | 1,538 | 1,741 | 1,662 |
INCOME TAX EXPENSE | 476 | 600 | 600 |
NET INCOME | 1,062 | 1,141 | 1,062 |
Preferred stock dividend requirements | ' | -3 | -11 |
NET INCOME FOR COMMON STOCK | 1,062 | 1,138 | 1,051 |
Net income for common stock per common share - basic | $3.62 | $3.88 | $3.59 |
Net income for common stock per common share - diluted | $3.61 | $3.86 | $3.57 |
DIVIDENDS DECLARED PER SHARE OF COMMON STOCK | $2.46 | $2.42 | $2.40 |
AVERAGE NUMBER OF SHARES OUTSTANDING - BASIC (IN MILLIONS) | 292.9 | 292.9 | 292.6 |
AVERAGE NUMBER OF SHARES OUTSTANDING - DILUTED (IN MILLIONS) | 294.4 | 294.5 | 294.4 |
CECONY [Member] | ' | ' | ' |
OPERATING REVENUES | ' | ' | ' |
Electric | 8,131 | 8,176 | 8,228 |
Gas | 1,616 | 1,415 | 1,521 |
Steam | 683 | 596 | 683 |
TOTAL OPERATING REVENUES | 10,430 | 10,187 | 10,432 |
OPERATING EXPENSES | ' | ' | ' |
Purchased power | 2,021 | 1,968 | 2,313 |
Fuel | 320 | 310 | 412 |
Gas purchased for resale | 532 | 387 | 518 |
Other operations and maintenance | 2,735 | 2,788 | 2,561 |
Depreciation and amortization | 946 | 894 | 829 |
Taxes, other than income taxes | 1,816 | 1,747 | 1,716 |
TOTAL OPERATING EXPENSES | 8,370 | 8,094 | 8,349 |
OPERATING INCOME | 2,060 | 2,093 | 2,083 |
OTHER INCOME (DEDUCTIONS) | ' | ' | ' |
Investment and other income | 11 | 9 | 4 |
Allowance for equity funds used during construction | 2 | 2 | 8 |
Other deductions | -12 | -13 | -14 |
TOTAL OTHER INCOME | 1 | -2 | -2 |
INCOME BEFORE INTEREST AND INCOME TAX EXPENSE | 2,061 | 2,091 | 2,081 |
INTEREST EXPENSE | ' | ' | ' |
Interest on long-term debt | 511 | 525 | 523 |
Other interest | 11 | 22 | 16 |
Allowance for borrowed funds used during construction | -1 | -2 | -5 |
NET INTEREST EXPENSE | 521 | 545 | 534 |
INCOME BEFORE INCOME TAX EXPENSE | 1,540 | 1,546 | 1,547 |
INCOME TAX EXPENSE | 520 | 529 | 558 |
NET INCOME | 1,020 | 1,017 | 989 |
Preferred stock dividend requirements | ' | -3 | -11 |
NET INCOME FOR COMMON STOCK | $1,020 | $1,014 | $978 |
Consolidated_Statement_of_Comp
Consolidated Statement of Comprehensive Income (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
NET INCOME | $1,062 | $1,141 | $1,062 |
OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAXES | ' | ' | ' |
Pension plan liability adjustments, net | 28 | 5 | -18 |
TOTAL OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAXES | 28 | 5 | -18 |
COMPREHENSIVE INCOME | 1,090 | 1,146 | 1,044 |
Cumulative preferred dividends | ' | -3 | -11 |
COMPREHENSIVE INCOME FOR COMMON STOCK | 1,090 | 1,143 | 1,033 |
CECONY [Member] | ' | ' | ' |
NET INCOME | 1,020 | 1,017 | 989 |
OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAXES | ' | ' | ' |
Pension plan liability adjustments, net | 3 | -1 | -2 |
TOTAL OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAXES | 3 | -1 | -2 |
COMPREHENSIVE INCOME | 1,023 | 1,016 | 987 |
Cumulative preferred dividends | ' | ($3) | ($11) |
Consolidated_Statement_of_Comp1
Consolidated Statement of Comprehensive Income (Parenthetical) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Pension plan liability adjustments, taxes | $20 | $4 | ($12) |
CECONY [Member] | ' | ' | ' |
Pension plan liability adjustments, taxes | $2 | ($1) | ($1) |
Consolidated_Statement_of_Cash
Consolidated Statement of Cash Flows (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
OPERATING ACTIVITIES | ' | ' | ' |
NET INCOME | $1,062 | $1,141 | $1,062 |
PRINCIPAL NON-CASH CHARGES/(CREDITS) TO INCOME | ' | ' | ' |
Depreciation and amortization | 1,024 | 955 | 884 |
Deferred income taxes | 40 | 584 | 491 |
Rate case amortization and accruals | 10 | 42 | 49 |
Common equity component of allowance for funds used during construction | -4 | -4 | -11 |
Net derivative (gains)/losses | -74 | -68 | 19 |
Pre-tax gains on the termination of LILO transactions | -95 | ' | ' |
Other non-cash items (net) | 91 | 52 | 128 |
CHANGES IN ASSETS AND LIABILITIES | ' | ' | ' |
Accounts receivable-customers, less allowance for uncollectibles | -29 | -99 | 50 |
Special deposits | -257 | -13 | -4 |
Materials and supplies, including fuel oil and gas in storage | -33 | 26 | -8 |
Other receivables and other current assets | 34 | 40 | 55 |
Prepayments | 23 | -14 | 196 |
Accounts payable | -118 | 111 | -195 |
Pensions and retiree benefits obligations | 829 | 903 | 635 |
Pensions and retiree benefits contributions | -887 | -870 | -628 |
Accrued taxes | 314 | -26 | 98 |
Accrued interest | 96 | -7 | 5 |
Superfund and environmental remediation costs (net) | -4 | 7 | -9 |
Deferred charges, noncurrent assets and other regulatory assets | -202 | -306 | 24 |
Deferred credits and other regulatory liabilities | 627 | 92 | 234 |
Other assets | 61 | -31 | ' |
Other liabilities | 44 | 84 | 62 |
NET CASH FLOWS FROM OPERATING ACTIVITIES | 2,552 | 2,599 | 3,137 |
INVESTING ACTIVITIES | ' | ' | ' |
Utility construction expenditures | -2,339 | -1,917 | -1,887 |
Cost of removal less salvage | -217 | -175 | -167 |
Non-utility construction expenditures | -199 | -152 | -80 |
Investments in solar energy projects | -175 | -309 | -20 |
Proceeds from grants related to solar energy projects | 93 | 30 | 4 |
Increase in restricted cash | -22 | ' | ' |
Proceeds from the termination of LILO transactions | 200 | ' | ' |
NET CASH FLOWS USED IN INVESTING ACTIVITIES | -2,659 | -2,523 | -2,150 |
FINANCING ACTIVITIES | ' | ' | ' |
Net proceeds of short-term debt | 912 | 539 | ' |
Issuance of long-term debt | 919 | 400 | ' |
Retirement of long-term debt | -709 | -305 | -4 |
Debt issuance costs | -6 | -4 | ' |
Common stock dividends | -721 | -709 | -693 |
Issuance of common shares for stock plans, net of repurchases | -8 | -9 | 31 |
Preferred stock dividends | ' | -3 | -11 |
Preferred stock redemption | ' | -239 | ' |
NET CASH FLOWS FROM (USED IN) FINANCING ACTIVITIES | 387 | -330 | -677 |
CASH AND TEMPORARY CASH INVESTMENTS: | ' | ' | ' |
NET CHANGE FOR THE PERIOD | 280 | -254 | 310 |
BALANCE AT BEGINNING OF PERIOD | 394 | 648 | 338 |
BALANCE AT END OF PERIOD | 674 | 394 | 648 |
Cash paid/(refunded) during the period for: | ' | ' | ' |
Interest | 574 | 571 | 563 |
Income taxes | 69 | 46 | -236 |
CECONY [Member] | ' | ' | ' |
OPERATING ACTIVITIES | ' | ' | ' |
NET INCOME | 1,020 | 1,017 | 989 |
PRINCIPAL NON-CASH CHARGES/(CREDITS) TO INCOME | ' | ' | ' |
Depreciation and amortization | 946 | 894 | 829 |
Deferred income taxes | 222 | 365 | 462 |
Rate case amortization and accruals | 10 | 42 | 49 |
Common equity component of allowance for funds used during construction | -2 | -2 | -8 |
Other non-cash items (net) | -80 | 14 | 96 |
CHANGES IN ASSETS AND LIABILITIES | ' | ' | ' |
Accounts receivable-customers, less allowance for uncollectibles | -15 | -131 | 48 |
Materials and supplies, including fuel oil and gas in storage | -15 | 23 | -2 |
Other receivables and other current assets | -88 | -40 | 170 |
Prepayments | -21 | 4 | -3 |
Accounts payable | -58 | 102 | -132 |
Pensions and retiree benefits obligations | 803 | 837 | 544 |
Pensions and retiree benefits contributions | -830 | -804 | -576 |
Accrued taxes | 207 | 94 | 95 |
Accrued interest | 6 | ' | 3 |
Superfund and environmental remediation costs (net) | -4 | 9 | -9 |
Deferred charges, noncurrent assets and other regulatory assets | -148 | -239 | 102 |
Deferred credits and other regulatory liabilities | 666 | 100 | 224 |
Other liabilities | 24 | 61 | 52 |
NET CASH FLOWS FROM OPERATING ACTIVITIES | 2,643 | 2,346 | 2,933 |
INVESTING ACTIVITIES | ' | ' | ' |
Utility construction expenditures | -2,207 | -1,788 | -1,785 |
Cost of removal less salvage | -210 | -170 | -162 |
NET CASH FLOWS USED IN INVESTING ACTIVITIES | -2,417 | -1,958 | -1,947 |
FINANCING ACTIVITIES | ' | ' | ' |
Net proceeds of short-term debt | 789 | 421 | ' |
Issuance of long-term debt | 700 | 400 | ' |
Retirement of long-term debt | -700 | -300 | ' |
Debt issuance costs | -7 | -4 | ' |
Dividend to parent | -728 | -682 | -681 |
Preferred stock dividends | ' | -3 | -11 |
Preferred stock redemption | ' | -239 | ' |
NET CASH FLOWS FROM (USED IN) FINANCING ACTIVITIES | 54 | -407 | -692 |
CASH AND TEMPORARY CASH INVESTMENTS: | ' | ' | ' |
NET CHANGE FOR THE PERIOD | 280 | -19 | 294 |
BALANCE AT BEGINNING OF PERIOD | 353 | 372 | 78 |
BALANCE AT END OF PERIOD | 633 | 353 | 372 |
Cash paid/(refunded) during the period for: | ' | ' | ' |
Interest | 500 | 513 | 504 |
Income taxes | $163 | $62 | ($198) |
Consolidated_Balance_Sheet
Consolidated Balance Sheet (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Millions, unless otherwise specified | ||||
OTHER NONCURRENT ASSETS | ' | ' | ||
Goodwill | $429 | $429 | ||
Intangible assets, less accumulated amortization of $4 in 2013 and 2012. | 4 | 2 | ||
Regulatory assets | 7,201 | 9,705 | ||
Other deferred charges and noncurrent assets | 225 | 216 | ||
TOTAL OTHER NONCURRENT ASSETS | 7,859 | 10,352 | ||
TOTAL ASSETS | 40,647 | 41,209 | ||
CURRENT ASSETS | ' | ' | ||
Cash and temporary cash investments | 674 | 394 | ||
Special deposits | 327 | 70 | ||
Accounts receivable - customers, less allowance for uncollectible accounts of $87 in 2013 and 2012 | 1,251 | 1,222 | ||
Other receivables, less allowance for uncollectible accounts of $10 in 2013 and 2012 | 240 | 228 | ||
Accrued unbilled revenue | 514 | 516 | ||
Fuel oil, gas in storage, materials and supplies, at average cost | 363 | 330 | ||
Prepayments | 136 | 159 | ||
Regulatory assets | 29 | 74 | ||
Deferred tax assets - current | 122 | 296 | ||
Other current assets | 235 | 162 | ||
TOTAL CURRENT ASSETS | 3,891 | 3,451 | ||
INVESTMENTS | 461 | 467 | ||
UTILITY PLANT, AT ORIGINAL COST | ' | ' | ||
General | 2,336 | 2,302 | ||
TOTAL | 33,474 | 31,847 | ||
Less: Accumulated depreciation | 7,072 | 6,573 | ||
Net | 26,402 | 25,274 | ||
Construction work in progress | 1,393 | 1,027 | ||
NET UTILITY PLANT | 27,795 | 26,301 | ||
NON-UTILITY PLANT | ' | ' | ||
Non-utility property, less accumulated depreciation of $25 in 2013 and 2012 | 605 | 555 | ||
Construction work in progress | 36 | 83 | ||
NET PLANT | 28,436 | 26,939 | ||
CURRENT LIABILITIES | ' | ' | ||
Long-term debt due within one year | 485 | 706 | ||
Notes payable | 1,451 | 539 | ||
Accounts payable | 1,017 | 1,215 | ||
Customer deposits | 321 | 304 | ||
Accrued taxes | 476 | 162 | ||
Accrued interest | 249 | 153 | ||
Accrued wages | 92 | 94 | ||
Fair value of derivative liabilities | 13 | 47 | ||
Regulatory liabilities | 148 | 183 | ||
Other current liabilities | 478 | 542 | ||
TOTAL CURRENT LIABILITIES | 4,730 | 3,945 | ||
NONCURRENT LIABILITIES | ' | ' | ||
Obligations under capital leases | 1 | 2 | ||
Provision for injuries and damages | 195 | 149 | ||
Pensions and retiree benefits | 1,727 | 4,678 | ||
Superfund and other environmental costs | 749 | 545 | ||
Asset retirement obligations | 143 | 159 | ||
Fair value of derivative liabilities | 5 | 31 | ||
Deferred income taxes and investment tax credits | 8,466 | 8,372 | ||
Regulatory liabilities | 1,728 | 1,202 | ||
Other deferred credits and noncurrent liabilities | 169 | 195 | ||
TOTAL NONCURRENT LIABILITIES | 13,183 | 15,333 | ||
LONG-TERM DEBT | 10,489 | 10,062 | ||
COMMON SHAREHOLDER'S EQUITY (See Statement of Common Shareholder's Equity) | 12,245 | 11,869 | ||
TOTAL LIABILITIES AND SHAREHOLDER'S EQUITY | 40,647 | 41,209 | ||
CECONY [Member] | ' | ' | ||
OTHER NONCURRENT ASSETS | ' | ' | ||
Regulatory assets | 6,639 | 8,972 | ||
Other deferred charges and noncurrent assets | 146 | 174 | ||
TOTAL OTHER NONCURRENT ASSETS | 6,785 | 9,146 | ||
TOTAL ASSETS | 36,258 | 36,885 | ||
CURRENT ASSETS | ' | ' | ||
Cash and temporary cash investments | 633 | 353 | ||
Special deposits | 86 | 65 | ||
Accounts receivable - customers, less allowance for uncollectible accounts of $87 in 2013 and 2012 | 1,123 | 1,108 | ||
Other receivables, less allowance for uncollectible accounts of $10 in 2013 and 2012 | 127 | 106 | ||
Accrued unbilled revenue | 405 | 406 | ||
Accounts receivable from affiliated companies | 119 | 61 | ||
Fuel oil, gas in storage, materials and supplies, at average cost | 300 | 285 | ||
Prepayments | 102 | 81 | ||
Regulatory assets | 26 | 60 | ||
Deferred tax assets - current | 100 | 193 | ||
Other current assets | 55 | 69 | ||
TOTAL CURRENT ASSETS | 3,076 | 2,787 | ||
INVESTMENTS | 247 | 207 | ||
UTILITY PLANT, AT ORIGINAL COST | ' | ' | ||
General | 2,154 | 2,126 | ||
TOTAL | 31,312 | 29,801 | ||
Less: Accumulated depreciation | 6,469 | 6,009 | ||
Net | 24,843 | 23,792 | ||
Construction work in progress | 1,303 | 947 | ||
NET UTILITY PLANT | 26,146 | 24,739 | ||
NON-UTILITY PLANT | ' | ' | ||
Non-utility property, less accumulated depreciation of $25 in 2013 and 2012 | 4 | 6 | ||
NET PLANT | 26,150 | 24,745 | ||
CURRENT LIABILITIES | ' | ' | ||
Long-term debt due within one year | 475 | [1] | 700 | [1] |
Notes payable | 1,210 | 421 | ||
Accounts payable | 824 | 989 | ||
Accounts payable to affiliated companies | 45 | 22 | ||
Customer deposits | 308 | 292 | ||
Accrued taxes | 46 | 37 | ||
Accrued taxes to affiliated companies | 413 | 215 | ||
Accrued interest | 139 | 133 | ||
Accrued wages | 82 | 84 | ||
Fair value of derivative liabilities | 12 | 28 | ||
Regulatory liabilities | 107 | 145 | ||
Other current liabilities | 385 | 446 | ||
TOTAL CURRENT LIABILITIES | 4,046 | 3,512 | ||
NONCURRENT LIABILITIES | ' | ' | ||
Obligations under capital leases | 1 | 2 | ||
Provision for injuries and damages | 180 | 141 | ||
Pensions and retiree benefits | 1,453 | 4,220 | ||
Superfund and other environmental costs | 644 | 433 | ||
Asset retirement obligations | 143 | 158 | ||
Fair value of derivative liabilities | 3 | 11 | ||
Deferred income taxes and investment tax credits | 7,832 | 7,452 | ||
Regulatory liabilities | 1,598 | 1,077 | ||
Other deferred credits and noncurrent liabilities | 145 | 182 | ||
TOTAL NONCURRENT LIABILITIES | 11,999 | 13,676 | ||
LONG-TERM DEBT | 9,366 | [1] | 9,145 | [1] |
COMMON SHAREHOLDER'S EQUITY (See Statement of Common Shareholder's Equity) | 10,847 | 10,552 | ||
TOTAL LIABILITIES AND SHAREHOLDER'S EQUITY | 36,258 | 36,885 | ||
Electric [Member] | ' | ' | ||
UTILITY PLANT, AT ORIGINAL COST | ' | ' | ||
Utility plant, at original cost | 23,450 | 22,376 | ||
Electric [Member] | CECONY [Member] | ' | ' | ||
UTILITY PLANT, AT ORIGINAL COST | ' | ' | ||
Utility plant, at original cost | 22,073 | 21,079 | ||
Gas [Member] | ' | ' | ||
UTILITY PLANT, AT ORIGINAL COST | ' | ' | ||
Utility plant, at original cost | 5,494 | 5,120 | ||
Gas [Member] | CECONY [Member] | ' | ' | ||
UTILITY PLANT, AT ORIGINAL COST | ' | ' | ||
Utility plant, at original cost | 4,891 | 4,547 | ||
Steam [Member] | ' | ' | ||
UTILITY PLANT, AT ORIGINAL COST | ' | ' | ||
Utility plant, at original cost | 2,194 | 2,049 | ||
Steam [Member] | CECONY [Member] | ' | ' | ||
UTILITY PLANT, AT ORIGINAL COST | ' | ' | ||
Utility plant, at original cost | $2,194 | $2,049 | ||
[1] | Rates are to be reset weekly or by auction held every 35 days; December 31, 2013 rates shown. |
Consolidated_Balance_Sheet_Par
Consolidated Balance Sheet (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Accounts receivable - customers, allowance for uncollectible accounts | $93 | $94 |
Other receivables, allowance for uncollectible accounts | 10 | 10 |
Non-utility property, accumulated depreciation | 90 | 68 |
Intangible assets, accumulated amortization | 4 | 4 |
CECONY [Member] | ' | ' |
Accounts receivable - customers, allowance for uncollectible accounts | 87 | 87 |
Other receivables, allowance for uncollectible accounts | 8 | 9 |
Non-utility property, accumulated depreciation | $25 | $25 |
Consolidated_Statement_of_Comm
Consolidated Statement of Common Shareholders' Equity (USD $) | Total | CECONY [Member] | Common Stock [Member] | Common Stock [Member] | Additional Paid-In Capital [Member] | Additional Paid-In Capital [Member] | Retained Earnings [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Capital Stock Expense [Member] | Capital Stock Expense [Member] | Accumulated Other Comprehensive Income/(Loss) [Member] | Accumulated Other Comprehensive Income/(Loss) [Member] | Repurchased Con Edison Stock [Member] |
In Millions, except Share data | CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | ||||||||
BALANCE at Dec. 31, 2010 | $11,061 | $9,923 | $31 | $589 | $4,915 | $4,234 | $7,220 | $6,132 | ($1,001) | ($64) | ($64) | ($40) | ($6) | ($962) |
BALANCE (In Shares) at Dec. 31, 2010 | ' | ' | 291,616,334 | 235,488,094 | ' | ' | ' | ' | 23,210,700 | ' | ' | ' | ' | ' |
Net income for common stock | 1,051 | 978 | ' | ' | ' | ' | 1,051 | ' | ' | ' | ' | ' | ' | ' |
NET INCOME | 1,062 | 989 | ' | ' | ' | ' | ' | 989 | ' | ' | ' | ' | ' | ' |
Common stock dividend to parent | -703 | -681 | ' | ' | ' | ' | -703 | -681 | ' | ' | ' | ' | ' | ' |
Issuance of common shares - dividend reinvestment and employee stock plans | 132 | ' | 1 | ' | 76 | ' | ' | ' | 55 | ' | ' | ' | ' | ' |
Cumulative preferred dividends | -11 | -11 | ' | ' | ' | ' | ' | -11 | ' | ' | ' | ' | ' | ' |
Issuance of common shares - dividend reinvestment and employee stock plans (In Shares) | ' | ' | 1,272,187 | ' | ' | ' | ' | ' | -1,538,166 | ' | ' | ' | ' | ' |
Common stock repurchases | -87 | ' | ' | ' | ' | ' | ' | ' | -87 | ' | ' | ' | ' | ' |
Common stock repurchases (In Shares) | ' | ' | ' | ' | ' | ' | ' | ' | 1,521,541 | ' | ' | ' | ' | ' |
Other comprehensive income | -18 | -2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | -18 | -2 | ' |
BALANCE at Dec. 31, 2011 | 11,436 | 10,218 | 32 | 589 | 4,991 | 4,234 | 7,568 | 6,429 | -1,033 | -64 | -64 | -58 | -8 | -962 |
BALANCE (In Shares) at Dec. 31, 2011 | ' | ' | 292,888,521 | 235,488,094 | ' | ' | ' | ' | 23,194,075 | ' | ' | ' | ' | ' |
Net income for common stock | 1,138 | 1,014 | ' | ' | ' | ' | 1,138 | ' | ' | ' | ' | ' | ' | ' |
NET INCOME | 1,141 | 1,017 | ' | ' | ' | ' | ' | 1,017 | ' | ' | ' | ' | ' | ' |
Common stock dividend to parent | -709 | -682 | ' | ' | ' | ' | -709 | -682 | ' | ' | ' | ' | ' | ' |
Issuance of common shares - dividend reinvestment and employee stock plans | -1 | ' | ' | ' | ' | ' | ' | ' | -4 | 3 | ' | ' | ' | ' |
Cumulative preferred dividends | -3 | -3 | ' | ' | ' | ' | ' | -3 | ' | ' | ' | ' | ' | ' |
Issuance of common shares - dividend reinvestment and employee stock plans (In Shares) | ' | ' | -16,625 | ' | ' | ' | ' | ' | 16,625 | ' | ' | ' | ' | ' |
Preferred stock redemption | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' | ' | ' |
Other comprehensive income | 5 | -1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5 | -1 | ' |
BALANCE at Dec. 31, 2012 | 11,869 | 10,552 | 32 | 589 | 4,991 | 4,234 | 7,997 | 6,761 | -1,037 | -61 | -61 | -53 | -9 | -962 |
BALANCE (In Shares) at Dec. 31, 2012 | 292,871,896 | 235,488,094 | 292,871,896 | 235,488,094 | ' | ' | ' | ' | 23,210,700 | ' | ' | ' | ' | ' |
Net income for common stock | 1,062 | 1,020 | ' | ' | ' | ' | 1,062 | ' | ' | ' | ' | ' | ' | ' |
NET INCOME | 1,062 | 1,020 | ' | ' | ' | ' | ' | 1,020 | ' | ' | ' | ' | ' | ' |
Common stock dividend to parent | -721 | -728 | ' | ' | ' | ' | -721 | -728 | ' | ' | ' | ' | ' | ' |
Issuance of common shares - dividend reinvestment and employee stock plans | 7 | ' | ' | ' | 4 | ' | ' | ' | 3 | ' | ' | ' | ' | ' |
Issuance of common shares - dividend reinvestment and employee stock plans (In Shares) | ' | ' | 500 | ' | ' | ' | ' | ' | -500 | ' | ' | ' | ' | ' |
Other comprehensive income | 28 | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 28 | 3 | ' |
BALANCE at Dec. 31, 2013 | $12,245 | $10,847 | $32 | $589 | $4,995 | $4,234 | $8,338 | $7,053 | ($1,034) | ($61) | ($61) | ($25) | ($6) | ($962) |
BALANCE (In Shares) at Dec. 31, 2013 | 292,872,396 | 235,488,094 | 292,872,396 | 235,488,094 | ' | ' | ' | ' | 23,210,200 | ' | ' | ' | ' | ' |
Consolidated_Statement_of_Capi
Consolidated Statement of Capitalization (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, except Share data, unless otherwise specified | ||
TOTAL COMMON SHAREHOLDERS' EQUITY BEFORE ACCUMULATED OTHER COMPREHENSIVE LOSS | $12,270 | $11,922 |
TOTAL COMMON SHAREHOLDERS' EQUITY BEFORE ACCUMULATED OTHER COMPREHENSIVE LOSS (in shares) | 292,872,396 | 292,871,896 |
Pension plan liability adjustments, net of taxes | -22 | -50 |
Unrealized gains/(losses) on derivatives qualified as cash flow hedges, less reclassification adjustment for gains/(losses) included in net income and reclassification adjustment | -3 | -3 |
TOTAL ACCUMULATED OTHER COMPREHENSIVE LOSS, NET OF TAXES | -25 | -53 |
TOTAL COMMON SHAREHOLDERS' EQUITY (SEE STATEMENT OF COMMON SHAREHOLDER'S EQUITY) | 12,245 | 11,869 |
CECONY [Member] | ' | ' |
TOTAL COMMON SHAREHOLDERS' EQUITY BEFORE ACCUMULATED OTHER COMPREHENSIVE LOSS | 10,853 | 10,561 |
TOTAL COMMON SHAREHOLDERS' EQUITY BEFORE ACCUMULATED OTHER COMPREHENSIVE LOSS (in shares) | 235,488,094 | 235,488,094 |
Pension plan liability adjustments, net of taxes | -3 | -6 |
Unrealized gains/(losses) on derivatives qualified as cash flow hedges, less reclassification adjustment for gains/(losses) included in net income and reclassification adjustment | -3 | -3 |
TOTAL ACCUMULATED OTHER COMPREHENSIVE LOSS, NET OF TAXES | -6 | -9 |
TOTAL COMMON SHAREHOLDERS' EQUITY (SEE STATEMENT OF COMMON SHAREHOLDER'S EQUITY) | $10,847 | $10,552 |
Consolidated_Statement_of_Capi1
Consolidated Statement of Capitalization (Parenthetical) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Pension plan liability adjustments, tax | ($10) | ($30) |
Unrealized gains/(losses) on derivatives qualified as cash flow hedges, tax and reclassification adjustment | -2 | -2 |
CECONY [Member] | ' | ' |
Pension plan liability adjustments, tax | -2 | -4 |
Unrealized gains/(losses) on derivatives qualified as cash flow hedges, tax and reclassification adjustment | ($2) | ($2) |
General
General | 12 Months Ended |
Dec. 31, 2013 | |
General | ' |
General | |
These combined notes accompany and form an integral part of the separate consolidated financial statements of each of the two separate registrants: Consolidated Edison, Inc. and its subsidiaries (Con Edison) and Consolidated Edison Company of New York, Inc. and its subsidiaries (CECONY). CECONY is a subsidiary of Con Edison and as such its financial condition and results of operations and cash flows, which are presented separately in the CECONY consolidated financial statements, are also consolidated, along with those of Con Edison’s other utility subsidiary, Orange and Rockland Utilities, Inc. (O&R), and Con Edison’s competitive energy businesses (discussed below) in Con Edison’s consolidated financial statements. The term “Utilities” is used in these notes to refer to CECONY and O&R. | |
As used in these notes, the term “Companies” refers to Con Edison and CECONY and, except as otherwise noted, the information in these combined notes relates to each of the Companies. However, CECONY makes no representation as to information relating to Con Edison or the subsidiaries of Con Edison other than itself. | |
Con Edison has two regulated utility subsidiaries: CECONY and O&R. CECONY provides electric service and gas service in New York City and Westchester County. The company also provides steam service in parts of Manhattan. O&R, along with its regulated utility subsidiaries, provides electric service in southeastern New York and adjacent areas of northern New Jersey and eastern Pennsylvania and gas service in southeastern New York and adjacent areas of eastern Pennsylvania. Con Edison has the following competitive energy businesses: Consolidated Edison Solutions, Inc. (Con Edison Solutions), a company which sells to retail customers electricity purchased in wholesale markets and enters into related hedging transactions and also provides energy-related products and services to retail customers; Consolidated Edison Energy, Inc. (Con Edison Energy), a company that provides energy-related products and services to wholesale customers; and Consolidated Edison Development, Inc. (Con Edison Development), a company that participates in infrastructure projects. | |
CECONY [Member] | ' |
General | ' |
General | |
These combined notes accompany and form an integral part of the separate consolidated financial statements of each of the two separate registrants: Consolidated Edison, Inc. and its subsidiaries (Con Edison) and Consolidated Edison Company of New York, Inc. and its subsidiaries (CECONY). CECONY is a subsidiary of Con Edison and as such its financial condition and results of operations and cash flows, which are presented separately in the CECONY consolidated financial statements, are also consolidated, along with those of Con Edison’s other utility subsidiary, Orange and Rockland Utilities, Inc. (O&R), and Con Edison’s competitive energy businesses (discussed below) in Con Edison’s consolidated financial statements. The term “Utilities” is used in these notes to refer to CECONY and O&R. | |
As used in these notes, the term “Companies” refers to Con Edison and CECONY and, except as otherwise noted, the information in these combined notes relates to each of the Companies. However, CECONY makes no representation as to information relating to Con Edison or the subsidiaries of Con Edison other than itself. | |
Con Edison has two regulated utility subsidiaries: CECONY and O&R. CECONY provides electric service and gas service in New York City and Westchester County. The company also provides steam service in parts of Manhattan. O&R, along with its regulated utility subsidiaries, provides electric service in southeastern New York and adjacent areas of northern New Jersey and eastern Pennsylvania and gas service in southeastern New York and adjacent areas of eastern Pennsylvania. Con Edison has the following competitive energy businesses: Consolidated Edison Solutions, Inc. (Con Edison Solutions), a company which sells to retail customers electricity purchased in wholesale markets and enters into related hedging transactions and also provides energy-related products and services to retail customers; Consolidated Edison Energy, Inc. (Con Edison Energy), a company that provides energy-related products and services to wholesale customers; and Consolidated Edison Development, Inc. (Con Edison Development), a company that participates in infrastructure projects. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Summary of Significant Accounting Policies | ' | ||||||||||||||||
Note A – Summary of Significant Accounting Policies | |||||||||||||||||
Principles of Consolidation | |||||||||||||||||
The Companies’ consolidated financial statements include the accounts of their respective majority-owned subsidiaries, and variable interest entities (see Note Q), as required. All intercompany balances and transactions have been eliminated. | |||||||||||||||||
Accounting Policies | |||||||||||||||||
The accounting policies of Con Edison and its subsidiaries conform to accounting principles generally accepted in the United States of America. For the Utilities, these accounting principles include the accounting rules for regulated operations and the accounting requirements of the Federal Energy Regulatory Commission (FERC) and the state public utility regulatory commissions having jurisdiction. | |||||||||||||||||
The accounting rules for regulated operations specify the economic effects that result from the causal relationship of costs and revenues in the rate-regulated environment and how these effects are to be accounted for by a regulated enterprise. Revenues intended to cover some costs may be recorded either before or after the costs are incurred. If regulation provides assurance that incurred costs will be recovered in the future, these costs would be recorded as deferred charges or “regulatory assets” under the accounting rules for regulated operations. If revenues are recorded for costs that are expected to be incurred in the future, these revenues would be recorded as deferred credits or “regulatory liabilities” under the accounting rules for regulated operations. | |||||||||||||||||
The Utilities’ principal regulatory assets and liabilities are detailed in Note B. The Utilities are receiving or being credited with a return on all of their regulatory assets for which a cash outflow has been made, and are paying or being charged with a return on all of their regulatory liabilities for which a cash inflow has been received. The Utilities’ regulatory assets and liabilities will be recovered from customers, or applied for customer benefit, in accordance with rate provisions approved by the applicable public utility regulatory commission. | |||||||||||||||||
Other significant accounting policies of the Companies are referenced below in this Note A and in the notes that follow. | |||||||||||||||||
Plant and Depreciation | |||||||||||||||||
Utility Plant | |||||||||||||||||
Utility plant is stated at original cost. The cost of repairs and maintenance is charged to expense and the cost of betterments is capitalized. The capitalized cost of additions to utility plant includes indirect costs such as engineering, supervision, payroll taxes, pensions, other benefits and an allowance for funds used during construction (AFDC). The original cost of property is charged to expense over the estimated useful lives of the assets. Upon retirement, the original cost of property is charged to accumulated depreciation. See Note R. | |||||||||||||||||
Rates used for AFDC include the cost of borrowed funds and a reasonable rate of return on the Utilities’ own funds when so used, determined in accordance with regulations of the FERC or the state public utility regulatory authority having jurisdiction. The rate is compounded semiannually, and the amounts applicable to borrowed funds are treated as a reduction of interest charges, while the amounts applicable to the Utilities’ own funds are credited to other income (deductions). The AFDC rates for CECONY were 4.0 percent, 6.5 percent and 6.9 percent for 2013, 2012, and 2011, respectively. The AFDC rates for O&R were 5.7 percent, 7.0 percent and 6.6 percent for 2013, 2012, and 2011, respectively. | |||||||||||||||||
The Utilities generally compute annual charges for depreciation using the straight-line method for financial statement purposes, with rates based on average service lives and net salvage factors. The average depreciation rate for CECONY was 3.2 percent for 2013 and 3.1 percent for 2012, and 2011. The average depreciation rates for O&R were 2.8 percent, 2.9 percent and 2.8 percent for 2013, 2012, and 2011, respectively. | |||||||||||||||||
The estimated lives for utility plant for CECONY range from 5 to 80 years for electric, 5 to 85 years for gas, 5 to 70 years for steam and 5 to 50 years for general plant. For O&R, the estimated lives for utility plant range from 5 to 75 years for electric, 5 to 75 years for gas and 5 to 50 years for general plant. | |||||||||||||||||
At December 31, 2013 and 2012, the capitalized cost of the Companies’ utility plant, net of accumulated depreciation, was as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Electric | |||||||||||||||||
Generation | $ | 452 | $ | 434 | $ | 452 | $ | 434 | |||||||||
Transmission | 2,776 | 2,698 | 2,597 | 2,518 | |||||||||||||
Distribution | 15,277 | 14,658 | 14,496 | 13,930 | |||||||||||||
Gas* | 4,469 | 4,170 | 4,013 | 3,735 | |||||||||||||
Steam | 1,790 | 1,674 | 1,790 | 1,674 | |||||||||||||
General | 1,565 | 1,567 | 1,433 | 1,439 | |||||||||||||
Held for future use | 73 | 73 | 62 | 62 | |||||||||||||
Construction work in progress | 1,393 | 1,027 | 1,303 | 947 | |||||||||||||
Net Utility Plant | $ | 27,795 | $ | 26,301 | $ | 26,146 | $ | 24,739 | |||||||||
* | Primarily distribution. | ||||||||||||||||
Under the Utilities’ rate plans, the aggregate annual depreciation allowance in effect at December 31, 2013 was $948 million, including $897 million under CECONY’s electric, gas and steam rate plans that have been approved by the New York State Public Service Commission (NYSPSC). | |||||||||||||||||
Non-Utility Plant | |||||||||||||||||
Non-utility plant is stated at original cost and consists primarily of land, gas storage and solar facilities that are currently not used within electric, gas or steam utility operations. Depreciation on these assets is computed using the straight-line method for financial statement purposes over their estimated useful lives, which range from 3 to 30 years. | |||||||||||||||||
Goodwill | |||||||||||||||||
In accordance with the accounting rules for goodwill and intangible assets, Con Edison is required to test goodwill for impairment annually. Goodwill is tested for impairment using a two-step approach. The first step of the goodwill impairment test compares the estimated fair value of a reporting unit with its carrying value, including goodwill. If the estimated fair value of a reporting unit exceeds its carrying value, goodwill of the reporting unit is considered not impaired. If the carrying value exceeds the estimated fair value of the reporting unit, the second step is performed to measure the amount of impairment loss, if any. The second step requires a calculation of the implied fair value of goodwill. See Note K. | |||||||||||||||||
Impairments | |||||||||||||||||
In accordance with the accounting rules for impairment or disposal of long-lived assets, the Companies evaluate the impairment of long-lived assets, based on projections of undiscounted future cash flows, whenever events or changes in circumstances indicate that the carrying amounts of such assets may not be recoverable. In the event an evaluation indicates that such cash flows cannot be expected to be sufficient to fully recover the assets, the assets are written down to their estimated fair value. No impairment charges were recognized in 2013, 2012 or 2011. | |||||||||||||||||
Revenues | |||||||||||||||||
The Utilities and Con Edison Solutions recognize revenues for energy service on a monthly billing cycle basis. The Utilities defer over a 12-month period net interruptible gas revenues, other than those authorized by the NYSPSC to be retained by the Utilities, for refund to firm gas sales and transportation customers. The Utilities and Con Edison Solutions accrue revenues at the end of each month for estimated energy service not yet billed to customers. | |||||||||||||||||
CECONY’s electric and gas rate plans and O&R’s New York electric and gas rate plans each contain a revenue decoupling mechanism under which the company’s actual energy delivery revenues are compared with the authorized delivery revenues and the difference accrued, with interest, for refund to, or recovery from, customers, as applicable. See “Rate Plans” in Note B. | |||||||||||||||||
The NYSPSC requires utilities to record gross receipts tax revenues and expenses on a gross income statement presentation basis (i.e., included in both revenue and expense). The recovery of these taxes is generally provided for in the revenue requirement within each of the respective NYSPSC approved rate plans. | |||||||||||||||||
Recoverable Energy Costs | |||||||||||||||||
The Utilities generally recover all of their prudently incurred fuel, purchased power and gas costs, including hedging gains and losses, in accordance with rate provisions approved by the applicable state public utility commissions. If the actual energy supply costs for a given month are more or less than the amounts billed to customers for that month, the difference in most cases is recoverable from or refundable to customers. Differences between actual and billed electric and steam supply costs are generally deferred for charge or refund to customers during the next billing cycle (normally within one or two months). In addition, CECONY recovers the costs of its electric demand management programs, in excess of the costs reflected in rates, as part of recoverable energy costs. For the Utilities’ gas costs, differences between actual and billed gas costs during the 12-month period ending each August are charged or refunded to customers during a subsequent 12-month period. | |||||||||||||||||
New York Independent System Operator (NYISO) | |||||||||||||||||
The Utilities purchase electricity through the wholesale electricity market administered by the NYISO. The difference between purchased power and related costs initially billed to the Utilities by the NYISO and the actual cost of power subsequently calculated by the NYISO is refunded by the NYISO to the Utilities, or paid to the NYISO by the Utilities. The reconciliation payments or receipts are recoverable from or refundable to the Utilities’ customers. | |||||||||||||||||
Certain other payments to or receipts from the NYISO are also subject to reconciliation, with shortfalls or amounts in excess of specified rate allowances recoverable from or refundable to customers. These include proceeds from the sale through the NYISO of transmission rights on CECONY’s transmission system (transmission congestion contracts or TCCs). | |||||||||||||||||
Temporary Cash Investments | |||||||||||||||||
Temporary cash investments are short-term, highly-liquid investments that generally have maturities of three months or less at the date of purchase. They are stated at cost, which approximates market. The Companies consider temporary cash investments to be cash equivalents. | |||||||||||||||||
Investments | |||||||||||||||||
Investments consist primarily of the investments of Con Edison’s competitive energy businesses, which are accounted for under the equity method (depending on the subsidiaries’ percentage ownership) or accounted for as leveraged leases in accordance with the accounting rules for leases. See Note J for a discussion of investments in Lease In/Lease Out transactions. Utilities’ investments are recorded at fair value and include the deferred income plan and supplemental retirement income plan trust owned life insurance assets. | |||||||||||||||||
Pension and Other Postretirement Benefits | |||||||||||||||||
The accounting rules for retirement benefits require an employer to recognize an asset or liability for the overfunded or underfunded status of its pension and other postretirement benefit plans. For a pension plan, the asset or liability is the difference between the fair value of the plan’s assets and the projected benefit obligation. For any other postretirement benefit plan, the asset or liability is the difference between the fair value of the plan’s assets and the accumulated postretirement benefit obligation. The accounting rules generally require employers to recognize all unrecognized prior service costs and credits and unrecognized actuarial gains and losses in accumulated other comprehensive income (OCI), net of tax. Such amounts will be adjusted as they are subsequently recognized as components of net periodic benefit cost or income pursuant to the current recognition and amortization provisions. | |||||||||||||||||
For the Utilities’ pension and other postretirement benefit plans, regulatory accounting treatment is generally applied in accordance with the accounting rules for regulated operations. Unrecognized prior service costs or credits and unrecognized actuarial gains and losses are recorded to regulatory assets or liabilities, rather than OCI. See Notes E and F. | |||||||||||||||||
The net periodic benefit costs are recognized in accordance with the accounting rules for retirement benefits. Investment gains and losses are recognized in expense over a 15-year period and other actuarial gains and losses are recognized in expense over a 10-year period, subject to the deferral provisions in the rate plans. | |||||||||||||||||
In accordance with the Statement of Policy issued by the NYSPSC and its current electric, gas and steam rate plans, CECONY defers for payment to or recovery from customers the difference between such expenses and the amounts for such expenses reflected in rates. Generally, O&R also defers such difference pursuant to its rate plans. See Note B – Regulatory Matters. | |||||||||||||||||
The Companies calculate the expected return on pension and other postretirement benefit plan assets by multiplying the expected rate of return on plan assets by the market-related value (MRV) of plan assets at the beginning of the year, taking into consideration anticipated contributions and benefit payments that are to be made during the year. The accounting rules allow the MRV of plan assets to be either fair value or a calculated value that recognizes changes in fair value in a systematic and rational manner over not more than five years. The Companies use a calculated value when determining the MRV of the plan assets that adjusts for 20 percent of the difference between fair value and expected MRV of plan assets. This calculated value has the effect of stabilizing variability in assets to which the Companies apply the expected return. | |||||||||||||||||
Federal Income Tax | |||||||||||||||||
In accordance with the accounting rules for income taxes, the Companies have recorded an accumulated deferred federal income tax liability for temporary differences between the book and tax basis of assets and liabilities at current tax rates. In accordance with rate plans, the Utilities have recovered amounts from customers for a portion of the tax liability they will pay in the future as a result of the reversal or “turn-around” of these temporary differences. As to the remaining tax liability, in accordance with the accounting rules for regulated operations, the Utilities have established regulatory assets for the net revenue requirements to be recovered from customers for the related future tax expense. See Notes B and L. In 1993, the NYSPSC issued a Policy Statement approving accounting procedures consistent with the accounting rules for income taxes and providing assurances that these future increases in taxes will be recoverable in rates. See Note L. | |||||||||||||||||
Accumulated deferred investment tax credits are amortized ratably over the lives of the related properties and applied as a reduction to future federal income tax expense. | |||||||||||||||||
Con Edison and its subsidiaries file a consolidated federal income tax return. The consolidated income tax liability is allocated to each member of the consolidated group using the separate return method. Each member pays or receives an amount based on its own taxable income or loss in accordance with tax sharing agreements among the members of the consolidated group. Tax loss carryforwards are allocated in accordance with consolidated tax return regulations. | |||||||||||||||||
State Income Tax | |||||||||||||||||
Con Edison and its subsidiaries file a combined New York State Corporation Business Franchise Tax Return. Similar to a federal consolidated income tax return, the income of all entities in the combined group is subject to New York State taxation, after adjustments for differences between federal and New York law and apportionment of income among the states in which the company does business. Each member of the group pays or receives an amount based on its own New York State taxable income or loss. | |||||||||||||||||
Research and Development Costs | |||||||||||||||||
Generally research and development costs are charged to operating expenses as incurred. Research and development costs were as follows: | |||||||||||||||||
For the Years Ended December 31, | |||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||||||
Con Edison | $ | 18 | $ | 21 | $ | 23 | |||||||||||
CECONY | 16 | 19 | 21 | ||||||||||||||
Reclassification | |||||||||||||||||
Certain prior year amounts have been reclassified to conform with the current year presentation. | |||||||||||||||||
Earnings Per Common Share | |||||||||||||||||
In accordance with the accounting rules for earnings per share, Con Edison presents basic and diluted earnings per share on the face of its consolidated income statement. Basic earnings per share (EPS) are calculated by dividing earnings available to common shareholders (“Net income for common stock” on Con Edison’s consolidated income statement) by the weighted average number of Con Edison common shares outstanding during the period. In the calculation of diluted EPS, weighted average shares outstanding are increased for additional shares that would be outstanding if potentially dilutive securities were converted to common stock. | |||||||||||||||||
Potentially dilutive securities for Con Edison consist of restricted stock units, deferred stock units and stock options for which the average market price of the common shares for the period was greater than the exercise price. See Note M. | |||||||||||||||||
Basic and diluted EPS for Con Edison are calculated as follows: | |||||||||||||||||
For the Years Ended | |||||||||||||||||
December 31, | |||||||||||||||||
(Millions of Dollars, except per share amounts/Shares in Millions) | 2013 | 2012 | 2011 | ||||||||||||||
Net income for common stock | $ | 1,062 | $ | 1,138 | $ | 1,051 | |||||||||||
Weighted average common shares outstanding – Basic | 292.9 | 292.9 | 292.6 | ||||||||||||||
Add: Incremental shares attributable to effect of potentially dilutive securities | 1.5 | 1.6 | 1.8 | ||||||||||||||
Adjusted weighted average common shares outstanding – Diluted | 294.4 | 294.5 | 294.4 | ||||||||||||||
Net Income for common stock per common share – basic | $ | 3.62 | $ | 3.88 | $ | 3.59 | |||||||||||
Net Income for common stock per common share – diluted | $ | 3.61 | $ | 3.86 | $ | 3.57 | |||||||||||
The computation of diluted EPS for the years ended December 31, 2013 and 2012 exclude immaterial amounts of performance share awards which were not included because of their anti-dilutive effect. No such exclusions were required for the computation of diluted EPS for the year ended December 31, 2011. | |||||||||||||||||
Estimates | |||||||||||||||||
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |||||||||||||||||
Changes in Accumulated Other Comprehensive Income by Component | |||||||||||||||||
For 2013, changes to accumulated other comprehensive income (OCI) for Con Edison and CECONY are as follows: | |||||||||||||||||
(Millions of Dollars) | Con Edison | CECONY | |||||||||||||||
Accumulated OCI, net of taxes, at December 31, 2012 | $ | (53 | ) | $ | (9 | ) | |||||||||||
OCI before reclassifications, net of tax of $15 and $1 for Con Edison and CECONY, respectively | 21 | 2 | |||||||||||||||
Amounts reclassified from accumulated OCI related to pension plan liabilities, net of tax of $5 and $1 for Con Edison and CECONY, respectively(a)(b) | 7 | 1 | |||||||||||||||
Total OCI, net of taxes, at December 31, 2013 | $ | 28 | $ | 3 | |||||||||||||
Accumulated OCI, net of taxes, at December 31, 2013(b) | $ | (25 | ) | $ | (6 | ) | |||||||||||
(a) | For the portion of unrecognized pension and other postretirement benefit costs relating to the regulated Utilities, costs are recorded into, and amortized out of, regulatory assets instead of OCI. The net actuarial losses and prior service costs recognized during the period are included in the computation of net periodic pension and other postretirement benefit cost. See Notes E and F. | ||||||||||||||||
(b) | Tax reclassified from accumulated OCI is reported in the income tax expense line item of the income statement. | ||||||||||||||||
CECONY [Member] | ' | ||||||||||||||||
Summary of Significant Accounting Policies | ' | ||||||||||||||||
Note A – Summary of Significant Accounting Policies | |||||||||||||||||
Principles of Consolidation | |||||||||||||||||
The Companies’ consolidated financial statements include the accounts of their respective majority-owned subsidiaries, and variable interest entities (see Note Q), as required. All intercompany balances and transactions have been eliminated. | |||||||||||||||||
Accounting Policies | |||||||||||||||||
The accounting policies of Con Edison and its subsidiaries conform to accounting principles generally accepted in the United States of America. For the Utilities, these accounting principles include the accounting rules for regulated operations and the accounting requirements of the Federal Energy Regulatory Commission (FERC) and the state public utility regulatory commissions having jurisdiction. | |||||||||||||||||
The accounting rules for regulated operations specify the economic effects that result from the causal relationship of costs and revenues in the rate-regulated environment and how these effects are to be accounted for by a regulated enterprise. Revenues intended to cover some costs may be recorded either before or after the costs are incurred. If regulation provides assurance that incurred costs will be recovered in the future, these costs would be recorded as deferred charges or “regulatory assets” under the accounting rules for regulated operations. If revenues are recorded for costs that are expected to be incurred in the future, these revenues would be recorded as deferred credits or “regulatory liabilities” under the accounting rules for regulated operations. | |||||||||||||||||
The Utilities’ principal regulatory assets and liabilities are detailed in Note B. The Utilities are receiving or being credited with a return on all of their regulatory assets for which a cash outflow has been made, and are paying or being charged with a return on all of their regulatory liabilities for which a cash inflow has been received. The Utilities’ regulatory assets and liabilities will be recovered from customers, or applied for customer benefit, in accordance with rate provisions approved by the applicable public utility regulatory commission. | |||||||||||||||||
Other significant accounting policies of the Companies are referenced below in this Note A and in the notes that follow. | |||||||||||||||||
Plant and Depreciation | |||||||||||||||||
Utility Plant | |||||||||||||||||
Utility plant is stated at original cost. The cost of repairs and maintenance is charged to expense and the cost of betterments is capitalized. The capitalized cost of additions to utility plant includes indirect costs such as engineering, supervision, payroll taxes, pensions, other benefits and an allowance for funds used during construction (AFDC). The original cost of property is charged to expense over the estimated useful lives of the assets. Upon retirement, the original cost of property is charged to accumulated depreciation. See Note R. | |||||||||||||||||
Rates used for AFDC include the cost of borrowed funds and a reasonable rate of return on the Utilities’ own funds when so used, determined in accordance with regulations of the FERC or the state public utility regulatory authority having jurisdiction. The rate is compounded semiannually, and the amounts applicable to borrowed funds are treated as a reduction of interest charges, while the amounts applicable to the Utilities’ own funds are credited to other income (deductions). The AFDC rates for CECONY were 4.0 percent, 6.5 percent and 6.9 percent for 2013, 2012, and 2011, respectively. The AFDC rates for O&R were 5.7 percent, 7.0 percent and 6.6 percent for 2013, 2012, and 2011, respectively. | |||||||||||||||||
The Utilities generally compute annual charges for depreciation using the straight-line method for financial statement purposes, with rates based on average service lives and net salvage factors. The average depreciation rate for CECONY was 3.2 percent for 2013 and 3.1 percent for 2012, and 2011. The average depreciation rates for O&R were 2.8 percent, 2.9 percent and 2.8 percent for 2013, 2012, and 2011, respectively. | |||||||||||||||||
The estimated lives for utility plant for CECONY range from 5 to 80 years for electric, 5 to 85 years for gas, 5 to 70 years for steam and 5 to 50 years for general plant. For O&R, the estimated lives for utility plant range from 5 to 75 years for electric, 5 to 75 years for gas and 5 to 50 years for general plant. | |||||||||||||||||
At December 31, 2013 and 2012, the capitalized cost of the Companies’ utility plant, net of accumulated depreciation, was as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Electric | |||||||||||||||||
Generation | $ | 452 | $ | 434 | $ | 452 | $ | 434 | |||||||||
Transmission | 2,776 | 2,698 | 2,597 | 2,518 | |||||||||||||
Distribution | 15,277 | 14,658 | 14,496 | 13,930 | |||||||||||||
Gas* | 4,469 | 4,170 | 4,013 | 3,735 | |||||||||||||
Steam | 1,790 | 1,674 | 1,790 | 1,674 | |||||||||||||
General | 1,565 | 1,567 | 1,433 | 1,439 | |||||||||||||
Held for future use | 73 | 73 | 62 | 62 | |||||||||||||
Construction work in progress | 1,393 | 1,027 | 1,303 | 947 | |||||||||||||
Net Utility Plant | $ | 27,795 | $ | 26,301 | $ | 26,146 | $ | 24,739 | |||||||||
* | Primarily distribution. | ||||||||||||||||
Under the Utilities’ rate plans, the aggregate annual depreciation allowance in effect at December 31, 2013 was $948 million, including $897 million under CECONY’s electric, gas and steam rate plans that have been approved by the New York State Public Service Commission (NYSPSC). | |||||||||||||||||
Non-Utility Plant | |||||||||||||||||
Non-utility plant is stated at original cost and consists primarily of land, gas storage and solar facilities that are currently not used within electric, gas or steam utility operations. Depreciation on these assets is computed using the straight-line method for financial statement purposes over their estimated useful lives, which range from 3 to 30 years. | |||||||||||||||||
Goodwill | |||||||||||||||||
In accordance with the accounting rules for goodwill and intangible assets, Con Edison is required to test goodwill for impairment annually. Goodwill is tested for impairment using a two-step approach. The first step of the goodwill impairment test compares the estimated fair value of a reporting unit with its carrying value, including goodwill. If the estimated fair value of a reporting unit exceeds its carrying value, goodwill of the reporting unit is considered not impaired. If the carrying value exceeds the estimated fair value of the reporting unit, the second step is performed to measure the amount of impairment loss, if any. The second step requires a calculation of the implied fair value of goodwill. See Note K. | |||||||||||||||||
Impairments | |||||||||||||||||
In accordance with the accounting rules for impairment or disposal of long-lived assets, the Companies evaluate the impairment of long-lived assets, based on projections of undiscounted future cash flows, whenever events or changes in circumstances indicate that the carrying amounts of such assets may not be recoverable. In the event an evaluation indicates that such cash flows cannot be expected to be sufficient to fully recover the assets, the assets are written down to their estimated fair value. No impairment charges were recognized in 2013, 2012 or 2011. | |||||||||||||||||
Revenues | |||||||||||||||||
The Utilities and Con Edison Solutions recognize revenues for energy service on a monthly billing cycle basis. The Utilities defer over a 12-month period net interruptible gas revenues, other than those authorized by the NYSPSC to be retained by the Utilities, for refund to firm gas sales and transportation customers. The Utilities and Con Edison Solutions accrue revenues at the end of each month for estimated energy service not yet billed to customers. | |||||||||||||||||
CECONY’s electric and gas rate plans and O&R’s New York electric and gas rate plans each contain a revenue decoupling mechanism under which the company’s actual energy delivery revenues are compared with the authorized delivery revenues and the difference accrued, with interest, for refund to, or recovery from, customers, as applicable. See “Rate Plans” in Note B. | |||||||||||||||||
The NYSPSC requires utilities to record gross receipts tax revenues and expenses on a gross income statement presentation basis (i.e., included in both revenue and expense). The recovery of these taxes is generally provided for in the revenue requirement within each of the respective NYSPSC approved rate plans. | |||||||||||||||||
Recoverable Energy Costs | |||||||||||||||||
The Utilities generally recover all of their prudently incurred fuel, purchased power and gas costs, including hedging gains and losses, in accordance with rate provisions approved by the applicable state public utility commissions. If the actual energy supply costs for a given month are more or less than the amounts billed to customers for that month, the difference in most cases is recoverable from or refundable to customers. Differences between actual and billed electric and steam supply costs are generally deferred for charge or refund to customers during the next billing cycle (normally within one or two months). In addition, CECONY recovers the costs of its electric demand management programs, in excess of the costs reflected in rates, as part of recoverable energy costs. For the Utilities’ gas costs, differences between actual and billed gas costs during the 12-month period ending each August are charged or refunded to customers during a subsequent 12-month period. | |||||||||||||||||
New York Independent System Operator (NYISO) | |||||||||||||||||
The Utilities purchase electricity through the wholesale electricity market administered by the NYISO. The difference between purchased power and related costs initially billed to the Utilities by the NYISO and the actual cost of power subsequently calculated by the NYISO is refunded by the NYISO to the Utilities, or paid to the NYISO by the Utilities. The reconciliation payments or receipts are recoverable from or refundable to the Utilities’ customers. | |||||||||||||||||
Certain other payments to or receipts from the NYISO are also subject to reconciliation, with shortfalls or amounts in excess of specified rate allowances recoverable from or refundable to customers. These include proceeds from the sale through the NYISO of transmission rights on CECONY’s transmission system (transmission congestion contracts or TCCs). | |||||||||||||||||
Temporary Cash Investments | |||||||||||||||||
Temporary cash investments are short-term, highly-liquid investments that generally have maturities of three months or less at the date of purchase. They are stated at cost, which approximates market. The Companies consider temporary cash investments to be cash equivalents. | |||||||||||||||||
Investments | |||||||||||||||||
Investments consist primarily of the investments of Con Edison’s competitive energy businesses, which are accounted for under the equity method (depending on the subsidiaries’ percentage ownership) or accounted for as leveraged leases in accordance with the accounting rules for leases. See Note J for a discussion of investments in Lease In/Lease Out transactions. Utilities’ investments are recorded at fair value and include the deferred income plan and supplemental retirement income plan trust owned life insurance assets. | |||||||||||||||||
Pension and Other Postretirement Benefits | |||||||||||||||||
The accounting rules for retirement benefits require an employer to recognize an asset or liability for the overfunded or underfunded status of its pension and other postretirement benefit plans. For a pension plan, the asset or liability is the difference between the fair value of the plan’s assets and the projected benefit obligation. For any other postretirement benefit plan, the asset or liability is the difference between the fair value of the plan’s assets and the accumulated postretirement benefit obligation. The accounting rules generally require employers to recognize all unrecognized prior service costs and credits and unrecognized actuarial gains and losses in accumulated other comprehensive income (OCI), net of tax. Such amounts will be adjusted as they are subsequently recognized as components of net periodic benefit cost or income pursuant to the current recognition and amortization provisions. | |||||||||||||||||
For the Utilities’ pension and other postretirement benefit plans, regulatory accounting treatment is generally applied in accordance with the accounting rules for regulated operations. Unrecognized prior service costs or credits and unrecognized actuarial gains and losses are recorded to regulatory assets or liabilities, rather than OCI. See Notes E and F. | |||||||||||||||||
The net periodic benefit costs are recognized in accordance with the accounting rules for retirement benefits. Investment gains and losses are recognized in expense over a 15-year period and other actuarial gains and losses are recognized in expense over a 10-year period, subject to the deferral provisions in the rate plans. | |||||||||||||||||
In accordance with the Statement of Policy issued by the NYSPSC and its current electric, gas and steam rate plans, CECONY defers for payment to or recovery from customers the difference between such expenses and the amounts for such expenses reflected in rates. Generally, O&R also defers such difference pursuant to its rate plans. See Note B – Regulatory Matters. | |||||||||||||||||
The Companies calculate the expected return on pension and other postretirement benefit plan assets by multiplying the expected rate of return on plan assets by the market-related value (MRV) of plan assets at the beginning of the year, taking into consideration anticipated contributions and benefit payments that are to be made during the year. The accounting rules allow the MRV of plan assets to be either fair value or a calculated value that recognizes changes in fair value in a systematic and rational manner over not more than five years. The Companies use a calculated value when determining the MRV of the plan assets that adjusts for 20 percent of the difference between fair value and expected MRV of plan assets. This calculated value has the effect of stabilizing variability in assets to which the Companies apply the expected return. | |||||||||||||||||
Federal Income Tax | |||||||||||||||||
In accordance with the accounting rules for income taxes, the Companies have recorded an accumulated deferred federal income tax liability for temporary differences between the book and tax basis of assets and liabilities at current tax rates. In accordance with rate plans, the Utilities have recovered amounts from customers for a portion of the tax liability they will pay in the future as a result of the reversal or “turn-around” of these temporary differences. As to the remaining tax liability, in accordance with the accounting rules for regulated operations, the Utilities have established regulatory assets for the net revenue requirements to be recovered from customers for the related future tax expense. See Notes B and L. In 1993, the NYSPSC issued a Policy Statement approving accounting procedures consistent with the accounting rules for income taxes and providing assurances that these future increases in taxes will be recoverable in rates. See Note L. | |||||||||||||||||
Accumulated deferred investment tax credits are amortized ratably over the lives of the related properties and applied as a reduction to future federal income tax expense. | |||||||||||||||||
Con Edison and its subsidiaries file a consolidated federal income tax return. The consolidated income tax liability is allocated to each member of the consolidated group using the separate return method. Each member pays or receives an amount based on its own taxable income or loss in accordance with tax sharing agreements among the members of the consolidated group. Tax loss carryforwards are allocated in accordance with consolidated tax return regulations. | |||||||||||||||||
State Income Tax | |||||||||||||||||
Con Edison and its subsidiaries file a combined New York State Corporation Business Franchise Tax Return. Similar to a federal consolidated income tax return, the income of all entities in the combined group is subject to New York State taxation, after adjustments for differences between federal and New York law and apportionment of income among the states in which the company does business. Each member of the group pays or receives an amount based on its own New York State taxable income or loss. | |||||||||||||||||
Research and Development Costs | |||||||||||||||||
Generally research and development costs are charged to operating expenses as incurred. Research and development costs were as follows: | |||||||||||||||||
For the Years Ended December 31, | |||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||||||
Con Edison | $ | 18 | $ | 21 | $ | 23 | |||||||||||
CECONY | 16 | 19 | 21 | ||||||||||||||
Reclassification | |||||||||||||||||
Certain prior year amounts have been reclassified to conform with the current year presentation. | |||||||||||||||||
Earnings Per Common Share | |||||||||||||||||
In accordance with the accounting rules for earnings per share, Con Edison presents basic and diluted earnings per share on the face of its consolidated income statement. Basic earnings per share (EPS) are calculated by dividing earnings available to common shareholders (“Net income for common stock” on Con Edison’s consolidated income statement) by the weighted average number of Con Edison common shares outstanding during the period. In the calculation of diluted EPS, weighted average shares outstanding are increased for additional shares that would be outstanding if potentially dilutive securities were converted to common stock. | |||||||||||||||||
Potentially dilutive securities for Con Edison consist of restricted stock units, deferred stock units and stock options for which the average market price of the common shares for the period was greater than the exercise price. See Note M. | |||||||||||||||||
Basic and diluted EPS for Con Edison are calculated as follows: | |||||||||||||||||
For the Years Ended | |||||||||||||||||
December 31, | |||||||||||||||||
(Millions of Dollars, except per share amounts/Shares in Millions) | 2013 | 2012 | 2011 | ||||||||||||||
Net income for common stock | $ | 1,062 | $ | 1,138 | $ | 1,051 | |||||||||||
Weighted average common shares outstanding – Basic | 292.9 | 292.9 | 292.6 | ||||||||||||||
Add: Incremental shares attributable to effect of potentially dilutive securities | 1.5 | 1.6 | 1.8 | ||||||||||||||
Adjusted weighted average common shares outstanding – Diluted | 294.4 | 294.5 | 294.4 | ||||||||||||||
Net Income for common stock per common share – basic | $ | 3.62 | $ | 3.88 | $ | 3.59 | |||||||||||
Net Income for common stock per common share – diluted | $ | 3.61 | $ | 3.86 | $ | 3.57 | |||||||||||
The computation of diluted EPS for the years ended December 31, 2013 and 2012 exclude immaterial amounts of performance share awards which were not included because of their anti-dilutive effect. No such exclusions were required for the computation of diluted EPS for the year ended December 31, 2011. | |||||||||||||||||
Estimates | |||||||||||||||||
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |||||||||||||||||
Changes in Accumulated Other Comprehensive Income by Component | |||||||||||||||||
For 2013, changes to accumulated other comprehensive income (OCI) for Con Edison and CECONY are as follows: | |||||||||||||||||
(Millions of Dollars) | Con Edison | CECONY | |||||||||||||||
Accumulated OCI, net of taxes, at December 31, 2012 | $ | (53 | ) | $ | (9 | ) | |||||||||||
OCI before reclassifications, net of tax of $15 and $1 for Con Edison and CECONY, respectively | 21 | 2 | |||||||||||||||
Amounts reclassified from accumulated OCI related to pension plan liabilities, net of tax of $5 and $1 for Con Edison and CECONY, respectively(a)(b) | 7 | 1 | |||||||||||||||
Total OCI, net of taxes, at December 31, 2013 | $ | 28 | $ | 3 | |||||||||||||
Accumulated OCI, net of taxes, at December 31, 2013(b) | $ | (25 | ) | $ | (6 | ) | |||||||||||
(a) | For the portion of unrecognized pension and other postretirement benefit costs relating to the regulated Utilities, costs are recorded into, and amortized out of, regulatory assets instead of OCI. The net actuarial losses and prior service costs recognized during the period are included in the computation of net periodic pension and other postretirement benefit cost. See Notes E and F. | ||||||||||||||||
(b) | Tax reclassified from accumulated OCI is reported in the income tax expense line item of the income statement. |
Regulatory_Matters
Regulatory Matters | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Regulatory Matters | ' | ||||||||||||||||
Note B – Regulatory Matters | |||||||||||||||||
Rate Plans | |||||||||||||||||
CECONY — Electric | |||||||||||||||||
In March 2010, the NYSPSC adopted a November 2009 Joint Proposal among CECONY, NYSPSC staff and other parties, with respect to the company’s May 2009 request to the NYSPSC for an increase in the rates the company charged its customers for electric delivery service. The Joint Proposal included a rate plan that provided for electric base rate increases of $420 million, effective April 2010 and 2011, and $287 million, effective April 2012, with an additional $134 million to be collected through a surcharge in the rate year ending March 2013. In March 2012, the NYSPSC issued an order requiring that the $134 million surcharge that was to have been collected from customers during the rate year ending March 2013 instead be offset using certain CECONY regulatory liabilities that would have otherwise been refundable to or applied for the benefit of customers after the rate year. | |||||||||||||||||
The rate plan reflected the following major items: | |||||||||||||||||
• | A weighted average cost of capital of 7.76 percent, reflecting: | ||||||||||||||||
• | return on common equity of 10.15 percent, assuming achievement by the company of unspecified austerity measures that would result in reductions in operations and maintenance expenses of $27 million, $20 million and $13 million in the rate years ending March 2011, 2012 and 2013, respectively (the company did not achieve the unspecified austerity measures in the rate years ending March 2011, 2012 and 2013); | ||||||||||||||||
• | cost of long-term debt of 5.65 percent; | ||||||||||||||||
• | common equity ratio of 48 percent; and | ||||||||||||||||
• | average rate base of $14,887 million, $15,987 million and $16,826 million for the rate years ending March 2011, 2012 and 2013, respectively. | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact (i.e., return on investment, depreciation and income taxes) of the amount, if any, by which (A) actual average net plant balances allocable to the company’s electric business for (i) transmission and distribution, excluding municipal infrastructure support (T&D), (ii) generation, shared services and, subject to certain adjustments, municipal infrastructure support (Other) and (iii) a finance and supply chain enterprise resource project (ERP) are less than (B) amounts reflected in rates for the respective category for each rate year. The amounts reflected in rates were: | ||||||||||||||||
Rate Year Ending March 31, | |||||||||||||||||
(Millions of Dollars) | 2011 | 2012 | 2013 | ||||||||||||||
T&D | $ | 13,818 | $ | 14,742 | $ | 15,414 | |||||||||||
Other | 1,487 | 1,565 | 1,650 | ||||||||||||||
ERP | - | 25 | 115 | ||||||||||||||
• | Any deferral for T&D and Other for the rate year ending March 2011 was to be based on average net plant balances for the year and for the rate years ending March 2012 and 2013 was to be based on average net plant balances over the term of the rate plan. Any deferral for ERP was to be based on average net plant balances for ERP over the term of the rate plan. The company deferred $8 million, an immaterial amount and $7 million as a regulatory liability pursuant to this provision in 2011, 2012 and 2013, respectively. | ||||||||||||||||
• | During the term of the rate plan, the company was not to accrue any additional revenue for carrying charges on any capital expenditures allocable to its electric business in excess of specified limits (which limits excluded certain expenditures, including expenditures for projects for which the company had been selected to receive grants under the American Recovery and Reinvestment Act of 2009): | ||||||||||||||||
• | T&D capital expenditures—$1,200 million for the rate year ending March 2011 and an aggregate $2,300 million for the period from April 2011 through March 2013 (such capital expenditures for such periods were not in excess of such limits); | ||||||||||||||||
• | Other capital expenditures—$220 million for the rate year ending March 2011 and an aggregate $402 million for the period from April 2011 through March 2013 (such capital expenditures for such periods were not in excess of such limits); and | ||||||||||||||||
• | ERP capital expenditures—$125 million (such capital expenditures for the term of the rate plan were less than $125 million). | ||||||||||||||||
• | Most of any actual earnings, excluding the effects of certain items, above a 11.15 percent return on equity for the rate year ended March 2011 and a 10.65 percent return on equity for the rate years ended March 2012 and 2013 (based on actual average common equity ratio, subject to a 50 percent maximum) were to be applied to reduce regulatory assets for pensions and other postretirement benefits and other costs. The rate plan’s earnings sharing provisions continued in effect up to January 2014 when the company’s new electric rate plan (see below) became effective. Actual earnings under the rate plan were $17.5 million above the threshold for earnings sharing for the period from April 1, 2013 to December 31, 2013. | ||||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of differences between the actual level of certain expenses, including, among others, expenses for pension and other postretirement benefits, environmental remediation, relocation of facilities to accommodate government projects, property taxes and (for the rate years ending March 2012 and 2013) long-term debt, and amounts for those expenses reflected in rates (with deferral for the difference in property taxes limited to 80 percent of the difference, subject to annual maximum for the remaining 20 percent of the difference of not more than a 10 basis point impact on return on common equity and deferral of facility relocation expenses in excess of amounts reflected in rates subject to certain limitations). In 2011, 2012 and 2013, the company deferred $39 million of net regulatory liabilities, $153 million of net regulatory liabilities and $42 million of net regulatory assets, respectively, under these provisions. | ||||||||||||||||
• | Continuation of the provisions relating to revenues from the sale of transmission rights on the company’s transmission system pursuant to which it was assumed the company will receive and retain $120 million annually from the sale of such rights with the difference between such actual revenues for the rate year and $120 million to be recoverable from or refundable to customers, as the case may be. In 2011, 2012 and 2013, the company accrued $26 million, $45 million and $27 million of revenues, respectively, under this provision. | ||||||||||||||||
• | Continuation of the revenue decoupling mechanism under which the company’s actual electric delivery revenues were to be compared with the delivery revenues reflected in rates, and the difference accrued as a regulatory liability (for refund to electric customers) or a regulatory asset (for recovery from electric customers), as the case may be. In 2011, 2012 and 2013, the company deferred for customer benefit $90 million, $59 million and $34 million of revenues, respectively, under this provision. | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovered its purchased power and fuel costs from electric customers. | ||||||||||||||||
• | Continuation of provisions for potential operations penalties of up to $152 million annually if certain electric customer service and system reliability performance targets are not met. In 2011, the company recognized a $5 million system reliability penalty. In 2012 and 2013, the company did not recognize any penalties under these provisions. | ||||||||||||||||
• | Collection from electric customers of $249 million on an annual basis subject to potential refund following an NYSPSC review of the company’s capital expenditures during the April 2005 through March 2008 period for transmission and distribution utility plant (as to which, in March 2010, the NYSPSC approved a February 2010 Joint Proposal by the company and the NYSPSC staff pursuant to which the company, among other things, provided a $36 million credit to customers in 2010). The amount collected would also be subject to refund in the event the NYSPSC determined that some disallowance of costs the company has recovered is warranted to address potential impacts of alleged unlawful conduct by arrested employees and contractors (see “Other Regulatory Matters” below in this Note B). | ||||||||||||||||
In February 2014, the NYSPSC adopted a December 2013 Joint Proposal among CECONY, NYSPSC staff and other parties. The Joint Proposal includes an electric rate plan that covers the two-year period January 2014 through December 2015 and is designed to produce a reduction in annual revenues of $76 million in the rate year ending December 2014 and an increase in annual revenues of $124 million in the rate year ending December 2015. The impact of these base rate changes is being deferred which will result in a $30 million regulatory liability at December 31, 2015. The rate plan reflects the following major items with respect to CECONY’s rates for electric delivery service: | |||||||||||||||||
• | A weighted average cost of capital of 7.05 percent and 7.08 percent for the rate years ending December 31, 2014 and 2015, respectively, reflecting: | ||||||||||||||||
• | return on common equity of 9.2 percent; | ||||||||||||||||
• | cost of long-term debt of 5.17 percent and 5.23 percent for the rate years ending December 31, 2014 and 2015, respectively; | ||||||||||||||||
• | common equity ratio of 48 percent; and | ||||||||||||||||
• | average rate base of $17,323 million and $18,113 million for the rate years ending December 2014 and 2015, respectively. | ||||||||||||||||
• | Capital expenditures of $1,487 million (including $180 million for storm hardening) and $1,708 million (including $278 million for storm hardening) in the rate years ending December 31, 2014 and 2015, respectively. These expenditures do not include expenditures for certain transmission projects (the Indian Point Contingency Plan projects) approved by the NYSPSC in October 2013 for which the NYSPSC endorsed the method by which the costs and benefits associated with the projects will be allocated among load serving entities and a cost recovery mechanism will be filed with the FERC. | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact (i.e., return on investment, depreciation and income taxes) of the amount, if any, by which (A) actual average net plant balances for the 24 months ending December 2015 allocable to the company’s electric business for (i) transmission and distribution, including municipal infrastructure support and excluding the Indian Point Contingency Plan projects (T&D), (ii) storm hardening, and (iii) generation and shared services (Other) are less than (B) amounts reflected in rates for the respective category for such period, provided that deferral is not required with respect to storm hardening or the reliability component of T&D if, among other things, the sum of the average net plant balances for these categories is at least equal to the sum of the amounts reflected in rates for the categories. The amounts reflected in rates are: | ||||||||||||||||
Rate Year Ending December 31, | |||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | |||||||||||||||
T&D | $ | 16,869 | $ | 17,401 | |||||||||||||
Storm hardening | 89 | 177 | |||||||||||||||
Other | 2,034 | 2,102 | |||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of the related revenue requirement impact if, for the rate year ending December 2015, the NYSPSC determines that planned capital expenditures for storm hardening should be more or less than the amount reflected in rates. | ||||||||||||||||
• | Revenues for each of the rate years ending December 2014 and 2015 include $21 million as funding for a major storm reserve. For each major storm, the company will be able to charge against the reserve 98 percent of its incremental costs, other than capital expenditures, that are incurred not later than 30 days following the date on which the company is able to serve all customers. If major storm costs chargeable to the reserve are more or less than $21 million in either rate year, the company will defer the difference as a regulatory asset or liability, as the case may be. For incremental major storm costs incurred later than 30 days after the date the company is able to serve all customers, the company may file a petition with the NYSPSC for authorization to defer such costs as a regulatory asset. | ||||||||||||||||
• | Revenues for each of the rate years ending December 2014 and 2015 include $107 million with respect to major storm costs the company previously deferred (including for Superstorm Sandy) reflecting a three-year amortization of the deferred costs. The company’s collection from customers of amounts with respect to deferred major storm costs is subject to potential refund following NYSPSC staff review of the costs. See “Other Regulatory Matters,” below in this Note B. | ||||||||||||||||
• | Most of any actual earnings, excluding the effects of certain items, above a 9.8 percent annual return on equity (based on actual average common equity ratio, subject to a 50 percent maximum) would be applied to reduce regulatory assets for environmental remediation costs and other costs. In the event the company does not file for a rate increase to take effect in January 2016, the rate plan’s earnings sharing provisions will continue in effect until base rates are reset by the NYSPSC. | ||||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of differences between the actual level of certain expenses, including, among others, expenses for pension and other postretirement benefits, environmental remediation, property taxes and variable rate tax-exempt debt, and amounts for those expenses reflected in rates (with deferral for the difference in property taxes limited to 90 percent of the difference, subject to annual maximum for the remaining 10 percent of the difference of not more than a 10 basis point impact on return on common equity). | ||||||||||||||||
• | Continuation of a revenue decoupling mechanism under which the company’s actual electric delivery revenues would be compared with the delivery revenues reflected in rates, with the difference accrued as a regulatory liability or a regulatory asset, as the case may be. | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its purchased power and fuel costs from electric customers. With respect to certain transmission service that commenced in May 2012 pursuant to the open access transmission tariff of PJM Interconnection L.L.C. (PJM), the company in 2014 will recover charges incurred from April 2013 to December 2013 in excess of amounts that were reflected in rates (approximately $20 million) and, commencing in January 2014 and unless and until changed by the NYSPSC, the company will recover all charges incurred associated with the transmission service. In January 2014, PJM submitted to FERC a request, which CECONY is opposing, that would substantially increase the charges for the transmission service. | ||||||||||||||||
• | Continuation of provisions for potential operations penalties of up to approximately $176 million annually if certain electric performance targets are not met. | ||||||||||||||||
• | Continuation of collection from electric customers of $249 million on an annual basis subject to potential refund in the NYSPSC proceeding commenced in February 2009 to examine the prudence of certain company expenditures following the arrests of certain employees (see “Other Regulatory Matters” below in this Note B). | ||||||||||||||||
O&R — Electric | |||||||||||||||||
In July 2008, the NYSPSC adopted a Joint Proposal among O&R, the NYSPSC staff and other parties for the rates O&R charged its New York customers for electric service from July 2008 through June 2011. The rate plan approved by the NYSPSC provided for electric rate increases of $15.6 million, $15.6 million and $5.7 million effective July 1, 2008, 2009 and 2010, respectively, and the collection of an additional $9.9 million during the 12-month period beginning July 1, 2010. | |||||||||||||||||
The rate plan reflected the following major items: | |||||||||||||||||
• | An annual return on common equity of 9.4 percent; | ||||||||||||||||
• | Most of any actual earnings, excluding the effects of certain items, above a 10.2 percent return on equity (based on actual average common equity ratio, subject to a 50 percent maximum) were to be applied to reduce regulatory assets for pension and other postretirement benefit expenses (the company did not reduce regulatory assets under this provision in 2009, 2010 or 2011); | ||||||||||||||||
• | Deferral as a regulatory asset or regulatory liability, as the case may be, of differences between the actual level of certain expenses, including, among others, expenses for pension and other postretirement benefits, environmental remediation, property taxes and tax-exempt debt costs, and amounts for those expenses reflected in rates (the company deferred recognition of $3 million of expenses, $0.7 million of revenue and $0.3 million of expenses under this provision in 2009, 2010, and 2011, respectively); | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact (i.e., return on investment, depreciation and income taxes) of the amount, if any, by which actual transmission and distribution related capital expenditures are less than amounts reflected in rates (the company deferred $8 million, $12 million, and $7 million of revenues under this provision in 2009, 2010, and 2011, respectively); | ||||||||||||||||
• | Deferral as a regulatory asset of increases, if any, in certain expenses above a 4 percent annual inflation rate, but only if the actual annual return on common equity is less than 9.4 percent (the company did not defer any expenses under this provision in 2009, 2010 or 2011); | ||||||||||||||||
• | Potential negative earnings adjustments of up to $3 million annually if certain customer service and system reliability performance targets were not met (the company met the performance targets in 2009 and 2011; the company reduced revenues by $1 million under this provision in 2010); | ||||||||||||||||
• | Implementation of a revenue decoupling mechanism under which actual energy delivery revenues were to be compared with the authorized delivery revenues with the difference accrued, with interest, for refund to, or recovery from, customers, as applicable (the company accrued $12.5 million, $5.1 million, and $3.3 million of revenues pursuant to this provision in 2009, 2010, and 2011, respectively); | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its purchased power costs from customers; and | ||||||||||||||||
• | Withdrawal of the litigation O&R commenced seeking to annul the NYSPSC’s March and October 2007 orders relating to O&R’s electric rates. | ||||||||||||||||
In June 2011, the NYSPSC adopted an order granting O&R an electric rate increase, effective July 1, 2011, of $26.6 million. The NYSPSC ruling reflected the following major items: | |||||||||||||||||
• | A weighted average cost of capital of 7.22 percent, reflecting: | ||||||||||||||||
• | a return on common equity of 9.2 percent, assuming achievement by the company of $825,000 of austerity measures; | ||||||||||||||||
• | cost of long-term debt of 5.50 percent; and | ||||||||||||||||
• | common equity ratio of 48 percent. | ||||||||||||||||
• | Continuation of a revenue decoupling mechanism; | ||||||||||||||||
• | A provision for reconciliation of certain differences in actual average net utility plant to the amount reflected in rates ($718 million) and continuation of rate provisions under which differences between the actual level of certain expenses, including, among others, expenses for pension and other postretirement benefits, environmental remediation and tax-exempt debt costs are reconciled to amounts for those expenses reflected in rates; | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its purchased power costs from customers; | ||||||||||||||||
• | Discontinuation of the provisions under which property taxes were reconciled to amounts reflected in rates; | ||||||||||||||||
• | Discontinuation of the inclusion in rates of funding for the company’s annual incentive plan for non-officer management employees; | ||||||||||||||||
• | Continuation of provisions for potential operations penalties of up to $3 million annually if certain customer service and system reliability performance targets are not met (in 2011, O&R did not recognize any operations penalties under these provisions or the corresponding provisions of the O&R rate plan discussed above); and | ||||||||||||||||
• | O&R was directed to produce a report detailing its implementation plans for the recommendations made in connection with the NYSPSC’s management audit of CECONY, with a forecast of costs to achieve and expected savings. | ||||||||||||||||
In June 2012, the NYSPSC adopted a February 2012 Joint Proposal among O&R, NYSPSC staff and the Utility Intervention Unit of the New York State Department of State Division of Consumer Protection with respect to the company’s rates for electric delivery service rendered in New York. The Joint Proposal includes a rate plan that covers the three-year period from July 2012 through June 2015. The rate plan provides for electric base rate increases of $19.4 million, $8.8 million and $15.2 million, effective July 2012, 2013 and 2014, respectively, which is being implemented, at the NYSPSC’s option, with increases of $15.2 million effective July 2012 and 2013 and an increase of $13.1 million, together with a surcharge of $2.1 million, effective July 2014. The rate plan reflects the following major items: | |||||||||||||||||
• | A weighted average cost of capital of 7.61 percent, 7.65 percent and 7.48 percent for the rate years ending June 30, 2013, 2014 and 2015, respectively, reflecting: | ||||||||||||||||
• | a return on common equity of 9.4 percent, 9.5 percent and 9.6 percent for the rate years ending June 30, 2013, 2014 and 2015, respectively; | ||||||||||||||||
• | cost of long-term debt of 6.07 percent for each of the rate years ending June 30, 2013 and 2014 and 5.64 percent for the rate year ending June 30, 2015; | ||||||||||||||||
• | common equity ratio of 48 percent for each of the rate years ending June 30, 2013, 2014 and 2015; and | ||||||||||||||||
• | average rate base of $671 million, $708 million and $759 million for the rate years ending June 30, 2013, 2014 and 2015, respectively; | ||||||||||||||||
• | Sharing with electric customers of any actual earnings, excluding the effects of certain items, above specified percentage returns on common equity (based on the actual average common equity ratio, subject to a 50 percent maximum): | ||||||||||||||||
• | the company will allocate to customers the revenue requirement equivalent of 50 percent, 75 percent and 90 percent of any such earnings for each rate year in excess of 80 basis points, 180 basis points and 280 basis points, respectively, above the return on common equity for that rate year indicated above; and | ||||||||||||||||
• | the earnings sharing allocation between the company and customers will be on a cumulative basis at the end of rate year three; | ||||||||||||||||
• | Continuation of a revenue decoupling mechanism; | ||||||||||||||||
• | Continuation of a provision which defers as a regulatory liability for the benefit of customers or, subject to certain limitations, a regulatory asset for recovery from customers, as the case may be, the revenue requirement impact of the amount by which actual average net utility plant for each rate year is different than the average net utility plant reflected in rates ($678 million, $704 million and $753 million for the rate years ending June 30, 2013, 2014 and 2015, respectively) (the company deferred $1.1 million as a regulatory asset pursuant to this provision in 2013); | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its purchased power costs from customers; | ||||||||||||||||
• | Deferral as a regulatory asset or regulatory liability, as the case may be, of differences between the actual level of certain expenses, including among others, pension and other postretirement benefits, environmental remediation, tax-exempt debt costs and property taxes and amounts for those expenses reflected in rates (the company deferred recognition of $4.1 million of expenses under this provision in 2013); and | ||||||||||||||||
• | Continuation of provisions for potential operations penalties of up to $3 million annually if certain customer service and system reliability performance targets are not met (in 2012 and 2013, O&R did not recognize any operations penalties). | ||||||||||||||||
In May 2010, O&R’s New Jersey regulated utility subsidiary, Rockland Electric Company (RECO), the Division of Rate Counsel, staff of the New Jersey Board of Public Utilities (NJBPU) and certain other parties entered into a stipulation of settlement with respect to the company’s August 2009 request to increase the rates that it can charge its customers for electric delivery service. The stipulation, which was approved by the Board of the NJBPU, provided for an electric rate increase, effective May 17, 2010, of $9.8 million. The stipulation reflected a return on common equity of 10.3 percent and a common equity ratio of approximately 50 percent. The stipulation continued current provisions with respect to recovery from customers of the cost of purchased power and did not provide for reconciliation of actual expenses to amounts reflected in electric rates for pension and other postretirement benefit costs. The stipulation required RECO to file a base rate case by December 1, 2013. | |||||||||||||||||
In November 2013, RECO filed a request with the NJBPU for a net increase in the rates it charges for electric service, effective September 2014, of $19.3 million. The filing reflects a return on common equity of 10.25 percent and a common equity ratio of 52.2 percent. The filing proposes the recovery over a three-year period of $25.4 million of costs incurred in response to major storm events in 2011 and 2012 that had been deferred for recovery and the continuation of the current provisions with respect to recovery from customers of the cost of purchased power. | |||||||||||||||||
CECONY — Gas | |||||||||||||||||
In September 2010, the NYSPSC adopted a May 2010 Joint Proposal among CECONY, the staff of the NYSPSC and other parties, with respect to the company’s rates for gas delivery service. The Joint Proposal included a gas rate plan that provided for base rate increases of $47.1 million, $47.9 million and $46.7 million, effective October 2010, 2011 and 2012, respectively. The rate plan reflected the following major items: | |||||||||||||||||
• | A weighted average cost of capital of 7.46 percent, reflecting: | ||||||||||||||||
• | return on common equity of 9.6 percent, assuming achievement by the company of cost avoidance for productivity and “austerity”. The unspecified austerity measures assume reductions in costs of $6 million, $4 million and $2 million in the rate years ending September 2011, 2012 and 2013, respectively; | ||||||||||||||||
• | cost of long-term debt of 5.57 percent; | ||||||||||||||||
• | common equity ratio of 48 percent; and | ||||||||||||||||
• | average rate base of $3,027 million, $3,245 million and $3,434 million for the rate years ending September 2011, 2012 and 2013, respectively. | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact (i.e., return on investment, depreciation and income taxes) of the amount, if any, by which actual average net plant balances allocable to the company’s gas business are less than the amounts reflected in rates: $2,934 million, $3,148 million and $3,346 million for the rate years ending September 2011, 2012 and 2013, respectively. For the rate years ending September 2012 and 2013, $2.9 million and $9.5 million were deferred, respectively. No such deferral was required for the rate year ended September 2011. | ||||||||||||||||
• | Most of any actual earnings, excluding the effects of certain items, above a 10.35 percent return for the rate year ended September 2011 and a 10.15 percent for the rate years ended September 2012 and 2013 (based on actual average common equity ratio, subject to a 50 percent maximum) were to be applied to reduce regulatory assets for pensions and other postretirement benefits and other costs. The specified annual returns were to be calculated on a cumulative basis over the term of the rate plan. The rate plan’s earnings sharing provisions continued in effect up to January 2014 when the company’s new gas rate plan (see below) became effective. Actual earnings under the rate plan were not above the earnings sharing levels. | ||||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of differences between the actual level of certain expenses, including, among others, expenses for pension and other postretirement benefits, environmental remediation, property taxes and long-term debt, and amounts for those expenses reflected in rates (with deferral for the difference in property taxes limited to 80 percent of the difference, subject to an annual maximum for the remaining 20 percent of the difference of not more than the equivalent in revenue requirement of a 10 basis point impact on return on common equity). In 2011, 2012 and 2013, the company deferred $0.3 million of net regulatory liabilities, $38 million of net regulatory assets and $26 million of net regulatory assets, respectively, under these provisions. | ||||||||||||||||
• | Continuation of provisions pursuant to which the company was to retain net revenues from non-firm customer transactions. In each year of the rate plan, the company was to retain up to $58 million of any such revenues and 25 percent of any such revenues above $58 million. If such revenues were below $58 million in a rate year, the company was to accrue a regulatory asset equal to (A) the amount by which such revenues were less than $33 million plus (B) 80 percent of the difference between $58 million and the level of such revenues at or above $33 million. The company retained $70 million, $57 million and $64 million of such net revenues in 2011, 2012 and 2013, respectively, under these provisions. | ||||||||||||||||
• | Continuation of the provisions pursuant to which the effects of weather on gas delivery revenues during each billing cycle are reflected in customer bills for that billing cycle, and a revenue decoupling mechanism under which the company’s actual gas delivery revenues, inclusive of any such weather adjustment, would be compared with the delivery revenues reflected in rates, with the difference accrued as a regulatory liability (for refund to gas customers) or a regulatory asset (for recovery from gas customers), as the case may be. In 2011, 2012 and 2013, the company deferred $20 million of regulatory liabilities, $22 million of regulatory liabilities and $36 million of regulatory liabilities, respectively, under this provision. | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its costs of purchased gas from gas customers. | ||||||||||||||||
• | Continuation of provisions for potential penalties (up to $12.6 million annually) if certain gas customer service and system performance targets are not met. In 2011, 2012 and 2013, the company did not recognize any expenses under these provisions. | ||||||||||||||||
• | Continued collection from gas customers of $32 million on an annual basis subject to potential refund (see “Other Regulatory Matters” below in this Note B). | ||||||||||||||||
In February 2014, the NYSPSC adopted a December 2013 Joint Proposal among CECONY, NYSPSC staff and other parties. The Joint Proposal includes a gas rate plan that covers the three-year period January 2014 through December 2016 and is designed to produce a reduction in annual revenues of $55 million in the rate year ending December 2014 and increases in annual revenues of $39 million and $57 million in the rate years ending December 2015 and 2016, respectively. The impact of these base rate changes is being deferred which will result in a $32 million regulatory liability at December 31, 2016. The rate plan reflects the following major items with respect to CECONY’s rates for gas delivery service: | |||||||||||||||||
• | A weighted average cost of capital of 7.10 percent, 7.13 percent and 7.21 percent for the rate years ending December 2014, 2015 and 2016, respectively, reflecting: | ||||||||||||||||
• | return on common equity of 9.3 percent; | ||||||||||||||||
• | cost of long-term debt of 5.17 percent, 5.23 percent and 5.39 percent for the rate years ending December 2014, 2015 and 2016, respectively; | ||||||||||||||||
• | common equity ratio of 48 percent; and | ||||||||||||||||
• | average rate base of $3,521 million, $3,863 million and $4,236 million for the rate years ending December 2014, 2015 and 2016, respectively. | ||||||||||||||||
• | Capital expenditures of $524 million (including $5 million for storm hardening), $586 million (including $36 million for storm hardening), and $627 million (including $57 million for storm hardening) in the rate years ending December 31, 2014, 2015 and 2016, respectively. | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact of the amounts, if any, by which actual average net plant balances for the 36 months ending December 2016 allocable to the company’s gas business for gas delivery (including municipal infrastructure support) and storm hardening are less than the amounts reflected in rates for the respective category for such period. The amounts reflected in rates are: | ||||||||||||||||
Rate Year Ending December 31, | |||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | 2016 | ||||||||||||||
Gas delivery | $ | 3,899 | $ | 4,258 | $ | 4,698 | |||||||||||
Storm hardening | 3 | 8 | 30 | ||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of the related revenue requirement impact if, for the rate years ending December 2015 and 2016, the NYSPSC determines that planned capital expenditures for storm hardening should be more or less than the amount reflected in rates. | ||||||||||||||||
• | Most of any actual earnings, excluding the effects of certain items, above a 9.9 percent annual return on equity (based on actual average common equity ratio, subject to a 50 percent maximum) would be applied to reduce regulatory assets for environmental remediation costs and other costs. In the event the company does not file for a rate increase to take effect in January 2017, the rate plan’s earnings sharing provisions will continue in effect until base rates are reset by the NYSPSC. | ||||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of differences between the actual level of certain expenses, including, among others, expenses for pension and other postretirement benefits, environmental remediation, property taxes and variable rate tax-exempt debt, and amounts for those expenses reflected in rates (with deferral for the difference in property taxes limited to 90 percent of the difference, subject to annual maximum for the remaining 10 percent of the difference of not more than a 10 basis point impact on return on common equity). | ||||||||||||||||
• | Provisions pursuant to which the company will retain net revenues from non-firm customer transactions. In each year of the rate plan, the company will retain up to $65 million of any such revenues and 15 percent of any such revenues above $65 million. If such revenues are below $65 million in a rate year, the company will accrue as a current asset the amount by which such revenues are less than $65 million. | ||||||||||||||||
• | Continuation of the provisions pursuant to which the effects of weather on gas delivery revenues are reflected in customer bills, and a revenue decoupling mechanism under which the company’s actual gas delivery revenues, inclusive of any such weather adjustment, would be compared with the delivery revenues reflected in rates, with the difference accrued as a regulatory liability or a regulatory asset, as the case may be. | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its costs of purchased gas from gas customers. | ||||||||||||||||
• | Provisions for potential penalties (up to $33 million in 2014, $44 million in 2015, and $56 million in 2016) if certain gas performance targets are not met. | ||||||||||||||||
• | Continued collection from gas customers of $32 million on an annual basis subject to potential refund in the February 2009 NYSPSC prudence proceeding (see “Other Regulatory Matters” below in this Note B). | ||||||||||||||||
O&R — Gas | |||||||||||||||||
In October 2009, the NYSPSC adopted a June 2009 Joint Proposal among O&R, NYSPSC staff and other parties. As approved, the Joint Proposal established a gas rate plan that increased base rates $9 million in each of the rate years ended October 2010 and 2011 and $4.6 million in rate year ended October 2012, with an additional $4.3 million to be collected through a surcharge in the rate year ended October 2012. The rate plan reflected the following major items: | |||||||||||||||||
• | An annual return on common equity of 10.4 percent; | ||||||||||||||||
• | Most of any actual earnings above an 11.4 percent annual return on common equity (based upon the actual average common equity ratio, subject to a maximum 50 percent of capitalization) were to be applied to reduce regulatory assets (in 2010, 2011, 2012 and 2013, the company did not defer any revenues under this provision); | ||||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of differences between the actual level of certain expenses, including expenses for pension and other postretirement benefits, environmental remediation, property taxes and taxable and tax-exempt long-term debt, and amounts for those expenses reflected in rates (in 2010, 2011, 2012 and 2013, the company deferred $3.1 million, $2.9 million, $0.7 million and $8.3 million, respectively, of expenses under this provision); | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact (i.e., return on investment, depreciation and income taxes) of the amount, if any, by which average gas net plant balances are less than balances reflected in rates (in 2010, 2011 and 2012, the company deferred $1.5 million of revenues, and $1 million and $0.7 million of expenses, respectively, and no deferral was made in 2013 under this provision); | ||||||||||||||||
• | Deferral as a regulatory asset of increases, if any over the course of the rate plan, in certain expenses above a 4 percent annual inflation rate, but only if the actual annual return on common equity is less than 10.4 percent (in 2010, 2011, 2012 and 2013, the company did not defer any revenues under this provision); | ||||||||||||||||
• | Implementation of a revenue decoupling mechanism (in 2010, 2011, 2012 and 2013, the company accrued $0.8 million, $2.8 million, $4.7 million and $0.7 million, respectively, of revenues under this provision); | ||||||||||||||||
• | Continuation of the provisions pursuant to which the company recovers its cost of purchasing gas and the provisions pursuant to which the effects of weather on gas income are moderated; and | ||||||||||||||||
• | Potential negative earnings adjustments of up to $1.4 million annually if certain operations and customer service requirements are not met (in 2010, 2011, 2012 and 2013, the company did not have any negative earnings adjustments under this provision). | ||||||||||||||||
• | Because the company did not file for a rate increase to take effect in November 2012, the earnings sharing levels for the rate year ending October 2012 will continue in effect until base rates are reset by the NYSPSC. | ||||||||||||||||
CECONY — Steam | |||||||||||||||||
In September 2010 the NYSPSC adopted a May 2010 Joint Proposal among CECONY, NYSPSC staff and other parties, with respect to the company’s rates for steam service. The Joint Proposal included a steam rate plan that provided for rate increases of $49.5 million, effective October 2010 and 2011, and $17.8 million, effective October 2012, with an additional $31.7 million to be collected through a surcharge in the rate year ending September 2013. The rate plan reflected the following major items: | |||||||||||||||||
• | The same weighted average cost of capital, return on common equity (assuming, for the steam business, achievement of unspecified reductions in costs of $4.5 million, $3 million and $1.5 million in the rate years ending September 2011, 2012 and 2013, respectively), cost of long-term debt and common equity ratio provided for in the September 2010 rate plan for CECONY’s gas business (discussed above) and average steam rate base of $1,589 million, $1,603 million and $1,613 million for the rate years ending September 2011, 2012 and 2013, respectively. | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact of the amount, if any, by which actual average net plant balances allocable to the company’s steam business were less than the amounts reflected in rates for the respective category for each rate year. The company deferred $0.3 million in 2011, reduced its liability by $0.2 million in 2012, and made no deferral in 2013. The amounts reflected in rates are: | ||||||||||||||||
Rate Year Ending September 30, | |||||||||||||||||
(Millions of Dollars) | 2011 | 2012 | 2013 | ||||||||||||||
Steam production | $ | 415 | $ | 426 | $ | 433 | |||||||||||
Steam distribution | 521 | 534 | 543 | ||||||||||||||
• | Earnings sharing, expense deferral and potential refund ($6 million annually for steam) provisions substantially the same as discussed above for the May 2010 Joint Proposal with respect to CECONY’s gas business. In 2011 and 2012, the company did not recognize any such earnings sharing, expense deferral or potential refund. In 2013, earnings were $0.5 million above the threshold for earnings sharing. | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its cost of fuel and purchased steam from its steam customers. | ||||||||||||||||
• | Continuation of provisions for potential penalties (up to approximately $1 million annually) if certain steam customer service and system performance targets are not met. In 2011, 2012 and 2013, the company did not recognize any expense under these provisions. | ||||||||||||||||
In 2013 the NYSPSC approved the phase-in, over a period of seven years, of an increase in the allocation to steam customers of the fuel costs for the company’s East River Repowering Project (ERRP, which cogenerates electricity and steam) that are above the market value of the electric energy generated by ERRP. | |||||||||||||||||
In February 2014, the NYSPSC adopted a December 2013 Joint Proposal among CECONY, NYSPSC staff and other parties. The Joint Proposal includes a steam rate plan that covers the three-year period January 2014 through December 2016 and is designed to produce a reduction in annual revenues of $22 million in the rate year ending December 2014 and increases in annual revenues of $20 million in each of the rate years ending December 2015 and 2016. The impact of these base rate changes is being deferred which will result in an $8 million regulatory liability at December 31, 2016. The rate plan reflects the following major items with respect to CECONY’s rates for steam service: | |||||||||||||||||
• | The same weighted average cost of capital, return on common equity, cost of long-term debt and common equity ratio as discussed above for the December 2013 Joint Proposal with respect to CECONY’s gas business and average steam rate base of $1,511 million, $1,547 million and $1,604 million for the rate years ending December 2014, 2015 and 2016, respectively. | ||||||||||||||||
• | Capital expenditures of $82 million (including $27 million for storm hardening), $94 million (including $31 million for storm hardening), and $98 million (including $35 million for storm hardening) in the rate years ending December 31, 2014, 2015 and 2016, respectively. | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact of the amounts, if any, by which actual average net plant balances for the 36 months ending December 2016 allocable to the company’s steam business for steam production and distribution and storm hardening are less than the amounts reflected in rates for the respective category for such period. The amounts reflected in rates are: | ||||||||||||||||
Rate Year Ending December 31, | |||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | 2016 | ||||||||||||||
Steam production | $ | 1,752 | $ | 1,732 | $ | 1,720 | |||||||||||
Steam distribution | 6 | 11 | 25 | ||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of the related revenue requirement impact if, for the rate years ending December 2015 and 2016, the NYSPSC determines that planned capital expenditures for storm hardening should be more or less than the amount reflected in rates. Earnings sharing, expense deferral and potential refund ($6 million annually for steam) provisions substantially as discussed above for the December 2013 Joint Proposal with respect to CECONY’s gas business. | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its cost of fuel and purchased steam from its steam customers. | ||||||||||||||||
• | Continuation of provisions for potential penalties (up to approximately $1 million annually) if certain steam performance targets are not met. | ||||||||||||||||
Other Regulatory Matters | |||||||||||||||||
In February 2009, the NYSPSC commenced a proceeding to examine the prudence of certain CECONY expenditures following the arrests of employees for accepting illegal payments from a construction contractor. Subsequently, additional employees were arrested for accepting illegal payments from materials suppliers and an engineering firm. The arrested employees were terminated by the company and have pled guilty or been convicted. Pursuant to NYSPSC orders, a portion of the company’s revenues (currently, $249 million, $32 million and $6 million on an annual basis for electric, gas and steam service, respectively) is being collected subject to potential refund to customers. The amount of electric revenues collected subject to refund, which was established in a different proceeding, and the amount of gas and steam revenues collected subject to refund were not established as indicative of the company’s potential liability in this proceeding. At December 31, 2013, the company had collected an estimated $1,389 million from customers subject to potential refund in connection with this proceeding. In January 2013, a NYSPSC consultant reported its estimate, with which the company does not agree, of $208 million of overcharges with respect to a substantial portion of the company’s construction expenditures from January 2000 to January 2009. The company is disputing the consultant’s estimate, including its determinations as to overcharges regarding specific construction expenditures it selected to review and its methodology of extrapolating such determinations over a substantial portion of the construction expenditures during this period. The NYSPSC’s consultant has not reviewed the company’s other expenditures. The company and NYSPSC staff are exploring a settlement in this proceeding. There is no assurance that there will be a settlement, and any settlement would be subject to NYSPSC approval. At December 31, 2013, the company had a $40 million regulatory liability relating to this matter. Included in the $40 million regulatory liability is $16 million the company recovered from vendors, arrested employees and insurers relating to this matter. Pursuant to the December 2013 Joint Proposal (discussed above in this Note B), the company will apply $15 million of these recovered amounts for the benefit of customers to offset a like amount of regulatory assets. The company currently estimates that any additional amount the NYSPSC requires the company to refund to customers could range in amount from $25 million up to an amount based on the NYSPSC consultant’s $208 million estimate of overcharges. | |||||||||||||||||
In late October 2012, Superstorm Sandy caused extensive damage to the Utilities’ electric distribution system and interrupted service to approximately 1.4 million customers. Superstorm Sandy also damaged CECONY’s steam system and interrupted service to many of its steam customers. As of December 31, 2013, CECONY and O&R incurred response and restoration costs for Superstorm Sandy of $483 million and $91 million, respectively (including capital expenditures of $147 million and $15 million, respectively). Most of the costs that were not capitalized were deferred for recovery as a regulatory asset under the Utilities’ electric rate plans. See “Regulatory Assets and Liabilities” below. CECONY’s current electric rate plan includes collection from customers of deferred storm costs (including for Superstorm Sandy), subject to refund following NYSPSC review of the costs. O&R expects to request recovery of deferred storm costs for its New York electric operations, which are also subject to NYSPSC review, when it next files with the NYSPSC for a new electric rate plan. The November 2013 electric rate request RECO filed with the NJBPU includes a proposal for recovery over a three-year period of its deferred storm costs of $27 million. In March 2013, the NJBPU established a proceeding to review the prudency of costs incurred by New Jersey utilities in response to major storm events in 2011 and 2012. See “Rate Plans — CECONY-Electric and O&R-Electric,” above. | |||||||||||||||||
Regulatory Assets and Liabilities | |||||||||||||||||
Regulatory assets and liabilities at December 31, 2013 and 2012 were comprised of the following items: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Regulatory assets | |||||||||||||||||
Unrecognized pension and other postretirement costs | $ | 2,730 | $ | 5,677 | $ | 2,610 | $ | 5,407 | |||||||||
Future income tax | 2,145 | 1,922 | 2,030 | 1,831 | |||||||||||||
Environmental remediation costs | 938 | 730 | 830 | 615 | |||||||||||||
Deferred storm costs | 441 | 432 | 334 | 309 | |||||||||||||
Pension and other postretirement benefits deferrals | 237 | 183 | 211 | 154 | |||||||||||||
Revenue taxes | 207 | 176 | 196 | 170 | |||||||||||||
Net electric deferrals | 83 | 102 | 83 | 102 | |||||||||||||
Surcharge for New York State assessment | 78 | 73 | 74 | 68 | |||||||||||||
Unamortized loss on reacquired debt | 65 | 74 | 62 | 70 | |||||||||||||
O&R transition bond charges | 33 | 39 | - | - | |||||||||||||
Preferred stock redemption | 28 | 29 | 28 | 29 | |||||||||||||
Property tax reconciliation | 22 | 16 | - | - | |||||||||||||
Workers’ compensation | 12 | 19 | 12 | 19 | |||||||||||||
Deferred derivative losses – long-term | 8 | 40 | 7 | 20 | |||||||||||||
Other | 174 | 193 | 162 | 178 | |||||||||||||
Regulatory assets – long-term | 7,201 | 9,705 | 6,639 | 8,972 | |||||||||||||
Deferred derivative losses – current | 25 | 69 | 22 | 60 | |||||||||||||
Recoverable energy costs – current | 4 | 5 | 4 | - | |||||||||||||
Regulatory assets – current | 29 | 74 | 26 | 60 | |||||||||||||
Total Regulatory Assets | $ | 7,230 | $ | 9,779 | $ | 6,665 | $ | 9,032 | |||||||||
Regulatory liabilities | |||||||||||||||||
Allowance for cost of removal less salvage | $ | 540 | $ | 503 | $ | 453 | $ | 420 | |||||||||
Property tax reconciliation | 322 | 187 | 322 | 187 | |||||||||||||
Net unbilled revenue deferrals | 133 | 136 | 133 | 136 | |||||||||||||
Property tax refunds | 130 | 7 | 130 | 6 | |||||||||||||
Long-term interest rate reconciliation | 105 | 62 | 105 | 62 | |||||||||||||
Carrying charges on repair allowance and bonus depreciation | 88 | 11 | 87 | 10 | |||||||||||||
World Trade Center settlement proceeds | 62 | 62 | 62 | 62 | |||||||||||||
Other postretirement benefit deferrals | 50 | - | 50 | - | |||||||||||||
Expenditure prudence proceeding | 40 | 14 | 40 | 14 | |||||||||||||
Carrying charges on T&D net plant – electric and steam | 28 | 31 | 20 | 13 | |||||||||||||
Electric excess earnings | 22 | - | 18 | - | |||||||||||||
Other | 208 | 189 | 178 | 167 | |||||||||||||
Regulatory liabilities – long-term | 1,728 | 1,202 | 1,598 | 1,077 | |||||||||||||
Refundable energy costs – current | 100 | 82 | 66 | 48 | |||||||||||||
Revenue decoupling mechanism | 34 | 72 | 30 | 68 | |||||||||||||
Deferred derivative gains – current | 14 | - | 11 | - | |||||||||||||
Electric surcharge offset | - | 29 | - | 29 | |||||||||||||
Regulatory liabilities—current | 148 | 183 | 107 | 145 | |||||||||||||
Total Regulatory Liabilities | $ | 1,876 | $ | 1,385 | $ | 1,705 | $ | 1,222 | |||||||||
“Unrecognized pension and other postretirement costs” represents the net regulatory asset associated with the accounting rules for retirement benefits. See Note A. | |||||||||||||||||
“Deferred storm costs” represent response and restoration costs, other than capital expenditures, in connection with Superstorm Sandy and other major storms that were deferred by the Utilities. See “Other Regulatory Matters,” above. | |||||||||||||||||
“Net electric deferrals” represents the remaining unamortized balance of certain regulatory assets and liabilities of CECONY that were combined effective April 1, 2010 and are being amortized to income over a ten year period, in accordance with CECONY’s March 2010 rate plan. | |||||||||||||||||
“Revenue taxes” represents the timing difference between taxes collected and paid by the Utilities to fund mass transportation. | |||||||||||||||||
Effective March 31, 2009, the NYSPSC authorized CECONY to accrue unbilled electric, gas and steam revenues. At December 31, 2013, CECONY has deferred the net margin on the unbilled revenues for the future benefit of customers by recording a regulatory liability of $133 million for the difference between the unbilled revenues and energy cost liabilities. | |||||||||||||||||
CECONY [Member] | ' | ||||||||||||||||
Regulatory Matters | ' | ||||||||||||||||
Note B – Regulatory Matters | |||||||||||||||||
Rate Plans | |||||||||||||||||
CECONY — Electric | |||||||||||||||||
In March 2010, the NYSPSC adopted a November 2009 Joint Proposal among CECONY, NYSPSC staff and other parties, with respect to the company’s May 2009 request to the NYSPSC for an increase in the rates the company charged its customers for electric delivery service. The Joint Proposal included a rate plan that provided for electric base rate increases of $420 million, effective April 2010 and 2011, and $287 million, effective April 2012, with an additional $134 million to be collected through a surcharge in the rate year ending March 2013. In March 2012, the NYSPSC issued an order requiring that the $134 million surcharge that was to have been collected from customers during the rate year ending March 2013 instead be offset using certain CECONY regulatory liabilities that would have otherwise been refundable to or applied for the benefit of customers after the rate year. | |||||||||||||||||
The rate plan reflected the following major items: | |||||||||||||||||
• | A weighted average cost of capital of 7.76 percent, reflecting: | ||||||||||||||||
• | return on common equity of 10.15 percent, assuming achievement by the company of unspecified austerity measures that would result in reductions in operations and maintenance expenses of $27 million, $20 million and $13 million in the rate years ending March 2011, 2012 and 2013, respectively (the company did not achieve the unspecified austerity measures in the rate years ending March 2011, 2012 and 2013); | ||||||||||||||||
• | cost of long-term debt of 5.65 percent; | ||||||||||||||||
• | common equity ratio of 48 percent; and | ||||||||||||||||
• | average rate base of $14,887 million, $15,987 million and $16,826 million for the rate years ending March 2011, 2012 and 2013, respectively. | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact (i.e., return on investment, depreciation and income taxes) of the amount, if any, by which (A) actual average net plant balances allocable to the company’s electric business for (i) transmission and distribution, excluding municipal infrastructure support (T&D), (ii) generation, shared services and, subject to certain adjustments, municipal infrastructure support (Other) and (iii) a finance and supply chain enterprise resource project (ERP) are less than (B) amounts reflected in rates for the respective category for each rate year. The amounts reflected in rates were: | ||||||||||||||||
Rate Year Ending March 31, | |||||||||||||||||
(Millions of Dollars) | 2011 | 2012 | 2013 | ||||||||||||||
T&D | $ | 13,818 | $ | 14,742 | $ | 15,414 | |||||||||||
Other | 1,487 | 1,565 | 1,650 | ||||||||||||||
ERP | - | 25 | 115 | ||||||||||||||
• | Any deferral for T&D and Other for the rate year ending March 2011 was to be based on average net plant balances for the year and for the rate years ending March 2012 and 2013 was to be based on average net plant balances over the term of the rate plan. Any deferral for ERP was to be based on average net plant balances for ERP over the term of the rate plan. The company deferred $8 million, an immaterial amount and $7 million as a regulatory liability pursuant to this provision in 2011, 2012 and 2013, respectively. | ||||||||||||||||
• | During the term of the rate plan, the company was not to accrue any additional revenue for carrying charges on any capital expenditures allocable to its electric business in excess of specified limits (which limits excluded certain expenditures, including expenditures for projects for which the company had been selected to receive grants under the American Recovery and Reinvestment Act of 2009): | ||||||||||||||||
• | T&D capital expenditures—$1,200 million for the rate year ending March 2011 and an aggregate $2,300 million for the period from April 2011 through March 2013 (such capital expenditures for such periods were not in excess of such limits); | ||||||||||||||||
• | Other capital expenditures—$220 million for the rate year ending March 2011 and an aggregate $402 million for the period from April 2011 through March 2013 (such capital expenditures for such periods were not in excess of such limits); and | ||||||||||||||||
• | ERP capital expenditures—$125 million (such capital expenditures for the term of the rate plan were less than $125 million). | ||||||||||||||||
• | Most of any actual earnings, excluding the effects of certain items, above a 11.15 percent return on equity for the rate year ended March 2011 and a 10.65 percent return on equity for the rate years ended March 2012 and 2013 (based on actual average common equity ratio, subject to a 50 percent maximum) were to be applied to reduce regulatory assets for pensions and other postretirement benefits and other costs. The rate plan’s earnings sharing provisions continued in effect up to January 2014 when the company’s new electric rate plan (see below) became effective. Actual earnings under the rate plan were $17.5 million above the threshold for earnings sharing for the period from April 1, 2013 to December 31, 2013. | ||||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of differences between the actual level of certain expenses, including, among others, expenses for pension and other postretirement benefits, environmental remediation, relocation of facilities to accommodate government projects, property taxes and (for the rate years ending March 2012 and 2013) long-term debt, and amounts for those expenses reflected in rates (with deferral for the difference in property taxes limited to 80 percent of the difference, subject to annual maximum for the remaining 20 percent of the difference of not more than a 10 basis point impact on return on common equity and deferral of facility relocation expenses in excess of amounts reflected in rates subject to certain limitations). In 2011, 2012 and 2013, the company deferred $39 million of net regulatory liabilities, $153 million of net regulatory liabilities and $42 million of net regulatory assets, respectively, under these provisions. | ||||||||||||||||
• | Continuation of the provisions relating to revenues from the sale of transmission rights on the company’s transmission system pursuant to which it was assumed the company will receive and retain $120 million annually from the sale of such rights with the difference between such actual revenues for the rate year and $120 million to be recoverable from or refundable to customers, as the case may be. In 2011, 2012 and 2013, the company accrued $26 million, $45 million and $27 million of revenues, respectively, under this provision. | ||||||||||||||||
• | Continuation of the revenue decoupling mechanism under which the company’s actual electric delivery revenues were to be compared with the delivery revenues reflected in rates, and the difference accrued as a regulatory liability (for refund to electric customers) or a regulatory asset (for recovery from electric customers), as the case may be. In 2011, 2012 and 2013, the company deferred for customer benefit $90 million, $59 million and $34 million of revenues, respectively, under this provision. | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovered its purchased power and fuel costs from electric customers. | ||||||||||||||||
• | Continuation of provisions for potential operations penalties of up to $152 million annually if certain electric customer service and system reliability performance targets are not met. In 2011, the company recognized a $5 million system reliability penalty. In 2012 and 2013, the company did not recognize any penalties under these provisions. | ||||||||||||||||
• | Collection from electric customers of $249 million on an annual basis subject to potential refund following an NYSPSC review of the company’s capital expenditures during the April 2005 through March 2008 period for transmission and distribution utility plant (as to which, in March 2010, the NYSPSC approved a February 2010 Joint Proposal by the company and the NYSPSC staff pursuant to which the company, among other things, provided a $36 million credit to customers in 2010). The amount collected would also be subject to refund in the event the NYSPSC determined that some disallowance of costs the company has recovered is warranted to address potential impacts of alleged unlawful conduct by arrested employees and contractors (see “Other Regulatory Matters” below in this Note B). | ||||||||||||||||
In February 2014, the NYSPSC adopted a December 2013 Joint Proposal among CECONY, NYSPSC staff and other parties. The Joint Proposal includes an electric rate plan that covers the two-year period January 2014 through December 2015 and is designed to produce a reduction in annual revenues of $76 million in the rate year ending December 2014 and an increase in annual revenues of $124 million in the rate year ending December 2015. The impact of these base rate changes is being deferred which will result in a $30 million regulatory liability at December 31, 2015. The rate plan reflects the following major items with respect to CECONY’s rates for electric delivery service: | |||||||||||||||||
• | A weighted average cost of capital of 7.05 percent and 7.08 percent for the rate years ending December 31, 2014 and 2015, respectively, reflecting: | ||||||||||||||||
• | return on common equity of 9.2 percent; | ||||||||||||||||
• | cost of long-term debt of 5.17 percent and 5.23 percent for the rate years ending December 31, 2014 and 2015, respectively; | ||||||||||||||||
• | common equity ratio of 48 percent; and | ||||||||||||||||
• | average rate base of $17,323 million and $18,113 million for the rate years ending December 2014 and 2015, respectively. | ||||||||||||||||
• | Capital expenditures of $1,487 million (including $180 million for storm hardening) and $1,708 million (including $278 million for storm hardening) in the rate years ending December 31, 2014 and 2015, respectively. These expenditures do not include expenditures for certain transmission projects (the Indian Point Contingency Plan projects) approved by the NYSPSC in October 2013 for which the NYSPSC endorsed the method by which the costs and benefits associated with the projects will be allocated among load serving entities and a cost recovery mechanism will be filed with the FERC. | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact (i.e., return on investment, depreciation and income taxes) of the amount, if any, by which (A) actual average net plant balances for the 24 months ending December 2015 allocable to the company’s electric business for (i) transmission and distribution, including municipal infrastructure support and excluding the Indian Point Contingency Plan projects (T&D), (ii) storm hardening, and (iii) generation and shared services (Other) are less than (B) amounts reflected in rates for the respective category for such period, provided that deferral is not required with respect to storm hardening or the reliability component of T&D if, among other things, the sum of the average net plant balances for these categories is at least equal to the sum of the amounts reflected in rates for the categories. The amounts reflected in rates are: | ||||||||||||||||
Rate Year Ending December 31, | |||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | |||||||||||||||
T&D | $ | 16,869 | $ | 17,401 | |||||||||||||
Storm hardening | 89 | 177 | |||||||||||||||
Other | 2,034 | 2,102 | |||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of the related revenue requirement impact if, for the rate year ending December 2015, the NYSPSC determines that planned capital expenditures for storm hardening should be more or less than the amount reflected in rates. | ||||||||||||||||
• | Revenues for each of the rate years ending December 2014 and 2015 include $21 million as funding for a major storm reserve. For each major storm, the company will be able to charge against the reserve 98 percent of its incremental costs, other than capital expenditures, that are incurred not later than 30 days following the date on which the company is able to serve all customers. If major storm costs chargeable to the reserve are more or less than $21 million in either rate year, the company will defer the difference as a regulatory asset or liability, as the case may be. For incremental major storm costs incurred later than 30 days after the date the company is able to serve all customers, the company may file a petition with the NYSPSC for authorization to defer such costs as a regulatory asset. | ||||||||||||||||
• | Revenues for each of the rate years ending December 2014 and 2015 include $107 million with respect to major storm costs the company previously deferred (including for Superstorm Sandy) reflecting a three-year amortization of the deferred costs. The company’s collection from customers of amounts with respect to deferred major storm costs is subject to potential refund following NYSPSC staff review of the costs. See “Other Regulatory Matters,” below in this Note B. | ||||||||||||||||
• | Most of any actual earnings, excluding the effects of certain items, above a 9.8 percent annual return on equity (based on actual average common equity ratio, subject to a 50 percent maximum) would be applied to reduce regulatory assets for environmental remediation costs and other costs. In the event the company does not file for a rate increase to take effect in January 2016, the rate plan’s earnings sharing provisions will continue in effect until base rates are reset by the NYSPSC. | ||||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of differences between the actual level of certain expenses, including, among others, expenses for pension and other postretirement benefits, environmental remediation, property taxes and variable rate tax-exempt debt, and amounts for those expenses reflected in rates (with deferral for the difference in property taxes limited to 90 percent of the difference, subject to annual maximum for the remaining 10 percent of the difference of not more than a 10 basis point impact on return on common equity). | ||||||||||||||||
• | Continuation of a revenue decoupling mechanism under which the company’s actual electric delivery revenues would be compared with the delivery revenues reflected in rates, with the difference accrued as a regulatory liability or a regulatory asset, as the case may be. | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its purchased power and fuel costs from electric customers. With respect to certain transmission service that commenced in May 2012 pursuant to the open access transmission tariff of PJM Interconnection L.L.C. (PJM), the company in 2014 will recover charges incurred from April 2013 to December 2013 in excess of amounts that were reflected in rates (approximately $20 million) and, commencing in January 2014 and unless and until changed by the NYSPSC, the company will recover all charges incurred associated with the transmission service. In January 2014, PJM submitted to FERC a request, which CECONY is opposing, that would substantially increase the charges for the transmission service. | ||||||||||||||||
• | Continuation of provisions for potential operations penalties of up to approximately $176 million annually if certain electric performance targets are not met. | ||||||||||||||||
• | Continuation of collection from electric customers of $249 million on an annual basis subject to potential refund in the NYSPSC proceeding commenced in February 2009 to examine the prudence of certain company expenditures following the arrests of certain employees (see “Other Regulatory Matters” below in this Note B). | ||||||||||||||||
O&R — Electric | |||||||||||||||||
In July 2008, the NYSPSC adopted a Joint Proposal among O&R, the NYSPSC staff and other parties for the rates O&R charged its New York customers for electric service from July 2008 through June 2011. The rate plan approved by the NYSPSC provided for electric rate increases of $15.6 million, $15.6 million and $5.7 million effective July 1, 2008, 2009 and 2010, respectively, and the collection of an additional $9.9 million during the 12-month period beginning July 1, 2010. | |||||||||||||||||
The rate plan reflected the following major items: | |||||||||||||||||
• | An annual return on common equity of 9.4 percent; | ||||||||||||||||
• | Most of any actual earnings, excluding the effects of certain items, above a 10.2 percent return on equity (based on actual average common equity ratio, subject to a 50 percent maximum) were to be applied to reduce regulatory assets for pension and other postretirement benefit expenses (the company did not reduce regulatory assets under this provision in 2009, 2010 or 2011); | ||||||||||||||||
• | Deferral as a regulatory asset or regulatory liability, as the case may be, of differences between the actual level of certain expenses, including, among others, expenses for pension and other postretirement benefits, environmental remediation, property taxes and tax-exempt debt costs, and amounts for those expenses reflected in rates (the company deferred recognition of $3 million of expenses, $0.7 million of revenue and $0.3 million of expenses under this provision in 2009, 2010, and 2011, respectively); | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact (i.e., return on investment, depreciation and income taxes) of the amount, if any, by which actual transmission and distribution related capital expenditures are less than amounts reflected in rates (the company deferred $8 million, $12 million, and $7 million of revenues under this provision in 2009, 2010, and 2011, respectively); | ||||||||||||||||
• | Deferral as a regulatory asset of increases, if any, in certain expenses above a 4 percent annual inflation rate, but only if the actual annual return on common equity is less than 9.4 percent (the company did not defer any expenses under this provision in 2009, 2010 or 2011); | ||||||||||||||||
• | Potential negative earnings adjustments of up to $3 million annually if certain customer service and system reliability performance targets were not met (the company met the performance targets in 2009 and 2011; the company reduced revenues by $1 million under this provision in 2010); | ||||||||||||||||
• | Implementation of a revenue decoupling mechanism under which actual energy delivery revenues were to be compared with the authorized delivery revenues with the difference accrued, with interest, for refund to, or recovery from, customers, as applicable (the company accrued $12.5 million, $5.1 million, and $3.3 million of revenues pursuant to this provision in 2009, 2010, and 2011, respectively); | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its purchased power costs from customers; and | ||||||||||||||||
• | Withdrawal of the litigation O&R commenced seeking to annul the NYSPSC’s March and October 2007 orders relating to O&R’s electric rates. | ||||||||||||||||
In June 2011, the NYSPSC adopted an order granting O&R an electric rate increase, effective July 1, 2011, of $26.6 million. The NYSPSC ruling reflected the following major items: | |||||||||||||||||
• | A weighted average cost of capital of 7.22 percent, reflecting: | ||||||||||||||||
• | a return on common equity of 9.2 percent, assuming achievement by the company of $825,000 of austerity measures; | ||||||||||||||||
• | cost of long-term debt of 5.50 percent; and | ||||||||||||||||
• | common equity ratio of 48 percent. | ||||||||||||||||
• | Continuation of a revenue decoupling mechanism; | ||||||||||||||||
• | A provision for reconciliation of certain differences in actual average net utility plant to the amount reflected in rates ($718 million) and continuation of rate provisions under which differences between the actual level of certain expenses, including, among others, expenses for pension and other postretirement benefits, environmental remediation and tax-exempt debt costs are reconciled to amounts for those expenses reflected in rates; | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its purchased power costs from customers; | ||||||||||||||||
• | Discontinuation of the provisions under which property taxes were reconciled to amounts reflected in rates; | ||||||||||||||||
• | Discontinuation of the inclusion in rates of funding for the company’s annual incentive plan for non-officer management employees; | ||||||||||||||||
• | Continuation of provisions for potential operations penalties of up to $3 million annually if certain customer service and system reliability performance targets are not met (in 2011, O&R did not recognize any operations penalties under these provisions or the corresponding provisions of the O&R rate plan discussed above); and | ||||||||||||||||
• | O&R was directed to produce a report detailing its implementation plans for the recommendations made in connection with the NYSPSC’s management audit of CECONY, with a forecast of costs to achieve and expected savings. | ||||||||||||||||
In June 2012, the NYSPSC adopted a February 2012 Joint Proposal among O&R, NYSPSC staff and the Utility Intervention Unit of the New York State Department of State Division of Consumer Protection with respect to the company’s rates for electric delivery service rendered in New York. The Joint Proposal includes a rate plan that covers the three-year period from July 2012 through June 2015. The rate plan provides for electric base rate increases of $19.4 million, $8.8 million and $15.2 million, effective July 2012, 2013 and 2014, respectively, which is being implemented, at the NYSPSC’s option, with increases of $15.2 million effective July 2012 and 2013 and an increase of $13.1 million, together with a surcharge of $2.1 million, effective July 2014. The rate plan reflects the following major items: | |||||||||||||||||
• | A weighted average cost of capital of 7.61 percent, 7.65 percent and 7.48 percent for the rate years ending June 30, 2013, 2014 and 2015, respectively, reflecting: | ||||||||||||||||
• | a return on common equity of 9.4 percent, 9.5 percent and 9.6 percent for the rate years ending June 30, 2013, 2014 and 2015, respectively; | ||||||||||||||||
• | cost of long-term debt of 6.07 percent for each of the rate years ending June 30, 2013 and 2014 and 5.64 percent for the rate year ending June 30, 2015; | ||||||||||||||||
• | common equity ratio of 48 percent for each of the rate years ending June 30, 2013, 2014 and 2015; and | ||||||||||||||||
• | average rate base of $671 million, $708 million and $759 million for the rate years ending June 30, 2013, 2014 and 2015, respectively; | ||||||||||||||||
• | Sharing with electric customers of any actual earnings, excluding the effects of certain items, above specified percentage returns on common equity (based on the actual average common equity ratio, subject to a 50 percent maximum): | ||||||||||||||||
• | the company will allocate to customers the revenue requirement equivalent of 50 percent, 75 percent and 90 percent of any such earnings for each rate year in excess of 80 basis points, 180 basis points and 280 basis points, respectively, above the return on common equity for that rate year indicated above; and | ||||||||||||||||
• | the earnings sharing allocation between the company and customers will be on a cumulative basis at the end of rate year three; | ||||||||||||||||
• | Continuation of a revenue decoupling mechanism; | ||||||||||||||||
• | Continuation of a provision which defers as a regulatory liability for the benefit of customers or, subject to certain limitations, a regulatory asset for recovery from customers, as the case may be, the revenue requirement impact of the amount by which actual average net utility plant for each rate year is different than the average net utility plant reflected in rates ($678 million, $704 million and $753 million for the rate years ending June 30, 2013, 2014 and 2015, respectively) (the company deferred $1.1 million as a regulatory asset pursuant to this provision in 2013); | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its purchased power costs from customers; | ||||||||||||||||
• | Deferral as a regulatory asset or regulatory liability, as the case may be, of differences between the actual level of certain expenses, including among others, pension and other postretirement benefits, environmental remediation, tax-exempt debt costs and property taxes and amounts for those expenses reflected in rates (the company deferred recognition of $4.1 million of expenses under this provision in 2013); and | ||||||||||||||||
• | Continuation of provisions for potential operations penalties of up to $3 million annually if certain customer service and system reliability performance targets are not met (in 2012 and 2013, O&R did not recognize any operations penalties). | ||||||||||||||||
In May 2010, O&R’s New Jersey regulated utility subsidiary, Rockland Electric Company (RECO), the Division of Rate Counsel, staff of the New Jersey Board of Public Utilities (NJBPU) and certain other parties entered into a stipulation of settlement with respect to the company’s August 2009 request to increase the rates that it can charge its customers for electric delivery service. The stipulation, which was approved by the Board of the NJBPU, provided for an electric rate increase, effective May 17, 2010, of $9.8 million. The stipulation reflected a return on common equity of 10.3 percent and a common equity ratio of approximately 50 percent. The stipulation continued current provisions with respect to recovery from customers of the cost of purchased power and did not provide for reconciliation of actual expenses to amounts reflected in electric rates for pension and other postretirement benefit costs. The stipulation required RECO to file a base rate case by December 1, 2013. | |||||||||||||||||
In November 2013, RECO filed a request with the NJBPU for a net increase in the rates it charges for electric service, effective September 2014, of $19.3 million. The filing reflects a return on common equity of 10.25 percent and a common equity ratio of 52.2 percent. The filing proposes the recovery over a three-year period of $25.4 million of costs incurred in response to major storm events in 2011 and 2012 that had been deferred for recovery and the continuation of the current provisions with respect to recovery from customers of the cost of purchased power. | |||||||||||||||||
CECONY — Gas | |||||||||||||||||
In September 2010, the NYSPSC adopted a May 2010 Joint Proposal among CECONY, the staff of the NYSPSC and other parties, with respect to the company’s rates for gas delivery service. The Joint Proposal included a gas rate plan that provided for base rate increases of $47.1 million, $47.9 million and $46.7 million, effective October 2010, 2011 and 2012, respectively. The rate plan reflected the following major items: | |||||||||||||||||
• | A weighted average cost of capital of 7.46 percent, reflecting: | ||||||||||||||||
• | return on common equity of 9.6 percent, assuming achievement by the company of cost avoidance for productivity and “austerity”. The unspecified austerity measures assume reductions in costs of $6 million, $4 million and $2 million in the rate years ending September 2011, 2012 and 2013, respectively; | ||||||||||||||||
• | cost of long-term debt of 5.57 percent; | ||||||||||||||||
• | common equity ratio of 48 percent; and | ||||||||||||||||
• | average rate base of $3,027 million, $3,245 million and $3,434 million for the rate years ending September 2011, 2012 and 2013, respectively. | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact (i.e., return on investment, depreciation and income taxes) of the amount, if any, by which actual average net plant balances allocable to the company’s gas business are less than the amounts reflected in rates: $2,934 million, $3,148 million and $3,346 million for the rate years ending September 2011, 2012 and 2013, respectively. For the rate years ending September 2012 and 2013, $2.9 million and $9.5 million were deferred, respectively. No such deferral was required for the rate year ended September 2011. | ||||||||||||||||
• | Most of any actual earnings, excluding the effects of certain items, above a 10.35 percent return for the rate year ended September 2011 and a 10.15 percent for the rate years ended September 2012 and 2013 (based on actual average common equity ratio, subject to a 50 percent maximum) were to be applied to reduce regulatory assets for pensions and other postretirement benefits and other costs. The specified annual returns were to be calculated on a cumulative basis over the term of the rate plan. The rate plan’s earnings sharing provisions continued in effect up to January 2014 when the company’s new gas rate plan (see below) became effective. Actual earnings under the rate plan were not above the earnings sharing levels. | ||||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of differences between the actual level of certain expenses, including, among others, expenses for pension and other postretirement benefits, environmental remediation, property taxes and long-term debt, and amounts for those expenses reflected in rates (with deferral for the difference in property taxes limited to 80 percent of the difference, subject to an annual maximum for the remaining 20 percent of the difference of not more than the equivalent in revenue requirement of a 10 basis point impact on return on common equity). In 2011, 2012 and 2013, the company deferred $0.3 million of net regulatory liabilities, $38 million of net regulatory assets and $26 million of net regulatory assets, respectively, under these provisions. | ||||||||||||||||
• | Continuation of provisions pursuant to which the company was to retain net revenues from non-firm customer transactions. In each year of the rate plan, the company was to retain up to $58 million of any such revenues and 25 percent of any such revenues above $58 million. If such revenues were below $58 million in a rate year, the company was to accrue a regulatory asset equal to (A) the amount by which such revenues were less than $33 million plus (B) 80 percent of the difference between $58 million and the level of such revenues at or above $33 million. The company retained $70 million, $57 million and $64 million of such net revenues in 2011, 2012 and 2013, respectively, under these provisions. | ||||||||||||||||
• | Continuation of the provisions pursuant to which the effects of weather on gas delivery revenues during each billing cycle are reflected in customer bills for that billing cycle, and a revenue decoupling mechanism under which the company’s actual gas delivery revenues, inclusive of any such weather adjustment, would be compared with the delivery revenues reflected in rates, with the difference accrued as a regulatory liability (for refund to gas customers) or a regulatory asset (for recovery from gas customers), as the case may be. In 2011, 2012 and 2013, the company deferred $20 million of regulatory liabilities, $22 million of regulatory liabilities and $36 million of regulatory liabilities, respectively, under this provision. | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its costs of purchased gas from gas customers. | ||||||||||||||||
• | Continuation of provisions for potential penalties (up to $12.6 million annually) if certain gas customer service and system performance targets are not met. In 2011, 2012 and 2013, the company did not recognize any expenses under these provisions. | ||||||||||||||||
• | Continued collection from gas customers of $32 million on an annual basis subject to potential refund (see “Other Regulatory Matters” below in this Note B). | ||||||||||||||||
In February 2014, the NYSPSC adopted a December 2013 Joint Proposal among CECONY, NYSPSC staff and other parties. The Joint Proposal includes a gas rate plan that covers the three-year period January 2014 through December 2016 and is designed to produce a reduction in annual revenues of $55 million in the rate year ending December 2014 and increases in annual revenues of $39 million and $57 million in the rate years ending December 2015 and 2016, respectively. The impact of these base rate changes is being deferred which will result in a $32 million regulatory liability at December 31, 2016. The rate plan reflects the following major items with respect to CECONY’s rates for gas delivery service: | |||||||||||||||||
• | A weighted average cost of capital of 7.10 percent, 7.13 percent and 7.21 percent for the rate years ending December 2014, 2015 and 2016, respectively, reflecting: | ||||||||||||||||
• | return on common equity of 9.3 percent; | ||||||||||||||||
• | cost of long-term debt of 5.17 percent, 5.23 percent and 5.39 percent for the rate years ending December 2014, 2015 and 2016, respectively; | ||||||||||||||||
• | common equity ratio of 48 percent; and | ||||||||||||||||
• | average rate base of $3,521 million, $3,863 million and $4,236 million for the rate years ending December 2014, 2015 and 2016, respectively. | ||||||||||||||||
• | Capital expenditures of $524 million (including $5 million for storm hardening), $586 million (including $36 million for storm hardening), and $627 million (including $57 million for storm hardening) in the rate years ending December 31, 2014, 2015 and 2016, respectively. | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact of the amounts, if any, by which actual average net plant balances for the 36 months ending December 2016 allocable to the company’s gas business for gas delivery (including municipal infrastructure support) and storm hardening are less than the amounts reflected in rates for the respective category for such period. The amounts reflected in rates are: | ||||||||||||||||
Rate Year Ending December 31, | |||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | 2016 | ||||||||||||||
Gas delivery | $ | 3,899 | $ | 4,258 | $ | 4,698 | |||||||||||
Storm hardening | 3 | 8 | 30 | ||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of the related revenue requirement impact if, for the rate years ending December 2015 and 2016, the NYSPSC determines that planned capital expenditures for storm hardening should be more or less than the amount reflected in rates. | ||||||||||||||||
• | Most of any actual earnings, excluding the effects of certain items, above a 9.9 percent annual return on equity (based on actual average common equity ratio, subject to a 50 percent maximum) would be applied to reduce regulatory assets for environmental remediation costs and other costs. In the event the company does not file for a rate increase to take effect in January 2017, the rate plan’s earnings sharing provisions will continue in effect until base rates are reset by the NYSPSC. | ||||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of differences between the actual level of certain expenses, including, among others, expenses for pension and other postretirement benefits, environmental remediation, property taxes and variable rate tax-exempt debt, and amounts for those expenses reflected in rates (with deferral for the difference in property taxes limited to 90 percent of the difference, subject to annual maximum for the remaining 10 percent of the difference of not more than a 10 basis point impact on return on common equity). | ||||||||||||||||
• | Provisions pursuant to which the company will retain net revenues from non-firm customer transactions. In each year of the rate plan, the company will retain up to $65 million of any such revenues and 15 percent of any such revenues above $65 million. If such revenues are below $65 million in a rate year, the company will accrue as a current asset the amount by which such revenues are less than $65 million. | ||||||||||||||||
• | Continuation of the provisions pursuant to which the effects of weather on gas delivery revenues are reflected in customer bills, and a revenue decoupling mechanism under which the company’s actual gas delivery revenues, inclusive of any such weather adjustment, would be compared with the delivery revenues reflected in rates, with the difference accrued as a regulatory liability or a regulatory asset, as the case may be. | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its costs of purchased gas from gas customers. | ||||||||||||||||
• | Provisions for potential penalties (up to $33 million in 2014, $44 million in 2015, and $56 million in 2016) if certain gas performance targets are not met. | ||||||||||||||||
• | Continued collection from gas customers of $32 million on an annual basis subject to potential refund in the February 2009 NYSPSC prudence proceeding (see “Other Regulatory Matters” below in this Note B). | ||||||||||||||||
O&R — Gas | |||||||||||||||||
In October 2009, the NYSPSC adopted a June 2009 Joint Proposal among O&R, NYSPSC staff and other parties. As approved, the Joint Proposal established a gas rate plan that increased base rates $9 million in each of the rate years ended October 2010 and 2011 and $4.6 million in rate year ended October 2012, with an additional $4.3 million to be collected through a surcharge in the rate year ended October 2012. The rate plan reflected the following major items: | |||||||||||||||||
• | An annual return on common equity of 10.4 percent; | ||||||||||||||||
• | Most of any actual earnings above an 11.4 percent annual return on common equity (based upon the actual average common equity ratio, subject to a maximum 50 percent of capitalization) were to be applied to reduce regulatory assets (in 2010, 2011, 2012 and 2013, the company did not defer any revenues under this provision); | ||||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of differences between the actual level of certain expenses, including expenses for pension and other postretirement benefits, environmental remediation, property taxes and taxable and tax-exempt long-term debt, and amounts for those expenses reflected in rates (in 2010, 2011, 2012 and 2013, the company deferred $3.1 million, $2.9 million, $0.7 million and $8.3 million, respectively, of expenses under this provision); | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact (i.e., return on investment, depreciation and income taxes) of the amount, if any, by which average gas net plant balances are less than balances reflected in rates (in 2010, 2011 and 2012, the company deferred $1.5 million of revenues, and $1 million and $0.7 million of expenses, respectively, and no deferral was made in 2013 under this provision); | ||||||||||||||||
• | Deferral as a regulatory asset of increases, if any over the course of the rate plan, in certain expenses above a 4 percent annual inflation rate, but only if the actual annual return on common equity is less than 10.4 percent (in 2010, 2011, 2012 and 2013, the company did not defer any revenues under this provision); | ||||||||||||||||
• | Implementation of a revenue decoupling mechanism (in 2010, 2011, 2012 and 2013, the company accrued $0.8 million, $2.8 million, $4.7 million and $0.7 million, respectively, of revenues under this provision); | ||||||||||||||||
• | Continuation of the provisions pursuant to which the company recovers its cost of purchasing gas and the provisions pursuant to which the effects of weather on gas income are moderated; and | ||||||||||||||||
• | Potential negative earnings adjustments of up to $1.4 million annually if certain operations and customer service requirements are not met (in 2010, 2011, 2012 and 2013, the company did not have any negative earnings adjustments under this provision). | ||||||||||||||||
• | Because the company did not file for a rate increase to take effect in November 2012, the earnings sharing levels for the rate year ending October 2012 will continue in effect until base rates are reset by the NYSPSC. | ||||||||||||||||
CECONY — Steam | |||||||||||||||||
In September 2010 the NYSPSC adopted a May 2010 Joint Proposal among CECONY, NYSPSC staff and other parties, with respect to the company’s rates for steam service. The Joint Proposal included a steam rate plan that provided for rate increases of $49.5 million, effective October 2010 and 2011, and $17.8 million, effective October 2012, with an additional $31.7 million to be collected through a surcharge in the rate year ending September 2013. The rate plan reflected the following major items: | |||||||||||||||||
• | The same weighted average cost of capital, return on common equity (assuming, for the steam business, achievement of unspecified reductions in costs of $4.5 million, $3 million and $1.5 million in the rate years ending September 2011, 2012 and 2013, respectively), cost of long-term debt and common equity ratio provided for in the September 2010 rate plan for CECONY’s gas business (discussed above) and average steam rate base of $1,589 million, $1,603 million and $1,613 million for the rate years ending September 2011, 2012 and 2013, respectively. | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact of the amount, if any, by which actual average net plant balances allocable to the company’s steam business were less than the amounts reflected in rates for the respective category for each rate year. The company deferred $0.3 million in 2011, reduced its liability by $0.2 million in 2012, and made no deferral in 2013. The amounts reflected in rates are: | ||||||||||||||||
Rate Year Ending September 30, | |||||||||||||||||
(Millions of Dollars) | 2011 | 2012 | 2013 | ||||||||||||||
Steam production | $ | 415 | $ | 426 | $ | 433 | |||||||||||
Steam distribution | 521 | 534 | 543 | ||||||||||||||
• | Earnings sharing, expense deferral and potential refund ($6 million annually for steam) provisions substantially the same as discussed above for the May 2010 Joint Proposal with respect to CECONY’s gas business. In 2011 and 2012, the company did not recognize any such earnings sharing, expense deferral or potential refund. In 2013, earnings were $0.5 million above the threshold for earnings sharing. | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its cost of fuel and purchased steam from its steam customers. | ||||||||||||||||
• | Continuation of provisions for potential penalties (up to approximately $1 million annually) if certain steam customer service and system performance targets are not met. In 2011, 2012 and 2013, the company did not recognize any expense under these provisions. | ||||||||||||||||
In 2013 the NYSPSC approved the phase-in, over a period of seven years, of an increase in the allocation to steam customers of the fuel costs for the company’s East River Repowering Project (ERRP, which cogenerates electricity and steam) that are above the market value of the electric energy generated by ERRP. | |||||||||||||||||
In February 2014, the NYSPSC adopted a December 2013 Joint Proposal among CECONY, NYSPSC staff and other parties. The Joint Proposal includes a steam rate plan that covers the three-year period January 2014 through December 2016 and is designed to produce a reduction in annual revenues of $22 million in the rate year ending December 2014 and increases in annual revenues of $20 million in each of the rate years ending December 2015 and 2016. The impact of these base rate changes is being deferred which will result in an $8 million regulatory liability at December 31, 2016. The rate plan reflects the following major items with respect to CECONY’s rates for steam service: | |||||||||||||||||
• | The same weighted average cost of capital, return on common equity, cost of long-term debt and common equity ratio as discussed above for the December 2013 Joint Proposal with respect to CECONY’s gas business and average steam rate base of $1,511 million, $1,547 million and $1,604 million for the rate years ending December 2014, 2015 and 2016, respectively. | ||||||||||||||||
• | Capital expenditures of $82 million (including $27 million for storm hardening), $94 million (including $31 million for storm hardening), and $98 million (including $35 million for storm hardening) in the rate years ending December 31, 2014, 2015 and 2016, respectively. | ||||||||||||||||
• | Deferral as a regulatory liability of the revenue requirement impact of the amounts, if any, by which actual average net plant balances for the 36 months ending December 2016 allocable to the company’s steam business for steam production and distribution and storm hardening are less than the amounts reflected in rates for the respective category for such period. The amounts reflected in rates are: | ||||||||||||||||
Rate Year Ending December 31, | |||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | 2016 | ||||||||||||||
Steam production | $ | 1,752 | $ | 1,732 | $ | 1,720 | |||||||||||
Steam distribution | 6 | 11 | 25 | ||||||||||||||
• | Deferral as a regulatory asset or liability, as the case may be, of the related revenue requirement impact if, for the rate years ending December 2015 and 2016, the NYSPSC determines that planned capital expenditures for storm hardening should be more or less than the amount reflected in rates. Earnings sharing, expense deferral and potential refund ($6 million annually for steam) provisions substantially as discussed above for the December 2013 Joint Proposal with respect to CECONY’s gas business. | ||||||||||||||||
• | Continuation of the rate provisions pursuant to which the company recovers its cost of fuel and purchased steam from its steam customers. | ||||||||||||||||
• | Continuation of provisions for potential penalties (up to approximately $1 million annually) if certain steam performance targets are not met. | ||||||||||||||||
Other Regulatory Matters | |||||||||||||||||
In February 2009, the NYSPSC commenced a proceeding to examine the prudence of certain CECONY expenditures following the arrests of employees for accepting illegal payments from a construction contractor. Subsequently, additional employees were arrested for accepting illegal payments from materials suppliers and an engineering firm. The arrested employees were terminated by the company and have pled guilty or been convicted. Pursuant to NYSPSC orders, a portion of the company’s revenues (currently, $249 million, $32 million and $6 million on an annual basis for electric, gas and steam service, respectively) is being collected subject to potential refund to customers. The amount of electric revenues collected subject to refund, which was established in a different proceeding, and the amount of gas and steam revenues collected subject to refund were not established as indicative of the company’s potential liability in this proceeding. At December 31, 2013, the company had collected an estimated $1,389 million from customers subject to potential refund in connection with this proceeding. In January 2013, a NYSPSC consultant reported its estimate, with which the company does not agree, of $208 million of overcharges with respect to a substantial portion of the company’s construction expenditures from January 2000 to January 2009. The company is disputing the consultant’s estimate, including its determinations as to overcharges regarding specific construction expenditures it selected to review and its methodology of extrapolating such determinations over a substantial portion of the construction expenditures during this period. The NYSPSC’s consultant has not reviewed the company’s other expenditures. The company and NYSPSC staff are exploring a settlement in this proceeding. There is no assurance that there will be a settlement, and any settlement would be subject to NYSPSC approval. At December 31, 2013, the company had a $40 million regulatory liability relating to this matter. Included in the $40 million regulatory liability is $16 million the company recovered from vendors, arrested employees and insurers relating to this matter. Pursuant to the December 2013 Joint Proposal (discussed above in this Note B), the company will apply $15 million of these recovered amounts for the benefit of customers to offset a like amount of regulatory assets. The company currently estimates that any additional amount the NYSPSC requires the company to refund to customers could range in amount from $25 million up to an amount based on the NYSPSC consultant’s $208 million estimate of overcharges. | |||||||||||||||||
In late October 2012, Superstorm Sandy caused extensive damage to the Utilities’ electric distribution system and interrupted service to approximately 1.4 million customers. Superstorm Sandy also damaged CECONY’s steam system and interrupted service to many of its steam customers. As of December 31, 2013, CECONY and O&R incurred response and restoration costs for Superstorm Sandy of $483 million and $91 million, respectively (including capital expenditures of $147 million and $15 million, respectively). Most of the costs that were not capitalized were deferred for recovery as a regulatory asset under the Utilities’ electric rate plans. See “Regulatory Assets and Liabilities” below. CECONY’s current electric rate plan includes collection from customers of deferred storm costs (including for Superstorm Sandy), subject to refund following NYSPSC review of the costs. O&R expects to request recovery of deferred storm costs for its New York electric operations, which are also subject to NYSPSC review, when it next files with the NYSPSC for a new electric rate plan. The November 2013 electric rate request RECO filed with the NJBPU includes a proposal for recovery over a three-year period of its deferred storm costs of $27 million. In March 2013, the NJBPU established a proceeding to review the prudency of costs incurred by New Jersey utilities in response to major storm events in 2011 and 2012. See “Rate Plans — CECONY-Electric and O&R-Electric,” above. | |||||||||||||||||
Regulatory Assets and Liabilities | |||||||||||||||||
Regulatory assets and liabilities at December 31, 2013 and 2012 were comprised of the following items: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Regulatory assets | |||||||||||||||||
Unrecognized pension and other postretirement costs | $ | 2,730 | $ | 5,677 | $ | 2,610 | $ | 5,407 | |||||||||
Future income tax | 2,145 | 1,922 | 2,030 | 1,831 | |||||||||||||
Environmental remediation costs | 938 | 730 | 830 | 615 | |||||||||||||
Deferred storm costs | 441 | 432 | 334 | 309 | |||||||||||||
Pension and other postretirement benefits deferrals | 237 | 183 | 211 | 154 | |||||||||||||
Revenue taxes | 207 | 176 | 196 | 170 | |||||||||||||
Net electric deferrals | 83 | 102 | 83 | 102 | |||||||||||||
Surcharge for New York State assessment | 78 | 73 | 74 | 68 | |||||||||||||
Unamortized loss on reacquired debt | 65 | 74 | 62 | 70 | |||||||||||||
O&R transition bond charges | 33 | 39 | - | - | |||||||||||||
Preferred stock redemption | 28 | 29 | 28 | 29 | |||||||||||||
Property tax reconciliation | 22 | 16 | - | - | |||||||||||||
Workers’ compensation | 12 | 19 | 12 | 19 | |||||||||||||
Deferred derivative losses – long-term | 8 | 40 | 7 | 20 | |||||||||||||
Other | 174 | 193 | 162 | 178 | |||||||||||||
Regulatory assets – long-term | 7,201 | 9,705 | 6,639 | 8,972 | |||||||||||||
Deferred derivative losses – current | 25 | 69 | 22 | 60 | |||||||||||||
Recoverable energy costs – current | 4 | 5 | 4 | - | |||||||||||||
Regulatory assets – current | 29 | 74 | 26 | 60 | |||||||||||||
Total Regulatory Assets | $ | 7,230 | $ | 9,779 | $ | 6,665 | $ | 9,032 | |||||||||
Regulatory liabilities | |||||||||||||||||
Allowance for cost of removal less salvage | $ | 540 | $ | 503 | $ | 453 | $ | 420 | |||||||||
Property tax reconciliation | 322 | 187 | 322 | 187 | |||||||||||||
Net unbilled revenue deferrals | 133 | 136 | 133 | 136 | |||||||||||||
Property tax refunds | 130 | 7 | 130 | 6 | |||||||||||||
Long-term interest rate reconciliation | 105 | 62 | 105 | 62 | |||||||||||||
Carrying charges on repair allowance and bonus depreciation | 88 | 11 | 87 | 10 | |||||||||||||
World Trade Center settlement proceeds | 62 | 62 | 62 | 62 | |||||||||||||
Other postretirement benefit deferrals | 50 | - | 50 | - | |||||||||||||
Expenditure prudence proceeding | 40 | 14 | 40 | 14 | |||||||||||||
Carrying charges on T&D net plant – electric and steam | 28 | 31 | 20 | 13 | |||||||||||||
Electric excess earnings | 22 | - | 18 | - | |||||||||||||
Other | 208 | 189 | 178 | 167 | |||||||||||||
Regulatory liabilities – long-term | 1,728 | 1,202 | 1,598 | 1,077 | |||||||||||||
Refundable energy costs – current | 100 | 82 | 66 | 48 | |||||||||||||
Revenue decoupling mechanism | 34 | 72 | 30 | 68 | |||||||||||||
Deferred derivative gains – current | 14 | - | 11 | - | |||||||||||||
Electric surcharge offset | - | 29 | - | 29 | |||||||||||||
Regulatory liabilities—current | 148 | 183 | 107 | 145 | |||||||||||||
Total Regulatory Liabilities | $ | 1,876 | $ | 1,385 | $ | 1,705 | $ | 1,222 | |||||||||
“Unrecognized pension and other postretirement costs” represents the net regulatory asset associated with the accounting rules for retirement benefits. See Note A. | |||||||||||||||||
“Deferred storm costs” represent response and restoration costs, other than capital expenditures, in connection with Superstorm Sandy and other major storms that were deferred by the Utilities. See “Other Regulatory Matters,” above. | |||||||||||||||||
“Net electric deferrals” represents the remaining unamortized balance of certain regulatory assets and liabilities of CECONY that were combined effective April 1, 2010 and are being amortized to income over a ten year period, in accordance with CECONY’s March 2010 rate plan. | |||||||||||||||||
“Revenue taxes” represents the timing difference between taxes collected and paid by the Utilities to fund mass transportation. | |||||||||||||||||
Effective March 31, 2009, the NYSPSC authorized CECONY to accrue unbilled electric, gas and steam revenues. At December 31, 2013, CECONY has deferred the net margin on the unbilled revenues for the future benefit of customers by recording a regulatory liability of $133 million for the difference between the unbilled revenues and energy cost liabilities. |
Capitalization
Capitalization | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Capitalization | ' | ||||||||||||||||
Note C – Capitalization | |||||||||||||||||
Common Stock | |||||||||||||||||
At December 31, 2013 and 2012, Con Edison owned all of the issued and outstanding shares of common stock of the Utilities and the competitive energy businesses. CECONY owns 21,976,200 shares of Con Edison stock, which it purchased prior to 2001 in connection with Con Edison’s stock repurchase plan. CECONY presents in the financial statements the cost of the Con Edison stock it owns as a reduction of common shareholder’s equity. | |||||||||||||||||
Capitalization of Con Edison | |||||||||||||||||
The outstanding capitalization for each of the Companies is shown on its Consolidated Statement of Capitalization, and for Con Edison includes the Utilities’ outstanding debt. | |||||||||||||||||
Preferred Stock of CECONY | |||||||||||||||||
In May 2012, CECONY redeemed all of its outstanding shares of $5 Cumulative Preferred Stock and Cumulative Preferred Stock ($100 par value). | |||||||||||||||||
Dividends | |||||||||||||||||
In accordance with NYSPSC requirements, the dividends that the Utilities generally pay are limited to not more than 100 percent of their respective income available for dividends calculated on a two-year rolling average basis. Excluded from the calculation of “income available for dividends” are non-cash charges to income resulting from accounting changes or charges to income resulting from significant unanticipated events. The restriction also does not apply to dividends paid in order to transfer to Con Edison proceeds from major transactions, such as asset sales, or to dividends reducing each utility subsidiary’s equity ratio to a level appropriate to its business risk. | |||||||||||||||||
Long-term Debt | |||||||||||||||||
Long-term debt maturing in the period 2014-2018 is as follows: | |||||||||||||||||
(Millions of Dollars) | Con Edison | CECONY | |||||||||||||||
2014 | $ | 485 | $ | 475 | |||||||||||||
2015 | 500 | 350 | |||||||||||||||
2016 | 736 | 650 | |||||||||||||||
2017 | 12 | - | |||||||||||||||
2018 | 1,266 | 1,200 | |||||||||||||||
The Utilities have issued $494 million of tax-exempt debt through the New York State Energy Research and Development Authority (NYSERDA) that currently bear interest at a rate determined weekly and is subject to tender by bondholders for purchase by the Utilities. | |||||||||||||||||
The carrying amounts and fair values of long-term debt are: | |||||||||||||||||
December 31, | |||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | |||||||||||||||
Long-Term Debt | Carrying | Fair | Carrying | Fair | |||||||||||||
(including current portion) | Amount | Value | Amount | Value | |||||||||||||
Con Edison | $ | 10,974 | $ | 12,082 | $ | 10,768 | $ | 12,935 | |||||||||
CECONY | $ | 9,841 | $ | 10,797 | $ | 9,845 | $ | 11,751 | |||||||||
Fair values of long-term debt have been estimated primarily using available market information. For Con Edison, $11,446 million and $636 million of the fair value of long-term debt at December 31, 2013 are classified as Level 2 and Level 3, respectively. For CECONY, $10,161 million and $636 million of the fair value of long-term debt at December 31, 2013 are classified as Level 2 and Level 3, respectively (see Note P). The $636 million of long-term debt classified as Level 3 is CECONY’s tax-exempt, auction-rate securities for which the market is highly illiquid and there is a lack of observable inputs. | |||||||||||||||||
At December 31, 2013 and 2012, long-term debt of Con Edison included $22 million and $25 million, respectively, of Transition Bonds issued in 2004 by O&R’s New Jersey utility subsidiary through a special purpose entity. | |||||||||||||||||
Significant Debt Covenants | |||||||||||||||||
The significant debt covenants under the financing arrangements for the notes of Con Edison and the debentures of CECONY are obligations to pay principal and interest when due, covenants not to consolidate with or merge into any other corporation unless certain conditions are met and, for Con Edison’s notes, covenants that Con Edison shall continue its utility business in New York City and shall not permit Con Edison’s ratio of consolidated debt to consolidated capital to exceed 0.675 to 1. Con Edison’s notes are also subject to cross default provisions with respect to other indebtedness of Con Edison or its material subsidiaries having a then outstanding principal balance in excess of $100 million. CECONY’s debentures have no cross default provisions. The tax-exempt financing arrangements of the Utilities are subject to covenants for the CECONY debentures discussed above and the covenants discussed below. The Companies believe that they were in compliance with their significant debt covenants at December 31, 2013. | |||||||||||||||||
The tax-exempt financing arrangements involved the issuance of uncollateralized promissory notes of the Utilities to NYSERDA in exchange for the net proceeds of a like amount of tax-exempt bonds with substantially the same terms sold to the public by NYSERDA. The tax-exempt financing arrangements include covenants with respect to the tax-exempt status of the financing, including covenants with respect to the use of the facilities financed. | |||||||||||||||||
The arrangements include provisions for the maintenance of liquidity and credit facilities, the failure to comply with which would, except as otherwise provided, constitute an event of default with respect to the debt to which such provisions applied. | |||||||||||||||||
The failure to comply with debt covenants would, except as otherwise provided, constitute an event of default with respect to the debt to which such provisions applied. If an event of default were to occur, the principal and accrued interest on the debt to which such event of default applied and, in the case of the Con Edison notes, a make-whole premium might and, in the case of certain events of default would, become due and payable immediately. | |||||||||||||||||
The liquidity and credit facilities currently in effect for the tax-exempt financing include covenants that the ratio of debt to total capital of the obligated utility will not at any time exceed 0.65 to 1 and that, subject to certain exceptions, the utility will not mortgage, lien, pledge or otherwise encumber its assets. Certain of the facilities also include as events of default, defaults in payments of other debt obligations in excess of specified levels ($150 million or $100 million for CECONY, depending on the facility). | |||||||||||||||||
CECONY [Member] | ' | ||||||||||||||||
Capitalization | ' | ||||||||||||||||
Note C – Capitalization | |||||||||||||||||
Common Stock | |||||||||||||||||
At December 31, 2013 and 2012, Con Edison owned all of the issued and outstanding shares of common stock of the Utilities and the competitive energy businesses. CECONY owns 21,976,200 shares of Con Edison stock, which it purchased prior to 2001 in connection with Con Edison’s stock repurchase plan. CECONY presents in the financial statements the cost of the Con Edison stock it owns as a reduction of common shareholder’s equity. | |||||||||||||||||
Capitalization of Con Edison | |||||||||||||||||
The outstanding capitalization for each of the Companies is shown on its Consolidated Statement of Capitalization, and for Con Edison includes the Utilities’ outstanding debt. | |||||||||||||||||
Preferred Stock of CECONY | |||||||||||||||||
In May 2012, CECONY redeemed all of its outstanding shares of $5 Cumulative Preferred Stock and Cumulative Preferred Stock ($100 par value). | |||||||||||||||||
Dividends | |||||||||||||||||
In accordance with NYSPSC requirements, the dividends that the Utilities generally pay are limited to not more than 100 percent of their respective income available for dividends calculated on a two-year rolling average basis. Excluded from the calculation of “income available for dividends” are non-cash charges to income resulting from accounting changes or charges to income resulting from significant unanticipated events. The restriction also does not apply to dividends paid in order to transfer to Con Edison proceeds from major transactions, such as asset sales, or to dividends reducing each utility subsidiary’s equity ratio to a level appropriate to its business risk. | |||||||||||||||||
Long-term Debt | |||||||||||||||||
Long-term debt maturing in the period 2014-2018 is as follows: | |||||||||||||||||
(Millions of Dollars) | Con Edison | CECONY | |||||||||||||||
2014 | $ | 485 | $ | 475 | |||||||||||||
2015 | 500 | 350 | |||||||||||||||
2016 | 736 | 650 | |||||||||||||||
2017 | 12 | - | |||||||||||||||
2018 | 1,266 | 1,200 | |||||||||||||||
The Utilities have issued $494 million of tax-exempt debt through the New York State Energy Research and Development Authority (NYSERDA) that currently bear interest at a rate determined weekly and is subject to tender by bondholders for purchase by the Utilities. | |||||||||||||||||
The carrying amounts and fair values of long-term debt are: | |||||||||||||||||
December 31, | |||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | |||||||||||||||
Long-Term Debt | Carrying | Fair | Carrying | Fair | |||||||||||||
(including current portion) | Amount | Value | Amount | Value | |||||||||||||
Con Edison | $ | 10,974 | $ | 12,082 | $ | 10,768 | $ | 12,935 | |||||||||
CECONY | $ | 9,841 | $ | 10,797 | $ | 9,845 | $ | 11,751 | |||||||||
Fair values of long-term debt have been estimated primarily using available market information. For Con Edison, $11,446 million and $636 million of the fair value of long-term debt at December 31, 2013 are classified as Level 2 and Level 3, respectively. For CECONY, $10,161 million and $636 million of the fair value of long-term debt at December 31, 2013 are classified as Level 2 and Level 3, respectively (see Note P). The $636 million of long-term debt classified as Level 3 is CECONY’s tax-exempt, auction-rate securities for which the market is highly illiquid and there is a lack of observable inputs. | |||||||||||||||||
At December 31, 2013 and 2012, long-term debt of Con Edison included $22 million and $25 million, respectively, of Transition Bonds issued in 2004 by O&R’s New Jersey utility subsidiary through a special purpose entity. | |||||||||||||||||
Significant Debt Covenants | |||||||||||||||||
The significant debt covenants under the financing arrangements for the notes of Con Edison and the debentures of CECONY are obligations to pay principal and interest when due, covenants not to consolidate with or merge into any other corporation unless certain conditions are met and, for Con Edison’s notes, covenants that Con Edison shall continue its utility business in New York City and shall not permit Con Edison’s ratio of consolidated debt to consolidated capital to exceed 0.675 to 1. Con Edison’s notes are also subject to cross default provisions with respect to other indebtedness of Con Edison or its material subsidiaries having a then outstanding principal balance in excess of $100 million. CECONY’s debentures have no cross default provisions. The tax-exempt financing arrangements of the Utilities are subject to covenants for the CECONY debentures discussed above and the covenants discussed below. The Companies believe that they were in compliance with their significant debt covenants at December 31, 2013. | |||||||||||||||||
The tax-exempt financing arrangements involved the issuance of uncollateralized promissory notes of the Utilities to NYSERDA in exchange for the net proceeds of a like amount of tax-exempt bonds with substantially the same terms sold to the public by NYSERDA. The tax-exempt financing arrangements include covenants with respect to the tax-exempt status of the financing, including covenants with respect to the use of the facilities financed. | |||||||||||||||||
The arrangements include provisions for the maintenance of liquidity and credit facilities, the failure to comply with which would, except as otherwise provided, constitute an event of default with respect to the debt to which such provisions applied. | |||||||||||||||||
The failure to comply with debt covenants would, except as otherwise provided, constitute an event of default with respect to the debt to which such provisions applied. If an event of default were to occur, the principal and accrued interest on the debt to which such event of default applied and, in the case of the Con Edison notes, a make-whole premium might and, in the case of certain events of default would, become due and payable immediately. | |||||||||||||||||
The liquidity and credit facilities currently in effect for the tax-exempt financing include covenants that the ratio of debt to total capital of the obligated utility will not at any time exceed 0.65 to 1 and that, subject to certain exceptions, the utility will not mortgage, lien, pledge or otherwise encumber its assets. Certain of the facilities also include as events of default, defaults in payments of other debt obligations in excess of specified levels ($150 million or $100 million for CECONY, depending on the facility). |
ShortTerm_Borrowing
Short-Term Borrowing | 12 Months Ended |
Dec. 31, 2013 | |
Short-Term Borrowing | ' |
Note D – Short-Term Borrowing | |
In October 2011, Con Edison and the Utilities entered into a Credit Agreement (Credit Agreement), under which banks are committed to provide loans and letters of credit on a revolving credit basis. The Credit Agreement, as amended in 2013, expires in October 2017. There is a maximum of $2.25 billion of credit available through October 2016 and approximately $2.1 billion of credit available from then through October 2017. The full amount is available to CECONY and $1 billion is available to Con Edison, including up to $1.2 billion of letters of credit. The Credit Agreement supports the Companies’ commercial paper programs. The Companies have not borrowed under the Credit Agreement. At December 31, 2013, Con Edison had $1,451 million of commercial paper outstanding of which $1,210 million was outstanding under CECONY’s program. The weighted average interest rate was 0.2 percent for both Con Edison and CECONY. At December 31, 2012, Con Edison had $539 million of commercial paper outstanding of which $421 million was outstanding under CECONY’s program. The weighted average interest rate was 0.3 percent for both Con Edison and CECONY. At December 31, 2013 and 2012, $26 million (including $11 million for CECONY) and $131 million (including $121 million for CECONY) of letters of credit were outstanding under the Credit Agreement. | |
The banks’ commitments under the Credit Agreement are subject to certain conditions, including that there be no event of default. The commitments are not subject to maintenance of credit rating levels or the absence of a material adverse change. Upon a change of control of, or upon an event of default by one of the Companies, the banks may terminate their commitments with respect to that company, declare any amounts owed by that company under the Credit Agreement immediately due and payable and require that company to provide cash collateral relating to the letters of credit issued for it under the Credit Agreement. Events of default include the exceeding at any time of a ratio of consolidated debt to consolidated total capital of 0.65 to 1 (at December 31, 2013 this ratio was 0.50 to 1 for Con Edison and CECONY); having liens on its assets in an aggregate amount exceeding 5 percent of its consolidated total capital, subject to certain exceptions; and the failure, following any applicable notice period, to meet certain other customary covenants. Interest and fees charged for the revolving credit facilities and any loans made or letters of credit issued under the Credit Agreement reflect the Companies’ respective credit ratings. | |
See Note S for information about short-term borrowing between related parties. | |
CECONY [Member] | ' |
Short-Term Borrowing | ' |
Note D – Short-Term Borrowing | |
In October 2011, Con Edison and the Utilities entered into a Credit Agreement (Credit Agreement), under which banks are committed to provide loans and letters of credit on a revolving credit basis. The Credit Agreement, as amended in 2013, expires in October 2017. There is a maximum of $2.25 billion of credit available through October 2016 and approximately $2.1 billion of credit available from then through October 2017. The full amount is available to CECONY and $1 billion is available to Con Edison, including up to $1.2 billion of letters of credit. The Credit Agreement supports the Companies’ commercial paper programs. The Companies have not borrowed under the Credit Agreement. At December 31, 2013, Con Edison had $1,451 million of commercial paper outstanding of which $1,210 million was outstanding under CECONY’s program. The weighted average interest rate was 0.2 percent for both Con Edison and CECONY. At December 31, 2012, Con Edison had $539 million of commercial paper outstanding of which $421 million was outstanding under CECONY’s program. The weighted average interest rate was 0.3 percent for both Con Edison and CECONY. At December 31, 2013 and 2012, $26 million (including $11 million for CECONY) and $131 million (including $121 million for CECONY) of letters of credit were outstanding under the Credit Agreement. | |
The banks’ commitments under the Credit Agreement are subject to certain conditions, including that there be no event of default. The commitments are not subject to maintenance of credit rating levels or the absence of a material adverse change. Upon a change of control of, or upon an event of default by one of the Companies, the banks may terminate their commitments with respect to that company, declare any amounts owed by that company under the Credit Agreement immediately due and payable and require that company to provide cash collateral relating to the letters of credit issued for it under the Credit Agreement. Events of default include the exceeding at any time of a ratio of consolidated debt to consolidated total capital of 0.65 to 1 (at December 31, 2013 this ratio was 0.50 to 1 for Con Edison and CECONY); having liens on its assets in an aggregate amount exceeding 5 percent of its consolidated total capital, subject to certain exceptions; and the failure, following any applicable notice period, to meet certain other customary covenants. Interest and fees charged for the revolving credit facilities and any loans made or letters of credit issued under the Credit Agreement reflect the Companies’ respective credit ratings. | |
See Note S for information about short-term borrowing between related parties. |
Pension_Benefits
Pension Benefits | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Pension Benefits | ' | ||||||||||||||||||||||||
Note E — Pension Benefits | |||||||||||||||||||||||||
Con Edison maintains a tax-qualified, non-contributory pension plan that covers substantially all employees of CECONY and O&R and certain employees of Con Edison’s competitive energy businesses. The plan is designed to comply with the Internal Revenue Code and the Employee Retirement Income Security Act of 1974. In addition, Con Edison maintains additional non-qualified supplemental pension plans. | |||||||||||||||||||||||||
Net Periodic Benefit Cost | |||||||||||||||||||||||||
The components of the Companies’ net periodic benefit costs for 2013, 2012, and 2011 were as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Service cost – including administrative expenses | $ | 267 | $ | 237 | $ | 190 | $ | 249 | $ | 220 | $ | 177 | |||||||||||||
Interest cost on projected benefit obligation | 537 | 547 | 560 | 503 | 513 | 524 | |||||||||||||||||||
Expected return on plan assets | (750 | ) | (705 | ) | (734 | ) | (713 | ) | (670 | ) | (698 | ) | |||||||||||||
Recognition of net actuarial loss | 832 | 709 | 530 | 788 | 670 | 501 | |||||||||||||||||||
Recognition of prior service costs | 5 | 8 | 8 | 4 | 6 | 6 | |||||||||||||||||||
NET PERIODIC BENEFIT COST | $ | 891 | $ | 796 | $ | 554 | $ | 831 | $ | 739 | $ | 510 | |||||||||||||
Amortization of regulatory asset* | 2 | 2 | 2 | 2 | 2 | 2 | |||||||||||||||||||
TOTAL PERIODIC BENEFIT COST | $ | 893 | $ | 798 | $ | 556 | $ | 833 | $ | 741 | $ | 512 | |||||||||||||
Cost capitalized | (348 | ) | (277 | ) | (185 | ) | (327 | ) | (260 | ) | (172 | ) | |||||||||||||
Reconciliation to rate level | (84 | ) | (8 | ) | (65 | ) | (87 | ) | (12 | ) | (68 | ) | |||||||||||||
Cost charged to operating expenses | $ | 461 | $ | 513 | $ | 306 | $ | 419 | $ | 469 | $ | 272 | |||||||||||||
* | Relates to an increase in CECONY’s pension obligation of $45 million from a 1999 special retirement program. | ||||||||||||||||||||||||
Funded Status | |||||||||||||||||||||||||
The funded status at December 31, 2013, 2012, and 2011 was as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
CHANGE IN PROJECTED BENEFIT OBLIGATION | |||||||||||||||||||||||||
Projected benefit obligation at beginning of year | $ | 13,406 | $ | 11,825 | $ | 10,307 | $ | 12,572 | $ | 11,072 | $ | 9,653 | |||||||||||||
Service cost – excluding administrative expenses | 259 | 224 | 186 | 241 | 209 | 174 | |||||||||||||||||||
Interest cost on projected benefit obligation | 537 | 547 | 560 | 503 | 513 | 524 | |||||||||||||||||||
Net actuarial (gain)/loss | (1,469 | ) | 1,323 | 1,251 | (1,388 | ) | 1,255 | 1,166 | |||||||||||||||||
Benefits paid | (536 | ) | (513 | ) | (479 | ) | (499 | ) | (477 | ) | (445 | ) | |||||||||||||
PROJECTED BENEFIT OBLIGATION AT END OF YEAR | $ | 12,197 | $ | 13,406 | $ | 11,825 | $ | 11,429 | $ | 12,572 | $ | 11,072 | |||||||||||||
CHANGE IN PLAN ASSETS | |||||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 9,135 | $ | 7,800 | $ | 7,721 | $ | 8,668 | $ | 7,406 | $ | 7,340 | |||||||||||||
Actual return on plan assets | 1,310 | 1,094 | 37 | 1,241 | 1,040 | 33 | |||||||||||||||||||
Employer contributions | 879 | 785 | 542 | 819 | 729 | 498 | |||||||||||||||||||
Benefits paid | (536 | ) | (513 | ) | (479 | ) | (499 | ) | (477 | ) | (445 | ) | |||||||||||||
Administrative expenses | (33 | ) | (31 | ) | (21 | ) | (32 | ) | (30 | ) | (20 | ) | |||||||||||||
FAIR VALUE OF PLAN ASSETS AT END OF YEAR | $ | 10,755 | $ | 9,135 | $ | 7,800 | $ | 10,197 | $ | 8,668 | $ | 7,406 | |||||||||||||
FUNDED STATUS | $ | (1,442 | ) | $ | (4,271 | ) | $ | (4,025 | ) | $ | (1,232 | ) | $ | (3,904 | ) | $ | (3,666 | ) | |||||||
Unrecognized net loss | $ | 2,759 | $ | 5,594 | $ | 5,351 | $ | 2,617 | $ | 5,297 | $ | 5,063 | |||||||||||||
Unrecognized prior service costs | 17 | 23 | 30 | 6 | 10 | 16 | |||||||||||||||||||
Accumulated benefit obligation | 11,004 | 11,911 | 10,595 | 10,268 | 11,116 | 9,876 | |||||||||||||||||||
The decrease in the pension plan’s projected benefit obligation (due primarily to increased discount rates) and an increase in actual return on plan assets, were the primary drivers in the decreased pension liability at Con Edison and CECONY of $2,829 million and $2,672 million, respectively, compared with December 31, 2012. For Con Edison, this decrease in pension liability resulted in a decrease to regulatory assets of $2,799 million for unrecognized net losses and unrecognized prior service costs associated with the Utilities consistent with the accounting rules for regulated operations and a credit to OCI of $24 million (net of taxes) for the unrecognized net losses and an immaterial change to OCI (net of taxes) for the unrecognized prior service costs associated with the competitive energy businesses and O&R’s New Jersey and Pennsylvania utility subsidiaries. | |||||||||||||||||||||||||
For CECONY, the decrease in pension liability resulted in a decrease to regulatory assets of $2,677 million for unrecognized net losses and unrecognized prior service costs consistent with the accounting rules for regulated operations, a credit to OCI of $3 million (net of taxes) for unrecognized net losses, and an immaterial change to OCI (net of taxes) for the unrecognized prior service costs associated with the competitive energy businesses. | |||||||||||||||||||||||||
A portion of the unrecognized net loss and prior service cost for the pension plan, equal to $619 million and $4 million, respectively, will be recognized from accumulated OCI and the regulatory asset into net periodic benefit cost over the next year for Con Edison. Included in these amounts are $586 million and $2 million, respectively, for CECONY. | |||||||||||||||||||||||||
At December 31, 2013 and 2012, Con Edison’s investments include $201 million and $164 million, respectively, held in external trust accounts for benefit payments pursuant to the supplemental retirement plans. Included in these amounts for CECONY were $183 million and $148 million, respectively. See Note P. The accumulated benefit obligations for the supplemental retirement plans for Con Edison and CECONY were $234 million and $199 million as of December 31, 2013 and $231 million and $193 million as of December 31, 2012, respectively. | |||||||||||||||||||||||||
Assumptions | |||||||||||||||||||||||||
The actuarial assumptions were as follows: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Weighted-average assumptions used to determine benefit obligations at December 31: | |||||||||||||||||||||||||
Discount rate | 4.8 | % | 4.1 | % | 4.7 | % | |||||||||||||||||||
Rate of compensation increase | |||||||||||||||||||||||||
– CECONY | 4.35 | % | 4.35 | % | 4.35 | % | |||||||||||||||||||
– O&R | 4.25 | % | 4.25 | % | 4.25 | % | |||||||||||||||||||
Weighted-average assumptions used to determine net periodic benefit cost for the years ended December 31: | |||||||||||||||||||||||||
Discount rate | 4.1 | % | 4.7 | % | 5.6 | % | |||||||||||||||||||
Expected return on plan assets | 8 | % | 8 | % | 8.5 | % | |||||||||||||||||||
Rate of compensation increase | |||||||||||||||||||||||||
– CECONY | 4.35 | % | 4.35 | % | 4.35 | % | |||||||||||||||||||
– O&R | 4.25 | % | 4.25 | % | 4.25 | % | |||||||||||||||||||
The expected return assumption reflects anticipated returns on the plan’s current and future assets. The Companies’ expected return was based on an evaluation of the current environment, market and economic outlook, relationships between the economy and asset class performance patterns, and recent and long-term trends in asset class performance. The projections were based on the plan’s target asset allocation. | |||||||||||||||||||||||||
Discount Rate Assumption | |||||||||||||||||||||||||
To determine the assumed discount rate, the Companies use a model that produces a yield curve based on yields on selected highly rated (Aa or higher by either Moody’s Investors Service (Moody’s) or Standard & Poor’s) corporate bonds. Bonds with insufficient liquidity, bonds with questionable pricing information and bonds that are not representative of the overall market are excluded from consideration. For example, the bonds used in the model cannot be callable, they must have a price between 50 percent and 200 percent of the original price, the yield must lie between 1 percent and 20 percent, and the amount of the bond issue outstanding must be in excess of $50 million. The spot rates defined by the yield curve and the plan’s projected benefit payments are used to develop a weighted average discount rate. | |||||||||||||||||||||||||
Expected Benefit Payments | |||||||||||||||||||||||||
Based on current assumptions, the Companies expect to make the following benefit payments over the next ten years: | |||||||||||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | 2016 | 2017 | 2018 | 2019-2023 | |||||||||||||||||||
Con Edison | $ | 578 | $ | 600 | $ | 621 | $ | 640 | $ | 659 | $ | 3,527 | |||||||||||||
CECONY | 539 | 559 | 578 | 596 | 614 | 3,280 | |||||||||||||||||||
Expected Contributions | |||||||||||||||||||||||||
Based on estimates as of December 31, 2013, the Companies expect to make contributions to the pension plan during 2014 of $575 million (of which $536 million is to be contributed by CECONY). The Companies’ policy is to fund their accounting cost to the extent tax deductible. | |||||||||||||||||||||||||
Plan Assets | |||||||||||||||||||||||||
The asset allocations for the pension plan at the end of 2013, 2012, and 2011, and the target allocation for 2014 are as follows: | |||||||||||||||||||||||||
Target | Plan Assets at December 31 | ||||||||||||||||||||||||
Allocation Range | |||||||||||||||||||||||||
Asset Category | 2014 | 2013 | 2012 | 2011 | |||||||||||||||||||||
Equity Securities | 55% - 65% | 60 | % | 60 | % | 61 | % | ||||||||||||||||||
Debt Securities | 27% - 33% | 30 | % | 31 | % | 32 | % | ||||||||||||||||||
Real Estate | 8% - 12% | 10 | % | 9 | % | 7 | % | ||||||||||||||||||
Total | 100% | 100 | % | 100 | % | 100 | % | ||||||||||||||||||
Con Edison has established a pension trust for the investment of assets to be used for the exclusive purpose of providing retirement benefits to participants and beneficiaries and payment of plan expenses. | |||||||||||||||||||||||||
Pursuant to resolutions adopted by Con Edison’s Board of Directors, the Management Development and Compensation Committee of the Board of Directors (the Committee) has general oversight responsibility for Con Edison’s pension and other employee benefit plans. The pension plan’s named fiduciaries have been granted the authority to control and manage the operation and administration of the plans, including overall responsibility for the investment of assets in the trust and the power to appoint and terminate investment managers. | |||||||||||||||||||||||||
The investment objectives of the Con Edison pension plan are to maintain a level and form of assets adequate to meet benefit obligations to participants, to achieve the expected long-term total return on the trust assets within a prudent level of risk and maintain a level of volatility that is not expected to have a material impact on the Company’s expected contribution and expense or the Company’s ability to meet plan obligations. The assets of the plan have no significant concentration of risk in one country (other than the United States), industry or entity. | |||||||||||||||||||||||||
The strategic asset allocation is intended to meet the objectives of the pension plan by diversifying its funds across asset classes, investment styles and fund managers. An asset/liability study typically is conducted every few years to determine whether the current strategic asset allocation continues to represent the appropriate balance of expected risk and reward for the plan to meet expected liabilities. Each study considers the investment risk of the asset allocation and determines the optimal asset allocation for the plan. The target asset allocation for 2014 reflects the results of such a study conducted in 2011. | |||||||||||||||||||||||||
Individual fund managers operate under written guidelines provided by Con Edison, which cover such areas as investment objectives, performance measurement, permissible investments, investment restrictions, trading and execution, and communication and reporting requirements. Con Edison management regularly monitors, and the named fiduciaries review and report to the Committee regarding, asset class performance, total fund performance, and compliance with asset allocation guidelines. Management changes fund managers and rebalances the portfolio as appropriate. At the direction of the named fiduciaries, such changes are reported to the Committee. | |||||||||||||||||||||||||
Assets measured at fair value on a recurring basis are summarized below under a three-level hierarchy established by the accounting rules which define the levels within the hierarchy as follows: | |||||||||||||||||||||||||
• | Level 1 – Consists of fair value measurements whose value is based on quoted prices in active markets for identical assets or liabilities. | ||||||||||||||||||||||||
• | Level 2 – Consists of fair value measurements whose value is based on significant other observable inputs. | ||||||||||||||||||||||||
• | Level 3 – Consists of fair value measurements whose value is based on significant unobservable inputs. | ||||||||||||||||||||||||
The fair values of the pension plan assets at December 31, 2013 by asset category are as follows: | |||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
U.S. Equity(a) | $ | 3,057 | $ | - | $ | - | $ | 3,057 | |||||||||||||||||
International Equity(b) | 2,303 | 871 | - | 3,174 | |||||||||||||||||||||
Private Equity(c) | - | - | 67 | 67 | |||||||||||||||||||||
U.S. Government Issued Debt(d) | - | 1,855 | - | 1,855 | |||||||||||||||||||||
Corporate Bonds Debt(e) | - | 1,151 | - | 1,151 | |||||||||||||||||||||
Structured Assets Debt(f) | - | 4 | - | 4 | |||||||||||||||||||||
Other Fixed Income Debt(g) | - | 150 | - | 150 | |||||||||||||||||||||
Real Estate(h) | - | - | 1,062 | 1,062 | |||||||||||||||||||||
Cash and Cash Equivalents(i) | 127 | 558 | - | 685 | |||||||||||||||||||||
Futures(j) | 348 | - | - | 348 | |||||||||||||||||||||
Hedge Funds(k) | - | - | 206 | 206 | |||||||||||||||||||||
Total investments | $ | 5,835 | $ | 4,589 | $ | 1,335 | $ | 11,759 | |||||||||||||||||
Funds for retiree health benefits(l) | (185 | ) | (145 | ) | (42 | ) | (372 | ) | |||||||||||||||||
Investments (excluding funds for retiree health benefits) | $ | 5,650 | $ | 4,444 | $ | 1,293 | $ | 11,387 | |||||||||||||||||
Pending activities(m) | (632 | ) | |||||||||||||||||||||||
Total fair value of plan net assets | $ | 10,755 | |||||||||||||||||||||||
(a) | U.S. Equity includes both actively- and passively-managed assets with investments in domestic equity index funds and actively-managed small-capitalization equities. | ||||||||||||||||||||||||
(b) | International Equity includes international equity index funds and actively-managed international equities. | ||||||||||||||||||||||||
(c) | Private Equity consists of global equity funds that are not exchange-traded. | ||||||||||||||||||||||||
(d) | U.S. Government Issued Debt includes agency and treasury securities. | ||||||||||||||||||||||||
(e) | Corporate Bonds Debt consists of debt issued by various corporations. | ||||||||||||||||||||||||
(f) | Structured Assets Debt includes commercial-mortgage-backed securities and collateralized mortgage obligations. | ||||||||||||||||||||||||
(g) | Other Fixed Income Debt includes municipal bonds, sovereign debt and regional governments. | ||||||||||||||||||||||||
(h) | Real Estate investments include real estate funds based on appraised values that are broadly diversified by geography and property type. | ||||||||||||||||||||||||
(i) | Cash and Cash Equivalents include short term investments, money markets, foreign currency and cash collateral. | ||||||||||||||||||||||||
(j) | Futures consist of exchange-traded financial contracts encompassing U.S. Equity, International Equity and U.S. Government indices. | ||||||||||||||||||||||||
(k) | Hedge Funds are within a commingled structure which invests in various hedge fund managers who can invest in all financial instruments. | ||||||||||||||||||||||||
(l) | The Companies set aside funds for retiree health benefits through a separate account within the pension trust, as permitted under Section 401(h) of the Internal Revenue Code of 1986, as amended. In accordance with the Code, the plan’s investments in the 401(h) account may not be used for, or diverted to, any purpose other than providing health benefits for retirees. The net assets held in the 401(h) account are calculated based on a pro-rata percentage allocation of the net assets in the pension plan. The related obligations for health benefits are not included in the pension plan’s obligations and are included in the Companies’ other postretirement benefit obligation. See Note F. | ||||||||||||||||||||||||
(m) | Pending activities include security purchases and sales that have not settled, interest and dividends that have not been received and reflects adjustments for available estimates at year end. | ||||||||||||||||||||||||
The table below provides a reconciliation of the beginning and ending net balances for assets at December 31, 2013 classified as Level 3 in the fair value hierarchy. | |||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Assets Still Held | Assets Sold | Purchases | Transfer | Ending | |||||||||||||||||||
Balance as of | at Reporting Date – | During the | Sales and | In/(Out) of | Balance as of | ||||||||||||||||||||
January 1, 2013 | Unrealized Gains/ | Year – Realized | Settlements | Level 3 | December 31, | ||||||||||||||||||||
(Losses) | Gains/(Losses) | 2013 | |||||||||||||||||||||||
Real Estate | $ | 833 | $ | 114 | $ | 1 | $ | 114 | $ | - | $ | 1,062 | |||||||||||||
Private Equity | 20 | 5 | - | 42 | - | 67 | |||||||||||||||||||
Hedge Funds | - | 6 | - | 200 | - | 206 | |||||||||||||||||||
Total investments | $ | 853 | $ | 125 | $ | 1 | $ | 356 | $ | - | $ | 1,335 | |||||||||||||
Funds for retiree health benefits | (31 | ) | (3 | ) | - | (8 | ) | - | (42 | ) | |||||||||||||||
Investments (excluding funds for retiree health benefits) | $ | 822 | $ | 122 | $ | 1 | $ | 348 | $ | - | $ | 1,293 | |||||||||||||
The fair values of the pension plan assets at December 31, 2012 by asset category are as follows: | |||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
U.S. Equity(a) | $ | 2,637 | $ | - | $ | - | $ | 2,637 | |||||||||||||||||
International Equity(b) | 2,242 | 753 | - | 2,995 | |||||||||||||||||||||
Private Equity(c) | - | - | 20 | 20 | |||||||||||||||||||||
U.S. Government Issued Debt(d) | - | 1,626 | - | 1,626 | |||||||||||||||||||||
Corporate Bonds Debt(e) | - | 993 | - | 993 | |||||||||||||||||||||
Structured Assets Debt(f) | - | 30 | - | 30 | |||||||||||||||||||||
Other Fixed Income Debt(g) | - | 123 | - | 123 | |||||||||||||||||||||
Real Estate(h) | - | - | 833 | 833 | |||||||||||||||||||||
Cash and Cash Equivalents(i) | 83 | 328 | - | 411 | |||||||||||||||||||||
Futures(j) | 210 | - | - | 210 | |||||||||||||||||||||
Total investments | $ | 5,172 | $ | 3,853 | $ | 853 | $ | 9,878 | |||||||||||||||||
Funds for retiree health benefits(k) | (185 | ) | (137 | ) | (31 | ) | (353 | ) | |||||||||||||||||
Investments (excluding funds for retiree health benefits) | $ | 4,987 | $ | 3,716 | $ | 822 | $ | 9,525 | |||||||||||||||||
Pending activities(l) | (390 | ) | |||||||||||||||||||||||
Total fair value of plan net assets | $ | 9,135 | |||||||||||||||||||||||
(a) | U.S. Equity includes both actively- and passively-managed assets with investments in domestic equity index funds and actively-managed small-capitalization equities. | ||||||||||||||||||||||||
(b) | International Equity includes international equity index funds and actively-managed international equities. | ||||||||||||||||||||||||
(c) | Private Equity consists of global equity funds that are not exchange-traded. | ||||||||||||||||||||||||
(d) | U.S. Government Issued Debt includes agency and treasury securities. | ||||||||||||||||||||||||
(e) | Corporate Bonds Debt consists of debt issued by various corporations. | ||||||||||||||||||||||||
(f) | Structured Assets Debt includes commercial-mortgage-backed securities and collateralized mortgage obligations. | ||||||||||||||||||||||||
(g) | Other Fixed Income Debt includes municipal bonds, sovereign debt and regional governments. | ||||||||||||||||||||||||
(h) | Real Estate investments include real estate funds based on appraised values that are broadly diversified by geography and property type. | ||||||||||||||||||||||||
(i) | Cash and Cash Equivalents include short term investments, money markets, foreign currency and cash collateral. | ||||||||||||||||||||||||
(j) | Futures consist of exchange-traded financial contracts encompassing U.S. Equity, International Equity and U.S. Government indices. | ||||||||||||||||||||||||
(k) | The Companies set aside funds for retiree health benefits through a separate account within the pension trust, as permitted under Section 401(h) of the Internal Revenue Code of 1986, as amended. In accordance with the Code, the plan’s investments in the 401(h) account may not be used for, or diverted to, any purpose other than providing health benefits for retirees. The net assets held in the 401(h) account are calculated based on a pro-rata percentage allocation of the net assets in the pension plan. The related obligations for health benefits are not included in the pension plan’s obligations and are included in the Companies’ other postretirement benefit obligation. See Note F. | ||||||||||||||||||||||||
(l) | Pending activities include security purchases and sales that have not settled, interest and dividends that have not been received and reflects adjustments for available estimates at year end. | ||||||||||||||||||||||||
The table below provides a reconciliation of the beginning and ending net balances for assets at December 31, 2012 classified as Level 3 in the fair value hierarchy. | |||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Assets Still Held | Assets Sold | Purchases | Transfer | Ending | |||||||||||||||||||
Balance as of | at Reporting Date – | During the | Sales and | In/(Out) of | Balance as of | ||||||||||||||||||||
January 1, 2012 | Unrealized | Year – Realized | Settlements | Level 3 | December 31, | ||||||||||||||||||||
Gains/(Losses) | Gains/(Losses) | 2012 | |||||||||||||||||||||||
Real Estate | $ | 572 | $ | 48 | $ | 1 | $ | 212 | $ | - | $ | 833 | |||||||||||||
Private Equity | - | 1 | - | 19 | - | 20 | |||||||||||||||||||
Corporate Bonds | 94 | - | - | (33 | ) | (61 | ) | - | |||||||||||||||||
Structured Assets | 13 | - | (6 | ) | - | (7 | ) | - | |||||||||||||||||
Other Fixed Income | 29 | - | - | (6 | ) | (23 | ) | - | |||||||||||||||||
Total investments | $ | 708 | $ | 49 | $ | (5 | ) | $ | 192 | $ | (91 | ) | $ | 853 | |||||||||||
Funds for retiree health benefits | (28 | ) | (2 | ) | - | (4 | ) | 3 | (31 | ) | |||||||||||||||
Investments (excluding funds for retiree health benefits) | $ | 680 | $ | 47 | $ | (5 | ) | $ | 188 | $ | (88 | ) | $ | 822 | |||||||||||
The Companies also offer a defined contribution savings plan that covers substantially all employees and made contributions to the plan as follows: | |||||||||||||||||||||||||
For the Years Ended December 31 | |||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||||||||||||||
Con Edison | $ | 30 | $ | 23 | $ | 23 | |||||||||||||||||||
CECONY | 26 | 21 | 21 | ||||||||||||||||||||||
CECONY [Member] | ' | ||||||||||||||||||||||||
Pension Benefits | ' | ||||||||||||||||||||||||
Note E — Pension Benefits | |||||||||||||||||||||||||
Con Edison maintains a tax-qualified, non-contributory pension plan that covers substantially all employees of CECONY and O&R and certain employees of Con Edison’s competitive energy businesses. The plan is designed to comply with the Internal Revenue Code and the Employee Retirement Income Security Act of 1974. In addition, Con Edison maintains additional non-qualified supplemental pension plans. | |||||||||||||||||||||||||
Net Periodic Benefit Cost | |||||||||||||||||||||||||
The components of the Companies’ net periodic benefit costs for 2013, 2012, and 2011 were as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Service cost – including administrative expenses | $ | 267 | $ | 237 | $ | 190 | $ | 249 | $ | 220 | $ | 177 | |||||||||||||
Interest cost on projected benefit obligation | 537 | 547 | 560 | 503 | 513 | 524 | |||||||||||||||||||
Expected return on plan assets | (750 | ) | (705 | ) | (734 | ) | (713 | ) | (670 | ) | (698 | ) | |||||||||||||
Recognition of net actuarial loss | 832 | 709 | 530 | 788 | 670 | 501 | |||||||||||||||||||
Recognition of prior service costs | 5 | 8 | 8 | 4 | 6 | 6 | |||||||||||||||||||
NET PERIODIC BENEFIT COST | $ | 891 | $ | 796 | $ | 554 | $ | 831 | $ | 739 | $ | 510 | |||||||||||||
Amortization of regulatory asset* | 2 | 2 | 2 | 2 | 2 | 2 | |||||||||||||||||||
TOTAL PERIODIC BENEFIT COST | $ | 893 | $ | 798 | $ | 556 | $ | 833 | $ | 741 | $ | 512 | |||||||||||||
Cost capitalized | (348 | ) | (277 | ) | (185 | ) | (327 | ) | (260 | ) | (172 | ) | |||||||||||||
Reconciliation to rate level | (84 | ) | (8 | ) | (65 | ) | (87 | ) | (12 | ) | (68 | ) | |||||||||||||
Cost charged to operating expenses | $ | 461 | $ | 513 | $ | 306 | $ | 419 | $ | 469 | $ | 272 | |||||||||||||
* | Relates to an increase in CECONY’s pension obligation of $45 million from a 1999 special retirement program. | ||||||||||||||||||||||||
Funded Status | |||||||||||||||||||||||||
The funded status at December 31, 2013, 2012, and 2011 was as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
CHANGE IN PROJECTED BENEFIT OBLIGATION | |||||||||||||||||||||||||
Projected benefit obligation at beginning of year | $ | 13,406 | $ | 11,825 | $ | 10,307 | $ | 12,572 | $ | 11,072 | $ | 9,653 | |||||||||||||
Service cost – excluding administrative expenses | 259 | 224 | 186 | 241 | 209 | 174 | |||||||||||||||||||
Interest cost on projected benefit obligation | 537 | 547 | 560 | 503 | 513 | 524 | |||||||||||||||||||
Net actuarial (gain)/loss | (1,469 | ) | 1,323 | 1,251 | (1,388 | ) | 1,255 | 1,166 | |||||||||||||||||
Benefits paid | (536 | ) | (513 | ) | (479 | ) | (499 | ) | (477 | ) | (445 | ) | |||||||||||||
PROJECTED BENEFIT OBLIGATION AT END OF YEAR | $ | 12,197 | $ | 13,406 | $ | 11,825 | $ | 11,429 | $ | 12,572 | $ | 11,072 | |||||||||||||
CHANGE IN PLAN ASSETS | |||||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 9,135 | $ | 7,800 | $ | 7,721 | $ | 8,668 | $ | 7,406 | $ | 7,340 | |||||||||||||
Actual return on plan assets | 1,310 | 1,094 | 37 | 1,241 | 1,040 | 33 | |||||||||||||||||||
Employer contributions | 879 | 785 | 542 | 819 | 729 | 498 | |||||||||||||||||||
Benefits paid | (536 | ) | (513 | ) | (479 | ) | (499 | ) | (477 | ) | (445 | ) | |||||||||||||
Administrative expenses | (33 | ) | (31 | ) | (21 | ) | (32 | ) | (30 | ) | (20 | ) | |||||||||||||
FAIR VALUE OF PLAN ASSETS AT END OF YEAR | $ | 10,755 | $ | 9,135 | $ | 7,800 | $ | 10,197 | $ | 8,668 | $ | 7,406 | |||||||||||||
FUNDED STATUS | $ | (1,442 | ) | $ | (4,271 | ) | $ | (4,025 | ) | $ | (1,232 | ) | $ | (3,904 | ) | $ | (3,666 | ) | |||||||
Unrecognized net loss | $ | 2,759 | $ | 5,594 | $ | 5,351 | $ | 2,617 | $ | 5,297 | $ | 5,063 | |||||||||||||
Unrecognized prior service costs | 17 | 23 | 30 | 6 | 10 | 16 | |||||||||||||||||||
Accumulated benefit obligation | 11,004 | 11,911 | 10,595 | 10,268 | 11,116 | 9,876 | |||||||||||||||||||
The decrease in the pension plan’s projected benefit obligation (due primarily to increased discount rates) and an increase in actual return on plan assets, were the primary drivers in the decreased pension liability at Con Edison and CECONY of $2,829 million and $2,672 million, respectively, compared with December 31, 2012. For Con Edison, this decrease in pension liability resulted in a decrease to regulatory assets of $2,799 million for unrecognized net losses and unrecognized prior service costs associated with the Utilities consistent with the accounting rules for regulated operations and a credit to OCI of $24 million (net of taxes) for the unrecognized net losses and an immaterial change to OCI (net of taxes) for the unrecognized prior service costs associated with the competitive energy businesses and O&R’s New Jersey and Pennsylvania utility subsidiaries. | |||||||||||||||||||||||||
For CECONY, the decrease in pension liability resulted in a decrease to regulatory assets of $2,677 million for unrecognized net losses and unrecognized prior service costs consistent with the accounting rules for regulated operations, a credit to OCI of $3 million (net of taxes) for unrecognized net losses, and an immaterial change to OCI (net of taxes) for the unrecognized prior service costs associated with the competitive energy businesses. | |||||||||||||||||||||||||
A portion of the unrecognized net loss and prior service cost for the pension plan, equal to $619 million and $4 million, respectively, will be recognized from accumulated OCI and the regulatory asset into net periodic benefit cost over the next year for Con Edison. Included in these amounts are $586 million and $2 million, respectively, for CECONY. | |||||||||||||||||||||||||
At December 31, 2013 and 2012, Con Edison’s investments include $201 million and $164 million, respectively, held in external trust accounts for benefit payments pursuant to the supplemental retirement plans. Included in these amounts for CECONY were $183 million and $148 million, respectively. See Note P. The accumulated benefit obligations for the supplemental retirement plans for Con Edison and CECONY were $234 million and $199 million as of December 31, 2013 and $231 million and $193 million as of December 31, 2012, respectively. | |||||||||||||||||||||||||
Assumptions | |||||||||||||||||||||||||
The actuarial assumptions were as follows: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Weighted-average assumptions used to determine benefit obligations at December 31: | |||||||||||||||||||||||||
Discount rate | 4.8 | % | 4.1 | % | 4.7 | % | |||||||||||||||||||
Rate of compensation increase | |||||||||||||||||||||||||
– CECONY | 4.35 | % | 4.35 | % | 4.35 | % | |||||||||||||||||||
– O&R | 4.25 | % | 4.25 | % | 4.25 | % | |||||||||||||||||||
Weighted-average assumptions used to determine net periodic benefit cost for the years ended December 31: | |||||||||||||||||||||||||
Discount rate | 4.1 | % | 4.7 | % | 5.6 | % | |||||||||||||||||||
Expected return on plan assets | 8 | % | 8 | % | 8.5 | % | |||||||||||||||||||
Rate of compensation increase | |||||||||||||||||||||||||
– CECONY | 4.35 | % | 4.35 | % | 4.35 | % | |||||||||||||||||||
– O&R | 4.25 | % | 4.25 | % | 4.25 | % | |||||||||||||||||||
The expected return assumption reflects anticipated returns on the plan’s current and future assets. The Companies’ expected return was based on an evaluation of the current environment, market and economic outlook, relationships between the economy and asset class performance patterns, and recent and long-term trends in asset class performance. The projections were based on the plan’s target asset allocation. | |||||||||||||||||||||||||
Discount Rate Assumption | |||||||||||||||||||||||||
To determine the assumed discount rate, the Companies use a model that produces a yield curve based on yields on selected highly rated (Aa or higher by either Moody’s Investors Service (Moody’s) or Standard & Poor’s) corporate bonds. Bonds with insufficient liquidity, bonds with questionable pricing information and bonds that are not representative of the overall market are excluded from consideration. For example, the bonds used in the model cannot be callable, they must have a price between 50 percent and 200 percent of the original price, the yield must lie between 1 percent and 20 percent, and the amount of the bond issue outstanding must be in excess of $50 million. The spot rates defined by the yield curve and the plan’s projected benefit payments are used to develop a weighted average discount rate. | |||||||||||||||||||||||||
Expected Benefit Payments | |||||||||||||||||||||||||
Based on current assumptions, the Companies expect to make the following benefit payments over the next ten years: | |||||||||||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | 2016 | 2017 | 2018 | 2019-2023 | |||||||||||||||||||
Con Edison | $ | 578 | $ | 600 | $ | 621 | $ | 640 | $ | 659 | $ | 3,527 | |||||||||||||
CECONY | 539 | 559 | 578 | 596 | 614 | 3,280 | |||||||||||||||||||
Expected Contributions | |||||||||||||||||||||||||
Based on estimates as of December 31, 2013, the Companies expect to make contributions to the pension plan during 2014 of $575 million (of which $536 million is to be contributed by CECONY). The Companies’ policy is to fund their accounting cost to the extent tax deductible. | |||||||||||||||||||||||||
Plan Assets | |||||||||||||||||||||||||
The asset allocations for the pension plan at the end of 2013, 2012, and 2011, and the target allocation for 2014 are as follows: | |||||||||||||||||||||||||
Target | Plan Assets at December 31 | ||||||||||||||||||||||||
Allocation Range | |||||||||||||||||||||||||
Asset Category | 2014 | 2013 | 2012 | 2011 | |||||||||||||||||||||
Equity Securities | 55% - 65% | 60 | % | 60 | % | 61 | % | ||||||||||||||||||
Debt Securities | 27% - 33% | 30 | % | 31 | % | 32 | % | ||||||||||||||||||
Real Estate | 8% - 12% | 10 | % | 9 | % | 7 | % | ||||||||||||||||||
Total | 100% | 100 | % | 100 | % | 100 | % | ||||||||||||||||||
Con Edison has established a pension trust for the investment of assets to be used for the exclusive purpose of providing retirement benefits to participants and beneficiaries and payment of plan expenses. | |||||||||||||||||||||||||
Pursuant to resolutions adopted by Con Edison’s Board of Directors, the Management Development and Compensation Committee of the Board of Directors (the Committee) has general oversight responsibility for Con Edison’s pension and other employee benefit plans. The pension plan’s named fiduciaries have been granted the authority to control and manage the operation and administration of the plans, including overall responsibility for the investment of assets in the trust and the power to appoint and terminate investment managers. | |||||||||||||||||||||||||
The investment objectives of the Con Edison pension plan are to maintain a level and form of assets adequate to meet benefit obligations to participants, to achieve the expected long-term total return on the trust assets within a prudent level of risk and maintain a level of volatility that is not expected to have a material impact on the Company’s expected contribution and expense or the Company’s ability to meet plan obligations. The assets of the plan have no significant concentration of risk in one country (other than the United States), industry or entity. | |||||||||||||||||||||||||
The strategic asset allocation is intended to meet the objectives of the pension plan by diversifying its funds across asset classes, investment styles and fund managers. An asset/liability study typically is conducted every few years to determine whether the current strategic asset allocation continues to represent the appropriate balance of expected risk and reward for the plan to meet expected liabilities. Each study considers the investment risk of the asset allocation and determines the optimal asset allocation for the plan. The target asset allocation for 2014 reflects the results of such a study conducted in 2011. | |||||||||||||||||||||||||
Individual fund managers operate under written guidelines provided by Con Edison, which cover such areas as investment objectives, performance measurement, permissible investments, investment restrictions, trading and execution, and communication and reporting requirements. Con Edison management regularly monitors, and the named fiduciaries review and report to the Committee regarding, asset class performance, total fund performance, and compliance with asset allocation guidelines. Management changes fund managers and rebalances the portfolio as appropriate. At the direction of the named fiduciaries, such changes are reported to the Committee. | |||||||||||||||||||||||||
Assets measured at fair value on a recurring basis are summarized below under a three-level hierarchy established by the accounting rules which define the levels within the hierarchy as follows: | |||||||||||||||||||||||||
• | Level 1 – Consists of fair value measurements whose value is based on quoted prices in active markets for identical assets or liabilities. | ||||||||||||||||||||||||
• | Level 2 – Consists of fair value measurements whose value is based on significant other observable inputs. | ||||||||||||||||||||||||
• | Level 3 – Consists of fair value measurements whose value is based on significant unobservable inputs. | ||||||||||||||||||||||||
The fair values of the pension plan assets at December 31, 2013 by asset category are as follows: | |||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
U.S. Equity(a) | $ | 3,057 | $ | - | $ | - | $ | 3,057 | |||||||||||||||||
International Equity(b) | 2,303 | 871 | - | 3,174 | |||||||||||||||||||||
Private Equity(c) | - | - | 67 | 67 | |||||||||||||||||||||
U.S. Government Issued Debt(d) | - | 1,855 | - | 1,855 | |||||||||||||||||||||
Corporate Bonds Debt(e) | - | 1,151 | - | 1,151 | |||||||||||||||||||||
Structured Assets Debt(f) | - | 4 | - | 4 | |||||||||||||||||||||
Other Fixed Income Debt(g) | - | 150 | - | 150 | |||||||||||||||||||||
Real Estate(h) | - | - | 1,062 | 1,062 | |||||||||||||||||||||
Cash and Cash Equivalents(i) | 127 | 558 | - | 685 | |||||||||||||||||||||
Futures(j) | 348 | - | - | 348 | |||||||||||||||||||||
Hedge Funds(k) | - | - | 206 | 206 | |||||||||||||||||||||
Total investments | $ | 5,835 | $ | 4,589 | $ | 1,335 | $ | 11,759 | |||||||||||||||||
Funds for retiree health benefits(l) | (185 | ) | (145 | ) | (42 | ) | (372 | ) | |||||||||||||||||
Investments (excluding funds for retiree health benefits) | $ | 5,650 | $ | 4,444 | $ | 1,293 | $ | 11,387 | |||||||||||||||||
Pending activities(m) | (632 | ) | |||||||||||||||||||||||
Total fair value of plan net assets | $ | 10,755 | |||||||||||||||||||||||
(a) | U.S. Equity includes both actively- and passively-managed assets with investments in domestic equity index funds and actively-managed small-capitalization equities. | ||||||||||||||||||||||||
(b) | International Equity includes international equity index funds and actively-managed international equities. | ||||||||||||||||||||||||
(c) | Private Equity consists of global equity funds that are not exchange-traded. | ||||||||||||||||||||||||
(d) | U.S. Government Issued Debt includes agency and treasury securities. | ||||||||||||||||||||||||
(e) | Corporate Bonds Debt consists of debt issued by various corporations. | ||||||||||||||||||||||||
(f) | Structured Assets Debt includes commercial-mortgage-backed securities and collateralized mortgage obligations. | ||||||||||||||||||||||||
(g) | Other Fixed Income Debt includes municipal bonds, sovereign debt and regional governments. | ||||||||||||||||||||||||
(h) | Real Estate investments include real estate funds based on appraised values that are broadly diversified by geography and property type. | ||||||||||||||||||||||||
(i) | Cash and Cash Equivalents include short term investments, money markets, foreign currency and cash collateral. | ||||||||||||||||||||||||
(j) | Futures consist of exchange-traded financial contracts encompassing U.S. Equity, International Equity and U.S. Government indices. | ||||||||||||||||||||||||
(k) | Hedge Funds are within a commingled structure which invests in various hedge fund managers who can invest in all financial instruments. | ||||||||||||||||||||||||
(l) | The Companies set aside funds for retiree health benefits through a separate account within the pension trust, as permitted under Section 401(h) of the Internal Revenue Code of 1986, as amended. In accordance with the Code, the plan’s investments in the 401(h) account may not be used for, or diverted to, any purpose other than providing health benefits for retirees. The net assets held in the 401(h) account are calculated based on a pro-rata percentage allocation of the net assets in the pension plan. The related obligations for health benefits are not included in the pension plan’s obligations and are included in the Companies’ other postretirement benefit obligation. See Note F. | ||||||||||||||||||||||||
(m) | Pending activities include security purchases and sales that have not settled, interest and dividends that have not been received and reflects adjustments for available estimates at year end. | ||||||||||||||||||||||||
The table below provides a reconciliation of the beginning and ending net balances for assets at December 31, 2013 classified as Level 3 in the fair value hierarchy. | |||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Assets Still Held | Assets Sold | Purchases | Transfer | Ending | |||||||||||||||||||
Balance as of | at Reporting Date – | During the | Sales and | In/(Out) of | Balance as of | ||||||||||||||||||||
January 1, 2013 | Unrealized Gains/ | Year – Realized | Settlements | Level 3 | December 31, | ||||||||||||||||||||
(Losses) | Gains/(Losses) | 2013 | |||||||||||||||||||||||
Real Estate | $ | 833 | $ | 114 | $ | 1 | $ | 114 | $ | - | $ | 1,062 | |||||||||||||
Private Equity | 20 | 5 | - | 42 | - | 67 | |||||||||||||||||||
Hedge Funds | - | 6 | - | 200 | - | 206 | |||||||||||||||||||
Total investments | $ | 853 | $ | 125 | $ | 1 | $ | 356 | $ | - | $ | 1,335 | |||||||||||||
Funds for retiree health benefits | (31 | ) | (3 | ) | - | (8 | ) | - | (42 | ) | |||||||||||||||
Investments (excluding funds for retiree health benefits) | $ | 822 | $ | 122 | $ | 1 | $ | 348 | $ | - | $ | 1,293 | |||||||||||||
The fair values of the pension plan assets at December 31, 2012 by asset category are as follows: | |||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
U.S. Equity(a) | $ | 2,637 | $ | - | $ | - | $ | 2,637 | |||||||||||||||||
International Equity(b) | 2,242 | 753 | - | 2,995 | |||||||||||||||||||||
Private Equity(c) | - | - | 20 | 20 | |||||||||||||||||||||
U.S. Government Issued Debt(d) | - | 1,626 | - | 1,626 | |||||||||||||||||||||
Corporate Bonds Debt(e) | - | 993 | - | 993 | |||||||||||||||||||||
Structured Assets Debt(f) | - | 30 | - | 30 | |||||||||||||||||||||
Other Fixed Income Debt(g) | - | 123 | - | 123 | |||||||||||||||||||||
Real Estate(h) | - | - | 833 | 833 | |||||||||||||||||||||
Cash and Cash Equivalents(i) | 83 | 328 | - | 411 | |||||||||||||||||||||
Futures(j) | 210 | - | - | 210 | |||||||||||||||||||||
Total investments | $ | 5,172 | $ | 3,853 | $ | 853 | $ | 9,878 | |||||||||||||||||
Funds for retiree health benefits(k) | (185 | ) | (137 | ) | (31 | ) | (353 | ) | |||||||||||||||||
Investments (excluding funds for retiree health benefits) | $ | 4,987 | $ | 3,716 | $ | 822 | $ | 9,525 | |||||||||||||||||
Pending activities(l) | (390 | ) | |||||||||||||||||||||||
Total fair value of plan net assets | $ | 9,135 | |||||||||||||||||||||||
(a) | U.S. Equity includes both actively- and passively-managed assets with investments in domestic equity index funds and actively-managed small-capitalization equities. | ||||||||||||||||||||||||
(b) | International Equity includes international equity index funds and actively-managed international equities. | ||||||||||||||||||||||||
(c) | Private Equity consists of global equity funds that are not exchange-traded. | ||||||||||||||||||||||||
(d) | U.S. Government Issued Debt includes agency and treasury securities. | ||||||||||||||||||||||||
(e) | Corporate Bonds Debt consists of debt issued by various corporations. | ||||||||||||||||||||||||
(f) | Structured Assets Debt includes commercial-mortgage-backed securities and collateralized mortgage obligations. | ||||||||||||||||||||||||
(g) | Other Fixed Income Debt includes municipal bonds, sovereign debt and regional governments. | ||||||||||||||||||||||||
(h) | Real Estate investments include real estate funds based on appraised values that are broadly diversified by geography and property type. | ||||||||||||||||||||||||
(i) | Cash and Cash Equivalents include short term investments, money markets, foreign currency and cash collateral. | ||||||||||||||||||||||||
(j) | Futures consist of exchange-traded financial contracts encompassing U.S. Equity, International Equity and U.S. Government indices. | ||||||||||||||||||||||||
(k) | The Companies set aside funds for retiree health benefits through a separate account within the pension trust, as permitted under Section 401(h) of the Internal Revenue Code of 1986, as amended. In accordance with the Code, the plan’s investments in the 401(h) account may not be used for, or diverted to, any purpose other than providing health benefits for retirees. The net assets held in the 401(h) account are calculated based on a pro-rata percentage allocation of the net assets in the pension plan. The related obligations for health benefits are not included in the pension plan’s obligations and are included in the Companies’ other postretirement benefit obligation. See Note F. | ||||||||||||||||||||||||
(l) | Pending activities include security purchases and sales that have not settled, interest and dividends that have not been received and reflects adjustments for available estimates at year end. | ||||||||||||||||||||||||
The table below provides a reconciliation of the beginning and ending net balances for assets at December 31, 2012 classified as Level 3 in the fair value hierarchy. | |||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Assets Still Held | Assets Sold | Purchases | Transfer | Ending | |||||||||||||||||||
Balance as of | at Reporting Date – | During the | Sales and | In/(Out) of | Balance as of | ||||||||||||||||||||
January 1, 2012 | Unrealized | Year – Realized | Settlements | Level 3 | December 31, | ||||||||||||||||||||
Gains/(Losses) | Gains/(Losses) | 2012 | |||||||||||||||||||||||
Real Estate | $ | 572 | $ | 48 | $ | 1 | $ | 212 | $ | - | $ | 833 | |||||||||||||
Private Equity | - | 1 | - | 19 | - | 20 | |||||||||||||||||||
Corporate Bonds | 94 | - | - | (33 | ) | (61 | ) | - | |||||||||||||||||
Structured Assets | 13 | - | (6 | ) | - | (7 | ) | - | |||||||||||||||||
Other Fixed Income | 29 | - | - | (6 | ) | (23 | ) | - | |||||||||||||||||
Total investments | $ | 708 | $ | 49 | $ | (5 | ) | $ | 192 | $ | (91 | ) | $ | 853 | |||||||||||
Funds for retiree health benefits | (28 | ) | (2 | ) | - | (4 | ) | 3 | (31 | ) | |||||||||||||||
Investments (excluding funds for retiree health benefits) | $ | 680 | $ | 47 | $ | (5 | ) | $ | 188 | $ | (88 | ) | $ | 822 | |||||||||||
The Companies also offer a defined contribution savings plan that covers substantially all employees and made contributions to the plan as follows: | |||||||||||||||||||||||||
For the Years Ended December 31 | |||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||||||||||||||
Con Edison | $ | 30 | $ | 23 | $ | 23 | |||||||||||||||||||
CECONY | 26 | 21 | 21 |
Other_Postretirement_Benefits
Other Postretirement Benefits | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Other Postretirement Benefits | ' | ||||||||||||||||||||||||
Note F — Other Postretirement Benefits | |||||||||||||||||||||||||
The Utilities currently have contributory comprehensive hospital, medical and prescription drug programs for all retirees, their dependents and surviving spouses. | |||||||||||||||||||||||||
CECONY also has a contributory life insurance program for bargaining unit employees and provides basic life insurance benefits up to a specified maximum at no cost to retired management employees. O&R has a non-contributory life insurance program for retirees. Certain employees of Con Edison’s competitive energy businesses are eligible to receive benefits under these programs. | |||||||||||||||||||||||||
Net Periodic Benefit Cost | |||||||||||||||||||||||||
The components of the Companies’ net periodic postretirement benefit costs for 2013, 2012, and 2011 were as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Service cost | $ | 23 | $ | 26 | $ | 26 | $ | 18 | $ | 21 | $ | 20 | |||||||||||||
Interest cost on accumulated other postretirement benefit obligation | 54 | 73 | 83 | 46 | 63 | 72 | |||||||||||||||||||
Expected return on plan assets | (77 | ) | (85 | ) | (88 | ) | (68 | ) | (75 | ) | (78 | ) | |||||||||||||
Recognition of net actuarial loss | 65 | 98 | 88 | 57 | 87 | 80 | |||||||||||||||||||
Recognition of prior service cost | (27 | ) | (21 | ) | (10 | ) | (23 | ) | (18 | ) | (11 | ) | |||||||||||||
Recognition of transition obligation | - | 2 | 4 | - | 2 | 4 | |||||||||||||||||||
NET PERIODIC POSTRETIREMENT BENEFIT COST | $ | 38 | $ | 93 | $ | 103 | $ | 30 | $ | 80 | $ | 87 | |||||||||||||
Cost capitalized | (15 | ) | (32 | ) | (35 | ) | (12 | ) | (28 | ) | (29 | ) | |||||||||||||
Reconciliation to rate level | 58 | 20 | 14 | 50 | 16 | 13 | |||||||||||||||||||
Cost charged to operating expenses | $ | 81 | $ | 81 | $ | 82 | $ | 68 | $ | 68 | $ | 71 | |||||||||||||
Funded Status | |||||||||||||||||||||||||
The funded status of the programs at December 31, 2013, 2012, and 2011 were as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
CHANGE IN BENEFIT OBLIGATION | |||||||||||||||||||||||||
Benefit obligation at beginning of year | $ | 1,454 | $ | 1,756 | $ | 1,642 | $ | 1,238 | $ | 1,511 | $ | 1,426 | |||||||||||||
Service cost | 23 | 26 | 25 | 18 | 21 | 20 | |||||||||||||||||||
Interest cost on accumulated postretirement benefit obligation | 54 | 73 | 83 | 46 | 63 | 72 | |||||||||||||||||||
Amendments | - | (127 | ) | - | - | (89 | ) | - | |||||||||||||||||
Net actuarial loss/(gain) | (42 | ) | (175 | ) | 109 | (20 | ) | (178 | ) | 86 | |||||||||||||||
Benefits paid and administrative expenses | (136 | ) | (146 | ) | (144 | ) | (126 | ) | (134 | ) | (132 | ) | |||||||||||||
Participant contributions | 38 | 37 | 33 | 38 | 36 | 32 | |||||||||||||||||||
Medicare prescription subsidy | 4 | 10 | 8 | 4 | 8 | 7 | |||||||||||||||||||
BENEFIT OBLIGATION AT END OF YEAR | $ | 1,395 | $ | 1,454 | $ | 1,756 | $ | 1,198 | $ | 1,238 | $ | 1,511 | |||||||||||||
CHANGE IN PLAN ASSETS | |||||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 1,047 | $ | 947 | $ | 942 | $ | 922 | $ | 840 | $ | 839 | |||||||||||||
Actual return on plan assets | 153 | 124 | 20 | 134 | 109 | 19 | |||||||||||||||||||
Employer contributions | 9 | 83 | 84 | 9 | 71 | 74 | |||||||||||||||||||
EGWP payments | 8 | - | - | 7 | - | - | |||||||||||||||||||
Participant contributions | 38 | 37 | 33 | 38 | 36 | 32 | |||||||||||||||||||
Benefits paid | (142 | ) | (144 | ) | (132 | ) | (133 | ) | (134 | ) | (124 | ) | |||||||||||||
FAIR VALUE OF PLAN ASSETS AT END OF YEAR | $ | 1,113 | $ | 1,047 | $ | 947 | $ | 977 | $ | 922 | $ | 840 | |||||||||||||
FUNDED STATUS | $ | (282 | ) | $ | (407 | ) | $ | (809 | ) | $ | (221 | ) | $ | (316 | ) | $ | (671 | ) | |||||||
Unrecognized net loss | $ | 70 | $ | 251 | $ | 563 | $ | 54 | $ | 197 | $ | 496 | |||||||||||||
Unrecognized prior service costs | (78 | ) | (105 | ) | (1 | ) | (61 | ) | (84 | ) | (15 | ) | |||||||||||||
Unrecognized net transition liability at January 1, 1993 | - | - | 4 | - | - | 4 | |||||||||||||||||||
In 2012, the Utilities amended their postretirement life and health benefit plans for management employees, resulting in a reduction to the obligation of $102 million. Also in 2012, the Utilities amended the retiree contributions for supplemental postretirement life insurance for CECONY management and weekly retirees, resulting in a reduction to the obligation of $25 million. Also in 2012, the Utilities elected to change the method of receiving the subsidy under Medicare Part D for retiree prescription drug coverage from the Retiree Drug Subsidy to the Employer Group Waiver Plan (EGWP) beginning in January 2013. Participation in the EGWP allows Con Edison to offer substantially the same postretirement benefits to eligible participants while increasing subsidy reimbursements received by the plans from the Federal Government. This change was effective January 2013 and, as a result, the Utilities recognized a reduction to its postretirement health benefit obligation of $306 million as of December 31, 2012, which was recorded as an actuarial gain. | |||||||||||||||||||||||||
The decrease in the value of the other postretirement benefit plan obligation (due primarily to increased discount rates) and an increase in actual return on plan assets, were the primary drivers in the decreased liability for other postretirement benefits at Con Edison and CECONY of $125 million and $95 million, respectively, compared with December 31, 2012. For Con Edison, this decreased liability resulted in a decrease to regulatory assets of $148 million for unrecognized net losses and unrecognized prior service costs associated with the Utilities consistent with the accounting rules for regulated operations and a credit to OCI of $4 million (net of taxes) for the unrecognized net losses and an immaterial change to OCI (net of taxes) for the unrecognized prior service costs associated with the competitive energy businesses and O&R’s New Jersey and Pennsylvania utility subsidiaries. | |||||||||||||||||||||||||
For CECONY, the decrease in liability resulted in a decrease to regulatory assets of $120 million for unrecognized net losses and unrecognized prior service costs associated with the company consistent with the accounting rules for regulated operations and an immaterial change to OCI for unrecognized net losses and unrecognized prior service costs associated with the competitive energy businesses. | |||||||||||||||||||||||||
A portion of the unrecognized net losses and prior service costs for the other postretirement benefits, equal to $59 million and $(19) million, respectively, will be recognized from accumulated OCI and the regulatory asset into net periodic benefit cost over the next year for Con Edison. Included in these amounts are $52 million and $(15) million, respectively, for CECONY. | |||||||||||||||||||||||||
Assumptions | |||||||||||||||||||||||||
The actuarial assumptions were as follows: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Weighted-average assumptions used to determine benefit obligations at December 31: | |||||||||||||||||||||||||
Discount Rate | |||||||||||||||||||||||||
CECONY | 4.5 | % | 3.75 | % | 4.55 | % | |||||||||||||||||||
O&R | 4.75 | % | 4.05 | % | 4.55 | % | |||||||||||||||||||
Weighted-average assumptions used to determine net periodic benefit cost for the years ended December 31: | |||||||||||||||||||||||||
Discount Rate | |||||||||||||||||||||||||
CECONY | 3.75 | % | 4.55 | % | 5.4 | % | |||||||||||||||||||
O&R | 4.05 | % | 4.55 | % | 5.4 | % | |||||||||||||||||||
Expected Return on Plan Assets | 7.75 | % | 8.5 | % | 8.5 | % | |||||||||||||||||||
Refer to Note E for descriptions of the basis for determining the expected return on assets, investment policies and strategies, and the assumed discount rate. | |||||||||||||||||||||||||
The health care cost trend rate used to determine net periodic benefit cost for the year ended December 31, 2013 was 5.75 percent, which is assumed to decrease gradually to 4.50 percent by 2018 and remain at that level thereafter. The health care cost trend rate used to determine benefit obligations as of December 31, 2013 was 5.50 percent, which is assumed to decrease gradually to 4.50 percent by 2018 and remain at that level thereafter. | |||||||||||||||||||||||||
A one-percentage point change in the assumed health care cost trend rate would have the following effects at December 31, 2014: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
1-Percentage-Point | |||||||||||||||||||||||||
(Millions of Dollars) | Increase | Decrease | Increase | Decrease | |||||||||||||||||||||
Effect on accumulated other postretirement benefit obligation | $ | (35 | ) | $ | 27 | $ | (53 | ) | $ | 41 | |||||||||||||||
Effect on service cost and interest cost components for 2013 | (2 | ) | 1 | (4 | ) | 3 | |||||||||||||||||||
Expected Benefit Payments | |||||||||||||||||||||||||
Based on current assumptions, the Companies expect to make the following benefit payments over the next ten years, net of receipt of governmental subsidies: | |||||||||||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | 2016 | 2017 | 2018 | 2019-2023 | |||||||||||||||||||
BENEFIT PAYMENTS | |||||||||||||||||||||||||
Con Edison | $ | 105 | $ | 105 | $ | 102 | $ | 101 | $ | 99 | $ | 465 | |||||||||||||
CECONY | 94 | 94 | 91 | 89 | 88 | 403 | |||||||||||||||||||
Expected Contributions | |||||||||||||||||||||||||
Based on estimates as of December 31, 2013, Con Edison expects to make a contribution of $7 million, nearly all of which is for CECONY, to the other postretirement benefit plans in 2014. | |||||||||||||||||||||||||
Plan Assets | |||||||||||||||||||||||||
The asset allocations for CECONY’s other postretirement benefit plans at the end of 2013, 2012 and 2011, and the target allocation for 2014 are as follows: | |||||||||||||||||||||||||
Target Allocation Range | Plan Assets at | ||||||||||||||||||||||||
December 31 | |||||||||||||||||||||||||
Asset Category | 2014 | 2013 | 2012 | 2011 | |||||||||||||||||||||
Equity Securities | 57% - 73% | 61 | % | 62 | % | 62% | |||||||||||||||||||
Debt Securities | 26% - 44% | 39 | % | 38 | % | 38% | |||||||||||||||||||
Total | 100% | 100 | % | 100 | % | 100% | |||||||||||||||||||
Con Edison has established postretirement health and life insurance benefit plan trusts for the investment of assets to be used for the exclusive purpose of providing other postretirement benefits to participants and beneficiaries. | |||||||||||||||||||||||||
Refer to Note E for a discussion of Con Edison’s investment policy for its benefit plans. | |||||||||||||||||||||||||
The fair values of the plan assets at December 31, 2013 by asset category (see description of levels in Note E) are as follows: | |||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
Equity(a) | $ | - | $ | 450 | $ | - | $ | 450 | |||||||||||||||||
Other Fixed Income Debt(b) | - | 286 | - | 286 | |||||||||||||||||||||
Cash and Cash Equivalents(c) | - | 7 | - | 7 | |||||||||||||||||||||
Total investments | $ | - | $ | 743 | $ | - | $ | 743 | |||||||||||||||||
Funds for retiree health benefits(d) | 185 | 145 | 42 | 372 | |||||||||||||||||||||
Investments (including funds for retiree health benefits) | $ | 185 | $ | 888 | $ | 42 | $ | 1,115 | |||||||||||||||||
Pending activities(e) | (2 | ) | |||||||||||||||||||||||
Total fair value of plan net assets | $ | 1,113 | |||||||||||||||||||||||
(a) | Equity includes a passively managed commingled index fund benchmarked to the MSCI All Country World Index. | ||||||||||||||||||||||||
(b) | Other Fixed Income Debt includes a passively managed commingled index fund benchmarked to the Barclays Capital Aggregate Index. | ||||||||||||||||||||||||
(c) | Cash and Cash Equivalents include short term investments and money markets. | ||||||||||||||||||||||||
(d) | The Companies set aside funds for retiree health benefits through a separate account within the pension trust, as permitted under Section 401(h) of the Internal Revenue Code of 1986, as amended. In accordance with the Code, the plan’s investments in the 401(h) account may not be used for, or diverted to, any purpose other than providing health benefits for retirees. The net assets held in the 401(h) account are calculated based on a pro-rata percentage allocation of the net assets in the pension plan. The related obligations for health benefits are not included in the pension plan’s obligations and are included in the Companies’ other postretirement benefit obligation. See Note E. | ||||||||||||||||||||||||
(e) | Pending activities include security purchases and sales that have not settled, interest and dividends that have not been received, and reflects adjustments for available estimates at year end. | ||||||||||||||||||||||||
The table below provides a reconciliation of the beginning and ending net balances for assets at December 31, 2013 classified as Level 3 in the fair value hierarchy. | |||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Assets Still Held | Assets Sold | Purchases | Transfers | Ending | |||||||||||||||||||
Balance as of | at Reporting Date – | During the | Sales and | In/(Out) of | Balance as of | ||||||||||||||||||||
January 1, 2013 | Unrealized | Year – Realized | Settlements | Level 3 | December 31, | ||||||||||||||||||||
Gains/(Losses) | Gains/(Losses) | 2013 | |||||||||||||||||||||||
Total investments | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |||||||||||||
Funds for retiree health benefits | 31 | 3 | - | 8 | - | 42 | |||||||||||||||||||
Investments (including funds for retiree health benefits) | $ | 31 | $ | 3 | $ | - | $ | 8 | $ | - | $ | 42 | |||||||||||||
The fair values of the plan assets at December 31, 2012 by asset category (see description of levels in Note E) are as follows: | |||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
U.S. Equity(a) | $ | 127 | $ | 184 | $ | - | $ | 311 | |||||||||||||||||
International Equity(b) | - | 124 | - | 124 | |||||||||||||||||||||
Other Fixed Income(c) | - | 229 | - | 229 | |||||||||||||||||||||
Cash and Cash Equivalents(d) | - | 23 | - | 23 | |||||||||||||||||||||
Total investments | $ | 127 | $ | 560 | $ | - | $ | 687 | |||||||||||||||||
Funds for retiree health benefits(e) | 185 | 137 | 31 | 353 | |||||||||||||||||||||
Investments (including funds for retiree health benefits) | $ | 312 | $ | 697 | $ | 31 | $ | 1,040 | |||||||||||||||||
Pending activities(f) | 7 | ||||||||||||||||||||||||
Total fair value of plan net assets | $ | 1,047 | |||||||||||||||||||||||
(a) | U.S. Equity includes both actively-and passively-managed assets with investments in domestic equity index funds and commingled funds. | ||||||||||||||||||||||||
(b) | International Equity includes commingled international equity funds. | ||||||||||||||||||||||||
(c) | Other Fixed Income includes commingled funds, which are valued at Net Asset Value. | ||||||||||||||||||||||||
(d) | Cash and Cash Equivalents include short term investments and money markets. | ||||||||||||||||||||||||
(e) | The Companies set aside funds for retiree health benefits through a separate account within the pension trust, as permitted under Section 401(h) of the Internal Revenue Code of 1986, as amended. In accordance with the Code, the plan’s investments in the 401(h) account may not be used for, or diverted to, any purpose other than providing health benefits for retirees. The net assets held in the 401(h) account are calculated based on a pro-rata percentage allocation of the net assets in the pension plan. The related obligations for health benefits are not included in the pension plan’s obligations and are included in the Companies’ other postretirement benefit obligation. See Note E. | ||||||||||||||||||||||||
(f) | Pending activities include security purchases and sales that have not settled, interest and dividends that have not been received, and reflects adjustments for available estimates at year end. | ||||||||||||||||||||||||
The table below provides a reconciliation of the beginning and ending net balances for assets at December 31, 2012 classified as Level 3 in the fair value hierarchy. | |||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Assets Still Held | Assets Sold | Purchases | Transfers | Ending | |||||||||||||||||||
Balance as of | at Reporting Date — | During the | Sales and | In/(Out) of | Balance as of | ||||||||||||||||||||
January 1, 2012 | Unrealized | Year — Realized | Settlements | Level 3 | December 31, | ||||||||||||||||||||
Gains/(Losses) | Gains/(Losses) | 2012 | |||||||||||||||||||||||
Total investments | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |||||||||||||
Funds for retiree health benefits | 28 | 2 | - | 4 | (3 | ) | 31 | ||||||||||||||||||
Investments (including funds for retiree health benefits) | $ | 28 | $ | 2 | $ | - | $ | 4 | $ | (3 | ) | $ | 31 | ||||||||||||
CECONY [Member] | ' | ||||||||||||||||||||||||
Other Postretirement Benefits | ' | ||||||||||||||||||||||||
Note F — Other Postretirement Benefits | |||||||||||||||||||||||||
The Utilities currently have contributory comprehensive hospital, medical and prescription drug programs for all retirees, their dependents and surviving spouses. | |||||||||||||||||||||||||
CECONY also has a contributory life insurance program for bargaining unit employees and provides basic life insurance benefits up to a specified maximum at no cost to retired management employees. O&R has a non-contributory life insurance program for retirees. Certain employees of Con Edison’s competitive energy businesses are eligible to receive benefits under these programs. | |||||||||||||||||||||||||
Net Periodic Benefit Cost | |||||||||||||||||||||||||
The components of the Companies’ net periodic postretirement benefit costs for 2013, 2012, and 2011 were as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Service cost | $ | 23 | $ | 26 | $ | 26 | $ | 18 | $ | 21 | $ | 20 | |||||||||||||
Interest cost on accumulated other postretirement benefit obligation | 54 | 73 | 83 | 46 | 63 | 72 | |||||||||||||||||||
Expected return on plan assets | (77 | ) | (85 | ) | (88 | ) | (68 | ) | (75 | ) | (78 | ) | |||||||||||||
Recognition of net actuarial loss | 65 | 98 | 88 | 57 | 87 | 80 | |||||||||||||||||||
Recognition of prior service cost | (27 | ) | (21 | ) | (10 | ) | (23 | ) | (18 | ) | (11 | ) | |||||||||||||
Recognition of transition obligation | - | 2 | 4 | - | 2 | 4 | |||||||||||||||||||
NET PERIODIC POSTRETIREMENT BENEFIT COST | $ | 38 | $ | 93 | $ | 103 | $ | 30 | $ | 80 | $ | 87 | |||||||||||||
Cost capitalized | (15 | ) | (32 | ) | (35 | ) | (12 | ) | (28 | ) | (29 | ) | |||||||||||||
Reconciliation to rate level | 58 | 20 | 14 | 50 | 16 | 13 | |||||||||||||||||||
Cost charged to operating expenses | $ | 81 | $ | 81 | $ | 82 | $ | 68 | $ | 68 | $ | 71 | |||||||||||||
Funded Status | |||||||||||||||||||||||||
The funded status of the programs at December 31, 2013, 2012, and 2011 were as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
CHANGE IN BENEFIT OBLIGATION | |||||||||||||||||||||||||
Benefit obligation at beginning of year | $ | 1,454 | $ | 1,756 | $ | 1,642 | $ | 1,238 | $ | 1,511 | $ | 1,426 | |||||||||||||
Service cost | 23 | 26 | 25 | 18 | 21 | 20 | |||||||||||||||||||
Interest cost on accumulated postretirement benefit obligation | 54 | 73 | 83 | 46 | 63 | 72 | |||||||||||||||||||
Amendments | - | (127 | ) | - | - | (89 | ) | - | |||||||||||||||||
Net actuarial loss/(gain) | (42 | ) | (175 | ) | 109 | (20 | ) | (178 | ) | 86 | |||||||||||||||
Benefits paid and administrative expenses | (136 | ) | (146 | ) | (144 | ) | (126 | ) | (134 | ) | (132 | ) | |||||||||||||
Participant contributions | 38 | 37 | 33 | 38 | 36 | 32 | |||||||||||||||||||
Medicare prescription subsidy | 4 | 10 | 8 | 4 | 8 | 7 | |||||||||||||||||||
BENEFIT OBLIGATION AT END OF YEAR | $ | 1,395 | $ | 1,454 | $ | 1,756 | $ | 1,198 | $ | 1,238 | $ | 1,511 | |||||||||||||
CHANGE IN PLAN ASSETS | |||||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 1,047 | $ | 947 | $ | 942 | $ | 922 | $ | 840 | $ | 839 | |||||||||||||
Actual return on plan assets | 153 | 124 | 20 | 134 | 109 | 19 | |||||||||||||||||||
Employer contributions | 9 | 83 | 84 | 9 | 71 | 74 | |||||||||||||||||||
EGWP payments | 8 | - | - | 7 | - | - | |||||||||||||||||||
Participant contributions | 38 | 37 | 33 | 38 | 36 | 32 | |||||||||||||||||||
Benefits paid | (142 | ) | (144 | ) | (132 | ) | (133 | ) | (134 | ) | (124 | ) | |||||||||||||
FAIR VALUE OF PLAN ASSETS AT END OF YEAR | $ | 1,113 | $ | 1,047 | $ | 947 | $ | 977 | $ | 922 | $ | 840 | |||||||||||||
FUNDED STATUS | $ | (282 | ) | $ | (407 | ) | $ | (809 | ) | $ | (221 | ) | $ | (316 | ) | $ | (671 | ) | |||||||
Unrecognized net loss | $ | 70 | $ | 251 | $ | 563 | $ | 54 | $ | 197 | $ | 496 | |||||||||||||
Unrecognized prior service costs | (78 | ) | (105 | ) | (1 | ) | (61 | ) | (84 | ) | (15 | ) | |||||||||||||
Unrecognized net transition liability at January 1, 1993 | - | - | 4 | - | - | 4 | |||||||||||||||||||
In 2012, the Utilities amended their postretirement life and health benefit plans for management employees, resulting in a reduction to the obligation of $102 million. Also in 2012, the Utilities amended the retiree contributions for supplemental postretirement life insurance for CECONY management and weekly retirees, resulting in a reduction to the obligation of $25 million. Also in 2012, the Utilities elected to change the method of receiving the subsidy under Medicare Part D for retiree prescription drug coverage from the Retiree Drug Subsidy to the Employer Group Waiver Plan (EGWP) beginning in January 2013. Participation in the EGWP allows Con Edison to offer substantially the same postretirement benefits to eligible participants while increasing subsidy reimbursements received by the plans from the Federal Government. This change was effective January 2013 and, as a result, the Utilities recognized a reduction to its postretirement health benefit obligation of $306 million as of December 31, 2012, which was recorded as an actuarial gain. | |||||||||||||||||||||||||
The decrease in the value of the other postretirement benefit plan obligation (due primarily to increased discount rates) and an increase in actual return on plan assets, were the primary drivers in the decreased liability for other postretirement benefits at Con Edison and CECONY of $125 million and $95 million, respectively, compared with December 31, 2012. For Con Edison, this decreased liability resulted in a decrease to regulatory assets of $148 million for unrecognized net losses and unrecognized prior service costs associated with the Utilities consistent with the accounting rules for regulated operations and a credit to OCI of $4 million (net of taxes) for the unrecognized net losses and an immaterial change to OCI (net of taxes) for the unrecognized prior service costs associated with the competitive energy businesses and O&R’s New Jersey and Pennsylvania utility subsidiaries. | |||||||||||||||||||||||||
For CECONY, the decrease in liability resulted in a decrease to regulatory assets of $120 million for unrecognized net losses and unrecognized prior service costs associated with the company consistent with the accounting rules for regulated operations and an immaterial change to OCI for unrecognized net losses and unrecognized prior service costs associated with the competitive energy businesses. | |||||||||||||||||||||||||
A portion of the unrecognized net losses and prior service costs for the other postretirement benefits, equal to $59 million and $(19) million, respectively, will be recognized from accumulated OCI and the regulatory asset into net periodic benefit cost over the next year for Con Edison. Included in these amounts are $52 million and $(15) million, respectively, for CECONY. | |||||||||||||||||||||||||
Assumptions | |||||||||||||||||||||||||
The actuarial assumptions were as follows: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Weighted-average assumptions used to determine benefit obligations at December 31: | |||||||||||||||||||||||||
Discount Rate | |||||||||||||||||||||||||
CECONY | 4.5 | % | 3.75 | % | 4.55 | % | |||||||||||||||||||
O&R | 4.75 | % | 4.05 | % | 4.55 | % | |||||||||||||||||||
Weighted-average assumptions used to determine net periodic benefit cost for the years ended December 31: | |||||||||||||||||||||||||
Discount Rate | |||||||||||||||||||||||||
CECONY | 3.75 | % | 4.55 | % | 5.4 | % | |||||||||||||||||||
O&R | 4.05 | % | 4.55 | % | 5.4 | % | |||||||||||||||||||
Expected Return on Plan Assets | 7.75 | % | 8.5 | % | 8.5 | % | |||||||||||||||||||
Refer to Note E for descriptions of the basis for determining the expected return on assets, investment policies and strategies, and the assumed discount rate. | |||||||||||||||||||||||||
The health care cost trend rate used to determine net periodic benefit cost for the year ended December 31, 2013 was 5.75 percent, which is assumed to decrease gradually to 4.50 percent by 2018 and remain at that level thereafter. The health care cost trend rate used to determine benefit obligations as of December 31, 2013 was 5.50 percent, which is assumed to decrease gradually to 4.50 percent by 2018 and remain at that level thereafter. | |||||||||||||||||||||||||
A one-percentage point change in the assumed health care cost trend rate would have the following effects at December 31, 2014: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
1-Percentage-Point | |||||||||||||||||||||||||
(Millions of Dollars) | Increase | Decrease | Increase | Decrease | |||||||||||||||||||||
Effect on accumulated other postretirement benefit obligation | $ | (35 | ) | $ | 27 | $ | (53 | ) | $ | 41 | |||||||||||||||
Effect on service cost and interest cost components for 2013 | (2 | ) | 1 | (4 | ) | 3 | |||||||||||||||||||
Expected Benefit Payments | |||||||||||||||||||||||||
Based on current assumptions, the Companies expect to make the following benefit payments over the next ten years, net of receipt of governmental subsidies: | |||||||||||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | 2016 | 2017 | 2018 | 2019-2023 | |||||||||||||||||||
BENEFIT PAYMENTS | |||||||||||||||||||||||||
Con Edison | $ | 105 | $ | 105 | $ | 102 | $ | 101 | $ | 99 | $ | 465 | |||||||||||||
CECONY | 94 | 94 | 91 | 89 | 88 | 403 | |||||||||||||||||||
Expected Contributions | |||||||||||||||||||||||||
Based on estimates as of December 31, 2013, Con Edison expects to make a contribution of $7 million, nearly all of which is for CECONY, to the other postretirement benefit plans in 2014. | |||||||||||||||||||||||||
Plan Assets | |||||||||||||||||||||||||
The asset allocations for CECONY’s other postretirement benefit plans at the end of 2013, 2012 and 2011, and the target allocation for 2014 are as follows: | |||||||||||||||||||||||||
Target Allocation Range | Plan Assets at | ||||||||||||||||||||||||
December 31 | |||||||||||||||||||||||||
Asset Category | 2014 | 2013 | 2012 | 2011 | |||||||||||||||||||||
Equity Securities | 57% - 73% | 61 | % | 62 | % | 62% | |||||||||||||||||||
Debt Securities | 26% - 44% | 39 | % | 38 | % | 38% | |||||||||||||||||||
Total | 100% | 100 | % | 100 | % | 100% | |||||||||||||||||||
Con Edison has established postretirement health and life insurance benefit plan trusts for the investment of assets to be used for the exclusive purpose of providing other postretirement benefits to participants and beneficiaries. | |||||||||||||||||||||||||
Refer to Note E for a discussion of Con Edison’s investment policy for its benefit plans. | |||||||||||||||||||||||||
The fair values of the plan assets at December 31, 2013 by asset category (see description of levels in Note E) are as follows: | |||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
Equity(a) | $ | - | $ | 450 | $ | - | $ | 450 | |||||||||||||||||
Other Fixed Income Debt(b) | - | 286 | - | 286 | |||||||||||||||||||||
Cash and Cash Equivalents(c) | - | 7 | - | 7 | |||||||||||||||||||||
Total investments | $ | - | $ | 743 | $ | - | $ | 743 | |||||||||||||||||
Funds for retiree health benefits(d) | 185 | 145 | 42 | 372 | |||||||||||||||||||||
Investments (including funds for retiree health benefits) | $ | 185 | $ | 888 | $ | 42 | $ | 1,115 | |||||||||||||||||
Pending activities(e) | (2 | ) | |||||||||||||||||||||||
Total fair value of plan net assets | $ | 1,113 | |||||||||||||||||||||||
(a) | Equity includes a passively managed commingled index fund benchmarked to the MSCI All Country World Index. | ||||||||||||||||||||||||
(b) | Other Fixed Income Debt includes a passively managed commingled index fund benchmarked to the Barclays Capital Aggregate Index. | ||||||||||||||||||||||||
(c) | Cash and Cash Equivalents include short term investments and money markets. | ||||||||||||||||||||||||
(d) | The Companies set aside funds for retiree health benefits through a separate account within the pension trust, as permitted under Section 401(h) of the Internal Revenue Code of 1986, as amended. In accordance with the Code, the plan’s investments in the 401(h) account may not be used for, or diverted to, any purpose other than providing health benefits for retirees. The net assets held in the 401(h) account are calculated based on a pro-rata percentage allocation of the net assets in the pension plan. The related obligations for health benefits are not included in the pension plan’s obligations and are included in the Companies’ other postretirement benefit obligation. See Note E. | ||||||||||||||||||||||||
(e) | Pending activities include security purchases and sales that have not settled, interest and dividends that have not been received, and reflects adjustments for available estimates at year end. | ||||||||||||||||||||||||
The table below provides a reconciliation of the beginning and ending net balances for assets at December 31, 2013 classified as Level 3 in the fair value hierarchy. | |||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Assets Still Held | Assets Sold | Purchases | Transfers | Ending | |||||||||||||||||||
Balance as of | at Reporting Date – | During the | Sales and | In/(Out) of | Balance as of | ||||||||||||||||||||
January 1, 2013 | Unrealized | Year – Realized | Settlements | Level 3 | December 31, | ||||||||||||||||||||
Gains/(Losses) | Gains/(Losses) | 2013 | |||||||||||||||||||||||
Total investments | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |||||||||||||
Funds for retiree health benefits | 31 | 3 | - | 8 | - | 42 | |||||||||||||||||||
Investments (including funds for retiree health benefits) | $ | 31 | $ | 3 | $ | - | $ | 8 | $ | - | $ | 42 | |||||||||||||
The fair values of the plan assets at December 31, 2012 by asset category (see description of levels in Note E) are as follows: | |||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
U.S. Equity(a) | $ | 127 | $ | 184 | $ | - | $ | 311 | |||||||||||||||||
International Equity(b) | - | 124 | - | 124 | |||||||||||||||||||||
Other Fixed Income(c) | - | 229 | - | 229 | |||||||||||||||||||||
Cash and Cash Equivalents(d) | - | 23 | - | 23 | |||||||||||||||||||||
Total investments | $ | 127 | $ | 560 | $ | - | $ | 687 | |||||||||||||||||
Funds for retiree health benefits(e) | 185 | 137 | 31 | 353 | |||||||||||||||||||||
Investments (including funds for retiree health benefits) | $ | 312 | $ | 697 | $ | 31 | $ | 1,040 | |||||||||||||||||
Pending activities(f) | 7 | ||||||||||||||||||||||||
Total fair value of plan net assets | $ | 1,047 | |||||||||||||||||||||||
(a) | U.S. Equity includes both actively-and passively-managed assets with investments in domestic equity index funds and commingled funds. | ||||||||||||||||||||||||
(b) | International Equity includes commingled international equity funds. | ||||||||||||||||||||||||
(c) | Other Fixed Income includes commingled funds, which are valued at Net Asset Value. | ||||||||||||||||||||||||
(d) | Cash and Cash Equivalents include short term investments and money markets. | ||||||||||||||||||||||||
(e) | The Companies set aside funds for retiree health benefits through a separate account within the pension trust, as permitted under Section 401(h) of the Internal Revenue Code of 1986, as amended. In accordance with the Code, the plan’s investments in the 401(h) account may not be used for, or diverted to, any purpose other than providing health benefits for retirees. The net assets held in the 401(h) account are calculated based on a pro-rata percentage allocation of the net assets in the pension plan. The related obligations for health benefits are not included in the pension plan’s obligations and are included in the Companies’ other postretirement benefit obligation. See Note E. | ||||||||||||||||||||||||
(f) | Pending activities include security purchases and sales that have not settled, interest and dividends that have not been received, and reflects adjustments for available estimates at year end. | ||||||||||||||||||||||||
The table below provides a reconciliation of the beginning and ending net balances for assets at December 31, 2012 classified as Level 3 in the fair value hierarchy. | |||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Assets Still Held | Assets Sold | Purchases | Transfers | Ending | |||||||||||||||||||
Balance as of | at Reporting Date — | During the | Sales and | In/(Out) of | Balance as of | ||||||||||||||||||||
January 1, 2012 | Unrealized | Year — Realized | Settlements | Level 3 | December 31, | ||||||||||||||||||||
Gains/(Losses) | Gains/(Losses) | 2012 | |||||||||||||||||||||||
Total investments | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |||||||||||||
Funds for retiree health benefits | 28 | 2 | - | 4 | (3 | ) | 31 | ||||||||||||||||||
Investments (including funds for retiree health benefits) | $ | 28 | $ | 2 | $ | - | $ | 4 | $ | (3 | ) | $ | 31 |
Environmental_Matters
Environmental Matters | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Environmental Matters | ' | ||||||||||||||||
Note G — Environmental Matters | |||||||||||||||||
Superfund Sites | |||||||||||||||||
Hazardous substances, such as asbestos, polychlorinated biphenyls (PCBs) and coal tar, have been used or generated in the course of operations of the Utilities and their predecessors and are present at sites and in facilities and equipment they currently or previously owned, including sites at which gas was manufactured or stored. | |||||||||||||||||
The Federal Comprehensive Environmental Response, Compensation and Liability Act of 1980 and similar state statutes (Superfund) impose joint and several liability, regardless of fault, upon generators of hazardous substances for investigation and remediation costs (which include costs of demolition, removal, disposal, storage, replacement, containment, and monitoring) and natural resource damages. Liability under these laws can be material and may be imposed for contamination from past acts, even though such past acts may have been lawful at the time they occurred. The sites at which the Utilities have been asserted to have liability under these laws, including their manufactured gas plant sites and any neighboring areas to which contamination may have migrated, are referred to herein as “Superfund Sites.” | |||||||||||||||||
For Superfund Sites where there are other potentially responsible parties and the Utilities are not managing the site investigation and remediation, the accrued liability represents an estimate of the amount the Utilities will need to pay to investigate and, where determinable, discharge their related obligations. For Superfund Sites (including the manufactured gas plant sites) for which one of the Utilities is managing the investigation and remediation, the accrued liability represents an estimate of the company’s share of undiscounted cost to investigate the sites and, for sites that have been investigated in whole or in part, the cost to remediate the sites, if remediation is necessary and if a reasonable estimate of such cost can be made. Remediation costs are estimated in light of the information available, applicable remediation standards, and experience with similar sites. | |||||||||||||||||
The accrued liabilities and regulatory assets related to Superfund Sites at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Accrued Liabilities: | |||||||||||||||||
Manufactured gas plant sites | $ | 665 | $ | 462 | $ | 562 | $ | 351 | |||||||||
Other Superfund Sites | 84 | 83 | 82 | 82 | |||||||||||||
Total | $ | 749 | $ | 545 | $ | 644 | $ | 433 | |||||||||
Regulatory assets | $ | 938 | $ | 730 | $ | 830 | $ | 615 | |||||||||
Most of the accrued Superfund Site liability relates to sites that have been investigated, in whole or in part. However, for some of the sites, the extent and associated cost of the required remediation has not yet been determined. As investigations progress and information pertaining to the required remediation becomes available, the Utilities expect that additional liability may be accrued, the amount of which is not presently determinable but may be material. Under their current rate plans, the Utilities are permitted to recover or defer as regulatory assets (for subsequent recovery through rates) certain site investigation and remediation costs. | |||||||||||||||||
Environmental remediation costs incurred and insurance recoveries received related to Superfund Sites at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Remediation costs incurred | $ | 41 | $ | 31 | $ | 35 | $ | 26 | |||||||||
Insurance recoveries received* | - | 4 | - | 4 | |||||||||||||
* | Reduced amount deferred for recovery from customers | ||||||||||||||||
In 2013, CECONY estimated that for its manufactured gas plant sites, its aggregate undiscounted potential liability for the investigation and remediation of coal tar and/or other manufactured gas plant-related environmental contaminants could range up to $2.4 billion. In 2013, O&R estimated that for its manufactured gas plant sites, each of which has been investigated, the aggregate undiscounted potential liability for the remediation of such contaminants could range up to $167 million. These estimates were based on the assumption that there is contamination at all sites, including those that have not yet been fully investigated and additional assumptions about the extent of the contamination and the type and extent of the remediation that may be required. Actual experience may be materially different. | |||||||||||||||||
Asbestos Proceedings | |||||||||||||||||
Suits have been brought in New York State and federal courts against the Utilities and many other defendants, wherein a large number of plaintiffs sought large amounts of compensatory and punitive damages for deaths and injuries allegedly caused by exposure to asbestos at various premises of the Utilities. The suits that have been resolved, which are many, have been resolved without any payment by the Utilities, or for amounts that were not, in the aggregate, material to them. The amounts specified in all the remaining thousands of suits total billions of dollars; however, the Utilities believe that these amounts are greatly exaggerated, based on the disposition of previous claims. In 2013, Con Edison and CECONY estimated that their aggregate undiscounted potential liabilities for these suits and additional suits that may be brought over the next 15 years were $8 million and $7 million, respectively. The estimates were based upon a combination of modeling, historical data analysis and risk factor assessment. Actual experience may be materially different. In addition, certain current and former employees have claimed or are claiming workers’ compensation benefits based on alleged disability from exposure to asbestos. Under its current rate plans, CECONY is permitted to defer as regulatory assets (for subsequent recovery through rates) costs incurred for its asbestos lawsuits and workers’ compensation claims. The accrued liability for asbestos suits and workers’ compensation proceedings (including those related to asbestos exposure) and the amounts deferred as regulatory assets for the Companies at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Accrued liability – asbestos suits | $ | 8 | $ | 10 | $ | 7 | $ | 10 | |||||||||
Regulatory assets – asbestos suits | $ | 8 | $ | 10 | $ | 7 | $ | 10 | |||||||||
Accrued liability – workers’ compensation | $ | 87 | $ | 94 | $ | 82 | $ | 89 | |||||||||
Regulatory assets – workers’ compensation | $ | 12 | $ | 19 | $ | 12 | $ | 19 | |||||||||
CECONY [Member] | ' | ||||||||||||||||
Environmental Matters | ' | ||||||||||||||||
Note G — Environmental Matters | |||||||||||||||||
Superfund Sites | |||||||||||||||||
Hazardous substances, such as asbestos, polychlorinated biphenyls (PCBs) and coal tar, have been used or generated in the course of operations of the Utilities and their predecessors and are present at sites and in facilities and equipment they currently or previously owned, including sites at which gas was manufactured or stored. | |||||||||||||||||
The Federal Comprehensive Environmental Response, Compensation and Liability Act of 1980 and similar state statutes (Superfund) impose joint and several liability, regardless of fault, upon generators of hazardous substances for investigation and remediation costs (which include costs of demolition, removal, disposal, storage, replacement, containment, and monitoring) and natural resource damages. Liability under these laws can be material and may be imposed for contamination from past acts, even though such past acts may have been lawful at the time they occurred. The sites at which the Utilities have been asserted to have liability under these laws, including their manufactured gas plant sites and any neighboring areas to which contamination may have migrated, are referred to herein as “Superfund Sites.” | |||||||||||||||||
For Superfund Sites where there are other potentially responsible parties and the Utilities are not managing the site investigation and remediation, the accrued liability represents an estimate of the amount the Utilities will need to pay to investigate and, where determinable, discharge their related obligations. For Superfund Sites (including the manufactured gas plant sites) for which one of the Utilities is managing the investigation and remediation, the accrued liability represents an estimate of the company’s share of undiscounted cost to investigate the sites and, for sites that have been investigated in whole or in part, the cost to remediate the sites, if remediation is necessary and if a reasonable estimate of such cost can be made. Remediation costs are estimated in light of the information available, applicable remediation standards, and experience with similar sites. | |||||||||||||||||
The accrued liabilities and regulatory assets related to Superfund Sites at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Accrued Liabilities: | |||||||||||||||||
Manufactured gas plant sites | $ | 665 | $ | 462 | $ | 562 | $ | 351 | |||||||||
Other Superfund Sites | 84 | 83 | 82 | 82 | |||||||||||||
Total | $ | 749 | $ | 545 | $ | 644 | $ | 433 | |||||||||
Regulatory assets | $ | 938 | $ | 730 | $ | 830 | $ | 615 | |||||||||
Most of the accrued Superfund Site liability relates to sites that have been investigated, in whole or in part. However, for some of the sites, the extent and associated cost of the required remediation has not yet been determined. As investigations progress and information pertaining to the required remediation becomes available, the Utilities expect that additional liability may be accrued, the amount of which is not presently determinable but may be material. Under their current rate plans, the Utilities are permitted to recover or defer as regulatory assets (for subsequent recovery through rates) certain site investigation and remediation costs. | |||||||||||||||||
Environmental remediation costs incurred and insurance recoveries received related to Superfund Sites at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Remediation costs incurred | $ | 41 | $ | 31 | $ | 35 | $ | 26 | |||||||||
Insurance recoveries received* | - | 4 | - | 4 | |||||||||||||
* | Reduced amount deferred for recovery from customers | ||||||||||||||||
In 2013, CECONY estimated that for its manufactured gas plant sites, its aggregate undiscounted potential liability for the investigation and remediation of coal tar and/or other manufactured gas plant-related environmental contaminants could range up to $2.4 billion. In 2013, O&R estimated that for its manufactured gas plant sites, each of which has been investigated, the aggregate undiscounted potential liability for the remediation of such contaminants could range up to $167 million. These estimates were based on the assumption that there is contamination at all sites, including those that have not yet been fully investigated and additional assumptions about the extent of the contamination and the type and extent of the remediation that may be required. Actual experience may be materially different. | |||||||||||||||||
Asbestos Proceedings | |||||||||||||||||
Suits have been brought in New York State and federal courts against the Utilities and many other defendants, wherein a large number of plaintiffs sought large amounts of compensatory and punitive damages for deaths and injuries allegedly caused by exposure to asbestos at various premises of the Utilities. The suits that have been resolved, which are many, have been resolved without any payment by the Utilities, or for amounts that were not, in the aggregate, material to them. The amounts specified in all the remaining thousands of suits total billions of dollars; however, the Utilities believe that these amounts are greatly exaggerated, based on the disposition of previous claims. In 2013, Con Edison and CECONY estimated that their aggregate undiscounted potential liabilities for these suits and additional suits that may be brought over the next 15 years were $8 million and $7 million, respectively. The estimates were based upon a combination of modeling, historical data analysis and risk factor assessment. Actual experience may be materially different. In addition, certain current and former employees have claimed or are claiming workers’ compensation benefits based on alleged disability from exposure to asbestos. Under its current rate plans, CECONY is permitted to defer as regulatory assets (for subsequent recovery through rates) costs incurred for its asbestos lawsuits and workers’ compensation claims. The accrued liability for asbestos suits and workers’ compensation proceedings (including those related to asbestos exposure) and the amounts deferred as regulatory assets for the Companies at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Accrued liability – asbestos suits | $ | 8 | $ | 10 | $ | 7 | $ | 10 | |||||||||
Regulatory assets – asbestos suits | $ | 8 | $ | 10 | $ | 7 | $ | 10 | |||||||||
Accrued liability – workers’ compensation | $ | 87 | $ | 94 | $ | 82 | $ | 89 | |||||||||
Regulatory assets – workers’ compensation | $ | 12 | $ | 19 | $ | 12 | $ | 19 |
Other_Material_Contingencies
Other Material Contingencies | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Other Material Contingencies | ' | ||||||||||||||||
Note H — Other Material Contingencies | |||||||||||||||||
Manhattan Steam Main Rupture | |||||||||||||||||
In July 2007, a CECONY steam main located in midtown Manhattan ruptured. It has been reported that one person died and others were injured as a result of the incident. Several buildings in the area were damaged. Debris from the incident included dirt and mud containing asbestos. The response to the incident required the closing of several buildings and streets for various periods. Approximately 90 suits are pending against the company seeking generally unspecified compensatory and, in some cases, punitive damages, for personal injury, property damage and business interruption. The company has notified its insurers of the incident and believes that the policies in force at the time of the incident will cover the company’s costs to satisfy its liability to others in connection with the suits. At December 31, 2013, the company has accrued its estimated liability for the suits of $50 million and an insurance receivable in the same amount. | |||||||||||||||||
Other Contingencies | |||||||||||||||||
See “Other Regulatory Matters” in Note B. | |||||||||||||||||
Guarantees | |||||||||||||||||
Con Edison and its subsidiaries enter into various agreements providing financial or performance assurance primarily to third parties on behalf of their subsidiaries. Maximum amounts guaranteed by Con Edison totaled $1,331 million and $859 million at December 31, 2013 and 2012, respectively. | |||||||||||||||||
A summary, by type and term, of Con Edison’s total guarantees at December 31, 2013 is as follows: | |||||||||||||||||
Guarantee Type | 0 – 3 | 4 – 10 | > 10 | Total | |||||||||||||
years | years | years | |||||||||||||||
(Millions of Dollars) | |||||||||||||||||
Energy transactions | $ | 753 | $ | 30 | $ | 58 | $ | 841 | |||||||||
Solar energy projects | 445 | 14 | - | 459 | |||||||||||||
Other | 31 | - | - | 31 | |||||||||||||
Total | $ | 1,229 | $ | 44 | $ | 58 | $ | 1,331 | |||||||||
Energy Transactions — Con Edison guarantees payments on behalf of its competitive energy businesses in order to facilitate physical and financial transactions in gas, pipeline capacity, transportation, oil, electricity, renewable energy credits and energy services. To the extent that liabilities exist under the contracts subject to these guarantees, such liabilities are included in Con Edison’s consolidated balance sheet. | |||||||||||||||||
Solar Energy Projects — Con Edison and Con Edison Development guarantee payments associated with the investment in solar energy facilities on behalf of their wholly-owned subsidiaries. In addition, Con Edison Development has entered into a guarantee ($80 million maximum) on behalf of an entity in which it has a 50 percent interest (see Note Q) in connection with the construction of solar energy facilities. Con Edison Development also provided $3 million in guarantees to Travelers Insurance Company for indemnity agreements for surety bonds in connection with the construction and operation of solar energy facilities performed by its subsidiaries. | |||||||||||||||||
Other — Other guarantees primarily relate to guarantees provided by Con Edison to Travelers Insurance Company for indemnity agreements for surety bonds in connection with energy service projects performed by Con Edison Solutions ($25 million). In addition, Con Edison issued a guarantee to the Public Utility Commission of Texas covering obligations of Con Edison Solutions as a retail electric provider. Con Edison’s estimate of the maximum potential obligation for this guarantee is $5 million as of December 31, 2013. | |||||||||||||||||
CECONY [Member] | ' | ||||||||||||||||
Other Material Contingencies | ' | ||||||||||||||||
Note H — Other Material Contingencies | |||||||||||||||||
Manhattan Steam Main Rupture | |||||||||||||||||
In July 2007, a CECONY steam main located in midtown Manhattan ruptured. It has been reported that one person died and others were injured as a result of the incident. Several buildings in the area were damaged. Debris from the incident included dirt and mud containing asbestos. The response to the incident required the closing of several buildings and streets for various periods. Approximately 90 suits are pending against the company seeking generally unspecified compensatory and, in some cases, punitive damages, for personal injury, property damage and business interruption. The company has notified its insurers of the incident and believes that the policies in force at the time of the incident will cover the company’s costs to satisfy its liability to others in connection with the suits. At December 31, 2013, the company has accrued its estimated liability for the suits of $50 million and an insurance receivable in the same amount. | |||||||||||||||||
Other Contingencies | |||||||||||||||||
See “Other Regulatory Matters” in Note B. | |||||||||||||||||
Guarantees | |||||||||||||||||
Con Edison and its subsidiaries enter into various agreements providing financial or performance assurance primarily to third parties on behalf of their subsidiaries. Maximum amounts guaranteed by Con Edison totaled $1,331 million and $859 million at December 31, 2013 and 2012, respectively. | |||||||||||||||||
A summary, by type and term, of Con Edison’s total guarantees at December 31, 2013 is as follows: | |||||||||||||||||
Guarantee Type | 0 – 3 | 4 – 10 | > 10 | Total | |||||||||||||
years | years | years | |||||||||||||||
(Millions of Dollars) | |||||||||||||||||
Energy transactions | $ | 753 | $ | 30 | $ | 58 | $ | 841 | |||||||||
Solar energy projects | 445 | 14 | - | 459 | |||||||||||||
Other | 31 | - | - | 31 | |||||||||||||
Total | $ | 1,229 | $ | 44 | $ | 58 | $ | 1,331 | |||||||||
Energy Transactions — Con Edison guarantees payments on behalf of its competitive energy businesses in order to facilitate physical and financial transactions in gas, pipeline capacity, transportation, oil, electricity, renewable energy credits and energy services. To the extent that liabilities exist under the contracts subject to these guarantees, such liabilities are included in Con Edison’s consolidated balance sheet. | |||||||||||||||||
Solar Energy Projects — Con Edison and Con Edison Development guarantee payments associated with the investment in solar energy facilities on behalf of their wholly-owned subsidiaries. In addition, Con Edison Development has entered into a guarantee ($80 million maximum) on behalf of an entity in which it has a 50 percent interest (see Note Q) in connection with the construction of solar energy facilities. Con Edison Development also provided $3 million in guarantees to Travelers Insurance Company for indemnity agreements for surety bonds in connection with the construction and operation of solar energy facilities performed by its subsidiaries. | |||||||||||||||||
Other — Other guarantees primarily relate to guarantees provided by Con Edison to Travelers Insurance Company for indemnity agreements for surety bonds in connection with energy service projects performed by Con Edison Solutions ($25 million). In addition, Con Edison issued a guarantee to the Public Utility Commission of Texas covering obligations of Con Edison Solutions as a retail electric provider. Con Edison’s estimate of the maximum potential obligation for this guarantee is $5 million as of December 31, 2013. |
Electricity_Purchase_Agreement
Electricity Purchase Agreements | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Electricity Purchase Agreements | ' | ||||||||||||||||||||||||
Note I – Electricity Purchase Agreements | |||||||||||||||||||||||||
CECONY has long-term electricity purchase agreements with non-utility generators and others for generating capacity. The company recovers its purchased power costs in accordance with provisions approved by the NYSPSC. See “Recoverable Energy Costs” in Note A. | |||||||||||||||||||||||||
At December 31, 2013, the significant terms of the electricity purchase agreements were as follows: | |||||||||||||||||||||||||
Facility | Equity Owner | Plant | Contracted | Contract | Contract | ||||||||||||||||||||
Output | Output | Start | Term | ||||||||||||||||||||||
(MW) | (MW) | Date | (Years) | ||||||||||||||||||||||
Indian Point | Entergy Nuclear Power Marketing, LLC | 1,299 | 500 | August 2001 | 16 | ||||||||||||||||||||
Independence | Sithe/Independence Power Partners, LP | 1,254 | 689 | November 1994 | 20 | ||||||||||||||||||||
Linden Cogeneration | Cogen Technologies Linden Venture, LP | 1,035 | 546 | May-92 | 25 | ||||||||||||||||||||
Astoria Energy | Astoria Energy, LLC | 640 | 500 | May-06 | 10 | ||||||||||||||||||||
Selkirk | Selkirk Cogen Partners, LP | 446 | 265 | September 1994 | 20 | ||||||||||||||||||||
Brooklyn Navy Yard | Brooklyn Navy Yard Cogeneration Partners, LP | 322 | 217 | Nov-96 | 40 | ||||||||||||||||||||
Indeck Corinth | Indeck Energy Services of Corinth, Inc. | 147 | 132 | Jul-95 | 20 | ||||||||||||||||||||
Assuming performance by the parties to the electricity purchase agreements, CECONY is obligated over the terms of the agreements to make capacity and other fixed payments. | |||||||||||||||||||||||||
The future capacity and other fixed payments under the contracts are estimated to be as follows: | |||||||||||||||||||||||||
(Millions of | 2014 | 2015 | 2016 | 2017 | 2018 | All Years | |||||||||||||||||||
Dollars) | Thereafter | ||||||||||||||||||||||||
CECONY | $ | 447 | $ | 235 | $ | 169 | $ | 113 | $ | 57 | $ | 875 | |||||||||||||
For energy delivered under most of the electricity purchase agreements, CECONY is obligated to pay variable prices. The company’s payments under the agreements for capacity, energy and other fixed payments in 2013, 2012, and 2011 were as follows: | |||||||||||||||||||||||||
For the Years Ended | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||||||||||||||
Linden Cogeneration | $ | 346 | $ | 297 | $ | 379 | |||||||||||||||||||
Indian Point | 220 | 204 | 238 | ||||||||||||||||||||||
Selkirk | 215 | 196 | 209 | ||||||||||||||||||||||
Astoria Energy | 183 | 181 | 225 | ||||||||||||||||||||||
Independence | 121 | 127 | 121 | ||||||||||||||||||||||
Brooklyn Navy Yard | 118 | 93 | 123 | ||||||||||||||||||||||
Indeck Corinth | 79 | 66 | 77 | ||||||||||||||||||||||
Total | $ | 1,282 | $ | 1,164 | $ | 1,372 | |||||||||||||||||||
CECONY [Member] | ' | ||||||||||||||||||||||||
Electricity Purchase Agreements | ' | ||||||||||||||||||||||||
Note I – Electricity Purchase Agreements | |||||||||||||||||||||||||
CECONY has long-term electricity purchase agreements with non-utility generators and others for generating capacity. The company recovers its purchased power costs in accordance with provisions approved by the NYSPSC. See “Recoverable Energy Costs” in Note A. | |||||||||||||||||||||||||
At December 31, 2013, the significant terms of the electricity purchase agreements were as follows: | |||||||||||||||||||||||||
Facility | Equity Owner | Plant | Contracted | Contract | Contract | ||||||||||||||||||||
Output | Output | Start | Term | ||||||||||||||||||||||
(MW) | (MW) | Date | (Years) | ||||||||||||||||||||||
Indian Point | Entergy Nuclear Power Marketing, LLC | 1,299 | 500 | August 2001 | 16 | ||||||||||||||||||||
Independence | Sithe/Independence Power Partners, LP | 1,254 | 689 | November 1994 | 20 | ||||||||||||||||||||
Linden Cogeneration | Cogen Technologies Linden Venture, LP | 1,035 | 546 | May-92 | 25 | ||||||||||||||||||||
Astoria Energy | Astoria Energy, LLC | 640 | 500 | May-06 | 10 | ||||||||||||||||||||
Selkirk | Selkirk Cogen Partners, LP | 446 | 265 | September 1994 | 20 | ||||||||||||||||||||
Brooklyn Navy Yard | Brooklyn Navy Yard Cogeneration Partners, LP | 322 | 217 | Nov-96 | 40 | ||||||||||||||||||||
Indeck Corinth | Indeck Energy Services of Corinth, Inc. | 147 | 132 | Jul-95 | 20 | ||||||||||||||||||||
Assuming performance by the parties to the electricity purchase agreements, CECONY is obligated over the terms of the agreements to make capacity and other fixed payments. | |||||||||||||||||||||||||
The future capacity and other fixed payments under the contracts are estimated to be as follows: | |||||||||||||||||||||||||
(Millions of | 2014 | 2015 | 2016 | 2017 | 2018 | All Years | |||||||||||||||||||
Dollars) | Thereafter | ||||||||||||||||||||||||
CECONY | $ | 447 | $ | 235 | $ | 169 | $ | 113 | $ | 57 | $ | 875 | |||||||||||||
For energy delivered under most of the electricity purchase agreements, CECONY is obligated to pay variable prices. The company’s payments under the agreements for capacity, energy and other fixed payments in 2013, 2012, and 2011 were as follows: | |||||||||||||||||||||||||
For the Years Ended | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||||||||||||||
Linden Cogeneration | $ | 346 | $ | 297 | $ | 379 | |||||||||||||||||||
Indian Point | 220 | 204 | 238 | ||||||||||||||||||||||
Selkirk | 215 | 196 | 209 | ||||||||||||||||||||||
Astoria Energy | 183 | 181 | 225 | ||||||||||||||||||||||
Independence | 121 | 127 | 121 | ||||||||||||||||||||||
Brooklyn Navy Yard | 118 | 93 | 123 | ||||||||||||||||||||||
Indeck Corinth | 79 | 66 | 77 | ||||||||||||||||||||||
Total | $ | 1,282 | $ | 1,164 | $ | 1,372 |
Leases
Leases | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Leases | ' | ||||||||||||||||
Note J – Leases | |||||||||||||||||
Con Edison’s subsidiaries lease electric transmission facilities, gas distribution facilities, land, office buildings and equipment. In accordance with the accounting rules for leases, these leases are classified as either capital leases or operating leases. Most of the operating leases provide the option to renew at the fair rental value for future periods. Generally, it is expected that leases will be renewed or replaced in the normal course of business. | |||||||||||||||||
Capital leases: For ratemaking purposes capital leases are treated as operating leases; therefore, in accordance with the accounting rules for regulated operations, the amortization of the leased asset is based on the rental payments recovered from customers. The following assets under capital leases are included in the Companies’ consolidated balance sheets at December 31, 2013 and 2012: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
UTILITY PLANT | |||||||||||||||||
Common | $ | 3 | $ | 3 | $ | 2 | $ | 2 | |||||||||
The accumulated amortization of the capital leases for Con Edison and CECONY was $1 million and $0.6 million, respectively at December 31, 2013, and $1 million and $0.4 million, respectively at December 31, 2012. | |||||||||||||||||
The future minimum lease commitments for the above assets are as follows: | |||||||||||||||||
(Millions of Dollars) | Con Edison | CECONY | |||||||||||||||
2014 | $ | 1 | $ | 1 | |||||||||||||
2015 | 1 | 1 | |||||||||||||||
2016 | - | - | |||||||||||||||
2017 | - | - | |||||||||||||||
2018 | 1 | 1 | |||||||||||||||
All years thereafter | - | - | |||||||||||||||
Total | 3 | 3 | |||||||||||||||
Less: amount representing interest | (1 | ) | (1 | ) | |||||||||||||
Present value of net minimum lease payment | $ | 2 | $ | 2 | |||||||||||||
Operating leases: The future minimum lease commitments under the Companies’ non-cancelable operating lease agreements are as follows: | |||||||||||||||||
(Millions of Dollars) | Con Edison | CECONY | |||||||||||||||
2014 | $ | 17 | $ | 13 | |||||||||||||
2015 | 17 | 13 | |||||||||||||||
2016 | 16 | 13 | |||||||||||||||
2017 | 16 | 12 | |||||||||||||||
2018 | 15 | 12 | |||||||||||||||
All years thereafter | 90 | 61 | |||||||||||||||
Total | $ | 171 | $ | 124 | |||||||||||||
Lease In/Lease Out Transactions | |||||||||||||||||
In each of 1997 and 1999, Con Edison Development entered into transactions in which it leased property and then immediately subleased the properties back to the lessor (termed “Lease In/Lease Out,” or LILO transactions). The transactions respectively involved electric generating and gas distribution facilities in the Netherlands, with a total investment of $259 million. The transactions were financed with $93 million of equity and $166 million of non-recourse, long-term debt secured by the underlying assets. In accordance with the accounting rules for leases, Con Edison accounted for the two LILO transactions as leveraged leases. Accordingly, the company’s investment in these leases, net of non-recourse debt, was carried as a single amount in Con Edison’s consolidated balance sheet and income was recognized pursuant to a method that incorporated a level rate of return for those years when net investment in the lease was positive. At December 31, 2012, the company’s net investment in the LILO transactions was $(76) million, comprised of a $228 million gross investment less $304 million of deferred tax liabilities. During 2013, as discussed below, the company terminated its LILO transactions and at December 31, 2013 no longer had an investment recorded for these leases in its consolidated balance sheet. | |||||||||||||||||
On audit of Con Edison’s tax return for 1997, the Internal Revenue Service (IRS) disallowed tax losses in connection with the 1997 LILO transaction and assessed the company a $0.3 million income tax deficiency. On audits of Con Edison’s 1998 through 2011 tax returns, the IRS disallowed $574 million of tax losses taken with respect to both LILO transactions. In December 2005, Con Edison paid the $0.3 million deficiency asserted by the IRS for the tax year 1997 with respect to the 1997 LILO transaction. In April 2006, the company paid interest of $0.2 million associated with the deficiency and commenced an action in the United States Court of Federal Claims, entitled Consolidated Edison Company of New York, Inc. v. United States, to obtain a refund of tax and interest. A trial was completed in November 2007. In October 2009, the court issued a decision in favor of the company concluding that the 1997 LILO transaction was, in substance, a true lease that possessed economic substance, the loans relating to the lease constituted bona fide indebtedness, and the deductions for the 1997 LILO transactions claimed by the company in its 1997 federal income tax return are allowable. In January 2013, the United States Court of Appeals for the Federal Circuit reversed the October 2009 trial court decision and disallowed the tax losses claimed by the company relating to the 1997 LILO transaction. In March 2013, the Court of Appeals denied the company’s request to grant rehearing en banc of the January 2013 decision. In June 2013, Con Edison entered into a closing agreement with the IRS regarding the 1997 and 1999 LILO transactions. | |||||||||||||||||
As a result of the January 2013 Court of Appeals decision, Con Edison recorded an after-tax charge of $150 million to reflect, as required by the accounting rules for leveraged lease transactions, the recalculation of the accounting effect of the LILO transactions based on the revised after-tax cash flows projected from the inception of the leveraged leases as well as the interest on the potential tax liability resulting from the disallowance of federal and state income tax losses with respect to the LILO transactions (see “Uncertain Tax Positions” in Note L). In June 2013, the 1999 LILO transaction was terminated, as a result of which the company realized a $29 million gain (after-tax) and received net cash proceeds of $108 million. In August 2013, the 1997 LILO transaction was terminated, resulting in a $26 million gain (after-tax) and net cash proceeds of $92 million. The effect on Con Edison’s consolidated income statement is as follows: | |||||||||||||||||
(Millions of Dollars) | For the Year Ended | ||||||||||||||||
December 31, 2013 | |||||||||||||||||
Decrease to non-utility operating revenues | ($27) | ||||||||||||||||
Increase to other interest expense | -131 | ||||||||||||||||
Income tax benefit | 63 | ||||||||||||||||
Total decrease in net income | ($95) | ||||||||||||||||
The transactions did not impact earnings in 2012 or 2011. | |||||||||||||||||
In January 2013, to defray interest charges, the company deposited $447 million with federal and state tax agencies relating primarily to the potential tax liability from the LILO transactions in past tax years and interest thereon. During 2013, $125 million of the deposit was returned from the IRS at the company’s request. Also in 2013, the deposit balance was reduced by an additional $48 million, due to a $10 million refund from the IRS and the application of $38 million toward the settlement of tax and interest for certain tax years, primarily relating to tax liability from the LILO transactions. In 2014, the company expects to apply the remainder of its January 2013 deposit against its federal and state tax liabilities for other tax years. | |||||||||||||||||
CECONY [Member] | ' | ||||||||||||||||
Leases | ' | ||||||||||||||||
Note J – Leases | |||||||||||||||||
Con Edison’s subsidiaries lease electric transmission facilities, gas distribution facilities, land, office buildings and equipment. In accordance with the accounting rules for leases, these leases are classified as either capital leases or operating leases. Most of the operating leases provide the option to renew at the fair rental value for future periods. Generally, it is expected that leases will be renewed or replaced in the normal course of business. | |||||||||||||||||
Capital leases: For ratemaking purposes capital leases are treated as operating leases; therefore, in accordance with the accounting rules for regulated operations, the amortization of the leased asset is based on the rental payments recovered from customers. The following assets under capital leases are included in the Companies’ consolidated balance sheets at December 31, 2013 and 2012: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
UTILITY PLANT | |||||||||||||||||
Common | $ | 3 | $ | 3 | $ | 2 | $ | 2 | |||||||||
The accumulated amortization of the capital leases for Con Edison and CECONY was $1 million and $0.6 million, respectively at December 31, 2013, and $1 million and $0.4 million, respectively at December 31, 2012. | |||||||||||||||||
The future minimum lease commitments for the above assets are as follows: | |||||||||||||||||
(Millions of Dollars) | Con Edison | CECONY | |||||||||||||||
2014 | $ | 1 | $ | 1 | |||||||||||||
2015 | 1 | 1 | |||||||||||||||
2016 | - | - | |||||||||||||||
2017 | - | - | |||||||||||||||
2018 | 1 | 1 | |||||||||||||||
All years thereafter | - | - | |||||||||||||||
Total | 3 | 3 | |||||||||||||||
Less: amount representing interest | (1 | ) | (1 | ) | |||||||||||||
Present value of net minimum lease payment | $ | 2 | $ | 2 | |||||||||||||
Operating leases: The future minimum lease commitments under the Companies’ non-cancelable operating lease agreements are as follows: | |||||||||||||||||
(Millions of Dollars) | Con Edison | CECONY | |||||||||||||||
2014 | $ | 17 | $ | 13 | |||||||||||||
2015 | 17 | 13 | |||||||||||||||
2016 | 16 | 13 | |||||||||||||||
2017 | 16 | 12 | |||||||||||||||
2018 | 15 | 12 | |||||||||||||||
All years thereafter | 90 | 61 | |||||||||||||||
Total | $ | 171 | $ | 124 | |||||||||||||
Lease In/Lease Out Transactions | |||||||||||||||||
In each of 1997 and 1999, Con Edison Development entered into transactions in which it leased property and then immediately subleased the properties back to the lessor (termed “Lease In/Lease Out,” or LILO transactions). The transactions respectively involved electric generating and gas distribution facilities in the Netherlands, with a total investment of $259 million. The transactions were financed with $93 million of equity and $166 million of non-recourse, long-term debt secured by the underlying assets. In accordance with the accounting rules for leases, Con Edison accounted for the two LILO transactions as leveraged leases. Accordingly, the company’s investment in these leases, net of non-recourse debt, was carried as a single amount in Con Edison’s consolidated balance sheet and income was recognized pursuant to a method that incorporated a level rate of return for those years when net investment in the lease was positive. At December 31, 2012, the company’s net investment in the LILO transactions was $(76) million, comprised of a $228 million gross investment less $304 million of deferred tax liabilities. During 2013, as discussed below, the company terminated its LILO transactions and at December 31, 2013 no longer had an investment recorded for these leases in its consolidated balance sheet. | |||||||||||||||||
On audit of Con Edison’s tax return for 1997, the Internal Revenue Service (IRS) disallowed tax losses in connection with the 1997 LILO transaction and assessed the company a $0.3 million income tax deficiency. On audits of Con Edison’s 1998 through 2011 tax returns, the IRS disallowed $574 million of tax losses taken with respect to both LILO transactions. In December 2005, Con Edison paid the $0.3 million deficiency asserted by the IRS for the tax year 1997 with respect to the 1997 LILO transaction. In April 2006, the company paid interest of $0.2 million associated with the deficiency and commenced an action in the United States Court of Federal Claims, entitled Consolidated Edison Company of New York, Inc. v. United States, to obtain a refund of tax and interest. A trial was completed in November 2007. In October 2009, the court issued a decision in favor of the company concluding that the 1997 LILO transaction was, in substance, a true lease that possessed economic substance, the loans relating to the lease constituted bona fide indebtedness, and the deductions for the 1997 LILO transactions claimed by the company in its 1997 federal income tax return are allowable. In January 2013, the United States Court of Appeals for the Federal Circuit reversed the October 2009 trial court decision and disallowed the tax losses claimed by the company relating to the 1997 LILO transaction. In March 2013, the Court of Appeals denied the company’s request to grant rehearing en banc of the January 2013 decision. In June 2013, Con Edison entered into a closing agreement with the IRS regarding the 1997 and 1999 LILO transactions. | |||||||||||||||||
As a result of the January 2013 Court of Appeals decision, Con Edison recorded an after-tax charge of $150 million to reflect, as required by the accounting rules for leveraged lease transactions, the recalculation of the accounting effect of the LILO transactions based on the revised after-tax cash flows projected from the inception of the leveraged leases as well as the interest on the potential tax liability resulting from the disallowance of federal and state income tax losses with respect to the LILO transactions (see “Uncertain Tax Positions” in Note L). In June 2013, the 1999 LILO transaction was terminated, as a result of which the company realized a $29 million gain (after-tax) and received net cash proceeds of $108 million. In August 2013, the 1997 LILO transaction was terminated, resulting in a $26 million gain (after-tax) and net cash proceeds of $92 million. The effect on Con Edison’s consolidated income statement is as follows: | |||||||||||||||||
(Millions of Dollars) | For the Year Ended | ||||||||||||||||
December 31, 2013 | |||||||||||||||||
Decrease to non-utility operating revenues | ($27) | ||||||||||||||||
Increase to other interest expense | -131 | ||||||||||||||||
Income tax benefit | 63 | ||||||||||||||||
Total decrease in net income | ($95) | ||||||||||||||||
The transactions did not impact earnings in 2012 or 2011. | |||||||||||||||||
In January 2013, to defray interest charges, the company deposited $447 million with federal and state tax agencies relating primarily to the potential tax liability from the LILO transactions in past tax years and interest thereon. During 2013, $125 million of the deposit was returned from the IRS at the company’s request. Also in 2013, the deposit balance was reduced by an additional $48 million, due to a $10 million refund from the IRS and the application of $38 million toward the settlement of tax and interest for certain tax years, primarily relating to tax liability from the LILO transactions. In 2014, the company expects to apply the remainder of its January 2013 deposit against its federal and state tax liabilities for other tax years. |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2013 | |
Goodwill | ' |
Note K – Goodwill | |
In 2013 and 2012, Con Edison completed impairment tests for its goodwill of $406 million related to the O&R merger, and determined that it was not impaired. For the impairment test, $245 million and $161 million of the goodwill were allocated to CECONY and O&R, respectively. In 2013 and 2012, Con Edison completed impairment tests for the goodwill of $23 million related to two energy services companies acquired by Con Edison Solutions and an interest in a gas storage company acquired by Con Edison Development, and determined that the goodwill was not impaired. | |
CECONY [Member] | ' |
Goodwill | ' |
Note K – Goodwill | |
In 2013 and 2012, Con Edison completed impairment tests for its goodwill of $406 million related to the O&R merger, and determined that it was not impaired. For the impairment test, $245 million and $161 million of the goodwill were allocated to CECONY and O&R, respectively. In 2013 and 2012, Con Edison completed impairment tests for the goodwill of $23 million related to two energy services companies acquired by Con Edison Solutions and an interest in a gas storage company acquired by Con Edison Development, and determined that the goodwill was not impaired. |
Income_Tax
Income Tax | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Income Tax | ' | ||||||||||||||||||||||||
Note L – Income Tax | |||||||||||||||||||||||||
The components of income tax are as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
State | |||||||||||||||||||||||||
Current | $ | 151 | $ | 29 | $ | 56 | $ | 111 | $ | 53 | $ | 53 | |||||||||||||
Deferred | (70 | ) | 97 | 63 | (14 | ) | 53 | 55 | |||||||||||||||||
Federal | |||||||||||||||||||||||||
Current | 285 | (13 | ) | 53 | 187 | 110 | 43 | ||||||||||||||||||
Deferred | 115 | 493 | 434 | 241 | 318 | 413 | |||||||||||||||||||
Amortization of investment tax credits | (5 | ) | (6 | ) | (6 | ) | (5 | ) | (5 | ) | (6 | ) | |||||||||||||
Total charge to income tax expense | $ | 476 | $ | 600 | $ | 600 | $ | 520 | $ | 529 | $ | 558 | |||||||||||||
The tax effects of temporary differences, which gave rise to deferred tax assets and liabilities, are as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||
Depreciation | $ | 4,602 | $ | 4,210 | $ | 4,277 | $ | 3,909 | |||||||||||||||||
Regulatory asset – future income tax | 2,294 | 2,061 | 2,165 | 1,962 | |||||||||||||||||||||
State income tax | 1,111 | 1,060 | 1,008 | 897 | |||||||||||||||||||||
Unrecognized pension and other postretirement costs | 1,109 | 2,312 | 1,060 | 2,202 | |||||||||||||||||||||
Pension | 674 | 736 | 667 | 730 | |||||||||||||||||||||
Capitalized overheads | 566 | 565 | 501 | 496 | |||||||||||||||||||||
Unamortized investment tax credits | 43 | 49 | 42 | 47 | |||||||||||||||||||||
Other | 1,048 | 931 | 869 | 528 | |||||||||||||||||||||
Total deferred tax liabilities | 11,447 | 11,924 | 10,589 | 10,771 | |||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||
Unrecognized pension and other postretirement costs | 1,109 | 2,312 | 1,060 | 2,202 | |||||||||||||||||||||
Regulatory liability – future income tax | 126 | 126 | 112 | 117 | |||||||||||||||||||||
State income tax | 555 | 382 | 500 | 357 | |||||||||||||||||||||
Loss carryforwards | 12 | 252 | - | 136 | |||||||||||||||||||||
Loss carryforwards, valuation reserve | (12 | ) | (15 | ) | - | - | |||||||||||||||||||
Other | 1,313 | 791 | 1,185 | 700 | |||||||||||||||||||||
Total deferred tax assets | 3,103 | 3,848 | 2,857 | 3,512 | |||||||||||||||||||||
Net deferred tax liabilities and investment tax credits | $ | 8,344 | $ | 8,076 | $ | 7,732 | $ | 7,259 | |||||||||||||||||
Deferred income taxes and investment tax credits – noncurrent | $ | 8,466 | $ | 8,372 | $ | 7,832 | $ | 7,452 | |||||||||||||||||
Deferred tax assets – current | (122 | ) | (296 | ) | (100 | ) | (193 | ) | |||||||||||||||||
Net deferred tax liabilities and investment tax credits | $ | 8,344 | $ | 8,076 | $ | 7,732 | $ | 7,259 | |||||||||||||||||
Reconciliation of the difference between income tax expense and the amount computed by applying the prevailing statutory income tax rate to income before income taxes is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(% of Pre-tax income) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
STATUTORY TAX RATE | |||||||||||||||||||||||||
Federal | 35 | % | 35 | % | 35 | % | 35 | % | 35 | % | 35 | % | |||||||||||||
Changes in computed taxes resulting from: | |||||||||||||||||||||||||
State income tax | 4 | 4 | 5 | 5 | 4 | 5 | |||||||||||||||||||
Cost of removal | (5 | ) | (4 | ) | (4 | ) | (5 | ) | (4 | ) | (4 | ) | |||||||||||||
Manufacturing deduction | (1 | ) | - | - | - | - | - | ||||||||||||||||||
Other | (2 | ) | (1 | ) | - | (1 | ) | (1 | ) | - | |||||||||||||||
Effective Tax Rate | 31 | % | 34 | % | 36 | % | 34 | % | 34 | % | 36 | % | |||||||||||||
In 2013, Con Edison applied its entire amount of federal and New York State net operating loss carryforwards of $529 million and $213 million, respectively. For New York City income tax purposes, Con Edison has a net operating loss carryforward available from the years 1999 through 2013 for which a deferred tax asset of $12 million has been recognized and will not expire until the years 2019 through 2033. A full valuation allowance has been provided; as it is not more likely than not that the deferred tax asset will be realized. | |||||||||||||||||||||||||
In September 2013, the IRS issued final regulations, effective in 2014, that provide guidance on the appropriate tax treatment of costs incurred to acquire, produce or improve tangible property, as well as routine maintenance and repair costs. Proposed regulations were issued addressing the tax treatment of asset dispositions. The application of these regulations is not expected to have a material impact on the Companies’ financial position, results of operations or liquidity. | |||||||||||||||||||||||||
Uncertain Tax Positions | |||||||||||||||||||||||||
Under the accounting rules for income taxes, the Companies are not permitted to recognize the tax benefit attributable to a tax position unless such position is more likely than not to be sustained upon examination by taxing authorities, including resolution of any related appeals and litigation processes, based solely on the technical merits of the position. | |||||||||||||||||||||||||
The Companies’ 2011 and 2010 federal income tax returns reflect, among other things, an incremental current deduction for the costs of certain repairs to utility plant (the “repair allowance deductions”). Prior to 2009, the Companies capitalized such costs and included these costs in depreciation expense in federal income tax returns. In 2012, with respect to the repair allowance deductions, Con Edison and CECONY recorded liabilities for uncertain tax positions of $72 million and $66 million, respectively. In 2013, the IRS accepted the Companies’ repair allowance deductions. As a result of this settlement, Con Edison and CECONY reduced their estimated liabilities for prior year uncertain tax positions by $72 million and $66 million, respectively, with a corresponding increase to accumulated deferred income tax liabilities. | |||||||||||||||||||||||||
In addition, as a result of the January 2013 Court of Appeals decision (see “Lease In/Lease Out Transactions” in Note J), Con Edison increased its estimated prior year liabilities for federal and state uncertain tax positions by $249 million, with a corresponding reduction to accumulated deferred income tax liabilities. In June 2013, Con Edison entered into a closing agreement with the IRS regarding the 1997 and 1999 LILO transactions, as a result of which Con Edison decreased its estimated prior year liabilities for federal and state uncertain tax positions by $249 million, with a corresponding increase to its current income tax liability. These changes to the Companies’ estimated liabilities for uncertain tax positions had no impact on income tax expense for the year ended December 31, 2013. | |||||||||||||||||||||||||
During the third quarter of 2013, the IRS completed its audits of the Companies’ federal income tax returns for the tax years 1998 through 2011 and Con Edison and CECONY recognized income tax benefits of approximately $13 million and $7 million, respectively, including $6 million that favorably affected Con Edison’s effective tax rate in 2013. Any adjustments to the federal income tax returns would result in changes to the Companies’ state income tax returns. The Companies’ state income tax returns for their primary jurisdiction, New York, for years beginning with 2006 remain open for examination. | |||||||||||||||||||||||||
A reconciliation of the beginning and ending amounts of unrecognized tax benefits for Con Edison and CECONY follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Balance at January 1 | $ | 86 | $ | 130 | $ | 93 | $ | 74 | $ | 114 | $ | 79 | |||||||||||||
Additions based on tax positions related to the current year | 5 | 12 | 76 | - | 11 | 74 | |||||||||||||||||||
Additions based on tax positions of prior years | 253 | - | 4 | - | - | 3 | |||||||||||||||||||
Reductions for tax positions of prior years | (86 | ) | (57 | ) | (43 | ) | (74 | ) | (52 | ) | (42 | ) | |||||||||||||
Settlements | (249 | ) | 1 | - | - | 1 | - | ||||||||||||||||||
Balance at December 31 | $ | 9 | $ | 86 | $ | 130 | $ | - | $ | 74 | $ | 114 | |||||||||||||
At December 31, 2013, the Companies’ estimated liabilities for uncertain tax positions ($9 million for Con Edison and an immaterial amount for CECONY) were classified on their respective consolidated balance sheets as a noncurrent liability ($9 million for Con Edison) and as a current liability (an immaterial amount for CECONY). As of December 31, 2013, the Companies reasonably expect to resolve an immaterial amount of their uncertain tax positions within the next 12 months. | |||||||||||||||||||||||||
The Companies recognize interest on liabilities for uncertain tax positions in interest expense and would recognize penalties, if any, in operating expenses in the Companies’ consolidated income statements. In 2013, Con Edison recognized $121 million of interest expense ($131 million related to the LILO transactions, less a reduction of $10 million in accrued interest expense primarily associated with repair allowance deductions and reversing other uncertain tax positions in 2013). In 2012 and 2011, the Companies recognized an immaterial amount of interest and no penalties for uncertain tax positions in their consolidated income statements. At December 31, 2013 and 2012, the Companies recognized an immaterial amount of interest and no penalties in their consolidated balance sheets. | |||||||||||||||||||||||||
At December 31, 2013, the total amount of unrecognized tax benefits that, if recognized, would affect the Companies’ effective tax rate is $9 million for Con Edison and an immaterial amount for CECONY. | |||||||||||||||||||||||||
CECONY [Member] | ' | ||||||||||||||||||||||||
Income Tax | ' | ||||||||||||||||||||||||
Note L – Income Tax | |||||||||||||||||||||||||
The components of income tax are as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
State | |||||||||||||||||||||||||
Current | $ | 151 | $ | 29 | $ | 56 | $ | 111 | $ | 53 | $ | 53 | |||||||||||||
Deferred | (70 | ) | 97 | 63 | (14 | ) | 53 | 55 | |||||||||||||||||
Federal | |||||||||||||||||||||||||
Current | 285 | (13 | ) | 53 | 187 | 110 | 43 | ||||||||||||||||||
Deferred | 115 | 493 | 434 | 241 | 318 | 413 | |||||||||||||||||||
Amortization of investment tax credits | (5 | ) | (6 | ) | (6 | ) | (5 | ) | (5 | ) | (6 | ) | |||||||||||||
Total charge to income tax expense | $ | 476 | $ | 600 | $ | 600 | $ | 520 | $ | 529 | $ | 558 | |||||||||||||
The tax effects of temporary differences, which gave rise to deferred tax assets and liabilities, are as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||
Depreciation | $ | 4,602 | $ | 4,210 | $ | 4,277 | $ | 3,909 | |||||||||||||||||
Regulatory asset – future income tax | 2,294 | 2,061 | 2,165 | 1,962 | |||||||||||||||||||||
State income tax | 1,111 | 1,060 | 1,008 | 897 | |||||||||||||||||||||
Unrecognized pension and other postretirement costs | 1,109 | 2,312 | 1,060 | 2,202 | |||||||||||||||||||||
Pension | 674 | 736 | 667 | 730 | |||||||||||||||||||||
Capitalized overheads | 566 | 565 | 501 | 496 | |||||||||||||||||||||
Unamortized investment tax credits | 43 | 49 | 42 | 47 | |||||||||||||||||||||
Other | 1,048 | 931 | 869 | 528 | |||||||||||||||||||||
Total deferred tax liabilities | 11,447 | 11,924 | 10,589 | 10,771 | |||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||
Unrecognized pension and other postretirement costs | 1,109 | 2,312 | 1,060 | 2,202 | |||||||||||||||||||||
Regulatory liability – future income tax | 126 | 126 | 112 | 117 | |||||||||||||||||||||
State income tax | 555 | 382 | 500 | 357 | |||||||||||||||||||||
Loss carryforwards | 12 | 252 | - | 136 | |||||||||||||||||||||
Loss carryforwards, valuation reserve | (12 | ) | (15 | ) | - | - | |||||||||||||||||||
Other | 1,313 | 791 | 1,185 | 700 | |||||||||||||||||||||
Total deferred tax assets | 3,103 | 3,848 | 2,857 | 3,512 | |||||||||||||||||||||
Net deferred tax liabilities and investment tax credits | $ | 8,344 | $ | 8,076 | $ | 7,732 | $ | 7,259 | |||||||||||||||||
Deferred income taxes and investment tax credits – noncurrent | $ | 8,466 | $ | 8,372 | $ | 7,832 | $ | 7,452 | |||||||||||||||||
Deferred tax assets – current | (122 | ) | (296 | ) | (100 | ) | (193 | ) | |||||||||||||||||
Net deferred tax liabilities and investment tax credits | $ | 8,344 | $ | 8,076 | $ | 7,732 | $ | 7,259 | |||||||||||||||||
Reconciliation of the difference between income tax expense and the amount computed by applying the prevailing statutory income tax rate to income before income taxes is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(% of Pre-tax income) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
STATUTORY TAX RATE | |||||||||||||||||||||||||
Federal | 35 | % | 35 | % | 35 | % | 35 | % | 35 | % | 35 | % | |||||||||||||
Changes in computed taxes resulting from: | |||||||||||||||||||||||||
State income tax | 4 | 4 | 5 | 5 | 4 | 5 | |||||||||||||||||||
Cost of removal | (5 | ) | (4 | ) | (4 | ) | (5 | ) | (4 | ) | (4 | ) | |||||||||||||
Manufacturing deduction | (1 | ) | - | - | - | - | - | ||||||||||||||||||
Other | (2 | ) | (1 | ) | - | (1 | ) | (1 | ) | - | |||||||||||||||
Effective Tax Rate | 31 | % | 34 | % | 36 | % | 34 | % | 34 | % | 36 | % | |||||||||||||
In 2013, Con Edison applied its entire amount of federal and New York State net operating loss carryforwards of $529 million and $213 million, respectively. For New York City income tax purposes, Con Edison has a net operating loss carryforward available from the years 1999 through 2013 for which a deferred tax asset of $12 million has been recognized and will not expire until the years 2019 through 2033. A full valuation allowance has been provided; as it is not more likely than not that the deferred tax asset will be realized. | |||||||||||||||||||||||||
In September 2013, the IRS issued final regulations, effective in 2014, that provide guidance on the appropriate tax treatment of costs incurred to acquire, produce or improve tangible property, as well as routine maintenance and repair costs. Proposed regulations were issued addressing the tax treatment of asset dispositions. The application of these regulations is not expected to have a material impact on the Companies’ financial position, results of operations or liquidity. | |||||||||||||||||||||||||
Uncertain Tax Positions | |||||||||||||||||||||||||
Under the accounting rules for income taxes, the Companies are not permitted to recognize the tax benefit attributable to a tax position unless such position is more likely than not to be sustained upon examination by taxing authorities, including resolution of any related appeals and litigation processes, based solely on the technical merits of the position. | |||||||||||||||||||||||||
The Companies’ 2011 and 2010 federal income tax returns reflect, among other things, an incremental current deduction for the costs of certain repairs to utility plant (the “repair allowance deductions”). Prior to 2009, the Companies capitalized such costs and included these costs in depreciation expense in federal income tax returns. In 2012, with respect to the repair allowance deductions, Con Edison and CECONY recorded liabilities for uncertain tax positions of $72 million and $66 million, respectively. In 2013, the IRS accepted the Companies’ repair allowance deductions. As a result of this settlement, Con Edison and CECONY reduced their estimated liabilities for prior year uncertain tax positions by $72 million and $66 million, respectively, with a corresponding increase to accumulated deferred income tax liabilities. | |||||||||||||||||||||||||
In addition, as a result of the January 2013 Court of Appeals decision (see “Lease In/Lease Out Transactions” in Note J), Con Edison increased its estimated prior year liabilities for federal and state uncertain tax positions by $249 million, with a corresponding reduction to accumulated deferred income tax liabilities. In June 2013, Con Edison entered into a closing agreement with the IRS regarding the 1997 and 1999 LILO transactions, as a result of which Con Edison decreased its estimated prior year liabilities for federal and state uncertain tax positions by $249 million, with a corresponding increase to its current income tax liability. These changes to the Companies’ estimated liabilities for uncertain tax positions had no impact on income tax expense for the year ended December 31, 2013. | |||||||||||||||||||||||||
During the third quarter of 2013, the IRS completed its audits of the Companies’ federal income tax returns for the tax years 1998 through 2011 and Con Edison and CECONY recognized income tax benefits of approximately $13 million and $7 million, respectively, including $6 million that favorably affected Con Edison’s effective tax rate in 2013. Any adjustments to the federal income tax returns would result in changes to the Companies’ state income tax returns. The Companies’ state income tax returns for their primary jurisdiction, New York, for years beginning with 2006 remain open for examination. | |||||||||||||||||||||||||
A reconciliation of the beginning and ending amounts of unrecognized tax benefits for Con Edison and CECONY follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Balance at January 1 | $ | 86 | $ | 130 | $ | 93 | $ | 74 | $ | 114 | $ | 79 | |||||||||||||
Additions based on tax positions related to the current year | 5 | 12 | 76 | - | 11 | 74 | |||||||||||||||||||
Additions based on tax positions of prior years | 253 | - | 4 | - | - | 3 | |||||||||||||||||||
Reductions for tax positions of prior years | (86 | ) | (57 | ) | (43 | ) | (74 | ) | (52 | ) | (42 | ) | |||||||||||||
Settlements | (249 | ) | 1 | - | - | 1 | - | ||||||||||||||||||
Balance at December 31 | $ | 9 | $ | 86 | $ | 130 | $ | - | $ | 74 | $ | 114 | |||||||||||||
At December 31, 2013, the Companies’ estimated liabilities for uncertain tax positions ($9 million for Con Edison and an immaterial amount for CECONY) were classified on their respective consolidated balance sheets as a noncurrent liability ($9 million for Con Edison) and as a current liability (an immaterial amount for CECONY). As of December 31, 2013, the Companies reasonably expect to resolve an immaterial amount of their uncertain tax positions within the next 12 months. | |||||||||||||||||||||||||
The Companies recognize interest on liabilities for uncertain tax positions in interest expense and would recognize penalties, if any, in operating expenses in the Companies’ consolidated income statements. In 2013, Con Edison recognized $121 million of interest expense ($131 million related to the LILO transactions, less a reduction of $10 million in accrued interest expense primarily associated with repair allowance deductions and reversing other uncertain tax positions in 2013). In 2012 and 2011, the Companies recognized an immaterial amount of interest and no penalties for uncertain tax positions in their consolidated income statements. At December 31, 2013 and 2012, the Companies recognized an immaterial amount of interest and no penalties in their consolidated balance sheets. | |||||||||||||||||||||||||
At December 31, 2013, the total amount of unrecognized tax benefits that, if recognized, would affect the Companies’ effective tax rate is $9 million for Con Edison and an immaterial amount for CECONY. |
StockBased_Compensation
Stock-Based Compensation | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||||||||||
Note M – Stock-Based Compensation | |||||||||||||||||||||||||
The Companies may compensate employees and directors with, among other things, stock options, stock units, restricted stock units and contributions to the stock purchase plan. The 1996 Stock Option Plan, under which no new awards may be issued, provided for awards of stock options to officers and employees. The last awards under the 1996 Stock Option Plan expired in 2013. The Long Term Incentive Plan, approved by Con Edison’s shareholders in 2003 (the 2003 LTIP), and the Long Term Incentive Plan, approved by Con Edison’s shareholders in 2013 (2013 LTIP), are collectively referred to herein as the LTIP. The LTIP provides for, among other things, awards to employees of restricted stock units and stock options and, to Con Edison’s non-employee directors, stock units. Existing awards under the 2003 LTIP continue in effect, however no new awards may be issued under the 2003 LTIP. The 2013 LTIP provides for awards for up to five million shares of common stock. | |||||||||||||||||||||||||
Shares of Con Edison common stock used to satisfy the Companies’ obligations with respect to stock-based compensation may be new (authorized, but unissued) shares, treasury shares or shares purchased in the open market. The Companies intend to use treasury shares to fulfill their stock-based compensation obligations for 2014. | |||||||||||||||||||||||||
Under the accounting rules for stock compensation, the Companies have recognized the cost of stock-based compensation as an expense using a fair value measurement method. The following table summarizes stock-based compensation expense recognized by the Companies in the years ended December 31, 2013, 2012, and 2011: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Performance-based restricted stock | $ | 20 | $ | 14 | $ | 48 | $ | 18 | $ | 13 | $ | 44 | |||||||||||||
Time-based restricted stock | 2 | 1 | 3 | 2 | 1 | 3 | |||||||||||||||||||
Non-employee director deferred stock compensation | 2 | 1 | 1 | 2 | 1 | 1 | |||||||||||||||||||
Total | $ | 24 | $ | 16 | $ | 52 | $ | 22 | $ | 15 | $ | 48 | |||||||||||||
Income Tax Benefit | $ | 10 | $ | 6 | $ | 21 | $ | 9 | $ | 6 | $ | 20 | |||||||||||||
Stock Options | |||||||||||||||||||||||||
The Companies last issued stock options in 2006. The stock options generally vested over a three-year period and have a term of ten years. Options were granted at an exercise price equal to the fair market value of a common share when the option was granted. The Companies generally recognized compensation expense (based on the fair value of stock option awards) over the continuous service period in which the options vested. Awards to employees eligible for retirement were expensed in the month awarded. | |||||||||||||||||||||||||
The outstanding options are “equity awards” because shares of Con Edison common stock are delivered upon exercise of the options. As equity awards, the fair value of the options is measured at the grant date. There were no options granted in 2013 and 2012. | |||||||||||||||||||||||||
A summary of changes in the status of stock options awarded as of December 31, 2013 is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Shares | Weighted | Shares | Weighted | ||||||||||||||||||||||
Average | Average | ||||||||||||||||||||||||
Exercise | Exercise | ||||||||||||||||||||||||
Price | Price | ||||||||||||||||||||||||
Outstanding at 12/31/12 | 606,475 | $ | 43.008 | 481,175 | $ | 42.973 | |||||||||||||||||||
Exercised | (123,165 | ) | 41.539 | (98,165 | ) | 41.553 | |||||||||||||||||||
Forfeited | (2,000 | ) | 43.17 | (2,000 | ) | 43.17 | |||||||||||||||||||
Outstanding at 12/31/13 | 481,310 | $ | 43.383 | 381,010 | $ | 43.338 | |||||||||||||||||||
The changes in the fair value of all outstanding options from their grant dates to December 31, 2013 and 2012 (aggregate intrinsic value) for Con Edison were $6 million and $8 million, respectively. The changes in the fair value of all outstanding options from their grant dates to December 31, 2013 and 2012 (aggregate intrinsic value) for CECONY were $5 million and $6 million, respectively. The aggregate intrinsic value of options exercised in 2013 and 2012 were $2 million and $5 million, respectively, and the cash received by Con Edison for payment of the exercise price was $5 million and $14 million, respectively. The weighted average remaining contractual life of options outstanding is one year as of December 31, 2013. | |||||||||||||||||||||||||
The following table summarizes stock options outstanding at December 31, 2013 for each plan year for the Companies: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Plan Year | Remaining | Options | Weighted | Options | Weighted | ||||||||||||||||||||
Contractual | Outstanding/ | Average | Outstanding/ | Average | |||||||||||||||||||||
Life | Exercisable | Exercise | Exercisable | Exercise | |||||||||||||||||||||
Price | Price | ||||||||||||||||||||||||
2006 | 2 | 201,700 | $ | 43.768 | 165,100 | $ | 43.705 | ||||||||||||||||||
2005 | 1 | 150,410 | 42.252 | 122,810 | 42.268 | ||||||||||||||||||||
2004 | <1 | 129,200 | 44.1 | 93,100 | 44.1 | ||||||||||||||||||||
Total | 481,310 | $ | 43.383 | 381,010 | $ | 43.338 | |||||||||||||||||||
The income tax benefit Con Edison realized from stock options exercised in the years ended December 31, 2013, 2012 and 2011 was $10 million, an immaterial amount and $2 million, respectively. | |||||||||||||||||||||||||
Restricted Stock and Stock Units | |||||||||||||||||||||||||
Restricted stock and stock unit awards under the LTIP have been made as follows: (i) time-based awards to certain employees; (ii) awards that provide for adjustment of the number of units (performance-restricted stock units or Performance RSUs) to certain officers and employees; and (iii) awards to non-employee directors. Restricted stock and stock units awarded represent the right to receive, upon vesting, shares of Con Edison common stock, or, except for units awarded under the directors’ plan, the cash value of shares or a combination thereof. | |||||||||||||||||||||||||
In accordance with the accounting rules for stock compensation, for time-based awards, the Companies have accrued a liability based on the market value of a common share on the grant date and are recognizing compensation expense over the vesting period. The vesting period for awards is three years and is based on the employee’s continuous service to Con Edison. Prior to vesting, the awards are subject to forfeiture in whole or in part under certain circumstances. The awards are “liability awards” because each restricted stock unit represents the right to receive, upon vesting, one share of Con Edison common stock, the cash value of a share or a combination thereof. As such, prior to vesting, changes in the fair value of the units are reflected in net income. A summary of changes in the status of time-based awards during the year ended December 31, 2013 is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Units | Weighted | Units | Weighted | ||||||||||||||||||||||
Average | Average | ||||||||||||||||||||||||
Grant Date | Grant Date | ||||||||||||||||||||||||
Fair Value | Fair Value | ||||||||||||||||||||||||
Non-vested at 12/31/12 | 65,140 | $ | 51.339 | 61,690 | $ | 51.334 | |||||||||||||||||||
Granted | 25,490 | 60.99 | 24,290 | 60.988 | |||||||||||||||||||||
Vested | (22,538 | ) | 45.432 | (21,438 | ) | 45.478 | |||||||||||||||||||
Forfeited | (1,512 | ) | 56.255 | (1,512 | ) | 56.255 | |||||||||||||||||||
Non-vested at 12/31/13 | 66,580 | $ | 56.921 | 63,030 | $ | 56.928 | |||||||||||||||||||
The total expense to be recognized by the Companies in future periods for unvested time-based awards outstanding as of December 31, 2013 for Con Edison was $2 million, including $1 million for CECONY, and is expected to be recognized over a weighted average period of one year. | |||||||||||||||||||||||||
The number of units in each annual Performance RSU award is subject to adjustment as follows: (i) 50 percent of the units awarded will be multiplied by a factor that may range from 0 to 150 percent for management employees and from 0 to 200 percent for officers, based on Con Edison’s total shareholder return relative to a specified peer group during a specified performance period (the TSR portion); and (ii) 50 percent of the units awarded will be multiplied by a factor that may range from 0 to 120 percent for management employees and from 0 to 200 percent for officers based on determinations made in connection with CECONY’s Executive Incentive Plan, CECONY’s Management Variable Pay Plan for non-officers, or, for certain officers, the O&R Annual Team Incentive Plan or goals relating to Con Edison’s competitive energy businesses (the EIP portion). Performance RSU awards generally vest when the performance period ends. | |||||||||||||||||||||||||
For the TSR portion of Performance RSUs, the Companies use a Monte Carlo simulation model to estimate the fair value of the awards. The fair value is recomputed each reporting period as of the earlier of the reporting date and the vesting date. For the EIP portion of Performance RSUs, the fair value of the awards is determined using the market price as of the earlier of the reporting date or the vesting date multiplied by the average EIP determination over the vesting period. Performance RSUs are “liability awards” because each Performance RSU represents the right to receive, upon vesting, one share of Con Edison common stock, the cash value of a share or a combination thereof. As such, changes in the fair value of the Performance RSUs are reflected in net income. The following table illustrates the assumptions used to calculate the fair value of the awards: | |||||||||||||||||||||||||
2013 | |||||||||||||||||||||||||
Risk-free interest rate | 0.13% - 5.17% | ||||||||||||||||||||||||
Expected term | 3 years | ||||||||||||||||||||||||
Expected volatility | 13.52% | ||||||||||||||||||||||||
The risk-free rate is based on the U.S. Treasury zero-coupon yield curve on the date of grant. The expected term of the Performance RSUs is three years, which equals the vesting period. The Companies do not expect significant forfeitures to occur. The expected volatility is calculated using daily closing stock prices over a period of three years, which approximates the expected term of the awards. | |||||||||||||||||||||||||
A summary of changes in the status of the Performance RSUs’ TSR portion during the year ended December 31, 2013 is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Units | Weighted | Units | Weighted | ||||||||||||||||||||||
Average | Average | ||||||||||||||||||||||||
Grant | Grant Date | ||||||||||||||||||||||||
Date | Fair Value* | ||||||||||||||||||||||||
Fair Value* | |||||||||||||||||||||||||
Non-vested at 12/31/12 | 618,910 | $ | 44.659 | 502,701 | $ | 44.681 | |||||||||||||||||||
Granted | 231,435 | 55.121 | 174,019 | 55.62 | |||||||||||||||||||||
Vested | (221,695 | ) | 41.34 | (178,549 | ) | 41.34 | |||||||||||||||||||
Forfeited | (67,851 | ) | 52.669 | (49,645 | ) | 52.592 | |||||||||||||||||||
Non-vested at 12/31/13 | 560,799 | $ | 49.319 | 448,526 | $ | 49.377 | |||||||||||||||||||
* | Fair value is determined using the Monte Carlo simulation described above. Weighted average grant date fair value does not reflect any accrual or payment of dividends prior to vesting. | ||||||||||||||||||||||||
A summary of changes in the status of the Performance RSUs’ EIP portion during the year ended December 31, 2013 is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Units | Weighted | Units | Weighted | ||||||||||||||||||||||
Average | Average | ||||||||||||||||||||||||
Grant | Grant Date | ||||||||||||||||||||||||
Date | Fair Value* | ||||||||||||||||||||||||
Fair Value* | |||||||||||||||||||||||||
Non-vested at 12/31/12 | 618,910 | $ | 50.738 | 502,701 | $ | 50.783 | |||||||||||||||||||
Granted | 231,435 | 57.829 | 174,019 | 58.188 | |||||||||||||||||||||
Vested | (221,695 | ) | 44.54 | (178,549 | ) | 44.54 | |||||||||||||||||||
Forfeited | (67,851 | ) | 57.359 | (49,645 | ) | 57.322 | |||||||||||||||||||
Non-vested at 12/31/13 | 560,799 | $ | 55.314 | 448,526 | $ | 55.416 | |||||||||||||||||||
* | Fair value is determined using the market price of one share of Con Edison common stock on the grant date. The market price has not been discounted to reflect that dividends do not accrue and are not payable on Performance RSUs until vesting. | ||||||||||||||||||||||||
The total expense to be recognized by Con Edison in future periods for unvested Performance RSUs outstanding as of December 31, 2013 is $18 million, including $15 million for CECONY and is expected to be recognized over a weighted average period of one year for both Con Edison and CECONY. | |||||||||||||||||||||||||
Under the LTIP, each non-employee director receives stock units, which are deferred until the director’s separation from service or another date specified by the director. Each director may also elect to defer all or a portion of their retainers and meeting fees into additional stock units, which are deferred until the director’s termination of service or another date specified by the director. Directors may elect to receive dividend equivalents earned on stock units either in deferred stock units or cash payments. Non-employee directors’ stock units issued under the LTIP are considered “equity awards,” because they may only be settled in shares. Directors immediately vest in units issued to them. The fair value of the units is determined using the closing price of Con Edison’s common stock on the business day immediately preceding the date of issue. In the year ended December 31, 2013, approximately 32,114 units were issued at a weighted average grant date price of $59.16. | |||||||||||||||||||||||||
Stock Purchase Plan | |||||||||||||||||||||||||
The Stock Purchase Plan provides for the Companies to contribute up to $1 for each $9 invested by their directors, officers or employees to purchase Con Edison common stock under the plan. Eligible participants may invest up to $25,000 during any calendar year (subject to an additional limitation for officers and employees of not more than 20 percent of their pay). Dividends paid on shares held under the plan are reinvested in additional shares unless otherwise directed by the participant. | |||||||||||||||||||||||||
Participants in the plan immediately vest in shares purchased by them under the plan. The fair value of the shares of Con Edison common stock purchased under the plan was calculated using the average of the high and low composite sale prices at which shares were traded at the New York Stock Exchange on the trading day immediately preceding such purchase dates. During 2013, 2012, and 2011, 864,281, 665,718 and 721,520 shares were purchased under the Stock Purchase Plan at a weighted average price of $57.24, $59.72 and $52.50 per share, respectively. | |||||||||||||||||||||||||
CECONY [Member] | ' | ||||||||||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||||||||||
Note M – Stock-Based Compensation | |||||||||||||||||||||||||
The Companies may compensate employees and directors with, among other things, stock options, stock units, restricted stock units and contributions to the stock purchase plan. The 1996 Stock Option Plan, under which no new awards may be issued, provided for awards of stock options to officers and employees. The last awards under the 1996 Stock Option Plan expired in 2013. The Long Term Incentive Plan, approved by Con Edison’s shareholders in 2003 (the 2003 LTIP), and the Long Term Incentive Plan, approved by Con Edison’s shareholders in 2013 (2013 LTIP), are collectively referred to herein as the LTIP. The LTIP provides for, among other things, awards to employees of restricted stock units and stock options and, to Con Edison’s non-employee directors, stock units. Existing awards under the 2003 LTIP continue in effect, however no new awards may be issued under the 2003 LTIP. The 2013 LTIP provides for awards for up to five million shares of common stock. | |||||||||||||||||||||||||
Shares of Con Edison common stock used to satisfy the Companies’ obligations with respect to stock-based compensation may be new (authorized, but unissued) shares, treasury shares or shares purchased in the open market. The Companies intend to use treasury shares to fulfill their stock-based compensation obligations for 2014. | |||||||||||||||||||||||||
Under the accounting rules for stock compensation, the Companies have recognized the cost of stock-based compensation as an expense using a fair value measurement method. The following table summarizes stock-based compensation expense recognized by the Companies in the years ended December 31, 2013, 2012, and 2011: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Performance-based restricted stock | $ | 20 | $ | 14 | $ | 48 | $ | 18 | $ | 13 | $ | 44 | |||||||||||||
Time-based restricted stock | 2 | 1 | 3 | 2 | 1 | 3 | |||||||||||||||||||
Non-employee director deferred stock compensation | 2 | 1 | 1 | 2 | 1 | 1 | |||||||||||||||||||
Total | $ | 24 | $ | 16 | $ | 52 | $ | 22 | $ | 15 | $ | 48 | |||||||||||||
Income Tax Benefit | $ | 10 | $ | 6 | $ | 21 | $ | 9 | $ | 6 | $ | 20 | |||||||||||||
Stock Options | |||||||||||||||||||||||||
The Companies last issued stock options in 2006. The stock options generally vested over a three-year period and have a term of ten years. Options were granted at an exercise price equal to the fair market value of a common share when the option was granted. The Companies generally recognized compensation expense (based on the fair value of stock option awards) over the continuous service period in which the options vested. Awards to employees eligible for retirement were expensed in the month awarded. | |||||||||||||||||||||||||
The outstanding options are “equity awards” because shares of Con Edison common stock are delivered upon exercise of the options. As equity awards, the fair value of the options is measured at the grant date. There were no options granted in 2013 and 2012. | |||||||||||||||||||||||||
A summary of changes in the status of stock options awarded as of December 31, 2013 is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Shares | Weighted | Shares | Weighted | ||||||||||||||||||||||
Average | Average | ||||||||||||||||||||||||
Exercise | Exercise | ||||||||||||||||||||||||
Price | Price | ||||||||||||||||||||||||
Outstanding at 12/31/12 | 606,475 | $ | 43.008 | 481,175 | $ | 42.973 | |||||||||||||||||||
Exercised | (123,165 | ) | 41.539 | (98,165 | ) | 41.553 | |||||||||||||||||||
Forfeited | (2,000 | ) | 43.17 | (2,000 | ) | 43.17 | |||||||||||||||||||
Outstanding at 12/31/13 | 481,310 | $ | 43.383 | 381,010 | $ | 43.338 | |||||||||||||||||||
The changes in the fair value of all outstanding options from their grant dates to December 31, 2013 and 2012 (aggregate intrinsic value) for Con Edison were $6 million and $8 million, respectively. The changes in the fair value of all outstanding options from their grant dates to December 31, 2013 and 2012 (aggregate intrinsic value) for CECONY were $5 million and $6 million, respectively. The aggregate intrinsic value of options exercised in 2013 and 2012 were $2 million and $5 million, respectively, and the cash received by Con Edison for payment of the exercise price was $5 million and $14 million, respectively. The weighted average remaining contractual life of options outstanding is one year as of December 31, 2013. | |||||||||||||||||||||||||
The following table summarizes stock options outstanding at December 31, 2013 for each plan year for the Companies: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Plan Year | Remaining | Options | Weighted | Options | Weighted | ||||||||||||||||||||
Contractual | Outstanding/ | Average | Outstanding/ | Average | |||||||||||||||||||||
Life | Exercisable | Exercise | Exercisable | Exercise | |||||||||||||||||||||
Price | Price | ||||||||||||||||||||||||
2006 | 2 | 201,700 | $ | 43.768 | 165,100 | $ | 43.705 | ||||||||||||||||||
2005 | 1 | 150,410 | 42.252 | 122,810 | 42.268 | ||||||||||||||||||||
2004 | <1 | 129,200 | 44.1 | 93,100 | 44.1 | ||||||||||||||||||||
Total | 481,310 | $ | 43.383 | 381,010 | $ | 43.338 | |||||||||||||||||||
The income tax benefit Con Edison realized from stock options exercised in the years ended December 31, 2013, 2012 and 2011 was $10 million, an immaterial amount and $2 million, respectively. | |||||||||||||||||||||||||
Restricted Stock and Stock Units | |||||||||||||||||||||||||
Restricted stock and stock unit awards under the LTIP have been made as follows: (i) time-based awards to certain employees; (ii) awards that provide for adjustment of the number of units (performance-restricted stock units or Performance RSUs) to certain officers and employees; and (iii) awards to non-employee directors. Restricted stock and stock units awarded represent the right to receive, upon vesting, shares of Con Edison common stock, or, except for units awarded under the directors’ plan, the cash value of shares or a combination thereof. | |||||||||||||||||||||||||
In accordance with the accounting rules for stock compensation, for time-based awards, the Companies have accrued a liability based on the market value of a common share on the grant date and are recognizing compensation expense over the vesting period. The vesting period for awards is three years and is based on the employee’s continuous service to Con Edison. Prior to vesting, the awards are subject to forfeiture in whole or in part under certain circumstances. The awards are “liability awards” because each restricted stock unit represents the right to receive, upon vesting, one share of Con Edison common stock, the cash value of a share or a combination thereof. As such, prior to vesting, changes in the fair value of the units are reflected in net income. A summary of changes in the status of time-based awards during the year ended December 31, 2013 is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Units | Weighted | Units | Weighted | ||||||||||||||||||||||
Average | Average | ||||||||||||||||||||||||
Grant Date | Grant Date | ||||||||||||||||||||||||
Fair Value | Fair Value | ||||||||||||||||||||||||
Non-vested at 12/31/12 | 65,140 | $ | 51.339 | 61,690 | $ | 51.334 | |||||||||||||||||||
Granted | 25,490 | 60.99 | 24,290 | 60.988 | |||||||||||||||||||||
Vested | (22,538 | ) | 45.432 | (21,438 | ) | 45.478 | |||||||||||||||||||
Forfeited | (1,512 | ) | 56.255 | (1,512 | ) | 56.255 | |||||||||||||||||||
Non-vested at 12/31/13 | 66,580 | $ | 56.921 | 63,030 | $ | 56.928 | |||||||||||||||||||
The total expense to be recognized by the Companies in future periods for unvested time-based awards outstanding as of December 31, 2013 for Con Edison was $2 million, including $1 million for CECONY, and is expected to be recognized over a weighted average period of one year. | |||||||||||||||||||||||||
The number of units in each annual Performance RSU award is subject to adjustment as follows: (i) 50 percent of the units awarded will be multiplied by a factor that may range from 0 to 150 percent for management employees and from 0 to 200 percent for officers, based on Con Edison’s total shareholder return relative to a specified peer group during a specified performance period (the TSR portion); and (ii) 50 percent of the units awarded will be multiplied by a factor that may range from 0 to 120 percent for management employees and from 0 to 200 percent for officers based on determinations made in connection with CECONY’s Executive Incentive Plan, CECONY’s Management Variable Pay Plan for non-officers, or, for certain officers, the O&R Annual Team Incentive Plan or goals relating to Con Edison’s competitive energy businesses (the EIP portion). Performance RSU awards generally vest when the performance period ends. | |||||||||||||||||||||||||
For the TSR portion of Performance RSUs, the Companies use a Monte Carlo simulation model to estimate the fair value of the awards. The fair value is recomputed each reporting period as of the earlier of the reporting date and the vesting date. For the EIP portion of Performance RSUs, the fair value of the awards is determined using the market price as of the earlier of the reporting date or the vesting date multiplied by the average EIP determination over the vesting period. Performance RSUs are “liability awards” because each Performance RSU represents the right to receive, upon vesting, one share of Con Edison common stock, the cash value of a share or a combination thereof. As such, changes in the fair value of the Performance RSUs are reflected in net income. The following table illustrates the assumptions used to calculate the fair value of the awards: | |||||||||||||||||||||||||
2013 | |||||||||||||||||||||||||
Risk-free interest rate | 0.13% - 5.17% | ||||||||||||||||||||||||
Expected term | 3 years | ||||||||||||||||||||||||
Expected volatility | 13.52% | ||||||||||||||||||||||||
The risk-free rate is based on the U.S. Treasury zero-coupon yield curve on the date of grant. The expected term of the Performance RSUs is three years, which equals the vesting period. The Companies do not expect significant forfeitures to occur. The expected volatility is calculated using daily closing stock prices over a period of three years, which approximates the expected term of the awards. | |||||||||||||||||||||||||
A summary of changes in the status of the Performance RSUs’ TSR portion during the year ended December 31, 2013 is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Units | Weighted | Units | Weighted | ||||||||||||||||||||||
Average | Average | ||||||||||||||||||||||||
Grant | Grant Date | ||||||||||||||||||||||||
Date | Fair Value* | ||||||||||||||||||||||||
Fair Value* | |||||||||||||||||||||||||
Non-vested at 12/31/12 | 618,910 | $ | 44.659 | 502,701 | $ | 44.681 | |||||||||||||||||||
Granted | 231,435 | 55.121 | 174,019 | 55.62 | |||||||||||||||||||||
Vested | (221,695 | ) | 41.34 | (178,549 | ) | 41.34 | |||||||||||||||||||
Forfeited | (67,851 | ) | 52.669 | (49,645 | ) | 52.592 | |||||||||||||||||||
Non-vested at 12/31/13 | 560,799 | $ | 49.319 | 448,526 | $ | 49.377 | |||||||||||||||||||
* | Fair value is determined using the Monte Carlo simulation described above. Weighted average grant date fair value does not reflect any accrual or payment of dividends prior to vesting. | ||||||||||||||||||||||||
A summary of changes in the status of the Performance RSUs’ EIP portion during the year ended December 31, 2013 is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Units | Weighted | Units | Weighted | ||||||||||||||||||||||
Average | Average | ||||||||||||||||||||||||
Grant | Grant Date | ||||||||||||||||||||||||
Date | Fair Value* | ||||||||||||||||||||||||
Fair Value* | |||||||||||||||||||||||||
Non-vested at 12/31/12 | 618,910 | $ | 50.738 | 502,701 | $ | 50.783 | |||||||||||||||||||
Granted | 231,435 | 57.829 | 174,019 | 58.188 | |||||||||||||||||||||
Vested | (221,695 | ) | 44.54 | (178,549 | ) | 44.54 | |||||||||||||||||||
Forfeited | (67,851 | ) | 57.359 | (49,645 | ) | 57.322 | |||||||||||||||||||
Non-vested at 12/31/13 | 560,799 | $ | 55.314 | 448,526 | $ | 55.416 | |||||||||||||||||||
* | Fair value is determined using the market price of one share of Con Edison common stock on the grant date. The market price has not been discounted to reflect that dividends do not accrue and are not payable on Performance RSUs until vesting. | ||||||||||||||||||||||||
The total expense to be recognized by Con Edison in future periods for unvested Performance RSUs outstanding as of December 31, 2013 is $18 million, including $15 million for CECONY and is expected to be recognized over a weighted average period of one year for both Con Edison and CECONY. | |||||||||||||||||||||||||
Under the LTIP, each non-employee director receives stock units, which are deferred until the director’s separation from service or another date specified by the director. Each director may also elect to defer all or a portion of their retainers and meeting fees into additional stock units, which are deferred until the director’s termination of service or another date specified by the director. Directors may elect to receive dividend equivalents earned on stock units either in deferred stock units or cash payments. Non-employee directors’ stock units issued under the LTIP are considered “equity awards,” because they may only be settled in shares. Directors immediately vest in units issued to them. The fair value of the units is determined using the closing price of Con Edison’s common stock on the business day immediately preceding the date of issue. In the year ended December 31, 2013, approximately 32,114 units were issued at a weighted average grant date price of $59.16. | |||||||||||||||||||||||||
Stock Purchase Plan | |||||||||||||||||||||||||
The Stock Purchase Plan provides for the Companies to contribute up to $1 for each $9 invested by their directors, officers or employees to purchase Con Edison common stock under the plan. Eligible participants may invest up to $25,000 during any calendar year (subject to an additional limitation for officers and employees of not more than 20 percent of their pay). Dividends paid on shares held under the plan are reinvested in additional shares unless otherwise directed by the participant. | |||||||||||||||||||||||||
Participants in the plan immediately vest in shares purchased by them under the plan. The fair value of the shares of Con Edison common stock purchased under the plan was calculated using the average of the high and low composite sale prices at which shares were traded at the New York Stock Exchange on the trading day immediately preceding such purchase dates. During 2013, 2012, and 2011, 864,281, 665,718 and 721,520 shares were purchased under the Stock Purchase Plan at a weighted average price of $57.24, $59.72 and $52.50 per share, respectively. |
Financial_Information_by_Busin
Financial Information by Business Segment | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Financial Information by Business Segment | ' | ||||||||||||||||||||||||||||||||
Note N — Financial Information by Business Segment | |||||||||||||||||||||||||||||||||
The business segments of each of the Companies, which are its operating segments, were determined based on management’s reporting and decision-making requirements in accordance with the accounting rules for segment reporting. | |||||||||||||||||||||||||||||||||
Con Edison’s principal business segments are CECONY’s regulated utility activities, O&R’s regulated utility activities and Con Edison’s competitive energy businesses. CECONY’s principal business segments are its regulated electric, gas and steam utility activities. | |||||||||||||||||||||||||||||||||
All revenues of these business segments are from customers located in the United States of America. Also, all assets of the business segments are located in the United States of America. The accounting policies of the segments are the same as those described in Note A. | |||||||||||||||||||||||||||||||||
Common services shared by the business segments are assigned directly or allocated based on various cost factors, depending on the nature of the service provided. | |||||||||||||||||||||||||||||||||
The financial data for the business segments are as follows: | |||||||||||||||||||||||||||||||||
As of and for the Year Ended | Operating | Inter-segment | Depreciation | Operating | Interest | Income | Total | Construction | |||||||||||||||||||||||||
December 31, 2013 | revenues | revenues | and | income | charges | tax | assets* | expenditures | |||||||||||||||||||||||||
(Millions of Dollars) | amortization | expense | |||||||||||||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||
Electric | $ | 8,131 | $ | 16 | $ | 749 | $ | 1,595 | $ | 402 | $ | 380 | $ | 27,673 | $ | 1,471 | |||||||||||||||||
Gas | 1,616 | 5 | 130 | 362 | 83 | 112 | 6,008 | 536 | |||||||||||||||||||||||||
Steam | 683 | 82 | 67 | 103 | 36 | 39 | 2,577 | 128 | |||||||||||||||||||||||||
Consolidation adjustments | - | (103 | ) | - | - | - | - | - | - | ||||||||||||||||||||||||
Total CECONY | $ | 10,430 | $ | - | $ | 946 | $ | 2,060 | $ | 521 | $ | 531 | $ | 36,258 | $ | 2,135 | |||||||||||||||||
O&R | |||||||||||||||||||||||||||||||||
Electric | $ | 628 | $ | - | $ | 41 | $ | 87 | $ | 25 | $ | 13 | $ | 1,898 | $ | 98 | |||||||||||||||||
Gas | 205 | - | 15 | 33 | 11 | 7 | 645 | 37 | |||||||||||||||||||||||||
Other* | - | - | - | - | 1 | - | 2 | - | |||||||||||||||||||||||||
Total O&R | $ | 833 | $ | - | $ | 56 | $ | 120 | $ | 37 | $ | 20 | $ | 2,545 | $ | 135 | |||||||||||||||||
Competitive energy businesses | $ | 1,096 | $ | 5 | $ | 23 | $ | 63 | $ | 135 | $ | (41 | ) | $ | 1,314 | $ | 378 | ||||||||||||||||
Other** | (5 | ) | (5 | ) | (1 | ) | 1 | 26 | (6 | ) | 530 | - | |||||||||||||||||||||
Total Con Edison | $ | 12,354 | $ | - | $ | 1,024 | $ | 2,244 | $ | 719 | $ | 504 | $ | 40,647 | $ | 2,648 | |||||||||||||||||
As of and for the Year Ended | Operating | Inter-segment | Depreciation | Operating | Interest | Income | Total | Construction | |||||||||||||||||||||||||
December 31, 2012 | revenues | revenues | and | income | charges | tax | assets* | expenditures | |||||||||||||||||||||||||
(Millions of Dollars) | amortization | expense | |||||||||||||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||
Electric | $ | 8,176 | $ | 15 | $ | 710 | $ | 1,693 | $ | 423 | $ | 393 | $ | 28,339 | $ | 1,375 | |||||||||||||||||
Gas | 1,415 | 5 | 120 | 346 | 82 | 99 | 5,925 | 426 | |||||||||||||||||||||||||
Steam | 596 | 77 | 64 | 54 | 40 | 22 | 2,621 | 108 | |||||||||||||||||||||||||
Consolidation adjustments | - | (97 | ) | - | - | - | - | - | - | ||||||||||||||||||||||||
Total CECONY | $ | 10,187 | $ | - | $ | 894 | $ | 2,093 | $ | 545 | $ | 514 | $ | 36,885 | $ | 1,909 | |||||||||||||||||
O&R | |||||||||||||||||||||||||||||||||
Electric | $ | 592 | $ | - | $ | 38 | $ | 83 | $ | 19 | $ | 17 | $ | 1,960 | $ | 98 | |||||||||||||||||
Gas | 203 | - | 15 | 40 | 10 | 11 | 706 | 39 | |||||||||||||||||||||||||
Other* | - | - | - | - | 2 | - | 5 | - | |||||||||||||||||||||||||
Total O&R | $ | 795 | $ | - | $ | 53 | $ | 123 | $ | 31 | $ | 28 | $ | 2,671 | $ | 137 | |||||||||||||||||
Competitive energy businesses | $ | 1,213 | $ | 8 | $ | 8 | $ | 125 | $ | 1 | $ | 52 | $ | 1,061 | $ | 492 | |||||||||||||||||
Other** | (7 | ) | (8 | ) | - | (2 | ) | 27 | - | 592 | - | ||||||||||||||||||||||
Total Con Edison | $ | 12,188 | $ | - | $ | 955 | $ | 2,339 | $ | 604 | $ | 594 | $ | 41,209 | $ | 2,538 | |||||||||||||||||
As of and for the Year Ended | Operating | Inter-segment | Depreciation | Operating | Interest | Income | Total | Construction | |||||||||||||||||||||||||
December 31, 2011 | revenues | revenues | and | income | charges | tax | assets* | expenditures | |||||||||||||||||||||||||
(Millions of Dollars) | amortization | expense | |||||||||||||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||
Electric | $ | 8,228 | $ | 12 | $ | 656 | $ | 1,695 | $ | 414 | $ | 481 | $ | 27,123 | $ | 1,354 | |||||||||||||||||
Gas | 1,521 | 5 | 110 | 295 | 78 | 43 | 5,518 | 335 | |||||||||||||||||||||||||
Steam | 683 | 79 | 63 | 93 | 42 | 43 | 2,577 | 89 | |||||||||||||||||||||||||
Consolidation adjustments | - | (96 | ) | - | - | - | - | - | - | ||||||||||||||||||||||||
Total CECONY | $ | 10,432 | $ | - | $ | 829 | $ | 2,083 | $ | 534 | $ | 567 | $ | 35,218 | $ | 1,778 | |||||||||||||||||
O&R | |||||||||||||||||||||||||||||||||
Electric | $ | 641 | $ | - | $ | 35 | $ | 81 | $ | 20 | $ | 21 | $ | 1,755 | $ | 79 | |||||||||||||||||
Gas | 214 | - | 13 | 33 | 12 | 9 | 722 | 32 | |||||||||||||||||||||||||
Other* | - | - | - | - | 2 | - | 8 | - | |||||||||||||||||||||||||
Total O&R | $ | 855 | $ | - | $ | 48 | $ | 114 | $ | 34 | $ | 30 | $ | 2,485 | $ | 111 | |||||||||||||||||
Competitive energy businesses | $ | 1,617 | $ | 13 | $ | 7 | $ | 46 | $ | (1 | ) | $ | 20 | $ | 856 | $ | 114 | ||||||||||||||||
Other** | (18 | ) | (13 | ) | - | (4 | ) | 27 | - | 655 | - | ||||||||||||||||||||||
Total Con Edison | $ | 12,886 | $ | - | $ | 884 | $ | 2,239 | $ | 594 | $ | 617 | $ | 39,214 | $ | 2,003 | |||||||||||||||||
* | Includes amounts related to the RECO securitization. | ||||||||||||||||||||||||||||||||
** | Parent company expenses, primarily interest, and consolidation adjustments. Other does not represent a business segment. | ||||||||||||||||||||||||||||||||
CECONY [Member] | ' | ||||||||||||||||||||||||||||||||
Financial Information by Business Segment | ' | ||||||||||||||||||||||||||||||||
Note N — Financial Information by Business Segment | |||||||||||||||||||||||||||||||||
The business segments of each of the Companies, which are its operating segments, were determined based on management’s reporting and decision-making requirements in accordance with the accounting rules for segment reporting. | |||||||||||||||||||||||||||||||||
Con Edison’s principal business segments are CECONY’s regulated utility activities, O&R’s regulated utility activities and Con Edison’s competitive energy businesses. CECONY’s principal business segments are its regulated electric, gas and steam utility activities. | |||||||||||||||||||||||||||||||||
All revenues of these business segments are from customers located in the United States of America. Also, all assets of the business segments are located in the United States of America. The accounting policies of the segments are the same as those described in Note A. | |||||||||||||||||||||||||||||||||
Common services shared by the business segments are assigned directly or allocated based on various cost factors, depending on the nature of the service provided. | |||||||||||||||||||||||||||||||||
The financial data for the business segments are as follows: | |||||||||||||||||||||||||||||||||
As of and for the Year Ended | Operating | Inter-segment | Depreciation | Operating | Interest | Income | Total | Construction | |||||||||||||||||||||||||
December 31, 2013 | revenues | revenues | and | income | charges | tax | assets* | expenditures | |||||||||||||||||||||||||
(Millions of Dollars) | amortization | expense | |||||||||||||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||
Electric | $ | 8,131 | $ | 16 | $ | 749 | $ | 1,595 | $ | 402 | $ | 380 | $ | 27,673 | $ | 1,471 | |||||||||||||||||
Gas | 1,616 | 5 | 130 | 362 | 83 | 112 | 6,008 | 536 | |||||||||||||||||||||||||
Steam | 683 | 82 | 67 | 103 | 36 | 39 | 2,577 | 128 | |||||||||||||||||||||||||
Consolidation adjustments | - | (103 | ) | - | - | - | - | - | - | ||||||||||||||||||||||||
Total CECONY | $ | 10,430 | $ | - | $ | 946 | $ | 2,060 | $ | 521 | $ | 531 | $ | 36,258 | $ | 2,135 | |||||||||||||||||
O&R | |||||||||||||||||||||||||||||||||
Electric | $ | 628 | $ | - | $ | 41 | $ | 87 | $ | 25 | $ | 13 | $ | 1,898 | $ | 98 | |||||||||||||||||
Gas | 205 | - | 15 | 33 | 11 | 7 | 645 | 37 | |||||||||||||||||||||||||
Other* | - | - | - | - | 1 | - | 2 | - | |||||||||||||||||||||||||
Total O&R | $ | 833 | $ | - | $ | 56 | $ | 120 | $ | 37 | $ | 20 | $ | 2,545 | $ | 135 | |||||||||||||||||
Competitive energy businesses | $ | 1,096 | $ | 5 | $ | 23 | $ | 63 | $ | 135 | $ | (41 | ) | $ | 1,314 | $ | 378 | ||||||||||||||||
Other** | (5 | ) | (5 | ) | (1 | ) | 1 | 26 | (6 | ) | 530 | - | |||||||||||||||||||||
Total Con Edison | $ | 12,354 | $ | - | $ | 1,024 | $ | 2,244 | $ | 719 | $ | 504 | $ | 40,647 | $ | 2,648 | |||||||||||||||||
As of and for the Year Ended | Operating | Inter-segment | Depreciation | Operating | Interest | Income | Total | Construction | |||||||||||||||||||||||||
December 31, 2012 | revenues | revenues | and | income | charges | tax | assets* | expenditures | |||||||||||||||||||||||||
(Millions of Dollars) | amortization | expense | |||||||||||||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||
Electric | $ | 8,176 | $ | 15 | $ | 710 | $ | 1,693 | $ | 423 | $ | 393 | $ | 28,339 | $ | 1,375 | |||||||||||||||||
Gas | 1,415 | 5 | 120 | 346 | 82 | 99 | 5,925 | 426 | |||||||||||||||||||||||||
Steam | 596 | 77 | 64 | 54 | 40 | 22 | 2,621 | 108 | |||||||||||||||||||||||||
Consolidation adjustments | - | (97 | ) | - | - | - | - | - | - | ||||||||||||||||||||||||
Total CECONY | $ | 10,187 | $ | - | $ | 894 | $ | 2,093 | $ | 545 | $ | 514 | $ | 36,885 | $ | 1,909 | |||||||||||||||||
O&R | |||||||||||||||||||||||||||||||||
Electric | $ | 592 | $ | - | $ | 38 | $ | 83 | $ | 19 | $ | 17 | $ | 1,960 | $ | 98 | |||||||||||||||||
Gas | 203 | - | 15 | 40 | 10 | 11 | 706 | 39 | |||||||||||||||||||||||||
Other* | - | - | - | - | 2 | - | 5 | - | |||||||||||||||||||||||||
Total O&R | $ | 795 | $ | - | $ | 53 | $ | 123 | $ | 31 | $ | 28 | $ | 2,671 | $ | 137 | |||||||||||||||||
Competitive energy businesses | $ | 1,213 | $ | 8 | $ | 8 | $ | 125 | $ | 1 | $ | 52 | $ | 1,061 | $ | 492 | |||||||||||||||||
Other** | (7 | ) | (8 | ) | - | (2 | ) | 27 | - | 592 | - | ||||||||||||||||||||||
Total Con Edison | $ | 12,188 | $ | - | $ | 955 | $ | 2,339 | $ | 604 | $ | 594 | $ | 41,209 | $ | 2,538 | |||||||||||||||||
As of and for the Year Ended | Operating | Inter-segment | Depreciation | Operating | Interest | Income | Total | Construction | |||||||||||||||||||||||||
December 31, 2011 | revenues | revenues | and | income | charges | tax | assets* | expenditures | |||||||||||||||||||||||||
(Millions of Dollars) | amortization | expense | |||||||||||||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||
Electric | $ | 8,228 | $ | 12 | $ | 656 | $ | 1,695 | $ | 414 | $ | 481 | $ | 27,123 | $ | 1,354 | |||||||||||||||||
Gas | 1,521 | 5 | 110 | 295 | 78 | 43 | 5,518 | 335 | |||||||||||||||||||||||||
Steam | 683 | 79 | 63 | 93 | 42 | 43 | 2,577 | 89 | |||||||||||||||||||||||||
Consolidation adjustments | - | (96 | ) | - | - | - | - | - | - | ||||||||||||||||||||||||
Total CECONY | $ | 10,432 | $ | - | $ | 829 | $ | 2,083 | $ | 534 | $ | 567 | $ | 35,218 | $ | 1,778 | |||||||||||||||||
O&R | |||||||||||||||||||||||||||||||||
Electric | $ | 641 | $ | - | $ | 35 | $ | 81 | $ | 20 | $ | 21 | $ | 1,755 | $ | 79 | |||||||||||||||||
Gas | 214 | - | 13 | 33 | 12 | 9 | 722 | 32 | |||||||||||||||||||||||||
Other* | - | - | - | - | 2 | - | 8 | - | |||||||||||||||||||||||||
Total O&R | $ | 855 | $ | - | $ | 48 | $ | 114 | $ | 34 | $ | 30 | $ | 2,485 | $ | 111 | |||||||||||||||||
Competitive energy businesses | $ | 1,617 | $ | 13 | $ | 7 | $ | 46 | $ | (1 | ) | $ | 20 | $ | 856 | $ | 114 | ||||||||||||||||
Other** | (18 | ) | (13 | ) | - | (4 | ) | 27 | - | 655 | - | ||||||||||||||||||||||
Total Con Edison | $ | 12,886 | $ | - | $ | 884 | $ | 2,239 | $ | 594 | $ | 617 | $ | 39,214 | $ | 2,003 | |||||||||||||||||
* | Includes amounts related to the RECO securitization. | ||||||||||||||||||||||||||||||||
** | Parent company expenses, primarily interest, and consolidation adjustments. Other does not represent a business segment. |
Derivative_Instruments_and_Hed
Derivative Instruments and Hedging Activities | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities | ' | ||||||||||||||||||||||||||||
Note O — Derivative Instruments and Hedging Activities | |||||||||||||||||||||||||||||
Under the accounting rules for derivatives and hedging, derivatives are recognized on the balance sheet at fair value, unless an exception is available under the accounting rules. Certain qualifying derivative contracts have been designated as normal purchases or normal sales contracts. These contracts are not reported at fair value under the accounting rules. | |||||||||||||||||||||||||||||
Energy Price Hedging | |||||||||||||||||||||||||||||
Con Edison’s subsidiaries hedge market price fluctuations associated with physical purchases and sales of electricity, natural gas, and steam by using derivative instruments including futures, forwards, basis swaps, options, transmission congestion contracts and financial transmission rights contracts. | |||||||||||||||||||||||||||||
Effective January 1, 2013, the Companies adopted Accounting Standards Updates (ASUs) No. 2011-11, “Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities” and No. 2013-01, “Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities”. The amendments require the Companies to disclose certain quantitative information concerning financial and derivative instruments that are offset in the balance sheet and a description of the rights of setoff, including the nature of such rights, associated with recognized assets and liabilities that are subject to an enforceable master netting arrangement or similar agreement. | |||||||||||||||||||||||||||||
The Companies enter into master agreements for their commodity derivatives. These agreements typically provide setoff in the event of contract termination. In such case, generally the non-defaulting or non-affected party’s payable will be set-off by the other party’s payable. The non-defaulting party will customarily notify the defaulting party within a specific time period and come to an agreement on the early termination amount. | |||||||||||||||||||||||||||||
The fair values of the Companies’ commodity derivatives including the offsetting of assets and liabilities at December 31, 2013 were: | |||||||||||||||||||||||||||||
(Millions of Dollars) | |||||||||||||||||||||||||||||
Commodity Derivatives | Gross Amounts of | Gross | Net Amounts of | Gross Amounts Not | Net | ||||||||||||||||||||||||
Recognized | Amounts Offset | Assets/(Liabilities) | Offset in the Statement | Amount | |||||||||||||||||||||||||
Assets/(Liabilities) | in the | Presented in the | of Financial Position | ||||||||||||||||||||||||||
Statement of | Statement of | ||||||||||||||||||||||||||||
Financial | Financial Position | ||||||||||||||||||||||||||||
Position | |||||||||||||||||||||||||||||
Financial | Cash | ||||||||||||||||||||||||||||
instruments | collateral | ||||||||||||||||||||||||||||
received | |||||||||||||||||||||||||||||
Con Edison | |||||||||||||||||||||||||||||
Derivative assets | $ | 166 | $ | (101 | ) | $ | 65 | (a) | $ | - | $ | - | $ | 65 | (a) | ||||||||||||||
Derivative liabilities | (113 | ) | 98 | (15 | ) | - | - | (15 | ) | ||||||||||||||||||||
Net derivative assets/(liabilities) | $ | 53 | $ | (3 | ) | $ | 50 | (a) | $ | - | $ | - | $ | 50 | (a) | ||||||||||||||
CECONY | |||||||||||||||||||||||||||||
Derivative assets | $ | 41 | $ | (32 | ) | $ | 9 | (a) | $ | - | $ | - | $ | 9 | (a) | ||||||||||||||
Derivative liabilities | (51 | ) | 37 | (14 | ) | - | - | (14 | ) | ||||||||||||||||||||
Net derivative assets/(liabilities) | $ | (10 | ) | $ | 5 | $ | (5 | )(a) | $ | - | $ | - | $ | (5 | )(a) | ||||||||||||||
(a) | At December 31, 2013, Con Edison and CECONY had margin deposits of $17 million and $16 million, respectively, classified as derivative assets in the balance sheet, but not included in the table. As required by an exchange, a margin is collateral, typically cash, that the holder of a derivative instrument has to deposit in order to transact on an exchange and to cover its potential losses with its broker or the exchange. | ||||||||||||||||||||||||||||
The fair values of the Companies’ commodity derivatives including the offsetting of assets and liabilities at December 31, 2012 were: | |||||||||||||||||||||||||||||
(Millions of Dollars) | |||||||||||||||||||||||||||||
Commodity Derivatives | Gross Amounts of | Gross | Net Amounts of | Gross Amounts Not | Net | ||||||||||||||||||||||||
Recognized | Amounts | Assets/(Liabilities) | Offset in the Statement | Amount | |||||||||||||||||||||||||
Assets/(Liabilities) | Offset in the | Presented in the | of Financial Position | ||||||||||||||||||||||||||
Statement of | Statement of | ||||||||||||||||||||||||||||
Financial | Financial Position | ||||||||||||||||||||||||||||
Position | |||||||||||||||||||||||||||||
Financial | Cash | ||||||||||||||||||||||||||||
instruments | collateral | ||||||||||||||||||||||||||||
received | |||||||||||||||||||||||||||||
Con Edison | |||||||||||||||||||||||||||||
Derivative assets | $ | 86 | $ | (57 | ) | $ | 29 | (a) | $ | - | $ | - | $ | 29 | (a) | ||||||||||||||
Derivative liabilities | (176 | ) | 104 | (72 | ) | - | - | (72 | ) | ||||||||||||||||||||
Net derivative assets/(liabilities) | $ | (90 | ) | $ | 47 | $ | (43 | )(a) | $ | - | $ | - | $ | (43 | )(a) | ||||||||||||||
CECONY | |||||||||||||||||||||||||||||
Derivative assets | $ | 27 | $ | (15 | ) | $ | 12 | (a) | $ | - | $ | - | $ | 12 | (a) | ||||||||||||||
Derivative liabilities | (83 | ) | 44 | (39 | ) | - | - | (39 | ) | ||||||||||||||||||||
Net derivative assets/(liabilities) | $ | (56 | ) | $ | 29 | $ | (27 | )(a) | $ | - | $ | - | $ | (27 | )(a) | ||||||||||||||
(a) | At December 31, 2012, Con Edison and CECONY had margin deposits of $37 million and $18 million, respectively, classified as derivative assets in the balance sheet, but not included in the table. As required by an exchange, a margin is collateral, typically cash, that the holder of a derivative instrument has to deposit in order to transact on an exchange and to cover its potential losses with its broker or the exchange. | ||||||||||||||||||||||||||||
Credit Exposure | |||||||||||||||||||||||||||||
The Companies are exposed to credit risk related to transactions entered into primarily for the various energy supply and hedging activities by the Utilities and the competitive energy businesses. Credit risk relates to the loss that may result from a counterparty’s nonperformance. The Companies use credit policies to manage this risk, including an established credit approval process, monitoring of counterparty limits, netting provisions within agreements, collateral or prepayment arrangements, credit insurance and credit default swaps. The Companies measure credit risk exposure as the replacement cost for open energy commodity and derivative positions plus amounts owed from counterparties for settled transactions. The replacement cost of open positions represents unrealized gains, net of any unrealized losses where the Companies have a legally enforceable right of setoff. | |||||||||||||||||||||||||||||
At December 31, 2013, Con Edison and CECONY had $164 million and $20 million of credit exposure in connection with energy supply and hedging activities, net of collateral, respectively. Con Edison’s net credit exposure consisted of $84 million with independent system operators, $46 million with commodity exchange brokers, $33 million with investment-grade counterparties and $1 million with non-investment grade/non-rated counterparties. CECONY’s net credit exposure consisted of $17 million with commodity exchange brokers and $3 million with investment-grade counterparties. | |||||||||||||||||||||||||||||
Economic Hedges | |||||||||||||||||||||||||||||
The Companies enter into certain derivative instruments that do not qualify or are not designated as hedges under the accounting rules for derivatives and hedging. However, management believes these instruments represent economic hedges that mitigate exposure to fluctuations in commodity prices. | |||||||||||||||||||||||||||||
The fair values of the Companies’ commodity derivatives at December 31, 2013 were: | |||||||||||||||||||||||||||||
Fair Value of Commodity Derivatives(a) | |||||||||||||||||||||||||||||
(Millions of Dollars) | Balance Sheet Location | Con Edison | CECONY | ||||||||||||||||||||||||||
Derivative Assets | |||||||||||||||||||||||||||||
Current | Other current assets | $ | 134 | $ | 27 | ||||||||||||||||||||||||
Long-term | Other deferred charges and noncurrent assets | 32 | 14 | ||||||||||||||||||||||||||
Total derivative assets | $ | 166 | $ | 41 | |||||||||||||||||||||||||
Impact of netting | (84 | ) | (16 | ) | |||||||||||||||||||||||||
Net derivative assets | $ | 82 | $ | 25 | |||||||||||||||||||||||||
Derivative Liabilities | |||||||||||||||||||||||||||||
Current | Fair value of derivative liabilities | $ | 82 | $ | 32 | ||||||||||||||||||||||||
Long-term | Fair value of derivative liabilities | 31 | 19 | ||||||||||||||||||||||||||
Total derivative liabilities | $ | 113 | $ | 51 | |||||||||||||||||||||||||
Impact of netting | (98 | ) | (37 | ) | |||||||||||||||||||||||||
Net derivative liabilities | $ | 15 | $ | 14 | |||||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
The fair values of the Companies’ commodity derivatives at December 31, 2012 were: | |||||||||||||||||||||||||||||
Fair Value of Commodity Derivatives(a) | |||||||||||||||||||||||||||||
(Millions of Dollars) | Balance Sheet Location | Con Edison | CECONY | ||||||||||||||||||||||||||
Derivative Assets | |||||||||||||||||||||||||||||
Current | Other current assets | $ | 64 | $ | 18 | ||||||||||||||||||||||||
Long-term | Other deferred charges and noncurrent assets | 22 | 9 | ||||||||||||||||||||||||||
Total derivative assets | $ | 86 | $ | 27 | |||||||||||||||||||||||||
Impact of netting | (20 | ) | 3 | ||||||||||||||||||||||||||
Net derivative assets | $ | 66 | $ | 30 | |||||||||||||||||||||||||
Derivative Liabilities | |||||||||||||||||||||||||||||
Current | Fair value of derivative liabilities | $ | 122 | $ | 58 | ||||||||||||||||||||||||
Long-term | Fair value of derivative liabilities | 54 | 25 | ||||||||||||||||||||||||||
Total derivative liabilities | $ | 176 | $ | 83 | |||||||||||||||||||||||||
Impact of netting | (104 | ) | (44 | ) | |||||||||||||||||||||||||
Net derivative liabilities | $ | 72 | $ | 39 | |||||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
The Utilities generally recover all of their prudently incurred fuel, purchased power and gas cost, including hedging gains and losses, in accordance with rate provisions approved by the applicable state utility commissions. See “Recoverable Energy Costs” in Note A. In accordance with the accounting rules for regulated operations, the Utilities record a regulatory asset or liability to defer recognition of unrealized gains and losses on their electric and gas derivatives. As gains and losses are realized in future periods, they will be recognized as purchased power, gas and fuel costs in the Companies’ consolidated income statements. Con Edison’s competitive energy businesses record realized and unrealized gains and losses on their derivative contracts in earnings in the reporting period in which they occur. | |||||||||||||||||||||||||||||
The following table presents the changes in the fair values of commodity derivatives that have been deferred or recognized in earnings for the year ended December 31, 2013: | |||||||||||||||||||||||||||||
Realized and Unrealized Gains/(Losses) on Commodity Derivatives(a) | |||||||||||||||||||||||||||||
Deferred or Recognized in Income for the Year Ended December 31, 2013 | |||||||||||||||||||||||||||||
(Millions of Dollars) | Balance Sheet Location | Con Edison | CECONY | ||||||||||||||||||||||||||
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | |||||||||||||||||||||||||||||
Current | Deferred derivative gains | $ | 14 | $ | 11 | ||||||||||||||||||||||||
Long-term | Deferred derivative gains | - | - | ||||||||||||||||||||||||||
Total deferred gains/(losses) | $ | 14 | $ | 11 | |||||||||||||||||||||||||
Current | Deferred derivative losses | $ | 47 | $ | 38 | ||||||||||||||||||||||||
Current | Recoverable energy costs | (39 | ) | (37 | ) | ||||||||||||||||||||||||
Long-term | Deferred derivative losses | 27 | 13 | ||||||||||||||||||||||||||
Total deferred gains/(losses) | $ | 35 | $ | 14 | |||||||||||||||||||||||||
Net deferred gains/(losses) | $ | 49 | $ | 25 | |||||||||||||||||||||||||
Income Statement Location | |||||||||||||||||||||||||||||
Pre-tax gain/(loss) recognized in income | |||||||||||||||||||||||||||||
Purchased power expense | $ | 90 | (b) | $ | - | ||||||||||||||||||||||||
Gas purchased for resale | (27 | ) | - | ||||||||||||||||||||||||||
Non-utility revenue | 9 | (b) | - | ||||||||||||||||||||||||||
Total pre-tax gain/(loss) recognized in income | $ | 72 | $ | - | |||||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
(b) | For the year ended December 31, 2013, Con Edison recorded in non-utility purchased power expense an unrealized pre-tax gain of $74 million. | ||||||||||||||||||||||||||||
The following table presents the changes in the fair values of commodity derivatives that have been deferred or recognized in earnings for the year ended December 31, 2012: | |||||||||||||||||||||||||||||
Realized and Unrealized Gains/(Losses) on Commodity Derivatives(a) | |||||||||||||||||||||||||||||
Deferred or Recognized in Income for the Year Ended December 31, 2012 | |||||||||||||||||||||||||||||
(Millions of Dollars) | Balance Sheet Location | Con Edison | CECONY | ||||||||||||||||||||||||||
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | |||||||||||||||||||||||||||||
Current | Deferred derivative gains | $ | (1 | ) | $ | (1 | ) | ||||||||||||||||||||||
Long-term | Regulatory liabilities | - | - | ||||||||||||||||||||||||||
Total deferred gains/(losses) | $ | (1 | ) | $ | (1 | ) | |||||||||||||||||||||||
Current | Deferred derivative losses | $ | 95 | $ | 80 | ||||||||||||||||||||||||
Current | Recoverable energy costs | (220 | ) | (192 | ) | ||||||||||||||||||||||||
Long-term | Deferred derivative losses | 17 | 24 | ||||||||||||||||||||||||||
Total deferred gains/(losses) | $ | (108 | ) | $ | (88 | ) | |||||||||||||||||||||||
Net deferred gains/(losses) | $ | (109 | ) | $ | (89 | ) | |||||||||||||||||||||||
Income Statement Location | |||||||||||||||||||||||||||||
Pre-tax gain/(loss) recognized in income | |||||||||||||||||||||||||||||
Purchased power expense | $ | (54 | )(b) | $ | - | ||||||||||||||||||||||||
Gas purchased for resale | (5 | ) | - | ||||||||||||||||||||||||||
Non-utility revenue | (11 | )(b) | - | ||||||||||||||||||||||||||
Total pre-tax gain/(loss) recognized in income | $ | (70 | ) | $ | - | ||||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
(b) | For the year ended December 31, 2012, Con Edison recorded in non-utility operating revenues and purchased power expense an unrealized pre-tax gain/(loss) of $(14) million and $82 million, respectively. | ||||||||||||||||||||||||||||
As of December 31, 2013, Con Edison had 1,116 contracts, including 547 CECONY contracts, which were considered to be derivatives under the accounting rules for derivatives and hedging (excluding qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts). The following table presents the number of contracts by commodity type: | |||||||||||||||||||||||||||||
Electric Derivatives | Gas Derivatives | ||||||||||||||||||||||||||||
Number of | MWHs(b) | Number of | MWs(b) | Number | Dths(b) | Total Number | |||||||||||||||||||||||
Energy | Capacity | of | Of | ||||||||||||||||||||||||||
Contracts(a) | Contracts(a) | Contracts(a) | Contracts(a) | ||||||||||||||||||||||||||
Con Edison | 501 | 16,143,806 | 61 | 6,376 | 554 | 74,672,185 | 1,116 | ||||||||||||||||||||||
CECONY | 75 | 3,075,850 | 4 | 1,200 | 468 | 70,490,000 | 547 | ||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
(b) | Volumes are reported net of long and short positions. | ||||||||||||||||||||||||||||
The Companies also enter into electric congestion and gas basis swap contracts to hedge the congestion and transportation charges which are associated with electric and gas contracts and hedged volumes. | |||||||||||||||||||||||||||||
The collateral requirements associated with, and settlement of, derivative transactions are included in net cash flows from operating activities in the Companies’ consolidated statement of cash flows. Most derivative instrument contracts contain provisions that may require the Companies to provide collateral on derivative instruments in net liability positions. The amount of collateral to be provided will depend on the fair value of the derivative instruments and the Companies’ credit ratings. | |||||||||||||||||||||||||||||
The aggregate fair value of all derivative instruments with credit-risk-related contingent features that are in a net liability position and collateral posted at December 31, 2013, and the additional collateral that would have been required to be posted had the lowest applicable credit rating been reduced one level and to below investment grade were: | |||||||||||||||||||||||||||||
(Millions of Dollars) | Con Edison(a) | CECONY(a) | |||||||||||||||||||||||||||
Aggregate fair value – net liabilities | $ | 17 | $ | 14 | |||||||||||||||||||||||||
Collateral posted | $ | - | $ | - | |||||||||||||||||||||||||
Additional collateral(b) (downgrade one level from current ratings) | $ | - | $ | - | |||||||||||||||||||||||||
Additional collateral(b) (downgrade to below investment grade from current ratings) | $ | 11 | (c) | $ | 9 | (c) | |||||||||||||||||||||||
(a) | Non-derivative transactions for the purchase and sale of electricity and gas and qualifying derivative instruments, which have been designated as normal purchases or normal sales, are excluded from the table. These transactions primarily include purchases of electricity from independent system operators. In the event the Utilities and Con Edison’s competitive energy businesses were no longer extended unsecured credit for such purchases, the Companies would be required to post collateral, which at December 31, 2013, would have amounted to an estimated $28 million for Con Edison, including $15 million for CECONY. For certain other such non-derivative transactions, the Companies could be required to post collateral under certain circumstances, including in the event counterparties had reasonable grounds for insecurity. | ||||||||||||||||||||||||||||
(b) | The Companies measure the collateral requirements by taking into consideration the fair value amounts of derivative instruments that contain credit-risk-related contingent features that are in a net liabilities position plus amounts owed to counterparties for settled transactions and amounts required by counterparties for minimum financial security. The fair value amounts represent unrealized losses, net of any unrealized gains where the Companies have a legally enforceable right of setoff. | ||||||||||||||||||||||||||||
(c) | Derivative instruments that are net assets have been excluded from the table. At December 31, 2013, if Con Edison had been downgraded to below investment grade, it would have been required to post additional collateral for such derivative instruments of $41 million, including $1 million for CECONY. | ||||||||||||||||||||||||||||
Interest Rate Swap | |||||||||||||||||||||||||||||
O&R has an interest rate swap, which terminates in October 2014, pursuant to which it pays a fixed-rate of 6.09 percent and receives a LIBOR-based variable rate. The fair value of this interest rate swap at December 31, 2013 was an unrealized loss of $2 million, which has been included in Con Edison’s consolidated balance sheet as a current liability/fair value of derivative liabilities and a regulatory asset. The increase in the fair value of the swap for the year ended December 31, 2013 was $4 million. In the event O&R’s credit rating was downgraded to BBB- or lower by S&P or Baa3 or lower by Moody’s, the swap counterparty could elect to terminate the agreement and, if it did so, the parties would then be required to settle the transaction. | |||||||||||||||||||||||||||||
CECONY [Member] | ' | ||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities | ' | ||||||||||||||||||||||||||||
Note O — Derivative Instruments and Hedging Activities | |||||||||||||||||||||||||||||
Under the accounting rules for derivatives and hedging, derivatives are recognized on the balance sheet at fair value, unless an exception is available under the accounting rules. Certain qualifying derivative contracts have been designated as normal purchases or normal sales contracts. These contracts are not reported at fair value under the accounting rules. | |||||||||||||||||||||||||||||
Energy Price Hedging | |||||||||||||||||||||||||||||
Con Edison’s subsidiaries hedge market price fluctuations associated with physical purchases and sales of electricity, natural gas, and steam by using derivative instruments including futures, forwards, basis swaps, options, transmission congestion contracts and financial transmission rights contracts. | |||||||||||||||||||||||||||||
Effective January 1, 2013, the Companies adopted Accounting Standards Updates (ASUs) No. 2011-11, “Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities” and No. 2013-01, “Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities”. The amendments require the Companies to disclose certain quantitative information concerning financial and derivative instruments that are offset in the balance sheet and a description of the rights of setoff, including the nature of such rights, associated with recognized assets and liabilities that are subject to an enforceable master netting arrangement or similar agreement. | |||||||||||||||||||||||||||||
The Companies enter into master agreements for their commodity derivatives. These agreements typically provide setoff in the event of contract termination. In such case, generally the non-defaulting or non-affected party’s payable will be set-off by the other party’s payable. The non-defaulting party will customarily notify the defaulting party within a specific time period and come to an agreement on the early termination amount. | |||||||||||||||||||||||||||||
The fair values of the Companies’ commodity derivatives including the offsetting of assets and liabilities at December 31, 2013 were: | |||||||||||||||||||||||||||||
(Millions of Dollars) | |||||||||||||||||||||||||||||
Commodity Derivatives | Gross Amounts of | Gross | Net Amounts of | Gross Amounts Not | Net | ||||||||||||||||||||||||
Recognized | Amounts Offset | Assets/(Liabilities) | Offset in the Statement | Amount | |||||||||||||||||||||||||
Assets/(Liabilities) | in the | Presented in the | of Financial Position | ||||||||||||||||||||||||||
Statement of | Statement of | ||||||||||||||||||||||||||||
Financial | Financial Position | ||||||||||||||||||||||||||||
Position | |||||||||||||||||||||||||||||
Financial | Cash | ||||||||||||||||||||||||||||
instruments | collateral | ||||||||||||||||||||||||||||
received | |||||||||||||||||||||||||||||
Con Edison | |||||||||||||||||||||||||||||
Derivative assets | $ | 166 | $ | (101 | ) | $ | 65 | (a) | $ | - | $ | - | $ | 65 | (a) | ||||||||||||||
Derivative liabilities | (113 | ) | 98 | (15 | ) | - | - | (15 | ) | ||||||||||||||||||||
Net derivative assets/(liabilities) | $ | 53 | $ | (3 | ) | $ | 50 | (a) | $ | - | $ | - | $ | 50 | (a) | ||||||||||||||
CECONY | |||||||||||||||||||||||||||||
Derivative assets | $ | 41 | $ | (32 | ) | $ | 9 | (a) | $ | - | $ | - | $ | 9 | (a) | ||||||||||||||
Derivative liabilities | (51 | ) | 37 | (14 | ) | - | - | (14 | ) | ||||||||||||||||||||
Net derivative assets/(liabilities) | $ | (10 | ) | $ | 5 | $ | (5 | )(a) | $ | - | $ | - | $ | (5 | )(a) | ||||||||||||||
(a) | At December 31, 2013, Con Edison and CECONY had margin deposits of $17 million and $16 million, respectively, classified as derivative assets in the balance sheet, but not included in the table. As required by an exchange, a margin is collateral, typically cash, that the holder of a derivative instrument has to deposit in order to transact on an exchange and to cover its potential losses with its broker or the exchange. | ||||||||||||||||||||||||||||
The fair values of the Companies’ commodity derivatives including the offsetting of assets and liabilities at December 31, 2012 were: | |||||||||||||||||||||||||||||
(Millions of Dollars) | |||||||||||||||||||||||||||||
Commodity Derivatives | Gross Amounts of | Gross | Net Amounts of | Gross Amounts Not | Net | ||||||||||||||||||||||||
Recognized | Amounts | Assets/(Liabilities) | Offset in the Statement | Amount | |||||||||||||||||||||||||
Assets/(Liabilities) | Offset in the | Presented in the | of Financial Position | ||||||||||||||||||||||||||
Statement of | Statement of | ||||||||||||||||||||||||||||
Financial | Financial Position | ||||||||||||||||||||||||||||
Position | |||||||||||||||||||||||||||||
Financial | Cash | ||||||||||||||||||||||||||||
instruments | collateral | ||||||||||||||||||||||||||||
received | |||||||||||||||||||||||||||||
Con Edison | |||||||||||||||||||||||||||||
Derivative assets | $ | 86 | $ | (57 | ) | $ | 29 | (a) | $ | - | $ | - | $ | 29 | (a) | ||||||||||||||
Derivative liabilities | (176 | ) | 104 | (72 | ) | - | - | (72 | ) | ||||||||||||||||||||
Net derivative assets/(liabilities) | $ | (90 | ) | $ | 47 | $ | (43 | )(a) | $ | - | $ | - | $ | (43 | )(a) | ||||||||||||||
CECONY | |||||||||||||||||||||||||||||
Derivative assets | $ | 27 | $ | (15 | ) | $ | 12 | (a) | $ | - | $ | - | $ | 12 | (a) | ||||||||||||||
Derivative liabilities | (83 | ) | 44 | (39 | ) | - | - | (39 | ) | ||||||||||||||||||||
Net derivative assets/(liabilities) | $ | (56 | ) | $ | 29 | $ | (27 | )(a) | $ | - | $ | - | $ | (27 | )(a) | ||||||||||||||
(a) | At December 31, 2012, Con Edison and CECONY had margin deposits of $37 million and $18 million, respectively, classified as derivative assets in the balance sheet, but not included in the table. As required by an exchange, a margin is collateral, typically cash, that the holder of a derivative instrument has to deposit in order to transact on an exchange and to cover its potential losses with its broker or the exchange. | ||||||||||||||||||||||||||||
Credit Exposure | |||||||||||||||||||||||||||||
The Companies are exposed to credit risk related to transactions entered into primarily for the various energy supply and hedging activities by the Utilities and the competitive energy businesses. Credit risk relates to the loss that may result from a counterparty’s nonperformance. The Companies use credit policies to manage this risk, including an established credit approval process, monitoring of counterparty limits, netting provisions within agreements, collateral or prepayment arrangements, credit insurance and credit default swaps. The Companies measure credit risk exposure as the replacement cost for open energy commodity and derivative positions plus amounts owed from counterparties for settled transactions. The replacement cost of open positions represents unrealized gains, net of any unrealized losses where the Companies have a legally enforceable right of setoff. | |||||||||||||||||||||||||||||
At December 31, 2013, Con Edison and CECONY had $164 million and $20 million of credit exposure in connection with energy supply and hedging activities, net of collateral, respectively. Con Edison’s net credit exposure consisted of $84 million with independent system operators, $46 million with commodity exchange brokers, $33 million with investment-grade counterparties and $1 million with non-investment grade/non-rated counterparties. CECONY’s net credit exposure consisted of $17 million with commodity exchange brokers and $3 million with investment-grade counterparties. | |||||||||||||||||||||||||||||
Economic Hedges | |||||||||||||||||||||||||||||
The Companies enter into certain derivative instruments that do not qualify or are not designated as hedges under the accounting rules for derivatives and hedging. However, management believes these instruments represent economic hedges that mitigate exposure to fluctuations in commodity prices. | |||||||||||||||||||||||||||||
The fair values of the Companies’ commodity derivatives at December 31, 2013 were: | |||||||||||||||||||||||||||||
Fair Value of Commodity Derivatives(a) | |||||||||||||||||||||||||||||
(Millions of Dollars) | Balance Sheet Location | Con Edison | CECONY | ||||||||||||||||||||||||||
Derivative Assets | |||||||||||||||||||||||||||||
Current | Other current assets | $ | 134 | $ | 27 | ||||||||||||||||||||||||
Long-term | Other deferred charges and noncurrent assets | 32 | 14 | ||||||||||||||||||||||||||
Total derivative assets | $ | 166 | $ | 41 | |||||||||||||||||||||||||
Impact of netting | (84 | ) | (16 | ) | |||||||||||||||||||||||||
Net derivative assets | $ | 82 | $ | 25 | |||||||||||||||||||||||||
Derivative Liabilities | |||||||||||||||||||||||||||||
Current | Fair value of derivative liabilities | $ | 82 | $ | 32 | ||||||||||||||||||||||||
Long-term | Fair value of derivative liabilities | 31 | 19 | ||||||||||||||||||||||||||
Total derivative liabilities | $ | 113 | $ | 51 | |||||||||||||||||||||||||
Impact of netting | (98 | ) | (37 | ) | |||||||||||||||||||||||||
Net derivative liabilities | $ | 15 | $ | 14 | |||||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
The fair values of the Companies’ commodity derivatives at December 31, 2012 were: | |||||||||||||||||||||||||||||
Fair Value of Commodity Derivatives(a) | |||||||||||||||||||||||||||||
(Millions of Dollars) | Balance Sheet Location | Con Edison | CECONY | ||||||||||||||||||||||||||
Derivative Assets | |||||||||||||||||||||||||||||
Current | Other current assets | $ | 64 | $ | 18 | ||||||||||||||||||||||||
Long-term | Other deferred charges and noncurrent assets | 22 | 9 | ||||||||||||||||||||||||||
Total derivative assets | $ | 86 | $ | 27 | |||||||||||||||||||||||||
Impact of netting | (20 | ) | 3 | ||||||||||||||||||||||||||
Net derivative assets | $ | 66 | $ | 30 | |||||||||||||||||||||||||
Derivative Liabilities | |||||||||||||||||||||||||||||
Current | Fair value of derivative liabilities | $ | 122 | $ | 58 | ||||||||||||||||||||||||
Long-term | Fair value of derivative liabilities | 54 | 25 | ||||||||||||||||||||||||||
Total derivative liabilities | $ | 176 | $ | 83 | |||||||||||||||||||||||||
Impact of netting | (104 | ) | (44 | ) | |||||||||||||||||||||||||
Net derivative liabilities | $ | 72 | $ | 39 | |||||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
The Utilities generally recover all of their prudently incurred fuel, purchased power and gas cost, including hedging gains and losses, in accordance with rate provisions approved by the applicable state utility commissions. See “Recoverable Energy Costs” in Note A. In accordance with the accounting rules for regulated operations, the Utilities record a regulatory asset or liability to defer recognition of unrealized gains and losses on their electric and gas derivatives. As gains and losses are realized in future periods, they will be recognized as purchased power, gas and fuel costs in the Companies’ consolidated income statements. Con Edison’s competitive energy businesses record realized and unrealized gains and losses on their derivative contracts in earnings in the reporting period in which they occur. | |||||||||||||||||||||||||||||
The following table presents the changes in the fair values of commodity derivatives that have been deferred or recognized in earnings for the year ended December 31, 2013: | |||||||||||||||||||||||||||||
Realized and Unrealized Gains/(Losses) on Commodity Derivatives(a) | |||||||||||||||||||||||||||||
Deferred or Recognized in Income for the Year Ended December 31, 2013 | |||||||||||||||||||||||||||||
(Millions of Dollars) | Balance Sheet Location | Con Edison | CECONY | ||||||||||||||||||||||||||
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | |||||||||||||||||||||||||||||
Current | Deferred derivative gains | $ | 14 | $ | 11 | ||||||||||||||||||||||||
Long-term | Deferred derivative gains | - | - | ||||||||||||||||||||||||||
Total deferred gains/(losses) | $ | 14 | $ | 11 | |||||||||||||||||||||||||
Current | Deferred derivative losses | $ | 47 | $ | 38 | ||||||||||||||||||||||||
Current | Recoverable energy costs | (39 | ) | (37 | ) | ||||||||||||||||||||||||
Long-term | Deferred derivative losses | 27 | 13 | ||||||||||||||||||||||||||
Total deferred gains/(losses) | $ | 35 | $ | 14 | |||||||||||||||||||||||||
Net deferred gains/(losses) | $ | 49 | $ | 25 | |||||||||||||||||||||||||
Income Statement Location | |||||||||||||||||||||||||||||
Pre-tax gain/(loss) recognized in income | |||||||||||||||||||||||||||||
Purchased power expense | $ | 90 | (b) | $ | - | ||||||||||||||||||||||||
Gas purchased for resale | (27 | ) | - | ||||||||||||||||||||||||||
Non-utility revenue | 9 | (b) | - | ||||||||||||||||||||||||||
Total pre-tax gain/(loss) recognized in income | $ | 72 | $ | - | |||||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
(b) | For the year ended December 31, 2013, Con Edison recorded in non-utility purchased power expense an unrealized pre-tax gain of $74 million. | ||||||||||||||||||||||||||||
The following table presents the changes in the fair values of commodity derivatives that have been deferred or recognized in earnings for the year ended December 31, 2012: | |||||||||||||||||||||||||||||
Realized and Unrealized Gains/(Losses) on Commodity Derivatives(a) | |||||||||||||||||||||||||||||
Deferred or Recognized in Income for the Year Ended December 31, 2012 | |||||||||||||||||||||||||||||
(Millions of Dollars) | Balance Sheet Location | Con Edison | CECONY | ||||||||||||||||||||||||||
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | |||||||||||||||||||||||||||||
Current | Deferred derivative gains | $ | (1 | ) | $ | (1 | ) | ||||||||||||||||||||||
Long-term | Regulatory liabilities | - | - | ||||||||||||||||||||||||||
Total deferred gains/(losses) | $ | (1 | ) | $ | (1 | ) | |||||||||||||||||||||||
Current | Deferred derivative losses | $ | 95 | $ | 80 | ||||||||||||||||||||||||
Current | Recoverable energy costs | (220 | ) | (192 | ) | ||||||||||||||||||||||||
Long-term | Deferred derivative losses | 17 | 24 | ||||||||||||||||||||||||||
Total deferred gains/(losses) | $ | (108 | ) | $ | (88 | ) | |||||||||||||||||||||||
Net deferred gains/(losses) | $ | (109 | ) | $ | (89 | ) | |||||||||||||||||||||||
Income Statement Location | |||||||||||||||||||||||||||||
Pre-tax gain/(loss) recognized in income | |||||||||||||||||||||||||||||
Purchased power expense | $ | (54 | )(b) | $ | - | ||||||||||||||||||||||||
Gas purchased for resale | (5 | ) | - | ||||||||||||||||||||||||||
Non-utility revenue | (11 | )(b) | - | ||||||||||||||||||||||||||
Total pre-tax gain/(loss) recognized in income | $ | (70 | ) | $ | - | ||||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
(b) | For the year ended December 31, 2012, Con Edison recorded in non-utility operating revenues and purchased power expense an unrealized pre-tax gain/(loss) of $(14) million and $82 million, respectively. | ||||||||||||||||||||||||||||
As of December 31, 2013, Con Edison had 1,116 contracts, including 547 CECONY contracts, which were considered to be derivatives under the accounting rules for derivatives and hedging (excluding qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts). The following table presents the number of contracts by commodity type: | |||||||||||||||||||||||||||||
Electric Derivatives | Gas Derivatives | ||||||||||||||||||||||||||||
Number of | MWHs(b) | Number of | MWs(b) | Number | Dths(b) | Total Number | |||||||||||||||||||||||
Energy | Capacity | of | Of | ||||||||||||||||||||||||||
Contracts(a) | Contracts(a) | Contracts(a) | Contracts(a) | ||||||||||||||||||||||||||
Con Edison | 501 | 16,143,806 | 61 | 6,376 | 554 | 74,672,185 | 1,116 | ||||||||||||||||||||||
CECONY | 75 | 3,075,850 | 4 | 1,200 | 468 | 70,490,000 | 547 | ||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
(b) | Volumes are reported net of long and short positions. | ||||||||||||||||||||||||||||
The Companies also enter into electric congestion and gas basis swap contracts to hedge the congestion and transportation charges which are associated with electric and gas contracts and hedged volumes. | |||||||||||||||||||||||||||||
The collateral requirements associated with, and settlement of, derivative transactions are included in net cash flows from operating activities in the Companies’ consolidated statement of cash flows. Most derivative instrument contracts contain provisions that may require the Companies to provide collateral on derivative instruments in net liability positions. The amount of collateral to be provided will depend on the fair value of the derivative instruments and the Companies’ credit ratings. | |||||||||||||||||||||||||||||
The aggregate fair value of all derivative instruments with credit-risk-related contingent features that are in a net liability position and collateral posted at December 31, 2013, and the additional collateral that would have been required to be posted had the lowest applicable credit rating been reduced one level and to below investment grade were: | |||||||||||||||||||||||||||||
(Millions of Dollars) | Con Edison(a) | CECONY(a) | |||||||||||||||||||||||||||
Aggregate fair value – net liabilities | $ | 17 | $ | 14 | |||||||||||||||||||||||||
Collateral posted | $ | - | $ | - | |||||||||||||||||||||||||
Additional collateral(b) (downgrade one level from current ratings) | $ | - | $ | - | |||||||||||||||||||||||||
Additional collateral(b) (downgrade to below investment grade from current ratings) | $ | 11 | (c) | $ | 9 | (c) | |||||||||||||||||||||||
(a) | Non-derivative transactions for the purchase and sale of electricity and gas and qualifying derivative instruments, which have been designated as normal purchases or normal sales, are excluded from the table. These transactions primarily include purchases of electricity from independent system operators. In the event the Utilities and Con Edison’s competitive energy businesses were no longer extended unsecured credit for such purchases, the Companies would be required to post collateral, which at December 31, 2013, would have amounted to an estimated $28 million for Con Edison, including $15 million for CECONY. For certain other such non-derivative transactions, the Companies could be required to post collateral under certain circumstances, including in the event counterparties had reasonable grounds for insecurity. | ||||||||||||||||||||||||||||
(b) | The Companies measure the collateral requirements by taking into consideration the fair value amounts of derivative instruments that contain credit-risk-related contingent features that are in a net liabilities position plus amounts owed to counterparties for settled transactions and amounts required by counterparties for minimum financial security. The fair value amounts represent unrealized losses, net of any unrealized gains where the Companies have a legally enforceable right of setoff. | ||||||||||||||||||||||||||||
(c) | Derivative instruments that are net assets have been excluded from the table. At December 31, 2013, if Con Edison had been downgraded to below investment grade, it would have been required to post additional collateral for such derivative instruments of $41 million, including $1 million for CECONY. | ||||||||||||||||||||||||||||
Interest Rate Swap | |||||||||||||||||||||||||||||
O&R has an interest rate swap, which terminates in October 2014, pursuant to which it pays a fixed-rate of 6.09 percent and receives a LIBOR-based variable rate. The fair value of this interest rate swap at December 31, 2013 was an unrealized loss of $2 million, which has been included in Con Edison’s consolidated balance sheet as a current liability/fair value of derivative liabilities and a regulatory asset. The increase in the fair value of the swap for the year ended December 31, 2013 was $4 million. In the event O&R’s credit rating was downgraded to BBB- or lower by S&P or Baa3 or lower by Moody’s, the swap counterparty could elect to terminate the agreement and, if it did so, the parties would then be required to settle the transaction. |
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||||||||||||||||||||||||||
Note P – Fair Value Measurements | |||||||||||||||||||||||||||||||||||||||||
The accounting rules for fair value measurements and disclosures define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date in a principal or most advantageous market. Fair value is a market-based measurement that is determined based on inputs, which refer broadly to assumptions that market participants use in pricing assets or liabilities. These inputs can be readily observable, market corroborated, or generally unobservable firm inputs. The Companies often make certain assumptions that market participants would use in pricing the asset or liability, including assumptions about risk, and the risks inherent in the inputs to valuation techniques. The Companies use valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. | |||||||||||||||||||||||||||||||||||||||||
The accounting rules for fair value measurements and disclosures established a fair value hierarchy, which prioritizes the inputs to valuation techniques used to measure fair value in three broad levels. The rules require that assets and liabilities be classified in their entirety based on the level of input that is significant to the fair value measurement. Assessing the significance of a particular input may require judgment considering factors specific to the asset or liability, and may affect the valuation of the asset or liability and their placement within the fair value hierarchy. The Companies classify fair value balances based on the fair value hierarchy defined by the accounting rules for fair value measurements and disclosures as follows: | |||||||||||||||||||||||||||||||||||||||||
• | Level 1 – Consists of assets or liabilities whose value is based on unadjusted quoted prices in active markets at the measurement date. An active market is one in which transactions for assets or liabilities occur with sufficient frequency and volume to provide pricing information on an ongoing basis. This category includes contracts traded on active exchange markets valued using unadjusted prices quoted directly from the exchange. | ||||||||||||||||||||||||||||||||||||||||
• | Level 2 – Consists of assets or liabilities valued using industry standard models and based on prices, other than quoted prices within Level 1, that are either directly or indirectly observable as of the measurement date. The industry standard models consider observable assumptions including time value, volatility factors, and current market and contractual prices for the underlying commodities, in addition to other economic measures. This category includes contracts traded on active exchanges or in over-the-counter markets priced with industry standard models. | ||||||||||||||||||||||||||||||||||||||||
• | Level 3 – Consists of assets or liabilities whose fair value is estimated based on internally developed models or methodologies using inputs that are generally less readily observable and supported by little, if any, market activity at the measurement date. Unobservable inputs are developed based on the best available information and subject to cost benefit constraints. This category includes contracts priced using models that are internally developed and contracts placed in illiquid markets. It also includes contracts that expire after the period of time for which quoted prices are available and internal models are used to determine a significant portion of the value. | ||||||||||||||||||||||||||||||||||||||||
Assets and liabilities measured at fair value on a recurring basis as of December 31, 2013 are summarized below. | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Netting | Total | |||||||||||||||||||||||||||||||||||||
Adjustments(d) | |||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Con | CECONY | Con | CECONY | Con | CECONY | Con | CECONY | Con | CECONY | |||||||||||||||||||||||||||||||
Edison | Edison | Edison | Edison | Edison | |||||||||||||||||||||||||||||||||||||
Derivative assets: | |||||||||||||||||||||||||||||||||||||||||
Commodity(a)(e)(f) | $ | 3 | $ | 3 | $ | 130 | $ | 13 | $ | 11 | $ | 6 | $ | (62 | ) | $ | 3 | $ | 82 | $ | 25 | ||||||||||||||||||||
Other assets(c)(e)(f) | 141 | 134 | 113 | 103 | - | - | - | - | 254 | 237 | |||||||||||||||||||||||||||||||
Total | $ | 144 | $ | 137 | $ | 243 | $ | 116 | $ | 11 | $ | 6 | $ | (62 | ) | $ | 3 | $ | 336 | $ | 262 | ||||||||||||||||||||
Derivative liabilities: | |||||||||||||||||||||||||||||||||||||||||
Commodity(a)(e)(f) | $ | 5 | $ | 5 | $ | 84 | $ | 27 | $ | 2 | $ | - | $ | (76 | ) | $ | (18 | ) | $ | 15 | $ | 14 | |||||||||||||||||||
Interest rate contract(b)(e)(f) | - | - | 2 | - | - | - | - | - | 2 | - | |||||||||||||||||||||||||||||||
Total | $ | 5 | $ | 5 | $ | 86 | $ | 27 | $ | 2 | $ | - | $ | (76 | ) | $ | (18 | ) | $ | 17 | $ | 14 | |||||||||||||||||||
(a) | A portion of the commodity derivatives categorized in Level 3 is valued using an internally developed model with observable inputs. The models also include some less readily observable inputs resulting in the classification of the entire contract as Level 3. See Note O. | ||||||||||||||||||||||||||||||||||||||||
(b) | See Note O. | ||||||||||||||||||||||||||||||||||||||||
(c) | Other assets are comprised of assets such as life insurance contracts within the deferred compensation plan and non-qualified retirement plans. | ||||||||||||||||||||||||||||||||||||||||
(d) | Amounts represent the impact of legally-enforceable master netting agreements that allow the Companies to net gain and loss positions and cash collateral held or placed with the same counterparties. | ||||||||||||||||||||||||||||||||||||||||
(e) | The Companies’ policy is to recognize transfers into and transfers out of the levels at the end of the reporting period. There were no transfers between levels 1, 2, and 3 for the year ended December 31, 2013. | ||||||||||||||||||||||||||||||||||||||||
(f) | Level 2 assets and liabilities include investments held in the deferred compensation plan and/or non-qualified retirement plans, interest rate swap, or exchange-traded contracts where there is insufficient market liquidity to warrant inclusion in Level 1, and certain over-the-counter derivative instruments for electricity and natural gas. Derivative instruments classified as Level 2 are valued using industry standard models that incorporate corroborated observable inputs; such as pricing services or prices from similar instruments that trade in liquid markets, time value, and volatility factors. | ||||||||||||||||||||||||||||||||||||||||
Assets and liabilities measured at fair value on a recurring basis as of December 31, 2012 are summarized below. | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Netting | Total | |||||||||||||||||||||||||||||||||||||
Adjustments(d) | |||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Con | CECONY | Con | CECONY | Con | CECONY | Con | CECONY | Con | CECONY | |||||||||||||||||||||||||||||||
Edison | Edison | Edison | Edison | Edison | |||||||||||||||||||||||||||||||||||||
Derivative assets: | |||||||||||||||||||||||||||||||||||||||||
Commodity(a)(e)(i) | $ | - | $ | - | $ | 43 | $ | 8 | $ | 33 | $ | 10 | $ | (10 | ) | $ | 12 | $ | 66 | $ | 30 | ||||||||||||||||||||
Other assets(c)(e)(f)(i) | 106 | 99 | 107 | 98 | - | - | - | - | 213 | 197 | |||||||||||||||||||||||||||||||
Total | $ | 106 | $ | 99 | $ | 150 | $ | 106 | $ | 33 | $ | 10 | $ | (10 | ) | $ | 12 | $ | 279 | $ | 227 | ||||||||||||||||||||
Derivative liabilities: | |||||||||||||||||||||||||||||||||||||||||
Commodity(a)(e)(h)(i) | $ | 12 | $ | 12 | $ | 116 | $ | 62 | $ | 38 | $ | - | $ | (94 | ) | $ | (35 | ) | $ | 72 | $ | 39 | |||||||||||||||||||
Interest rate contract(b)(e)(g)(i) | - | - | 6 | - | - | - | - | - | 6 | - | |||||||||||||||||||||||||||||||
Total | $ | 12 | $ | 12 | $ | 122 | $ | 62 | $ | 38 | $ | - | $ | (94 | ) | $ | (35 | ) | $ | 78 | $ | 39 | |||||||||||||||||||
(a) | A significant portion of the commodity derivative contracts categorized in Level 3 is valued using either an industry acceptable model or an internally developed model with observable inputs. The models also include some less readily observable inputs resulting in the classification of the entire contract as Level 3. See Note O. | ||||||||||||||||||||||||||||||||||||||||
(b) | See Note O. | ||||||||||||||||||||||||||||||||||||||||
(c) | Other assets are comprised of assets such as life insurance contracts within the deferred compensation plan and non-qualified retirement plans. | ||||||||||||||||||||||||||||||||||||||||
(d) | Amounts represent the impact of legally-enforceable master netting agreements that allow the Companies to net gain and loss positions and cash collateral held or placed with the same counterparties. | ||||||||||||||||||||||||||||||||||||||||
(e) | The Companies’ policy is to recognize transfers into and transfers out of the levels at the end of the reporting period. | ||||||||||||||||||||||||||||||||||||||||
(f) | On March 31, 2012, other assets of $105 million for Con Edison and $95 million for CECONY were transferred from Level 3 to Level 2 because of reassessment of the levels in the fair value hierarchy within which certain inputs fall as of March 31, 2012. | ||||||||||||||||||||||||||||||||||||||||
(g) | On March 31, 2012, interest rate contract of $8 million was transferred from Level 3 to Level 2 because of reassessment of the levels in the fair value hierarchy within which certain inputs fall. | ||||||||||||||||||||||||||||||||||||||||
(h) | During 2012, Con Edison transferred commodity derivative contract liabilities of $2 million from Level 1 to Level 2, $9 million from Level 2 to Level 1, $2 million from Level 2 to Level 3, and $11 million from Level 3 to Level 2 because of reassessment of the levels in the fair value hierarchy within which certain inputs fall. | ||||||||||||||||||||||||||||||||||||||||
(i) | Level 2 assets and liabilities include investments held in the deferred compensation plan and/or non-qualified retirement plans, interest rate swap, or exchange-traded contracts where there is insufficient market liquidity to warrant inclusion in Level 1, and certain over-the-counter derivative instruments for electricity and natural gas. Derivative instruments classified as Level 2 are valued using industry standard models that incorporate corroborated observable inputs; such as pricing services or prices from similar instruments that trade in liquid markets, time value, and volatility factors. | ||||||||||||||||||||||||||||||||||||||||
The employees in the risk management groups of the Utilities and the competitive energy businesses develop and maintain the Companies’ valuation policies and procedures for, and verify pricing and fair value valuation of, commodity derivatives. Under the Companies’ policies and procedures, multiple independent sources of information are obtained for forward price curves used to value commodity derivatives. Fair value and changes in fair value of commodity derivatives are reported on a monthly basis to the Companies’ risk committees, comprised of officers and employees of the Companies that oversee energy hedging at the Utilities and the competitive energy businesses. The managers of the risk management groups report to the Companies’ Vice President and Treasurer. | |||||||||||||||||||||||||||||||||||||||||
Fair Value of Level 3 at | Valuation | Unobservable Inputs | Range | ||||||||||||||||||||||||||||||||||||||
December 31, 2013 | Techniques | ||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | |||||||||||||||||||||||||||||||||||||||||
Con Edison – Commodity | |||||||||||||||||||||||||||||||||||||||||
Electricity | $ | 0.1 | Discounted Cash Flow | Forward energy prices(a) | $27.75 - $124.75 per MWH | ||||||||||||||||||||||||||||||||||||
Discounted Cash Flow | Forward capacity prices(a) | $9.50 per kW - month | |||||||||||||||||||||||||||||||||||||||
Transmission Congestion Contracts / Financial Transmission Rights | 9 | Discounted Cash Flow | Discount to adjust auction prices for inter-zonal forward price curves(b) | ||||||||||||||||||||||||||||||||||||||
Discount to adjust auction prices for historical monthly realized settlements(b) | (5.8)% - 36.5% | ||||||||||||||||||||||||||||||||||||||||
Inter-zonal forward price curves adjusted for historical zonal losses(b) | |||||||||||||||||||||||||||||||||||||||||
(102.4)% - 49.1% | |||||||||||||||||||||||||||||||||||||||||
$(0.31) - $10.25 | |||||||||||||||||||||||||||||||||||||||||
Total Con Edison—Commodity | $ | 9.1 | |||||||||||||||||||||||||||||||||||||||
CECONY – Commodity | |||||||||||||||||||||||||||||||||||||||||
Transmission Congestion Contracts | $ | 6.5 | Discounted Cash Flow | Discount to adjust auction prices for inter-zonal forward price curves(b) | |||||||||||||||||||||||||||||||||||||
Discount to adjust auction prices for historical monthly realized settlements(b) | (5.8)% - 36.5% | ||||||||||||||||||||||||||||||||||||||||
(102.4)% - 49.1% | |||||||||||||||||||||||||||||||||||||||||
(a) | Generally, increases/(decreases) in this input in isolation would result in a higher/(lower) fair value measurement. | ||||||||||||||||||||||||||||||||||||||||
(b) | Generally, increases/(decreases) in this input in isolation would result in a lower/(higher) fair value measurement. | ||||||||||||||||||||||||||||||||||||||||
The table listed below provides a reconciliation of the beginning and ending net balances for assets and liabilities measured at fair value for the years ended December 31, 2013 and 2012 and classified as Level 3 in the fair value hierarchy: | |||||||||||||||||||||||||||||||||||||||||
For Year Ended December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Total Gains/(Losses) – | |||||||||||||||||||||||||||||||||||||||||
Realized and Unrealized | |||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Included in | Included in | Purchases | Issuances | Sales | Settlements | Transfer | Ending | ||||||||||||||||||||||||||||||||
Balance as of | Earnings | Regulatory | In/Out of | Balance as of | |||||||||||||||||||||||||||||||||||||
January 1, 2013 | Assets and | Level 3 | December 31, 2013 | ||||||||||||||||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||||||||||||
Con Edison | |||||||||||||||||||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||||||||||||||
Commodity | $ | (5 | ) | $ | 7 | $ | 18 | $ | 17 | $ | - | $ | - | $ | (28 | ) | $ | - | $ | 9 | |||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||||||||||||||
Commodity | $ | 10 | $ | 7 | $ | (1 | ) | $ | 13 | $ | - | $ | - | $ | (23 | ) | $ | - | $ | 6 | |||||||||||||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||
Total Gains/(Losses) – | |||||||||||||||||||||||||||||||||||||||||
Realized and Unrealized | |||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Included in | Included in | Purchases | Issuances | Sales | Settlements | Transfer | Ending | ||||||||||||||||||||||||||||||||
Balance as of | Earnings | Regulatory | In/Out of | Balance as of | |||||||||||||||||||||||||||||||||||||
January 1, 2012 | Assets and | Level 3 | December 31, 2012 | ||||||||||||||||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||||||||||||
Con Edison | |||||||||||||||||||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||||||||||||||
Commodity | $ | (62 | ) | $ | (112 | ) | $ | 16 | $ | 22 | $ | - | $ | - | $ | 122 | $ | 9 | $ | (5 | ) | ||||||||||||||||||||
Interest rate contract | (8 | ) | (1 | ) | - | - | - | - | 1 | 8 | (b) | - | |||||||||||||||||||||||||||||
Other assets(a) | 99 | 3 | 3 | - | - | - | - | (105 | )(b) | - | |||||||||||||||||||||||||||||||
Total | $ | 29 | $ | (110 | ) | $ | 19 | $ | 22 | $ | - | $ | - | $ | 123 | $ | (88 | ) | $ | (5 | ) | ||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||||||||||||||
Commodity | $ | (7 | ) | $ | (32 | ) | $ | 8 | $ | 18 | $ | - | $ | - | $ | 14 | $ | 9 | $ | 10 | |||||||||||||||||||||
Other assets(a) | 90 | 3 | 2 | - | - | - | - | (95 | )(b) | - | |||||||||||||||||||||||||||||||
Total | $ | 83 | $ | (29 | ) | $ | 10 | $ | 18 | $ | - | $ | - | $ | 14 | $ | (86 | ) | $ | 10 | |||||||||||||||||||||
(a) | Amounts included in earnings are reported in investment and other income on the consolidated income statement. | ||||||||||||||||||||||||||||||||||||||||
(b) | Other assets and interest rate contract were transferred as of March 31, 2012. | ||||||||||||||||||||||||||||||||||||||||
For the Utilities, realized gains and losses on Level 3 commodity derivative assets and liabilities are reported as part of purchased power, gas and fuel costs. The Utilities generally recover these costs in accordance with rate provisions approved by the applicable state public utilities commissions. See Note A. Unrealized gains and losses for commodity derivatives are generally deferred on the consolidated balance sheet in accordance with the accounting rules for regulated operations. | |||||||||||||||||||||||||||||||||||||||||
For the competitive energy businesses, realized and unrealized gains and losses on Level 3 commodity derivative assets and liabilities are reported in non-utility revenues ($2 million loss and $12 million loss) and purchased power costs ($5 million gain and $46 million loss) on the consolidated income statement for the years ended December 31, 2013 and 2012, respectively. The change in fair value relating to Level 3 commodity derivative assets and liabilities held at December 31, 2013 and 2012 is included in non-utility revenues ($2 million loss and $12 million loss), and purchased power costs ($3 million gain and $46 million gain) on the consolidated income statement for the years ended December 31, 2013 and 2012, respectively. | |||||||||||||||||||||||||||||||||||||||||
The accounting rules for fair value measurements and disclosures require consideration of the impact of nonperformance risk (including credit risk) from a market participant perspective in the measurement of the fair value of assets and liabilities. At December 31, 2013, the Companies determined that nonperformance risk would have no material impact on their financial position or results of operations. To assess nonperformance risk, the Companies considered information such as collateral requirements, master netting arrangements, letters of credit and parent company guarantees, and applied a market-based method by using the counterparty (for an asset) or the Companies’ (for a liability) credit default swaps rates. | |||||||||||||||||||||||||||||||||||||||||
CECONY [Member] | ' | ||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||||||||||||||||||||||||||
Note P – Fair Value Measurements | |||||||||||||||||||||||||||||||||||||||||
The accounting rules for fair value measurements and disclosures define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date in a principal or most advantageous market. Fair value is a market-based measurement that is determined based on inputs, which refer broadly to assumptions that market participants use in pricing assets or liabilities. These inputs can be readily observable, market corroborated, or generally unobservable firm inputs. The Companies often make certain assumptions that market participants would use in pricing the asset or liability, including assumptions about risk, and the risks inherent in the inputs to valuation techniques. The Companies use valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. | |||||||||||||||||||||||||||||||||||||||||
The accounting rules for fair value measurements and disclosures established a fair value hierarchy, which prioritizes the inputs to valuation techniques used to measure fair value in three broad levels. The rules require that assets and liabilities be classified in their entirety based on the level of input that is significant to the fair value measurement. Assessing the significance of a particular input may require judgment considering factors specific to the asset or liability, and may affect the valuation of the asset or liability and their placement within the fair value hierarchy. The Companies classify fair value balances based on the fair value hierarchy defined by the accounting rules for fair value measurements and disclosures as follows: | |||||||||||||||||||||||||||||||||||||||||
• | Level 1 – Consists of assets or liabilities whose value is based on unadjusted quoted prices in active markets at the measurement date. An active market is one in which transactions for assets or liabilities occur with sufficient frequency and volume to provide pricing information on an ongoing basis. This category includes contracts traded on active exchange markets valued using unadjusted prices quoted directly from the exchange. | ||||||||||||||||||||||||||||||||||||||||
• | Level 2 – Consists of assets or liabilities valued using industry standard models and based on prices, other than quoted prices within Level 1, that are either directly or indirectly observable as of the measurement date. The industry standard models consider observable assumptions including time value, volatility factors, and current market and contractual prices for the underlying commodities, in addition to other economic measures. This category includes contracts traded on active exchanges or in over-the-counter markets priced with industry standard models. | ||||||||||||||||||||||||||||||||||||||||
• | Level 3 – Consists of assets or liabilities whose fair value is estimated based on internally developed models or methodologies using inputs that are generally less readily observable and supported by little, if any, market activity at the measurement date. Unobservable inputs are developed based on the best available information and subject to cost benefit constraints. This category includes contracts priced using models that are internally developed and contracts placed in illiquid markets. It also includes contracts that expire after the period of time for which quoted prices are available and internal models are used to determine a significant portion of the value. | ||||||||||||||||||||||||||||||||||||||||
Assets and liabilities measured at fair value on a recurring basis as of December 31, 2013 are summarized below. | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Netting | Total | |||||||||||||||||||||||||||||||||||||
Adjustments(d) | |||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Con | CECONY | Con | CECONY | Con | CECONY | Con | CECONY | Con | CECONY | |||||||||||||||||||||||||||||||
Edison | Edison | Edison | Edison | Edison | |||||||||||||||||||||||||||||||||||||
Derivative assets: | |||||||||||||||||||||||||||||||||||||||||
Commodity(a)(e)(f) | $ | 3 | $ | 3 | $ | 130 | $ | 13 | $ | 11 | $ | 6 | $ | (62 | ) | $ | 3 | $ | 82 | $ | 25 | ||||||||||||||||||||
Other assets(c)(e)(f) | 141 | 134 | 113 | 103 | - | - | - | - | 254 | 237 | |||||||||||||||||||||||||||||||
Total | $ | 144 | $ | 137 | $ | 243 | $ | 116 | $ | 11 | $ | 6 | $ | (62 | ) | $ | 3 | $ | 336 | $ | 262 | ||||||||||||||||||||
Derivative liabilities: | |||||||||||||||||||||||||||||||||||||||||
Commodity(a)(e)(f) | $ | 5 | $ | 5 | $ | 84 | $ | 27 | $ | 2 | $ | - | $ | (76 | ) | $ | (18 | ) | $ | 15 | $ | 14 | |||||||||||||||||||
Interest rate contract(b)(e)(f) | - | - | 2 | - | - | - | - | - | 2 | - | |||||||||||||||||||||||||||||||
Total | $ | 5 | $ | 5 | $ | 86 | $ | 27 | $ | 2 | $ | - | $ | (76 | ) | $ | (18 | ) | $ | 17 | $ | 14 | |||||||||||||||||||
(a) | A portion of the commodity derivatives categorized in Level 3 is valued using an internally developed model with observable inputs. The models also include some less readily observable inputs resulting in the classification of the entire contract as Level 3. See Note O. | ||||||||||||||||||||||||||||||||||||||||
(b) | See Note O. | ||||||||||||||||||||||||||||||||||||||||
(c) | Other assets are comprised of assets such as life insurance contracts within the deferred compensation plan and non-qualified retirement plans. | ||||||||||||||||||||||||||||||||||||||||
(d) | Amounts represent the impact of legally-enforceable master netting agreements that allow the Companies to net gain and loss positions and cash collateral held or placed with the same counterparties. | ||||||||||||||||||||||||||||||||||||||||
(e) | The Companies’ policy is to recognize transfers into and transfers out of the levels at the end of the reporting period. There were no transfers between levels 1, 2, and 3 for the year ended December 31, 2013. | ||||||||||||||||||||||||||||||||||||||||
(f) | Level 2 assets and liabilities include investments held in the deferred compensation plan and/or non-qualified retirement plans, interest rate swap, or exchange-traded contracts where there is insufficient market liquidity to warrant inclusion in Level 1, and certain over-the-counter derivative instruments for electricity and natural gas. Derivative instruments classified as Level 2 are valued using industry standard models that incorporate corroborated observable inputs; such as pricing services or prices from similar instruments that trade in liquid markets, time value, and volatility factors. | ||||||||||||||||||||||||||||||||||||||||
Assets and liabilities measured at fair value on a recurring basis as of December 31, 2012 are summarized below. | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Netting | Total | |||||||||||||||||||||||||||||||||||||
Adjustments(d) | |||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Con | CECONY | Con | CECONY | Con | CECONY | Con | CECONY | Con | CECONY | |||||||||||||||||||||||||||||||
Edison | Edison | Edison | Edison | Edison | |||||||||||||||||||||||||||||||||||||
Derivative assets: | |||||||||||||||||||||||||||||||||||||||||
Commodity(a)(e)(i) | $ | - | $ | - | $ | 43 | $ | 8 | $ | 33 | $ | 10 | $ | (10 | ) | $ | 12 | $ | 66 | $ | 30 | ||||||||||||||||||||
Other assets(c)(e)(f)(i) | 106 | 99 | 107 | 98 | - | - | - | - | 213 | 197 | |||||||||||||||||||||||||||||||
Total | $ | 106 | $ | 99 | $ | 150 | $ | 106 | $ | 33 | $ | 10 | $ | (10 | ) | $ | 12 | $ | 279 | $ | 227 | ||||||||||||||||||||
Derivative liabilities: | |||||||||||||||||||||||||||||||||||||||||
Commodity(a)(e)(h)(i) | $ | 12 | $ | 12 | $ | 116 | $ | 62 | $ | 38 | $ | - | $ | (94 | ) | $ | (35 | ) | $ | 72 | $ | 39 | |||||||||||||||||||
Interest rate contract(b)(e)(g)(i) | - | - | 6 | - | - | - | - | - | 6 | - | |||||||||||||||||||||||||||||||
Total | $ | 12 | $ | 12 | $ | 122 | $ | 62 | $ | 38 | $ | - | $ | (94 | ) | $ | (35 | ) | $ | 78 | $ | 39 | |||||||||||||||||||
(a) | A significant portion of the commodity derivative contracts categorized in Level 3 is valued using either an industry acceptable model or an internally developed model with observable inputs. The models also include some less readily observable inputs resulting in the classification of the entire contract as Level 3. See Note O. | ||||||||||||||||||||||||||||||||||||||||
(b) | See Note O. | ||||||||||||||||||||||||||||||||||||||||
(c) | Other assets are comprised of assets such as life insurance contracts within the deferred compensation plan and non-qualified retirement plans. | ||||||||||||||||||||||||||||||||||||||||
(d) | Amounts represent the impact of legally-enforceable master netting agreements that allow the Companies to net gain and loss positions and cash collateral held or placed with the same counterparties. | ||||||||||||||||||||||||||||||||||||||||
(e) | The Companies’ policy is to recognize transfers into and transfers out of the levels at the end of the reporting period. | ||||||||||||||||||||||||||||||||||||||||
(f) | On March 31, 2012, other assets of $105 million for Con Edison and $95 million for CECONY were transferred from Level 3 to Level 2 because of reassessment of the levels in the fair value hierarchy within which certain inputs fall as of March 31, 2012. | ||||||||||||||||||||||||||||||||||||||||
(g) | On March 31, 2012, interest rate contract of $8 million was transferred from Level 3 to Level 2 because of reassessment of the levels in the fair value hierarchy within which certain inputs fall. | ||||||||||||||||||||||||||||||||||||||||
(h) | During 2012, Con Edison transferred commodity derivative contract liabilities of $2 million from Level 1 to Level 2, $9 million from Level 2 to Level 1, $2 million from Level 2 to Level 3, and $11 million from Level 3 to Level 2 because of reassessment of the levels in the fair value hierarchy within which certain inputs fall. | ||||||||||||||||||||||||||||||||||||||||
(i) | Level 2 assets and liabilities include investments held in the deferred compensation plan and/or non-qualified retirement plans, interest rate swap, or exchange-traded contracts where there is insufficient market liquidity to warrant inclusion in Level 1, and certain over-the-counter derivative instruments for electricity and natural gas. Derivative instruments classified as Level 2 are valued using industry standard models that incorporate corroborated observable inputs; such as pricing services or prices from similar instruments that trade in liquid markets, time value, and volatility factors. | ||||||||||||||||||||||||||||||||||||||||
The employees in the risk management groups of the Utilities and the competitive energy businesses develop and maintain the Companies’ valuation policies and procedures for, and verify pricing and fair value valuation of, commodity derivatives. Under the Companies’ policies and procedures, multiple independent sources of information are obtained for forward price curves used to value commodity derivatives. Fair value and changes in fair value of commodity derivatives are reported on a monthly basis to the Companies’ risk committees, comprised of officers and employees of the Companies that oversee energy hedging at the Utilities and the competitive energy businesses. The managers of the risk management groups report to the Companies’ Vice President and Treasurer. | |||||||||||||||||||||||||||||||||||||||||
Fair Value of Level 3 at | Valuation | Unobservable Inputs | Range | ||||||||||||||||||||||||||||||||||||||
December 31, 2013 | Techniques | ||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | |||||||||||||||||||||||||||||||||||||||||
Con Edison – Commodity | |||||||||||||||||||||||||||||||||||||||||
Electricity | $ | 0.1 | Discounted Cash Flow | Forward energy prices(a) | $27.75 - $124.75 per MWH | ||||||||||||||||||||||||||||||||||||
Discounted Cash Flow | Forward capacity prices(a) | $9.50 per kW - month | |||||||||||||||||||||||||||||||||||||||
Transmission Congestion Contracts / Financial Transmission Rights | 9 | Discounted Cash Flow | Discount to adjust auction prices for inter-zonal forward price curves(b) | ||||||||||||||||||||||||||||||||||||||
Discount to adjust auction prices for historical monthly realized settlements(b) | (5.8)% - 36.5% | ||||||||||||||||||||||||||||||||||||||||
Inter-zonal forward price curves adjusted for historical zonal losses(b) | |||||||||||||||||||||||||||||||||||||||||
(102.4)% - 49.1% | |||||||||||||||||||||||||||||||||||||||||
$(0.31) - $10.25 | |||||||||||||||||||||||||||||||||||||||||
Total Con Edison—Commodity | $ | 9.1 | |||||||||||||||||||||||||||||||||||||||
CECONY – Commodity | |||||||||||||||||||||||||||||||||||||||||
Transmission Congestion Contracts | $ | 6.5 | Discounted Cash Flow | Discount to adjust auction prices for inter-zonal forward price curves(b) | |||||||||||||||||||||||||||||||||||||
Discount to adjust auction prices for historical monthly realized settlements(b) | (5.8)% - 36.5% | ||||||||||||||||||||||||||||||||||||||||
(102.4)% - 49.1% | |||||||||||||||||||||||||||||||||||||||||
(a) | Generally, increases/(decreases) in this input in isolation would result in a higher/(lower) fair value measurement. | ||||||||||||||||||||||||||||||||||||||||
(b) | Generally, increases/(decreases) in this input in isolation would result in a lower/(higher) fair value measurement. | ||||||||||||||||||||||||||||||||||||||||
The table listed below provides a reconciliation of the beginning and ending net balances for assets and liabilities measured at fair value for the years ended December 31, 2013 and 2012 and classified as Level 3 in the fair value hierarchy: | |||||||||||||||||||||||||||||||||||||||||
For Year Ended December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Total Gains/(Losses) – | |||||||||||||||||||||||||||||||||||||||||
Realized and Unrealized | |||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Included in | Included in | Purchases | Issuances | Sales | Settlements | Transfer | Ending | ||||||||||||||||||||||||||||||||
Balance as of | Earnings | Regulatory | In/Out of | Balance as of | |||||||||||||||||||||||||||||||||||||
January 1, 2013 | Assets and | Level 3 | December 31, 2013 | ||||||||||||||||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||||||||||||
Con Edison | |||||||||||||||||||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||||||||||||||
Commodity | $ | (5 | ) | $ | 7 | $ | 18 | $ | 17 | $ | - | $ | - | $ | (28 | ) | $ | - | $ | 9 | |||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||||||||||||||
Commodity | $ | 10 | $ | 7 | $ | (1 | ) | $ | 13 | $ | - | $ | - | $ | (23 | ) | $ | - | $ | 6 | |||||||||||||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||
Total Gains/(Losses) – | |||||||||||||||||||||||||||||||||||||||||
Realized and Unrealized | |||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Included in | Included in | Purchases | Issuances | Sales | Settlements | Transfer | Ending | ||||||||||||||||||||||||||||||||
Balance as of | Earnings | Regulatory | In/Out of | Balance as of | |||||||||||||||||||||||||||||||||||||
January 1, 2012 | Assets and | Level 3 | December 31, 2012 | ||||||||||||||||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||||||||||||
Con Edison | |||||||||||||||||||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||||||||||||||
Commodity | $ | (62 | ) | $ | (112 | ) | $ | 16 | $ | 22 | $ | - | $ | - | $ | 122 | $ | 9 | $ | (5 | ) | ||||||||||||||||||||
Interest rate contract | (8 | ) | (1 | ) | - | - | - | - | 1 | 8 | (b) | - | |||||||||||||||||||||||||||||
Other assets(a) | 99 | 3 | 3 | - | - | - | - | (105 | )(b) | - | |||||||||||||||||||||||||||||||
Total | $ | 29 | $ | (110 | ) | $ | 19 | $ | 22 | $ | - | $ | - | $ | 123 | $ | (88 | ) | $ | (5 | ) | ||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||||||||||||||
Commodity | $ | (7 | ) | $ | (32 | ) | $ | 8 | $ | 18 | $ | - | $ | - | $ | 14 | $ | 9 | $ | 10 | |||||||||||||||||||||
Other assets(a) | 90 | 3 | 2 | - | - | - | - | (95 | )(b) | - | |||||||||||||||||||||||||||||||
Total | $ | 83 | $ | (29 | ) | $ | 10 | $ | 18 | $ | - | $ | - | $ | 14 | $ | (86 | ) | $ | 10 | |||||||||||||||||||||
(a) | Amounts included in earnings are reported in investment and other income on the consolidated income statement. | ||||||||||||||||||||||||||||||||||||||||
(b) | Other assets and interest rate contract were transferred as of March 31, 2012. | ||||||||||||||||||||||||||||||||||||||||
For the Utilities, realized gains and losses on Level 3 commodity derivative assets and liabilities are reported as part of purchased power, gas and fuel costs. The Utilities generally recover these costs in accordance with rate provisions approved by the applicable state public utilities commissions. See Note A. Unrealized gains and losses for commodity derivatives are generally deferred on the consolidated balance sheet in accordance with the accounting rules for regulated operations. | |||||||||||||||||||||||||||||||||||||||||
For the competitive energy businesses, realized and unrealized gains and losses on Level 3 commodity derivative assets and liabilities are reported in non-utility revenues ($2 million loss and $12 million loss) and purchased power costs ($5 million gain and $46 million loss) on the consolidated income statement for the years ended December 31, 2013 and 2012, respectively. The change in fair value relating to Level 3 commodity derivative assets and liabilities held at December 31, 2013 and 2012 is included in non-utility revenues ($2 million loss and $12 million loss), and purchased power costs ($3 million gain and $46 million gain) on the consolidated income statement for the years ended December 31, 2013 and 2012, respectively. | |||||||||||||||||||||||||||||||||||||||||
The accounting rules for fair value measurements and disclosures require consideration of the impact of nonperformance risk (including credit risk) from a market participant perspective in the measurement of the fair value of assets and liabilities. At December 31, 2013, the Companies determined that nonperformance risk would have no material impact on their financial position or results of operations. To assess nonperformance risk, the Companies considered information such as collateral requirements, master netting arrangements, letters of credit and parent company guarantees, and applied a market-based method by using the counterparty (for an asset) or the Companies’ (for a liability) credit default swaps rates. |
Variable_Interest_Entities
Variable Interest Entities | 12 Months Ended |
Dec. 31, 2013 | |
Variable Interest Entities | ' |
Note Q – Variable Interest Entities | |
The Companies have not identified any interests they have in any variable interest entity (VIE) that would require the Companies to include the financial position and results of operations of the VIE in the Companies’ consolidated financial statements. | |
The accounting rules for consolidation address the consolidation of a VIE by a business enterprise that is the primary beneficiary. A VIE is an entity that does not have a sufficient equity investment at risk to permit it to finance its activities without additional subordinated financial support, or whose equity investors lack the characteristics of a controlling financial interest. The primary beneficiary is the business enterprise that has the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and either absorbs a significant amount of the VIE’s losses or has the right to receive benefits that could be significant to the VIE. | |
Con Edison enters into arrangements including leases, partnerships and electricity purchase agreements, with various entities. As a result of these arrangements, Con Edison retains or may retain a variable interest in these entities. | |
CECONY has a variable interest in a non-consolidated VIE, Astoria Energy, LLC (Astoria Energy), with which CECONY has entered into a long-term electricity purchase agreement. CECONY is not the primary beneficiary of this VIE since CECONY does not have the power to direct the activities that CECONY believes most significantly impact the economic performance of Astoria Energy. In particular, CECONY has not invested in, or guaranteed the indebtedness of, Astoria Energy and CECONY does not operate or maintain Astoria Energy’s generating facilities. CECONY also has long-term electricity purchase agreements with the following five potential VIEs: Sithe/Independence Power Partners, LP, Cogen Technologies Linden Venture, LP, Selkirk Cogen Partners, LP, Brooklyn Navy Yard Cogeneration Partners, LP, and Indeck Energy Services of Corinth, Inc. In 2013, requests were made of these five counterparties for information necessary to determine whether the entity was a VIE and whether CECONY is the primary beneficiary; however, the information was not made available. See Note I for information on these electricity purchase agreements, the payments pursuant to which constitute CECONY’s maximum exposure to loss with respect to Astoria Energy and the five potential VIEs. | |
Con Edison has a variable interest in a non-consolidated VIE, Pilesgrove Solar, LLC (Pilesgrove), in which Con Edison Development, starting in 2010, participated with a third party to develop, construct, and operate a photovoltaic solar energy project. The project was constructed for approximately $90 million and commenced commercial operation in August 2011. Con Edison is not the primary beneficiary of this VIE since the power to direct the activities that most significantly impact the economics of Pilesgrove is shared equally between Con Edison Development and the third party. Included in the Con Edison’s consolidated balance sheet at December 31, 2013 is $25 million in assets related to Pilesgrove which represents Con Edison Development’s investment including earnings in Pilesgrove and is the current maximum exposure to loss in Pilesgrove. | |
Con Edison has variable interests in Copper Mountain Solar 2 Holdings, LLC (CMS 2) and Mesquite Solar 1 Holdings, LLC (MS 1), non-consolidated entities in which Con Edison Development purchased a 50 percent membership interest in 2013. CMS 2 owns a project company that is developing a 150 MW (AC) solar energy project (with 92 MW currently in service) in Nevada. MS 1 owns a project company that owns a 150 MW (AC) solar energy project in Arizona. Electricity generated by the projects is sold to Pacific Gas and Electric Company pursuant to long-term power purchase agreements. Con Edison is not the primary beneficiary of these variable interest entities since the power to direct the activities that most significantly impact the economics of CMS 2 and MS 1 is shared equally between Con Edison Development and a third party. At December 31, 2013, Con Edison’s consolidated balance sheet includes $75 million and $104 million in investments (including earnings) related to CMS 2 and MS 1, respectively, which assessed in accordance with the accounting rules for variable interest entities, is Con Edison’s current maximum exposure to loss in the entities. In addition, Con Edison and Con Edison Development have issued certain guarantees to third parties in connection with the CMS 2 and MS 1 projects. See “Guarantees” in Note H. | |
CECONY [Member] | ' |
Variable Interest Entities | ' |
Note Q – Variable Interest Entities | |
The Companies have not identified any interests they have in any variable interest entity (VIE) that would require the Companies to include the financial position and results of operations of the VIE in the Companies’ consolidated financial statements. | |
The accounting rules for consolidation address the consolidation of a VIE by a business enterprise that is the primary beneficiary. A VIE is an entity that does not have a sufficient equity investment at risk to permit it to finance its activities without additional subordinated financial support, or whose equity investors lack the characteristics of a controlling financial interest. The primary beneficiary is the business enterprise that has the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and either absorbs a significant amount of the VIE’s losses or has the right to receive benefits that could be significant to the VIE. | |
Con Edison enters into arrangements including leases, partnerships and electricity purchase agreements, with various entities. As a result of these arrangements, Con Edison retains or may retain a variable interest in these entities. | |
CECONY has a variable interest in a non-consolidated VIE, Astoria Energy, LLC (Astoria Energy), with which CECONY has entered into a long-term electricity purchase agreement. CECONY is not the primary beneficiary of this VIE since CECONY does not have the power to direct the activities that CECONY believes most significantly impact the economic performance of Astoria Energy. In particular, CECONY has not invested in, or guaranteed the indebtedness of, Astoria Energy and CECONY does not operate or maintain Astoria Energy’s generating facilities. CECONY also has long-term electricity purchase agreements with the following five potential VIEs: Sithe/Independence Power Partners, LP, Cogen Technologies Linden Venture, LP, Selkirk Cogen Partners, LP, Brooklyn Navy Yard Cogeneration Partners, LP, and Indeck Energy Services of Corinth, Inc. In 2013, requests were made of these five counterparties for information necessary to determine whether the entity was a VIE and whether CECONY is the primary beneficiary; however, the information was not made available. See Note I for information on these electricity purchase agreements, the payments pursuant to which constitute CECONY’s maximum exposure to loss with respect to Astoria Energy and the five potential VIEs. | |
Con Edison has a variable interest in a non-consolidated VIE, Pilesgrove Solar, LLC (Pilesgrove), in which Con Edison Development, starting in 2010, participated with a third party to develop, construct, and operate a photovoltaic solar energy project. The project was constructed for approximately $90 million and commenced commercial operation in August 2011. Con Edison is not the primary beneficiary of this VIE since the power to direct the activities that most significantly impact the economics of Pilesgrove is shared equally between Con Edison Development and the third party. Included in the Con Edison’s consolidated balance sheet at December 31, 2013 is $25 million in assets related to Pilesgrove which represents Con Edison Development’s investment including earnings in Pilesgrove and is the current maximum exposure to loss in Pilesgrove. | |
Con Edison has variable interests in Copper Mountain Solar 2 Holdings, LLC (CMS 2) and Mesquite Solar 1 Holdings, LLC (MS 1), non-consolidated entities in which Con Edison Development purchased a 50 percent membership interest in 2013. CMS 2 owns a project company that is developing a 150 MW (AC) solar energy project (with 92 MW currently in service) in Nevada. MS 1 owns a project company that owns a 150 MW (AC) solar energy project in Arizona. Electricity generated by the projects is sold to Pacific Gas and Electric Company pursuant to long-term power purchase agreements. Con Edison is not the primary beneficiary of these variable interest entities since the power to direct the activities that most significantly impact the economics of CMS 2 and MS 1 is shared equally between Con Edison Development and a third party. At December 31, 2013, Con Edison’s consolidated balance sheet includes $75 million and $104 million in investments (including earnings) related to CMS 2 and MS 1, respectively, which assessed in accordance with the accounting rules for variable interest entities, is Con Edison’s current maximum exposure to loss in the entities. In addition, Con Edison and Con Edison Development have issued certain guarantees to third parties in connection with the CMS 2 and MS 1 projects. See “Guarantees” in Note H. |
Asset_Retirement_Obligations
Asset Retirement Obligations | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Asset Retirement Obligations | ' | ||||||||||||||||
Note R – Asset Retirement Obligations | |||||||||||||||||
The Companies account for retirement obligations on their assets in accordance with the accounting rules for asset retirement obligations. | |||||||||||||||||
The Companies recorded asset retirement obligations associated with the removal of asbestos and asbestos-containing material in their buildings (other than generating station and substation building structures themselves), electric equipment, and steam and gas distribution systems. The Companies also recorded asset retirement obligations relating to gas pipelines abandoned in place. The estimates of future liabilities were developed using historical information, and where available, quoted prices from outside contractors. | |||||||||||||||||
The Companies did not record an asset retirement obligation for the removal of asbestos associated with the generating station and substation building structures themselves. For these building structures, the Companies were unable to reasonably estimate their asset retirement obligations because the Companies were unable to estimate the undiscounted retirement costs or the retirement dates and settlement dates. The amount of the undiscounted retirement costs could vary considerably depending on the disposition method for the building structures, and the method has not been determined. The Companies anticipate continuing to use these building structures in their businesses for an indefinite period, and so the retirement dates and settlement dates are not determinable. | |||||||||||||||||
The accrued liability for asset retirement obligations and the regulatory liabilities for allowance for cost of removal less salvage for the Companies at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Accrued liability – asset retirement obligations | $ | 143 | $ | 159 | $ | 143 | $ | 158 | |||||||||
Regulatory liabilities – allowance for cost of removal less salvage | $ | 540 | $ | 503 | $ | 453 | $ | 420 | |||||||||
CECONY [Member] | ' | ||||||||||||||||
Asset Retirement Obligations | ' | ||||||||||||||||
Note R – Asset Retirement Obligations | |||||||||||||||||
The Companies account for retirement obligations on their assets in accordance with the accounting rules for asset retirement obligations. | |||||||||||||||||
The Companies recorded asset retirement obligations associated with the removal of asbestos and asbestos-containing material in their buildings (other than generating station and substation building structures themselves), electric equipment, and steam and gas distribution systems. The Companies also recorded asset retirement obligations relating to gas pipelines abandoned in place. The estimates of future liabilities were developed using historical information, and where available, quoted prices from outside contractors. | |||||||||||||||||
The Companies did not record an asset retirement obligation for the removal of asbestos associated with the generating station and substation building structures themselves. For these building structures, the Companies were unable to reasonably estimate their asset retirement obligations because the Companies were unable to estimate the undiscounted retirement costs or the retirement dates and settlement dates. The amount of the undiscounted retirement costs could vary considerably depending on the disposition method for the building structures, and the method has not been determined. The Companies anticipate continuing to use these building structures in their businesses for an indefinite period, and so the retirement dates and settlement dates are not determinable. | |||||||||||||||||
The accrued liability for asset retirement obligations and the regulatory liabilities for allowance for cost of removal less salvage for the Companies at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Accrued liability – asset retirement obligations | $ | 143 | $ | 159 | $ | 143 | $ | 158 | |||||||||
Regulatory liabilities – allowance for cost of removal less salvage | $ | 540 | $ | 503 | $ | 453 | $ | 420 |
Related_Party_Transactions
Related Party Transactions | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Related Party Transactions | ' | ||||||||||||
Note S – Related Party Transactions | |||||||||||||
The Utilities and Con Edison’s competitive businesses provide administrative and other services to each other pursuant to cost allocation procedures approved by the NYSPSC. The costs of administrative and other services provided by CECONY to, and received by it from, Con Edison and its other subsidiaries for the years ended December 31, 2013, 2012, and 2011 were as follows: | |||||||||||||
CECONY | |||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||
Cost of services provided | $ | 84 | $ | 83 | $ | 79 | |||||||
Cost of services received | $ | 52 | $ | 49 | $ | 48 | |||||||
In addition, CECONY and O&R have joint gas supply arrangements, in connection with which CECONY sold to O&R $123 million, $54 million and $81 million of natural gas for the years ended December 31, 2013, 2012, and 2011, respectively. These amounts are net of the effect of related hedging transactions. | |||||||||||||
FERC has authorized CECONY through 2015 to lend funds to O&R from time to time, for periods of not more than 12 months, in amounts not to exceed $250 million outstanding at any time, at prevailing market rates. There were no outstanding loans to O&R at December 31, 2013 and 2012. | |||||||||||||
CECONY [Member] | ' | ||||||||||||
Related Party Transactions | ' | ||||||||||||
Note S – Related Party Transactions | |||||||||||||
The Utilities and Con Edison’s competitive businesses provide administrative and other services to each other pursuant to cost allocation procedures approved by the NYSPSC. The costs of administrative and other services provided by CECONY to, and received by it from, Con Edison and its other subsidiaries for the years ended December 31, 2013, 2012, and 2011 were as follows: | |||||||||||||
CECONY | |||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||
Cost of services provided | $ | 84 | $ | 83 | $ | 79 | |||||||
Cost of services received | $ | 52 | $ | 49 | $ | 48 | |||||||
In addition, CECONY and O&R have joint gas supply arrangements, in connection with which CECONY sold to O&R $123 million, $54 million and $81 million of natural gas for the years ended December 31, 2013, 2012, and 2011, respectively. These amounts are net of the effect of related hedging transactions. | |||||||||||||
FERC has authorized CECONY through 2015 to lend funds to O&R from time to time, for periods of not more than 12 months, in amounts not to exceed $250 million outstanding at any time, at prevailing market rates. There were no outstanding loans to O&R at December 31, 2013 and 2012. |
New_Financial_Accounting_Stand
New Financial Accounting Standards | 12 Months Ended |
Dec. 31, 2013 | |
New Financial Accounting Standards | ' |
Note T – New Financial Accounting Standards | |
In December 2011 and January 2013, the Financial Accounting Standards Board (FASB) issued amendments to address and clarify the scope of the balance sheet off-setting disclosure guidance within Accounting Standards Codification (ASC) 210, “Balance Sheet.” ASU No. 2011-11 and ASU No. 2013-01, “Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities,” provide guidance that requires a reporting entity to disclose certain quantitative information concerning financial and derivative instruments that are offset in the balance sheet and a description of the rights of setoff, including the nature of such rights, associated with recognized assets and liabilities that are subject to an enforceable master netting arrangement or similar agreement. ASU No. 2013-01 clarifies that financial instruments subject to the disclosure guidance are (1) derivatives accounted for in accordance with ASC 815, Derivatives and Hedging, (2) repurchase agreements and reverse purchase agreements and (3) securities borrowing and securities lending transactions that are either offset in accordance with ASC Section 210-20-45 or Section 815-10-45 or subject to an enforceable master netting arrangement or similar agreement. A reporting entity electing gross presentation of such assets and liabilities in its balance sheet will still be subject to the same disclosure requirements. Both ASUs are applicable for fiscal years beginning on or after January 1, 2013, interim periods within those fiscal years, and retrospectively for all comparative periods presented. The application of this guidance does not have a material impact on the Companies’ financial position, results of operations and liquidity. See Note O. | |
In February 2013, the FASB issued amendments to improve the reporting of reclassifications out of accumulated OCI through ASU No. 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income.” The amendments require an entity to provide information either on the face of the financial statements or in a single footnote on significant amounts reclassified out of accumulated OCI and the related income statement line items to the extent an amount is reclassified in its entirety to net income under U.S. GAAP. For significant items not reclassified to net income in their entirety, an entity is required to cross-reference to other disclosures that provide additional information. For public entities, the amendments are effective prospectively for reporting periods beginning after December 15, 2012. The application of this guidance does not have a material impact on the Companies’ financial position, results of operations and liquidity. See Note A. | |
In July 2013, the FASB issued ASU No. 2013-10, “Derivatives and Hedging (Topic 815): Inclusion of the Fed Funds Effective Swap Rate (or Overnight Index Swap Rate) as a Benchmark Interest Rate for Hedge Accounting Purposes (a consensus of the FASB Emerging Issues Task Force).” The new guidance permits designating the Federal Funds Effective Swap Rate as a benchmark interest rate for hedge accounting. Previously, only the U.S. Treasury and LIBOR rates were allowed under the hedge accounting rules in U.S. GAAP. The new guidance also eliminates the restriction on using different benchmark interest rates for similar hedges. The amendments are effective prospectively for qualifying new or redesignated hedging relationships entered into on or after July 17, 2013. The application of this guidance does not have a material impact on the Companies’ financial position, results of operations and liquidity. | |
In July 2013, the FASB issued ASU No. 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit when a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists (a Consensus of the FASB Emerging Issues Task Force).” The amendments require a liability related to an unrecognized tax benefit to be presented on a net basis with its associated deferred tax asset when utilization of such deferred tax assets is required or expected in the event the uncertain tax position is disallowed. Otherwise, the unrecognized tax benefit will be presented as a liability and will not be netted against deferred tax assets. For public entities, the amendments are effective prospectively for fiscal years, and interim periods within those years, beginning after December 15, 2013. The application of this guidance is not expected to have a material impact on the Companies’ financial position, results of operations and liquidity. See Note L. | |
CECONY [Member] | ' |
New Financial Accounting Standards | ' |
Note T – New Financial Accounting Standards | |
In December 2011 and January 2013, the Financial Accounting Standards Board (FASB) issued amendments to address and clarify the scope of the balance sheet off-setting disclosure guidance within Accounting Standards Codification (ASC) 210, “Balance Sheet.” ASU No. 2011-11 and ASU No. 2013-01, “Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities,” provide guidance that requires a reporting entity to disclose certain quantitative information concerning financial and derivative instruments that are offset in the balance sheet and a description of the rights of setoff, including the nature of such rights, associated with recognized assets and liabilities that are subject to an enforceable master netting arrangement or similar agreement. ASU No. 2013-01 clarifies that financial instruments subject to the disclosure guidance are (1) derivatives accounted for in accordance with ASC 815, Derivatives and Hedging, (2) repurchase agreements and reverse purchase agreements and (3) securities borrowing and securities lending transactions that are either offset in accordance with ASC Section 210-20-45 or Section 815-10-45 or subject to an enforceable master netting arrangement or similar agreement. A reporting entity electing gross presentation of such assets and liabilities in its balance sheet will still be subject to the same disclosure requirements. Both ASUs are applicable for fiscal years beginning on or after January 1, 2013, interim periods within those fiscal years, and retrospectively for all comparative periods presented. The application of this guidance does not have a material impact on the Companies’ financial position, results of operations and liquidity. See Note O. | |
In February 2013, the FASB issued amendments to improve the reporting of reclassifications out of accumulated OCI through ASU No. 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income.” The amendments require an entity to provide information either on the face of the financial statements or in a single footnote on significant amounts reclassified out of accumulated OCI and the related income statement line items to the extent an amount is reclassified in its entirety to net income under U.S. GAAP. For significant items not reclassified to net income in their entirety, an entity is required to cross-reference to other disclosures that provide additional information. For public entities, the amendments are effective prospectively for reporting periods beginning after December 15, 2012. The application of this guidance does not have a material impact on the Companies’ financial position, results of operations and liquidity. See Note A. | |
In July 2013, the FASB issued ASU No. 2013-10, “Derivatives and Hedging (Topic 815): Inclusion of the Fed Funds Effective Swap Rate (or Overnight Index Swap Rate) as a Benchmark Interest Rate for Hedge Accounting Purposes (a consensus of the FASB Emerging Issues Task Force).” The new guidance permits designating the Federal Funds Effective Swap Rate as a benchmark interest rate for hedge accounting. Previously, only the U.S. Treasury and LIBOR rates were allowed under the hedge accounting rules in U.S. GAAP. The new guidance also eliminates the restriction on using different benchmark interest rates for similar hedges. The amendments are effective prospectively for qualifying new or redesignated hedging relationships entered into on or after July 17, 2013. The application of this guidance does not have a material impact on the Companies’ financial position, results of operations and liquidity. | |
In July 2013, the FASB issued ASU No. 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit when a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists (a Consensus of the FASB Emerging Issues Task Force).” The amendments require a liability related to an unrecognized tax benefit to be presented on a net basis with its associated deferred tax asset when utilization of such deferred tax assets is required or expected in the event the uncertain tax position is disallowed. Otherwise, the unrecognized tax benefit will be presented as a liability and will not be netted against deferred tax assets. For public entities, the amendments are effective prospectively for fiscal years, and interim periods within those years, beginning after December 15, 2013. The application of this guidance is not expected to have a material impact on the Companies’ financial position, results of operations and liquidity. See Note L. |
Schedule_I_Condensed_Financial
Schedule I - Condensed Financial Information | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | ' | ||||||||||||
Schedule I - Condensed Financial Information | ' | ||||||||||||
Schedule I | |||||||||||||
Condensed Financial Information of Consolidated Edison, Inc.* | |||||||||||||
Condensed Statement of Income and Comprehensive Income | |||||||||||||
(Parent Company Only) | |||||||||||||
For the Years Ended December 31, | |||||||||||||
(Millions of Dollars, except per share amounts) | 2013 | 2012 | 2011 | ||||||||||
Equity in earnings of subsidiaries | $ | 1,062 | $ | 1,154 | $ | 1,064 | |||||||
Other income (deductions), net of taxes | 29 | 12 | 15 | ||||||||||
Interest expense | (29 | ) | (28 | ) | (28 | ) | |||||||
Net Income for Common Stock | $ | 1,062 | $ | 1,138 | $ | 1,051 | |||||||
Comprehensive Income for Common Stock | $ | 1,090 | $ | 1,143 | $ | 1,033 | |||||||
Net Income Per Common Share – Basic | $ | 3.62 | $ | 3.88 | $ | 3.59 | |||||||
Net Income Per Common Share – Diluted | $ | 3.61 | $ | 3.86 | $ | 3.57 | |||||||
Dividends Declared Per Share Of Common Stock | $ | 2.46 | $ | 2.42 | $ | 2.4 | |||||||
Average Number Of Shares Outstanding—Basic (In Millions) | 292.9 | 292.9 | 292.6 | ||||||||||
Average Number Of Shares Outstanding—Diluted (In Millions) | 294.4 | 294.5 | 294.4 | ||||||||||
* | These financial statements, in which Con Edison’s subsidiaries have been included using the equity method, should be read together with its consolidated financial statements and the notes thereto appearing above. The Parent Company revised the 2012 and 2011 comprehensive income for common stock to include the Parent Company portion of other comprehensive income related to its wholly owned subsidiaries. The revision resulted in an increase of comprehensive income for common stock of $5 million in 2012 and a decrease of $18 million in 2011. The revision is not material to the previously issued consolidated financial statements of the Parent Company as a whole for the year ended December 31, 2012. | ||||||||||||
Condensed Financial Information of Consolidated Edison, Inc.* | |||||||||||||
Condensed Statement of Cash Flows | |||||||||||||
(Parent Company Only) | |||||||||||||
For the Years Ended December 31, | |||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||
Net Income | $ | 1,062 | $ | 1,138 | $ | 1,051 | |||||||
Equity in earnings of subsidiaries | (1,062 | ) | (1,154 | ) | (1,064 | ) | |||||||
Dividends received from: | |||||||||||||
CECONY | 728 | 682 | 681 | ||||||||||
O&R | 38 | 34 | 33 | ||||||||||
Competitive energy businesses | 12 | 11 | 12 | ||||||||||
Change in Assets: | |||||||||||||
Special deposits | (264 | ) | - | - | |||||||||
Other – net | 166 | (208 | ) | (67 | ) | ||||||||
Net Cash Flows from Operating Activities | 680 | 503 | 646 | ||||||||||
Investing Activities | |||||||||||||
Contributions to subsidiaries | - | (100 | ) | - | |||||||||
Net Cash Flows Used in Investing Activities | - | (100 | ) | - | |||||||||
Financing Activities | |||||||||||||
Net proceeds of short-term debt | 58 | 115 | - | ||||||||||
Retirement of long-term debt | (1 | ) | (1 | ) | (1 | ) | |||||||
Issuance of common shares for stock plans, net of repurchases | (8 | ) | (9 | ) | 31 | ||||||||
Common stock dividends | (721 | ) | (709 | ) | (693 | ) | |||||||
Net Cash Flows Used in Financing Activities | (672 | ) | (604 | ) | (663 | ) | |||||||
Net Change for the Period | 8 | (201 | ) | (17 | ) | ||||||||
Balance at Beginning of Period | 4 | 205 | 222 | ||||||||||
Balance at End of Period | $ | 12 | $ | 4 | $ | 205 | |||||||
* | These financial statements, in which Con Edison’s subsidiaries have been included using the equity method, should be read together with its consolidated financial statements and the notes thereto appearing above. | ||||||||||||
Condensed Financial Information of Consolidated Edison, Inc.* | |||||||||||||
Condensed Balance Sheet | |||||||||||||
(Parent Company Only) | |||||||||||||
At December 31, | |||||||||||||
(Millions of Dollars) | 2013 | 2012 | |||||||||||
Assets | |||||||||||||
Current Assets | |||||||||||||
Cash and temporary cash investments | $ | 12 | $ | 4 | |||||||||
Special deposits | 315 | 51 | |||||||||||
Accounts receivable – other | 185 | 88 | |||||||||||
Accounts receivable from affiliated companies | 950 | 393 | |||||||||||
Prepayments | 2 | 51 | |||||||||||
Other current assets | - | 3 | |||||||||||
Total Current Assets | 1,464 | 590 | |||||||||||
Investments in subsidiaries | 11,954 | 11,642 | |||||||||||
Goodwill | 406 | 406 | |||||||||||
Deferred income tax | 14 | 20 | |||||||||||
Other assets | 4 | 4 | |||||||||||
Total Assets | $ | 13,842 | $ | 12,662 | |||||||||
Liabilities and Shareholders’ Equity | |||||||||||||
Current Liabilities | |||||||||||||
Long-term debt due within one year | $ | 2 | $ | 2 | |||||||||
Notes Payable | 173 | 115 | |||||||||||
Accounts payable | - | 5 | |||||||||||
Accounts payable to affiliated companies | 148 | 146 | |||||||||||
Accrued taxes | 426 | 119 | |||||||||||
Other current liabilities | 538 | 95 | |||||||||||
Total Current Liabilities | 1,287 | 482 | |||||||||||
Noncurrent Liabilities | - | - | |||||||||||
Total Liabilities | 1,287 | 482 | |||||||||||
Long-term debt | 310 | 311 | |||||||||||
Shareholders’ Equity | |||||||||||||
Common stock, including additional paid–in capital | 5,027 | 5,023 | |||||||||||
Retained earnings | 7,218 | 6,846 | |||||||||||
Total Shareholders’ Equity | 12,245 | 11,869 | |||||||||||
Total Liabilities and Shareholders’ Equity | $ | 13,842 | $ | 12,662 | |||||||||
* | These financial statements, in which Con Edison’s subsidiaries have been included using the equity method, should be read together with its consolidated financial statements and the notes thereto appearing above. The Parent Company changed the classification of the common stock owned by its wholly owned subsidiary, Consolidated Edison Company of New York, Inc., to a reduction of its previously reported common shareholders’ equity at December 31, 2012 (see Note C to the consolidated financial statements). This classification change has no impact on the Parent Company financial condition, results of operations or cash flows. |
Schedule_II_Valuation_and_Qual
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended | ||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||
Valuation And Qualifying Accounts [Abstract] | ' | ||||||||||||||||||||||||||
Schedule II - Valuation and Qualifying Accounts | ' | ||||||||||||||||||||||||||
Schedule II | |||||||||||||||||||||||||||
Valuation and Qualifying Accounts | |||||||||||||||||||||||||||
For the Years Ended December 31, 2013, 2012 and 2011 | |||||||||||||||||||||||||||
COLUMN C | |||||||||||||||||||||||||||
Additions | |||||||||||||||||||||||||||
Company (Millions of Dollars) | COLUMN A | COLUMN B | -1 | -2 | COLUMN D | COLUMN E | |||||||||||||||||||||
Description | Balance at | Charged To | Charged | Deductions(b) | Balance | ||||||||||||||||||||||
Beginning | Costs And | To Other | At End of | ||||||||||||||||||||||||
of Period | Expenses | Accounts | Period | ||||||||||||||||||||||||
Con Edison | Allowance for uncollectible | ||||||||||||||||||||||||||
accounts(a): | |||||||||||||||||||||||||||
2013 | $ | 105 | $ | 86 | - | $ | 88 | $ | 103 | ||||||||||||||||||
2012 | $ | 97 | $ | 96 | - | $ | 88 | $ | 105 | ||||||||||||||||||
2011 | $ | 84 | $ | 99 | - | $ | 86 | $ | 97 | ||||||||||||||||||
CECONY | Allowance for uncollectible | ||||||||||||||||||||||||||
accounts(a): | |||||||||||||||||||||||||||
2013 | $ | 96 | $ | 82 | - | $ | 83 | $ | 95 | ||||||||||||||||||
2012 | $ | 88 | $ | 90 | - | $ | 82 | $ | 96 | ||||||||||||||||||
2011 | $ | 75 | $ | 91 | - | $ | 78 | $ | 88 | ||||||||||||||||||
(a) | This is a valuation account deducted in the balance sheet from the assets (Accounts receivable-customers) to which they apply. | ||||||||||||||||||||||||||
(b) | Accounts written off less cash collections, miscellaneous adjustments and amounts reinstated as receivables previously written off. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Principles of Consolidation | ' | ||||||||||||||||
Principles of Consolidation | |||||||||||||||||
The Companies’ consolidated financial statements include the accounts of their respective majority-owned subsidiaries, and variable interest entities (see Note Q), as required. All intercompany balances and transactions have been eliminated. | |||||||||||||||||
Accounting Policies | |||||||||||||||||
The accounting policies of Con Edison and its subsidiaries conform to accounting principles generally accepted in the United States of America. For the Utilities, these accounting principles include the accounting rules for regulated operations and the accounting requirements of the Federal Energy Regulatory Commission (FERC) and the state public utility regulatory commissions having jurisdiction. | |||||||||||||||||
The accounting rules for regulated operations specify the economic effects that result from the causal relationship of costs and revenues in the rate-regulated environment and how these effects are to be accounted for by a regulated enterprise. Revenues intended to cover some costs may be recorded either before or after the costs are incurred. If regulation provides assurance that incurred costs will be recovered in the future, these costs would be recorded as deferred charges or “regulatory assets” under the accounting rules for regulated operations. If revenues are recorded for costs that are expected to be incurred in the future, these revenues would be recorded as deferred credits or “regulatory liabilities” under the accounting rules for regulated operations. | |||||||||||||||||
The Utilities’ principal regulatory assets and liabilities are detailed in Note B. The Utilities are receiving or being credited with a return on all of their regulatory assets for which a cash outflow has been made, and are paying or being charged with a return on all of their regulatory liabilities for which a cash inflow has been received. The Utilities’ regulatory assets and liabilities will be recovered from customers, or applied for customer benefit, in accordance with rate provisions approved by the applicable public utility regulatory commission. | |||||||||||||||||
Other significant accounting policies of the Companies are referenced below in this Note A and in the notes that follow. | |||||||||||||||||
Plant and Depreciation | ' | ||||||||||||||||
Plant and Depreciation | |||||||||||||||||
Utility Plant | |||||||||||||||||
Utility plant is stated at original cost. The cost of repairs and maintenance is charged to expense and the cost of betterments is capitalized. The capitalized cost of additions to utility plant includes indirect costs such as engineering, supervision, payroll taxes, pensions, other benefits and an allowance for funds used during construction (AFDC). The original cost of property is charged to expense over the estimated useful lives of the assets. Upon retirement, the original cost of property is charged to accumulated depreciation. See Note R. | |||||||||||||||||
Rates used for AFDC include the cost of borrowed funds and a reasonable rate of return on the Utilities’ own funds when so used, determined in accordance with regulations of the FERC or the state public utility regulatory authority having jurisdiction. The rate is compounded semiannually, and the amounts applicable to borrowed funds are treated as a reduction of interest charges, while the amounts applicable to the Utilities’ own funds are credited to other income (deductions). The AFDC rates for CECONY were 4.0 percent, 6.5 percent and 6.9 percent for 2013, 2012, and 2011, respectively. The AFDC rates for O&R were 5.7 percent, 7.0 percent and 6.6 percent for 2013, 2012, and 2011, respectively. | |||||||||||||||||
The Utilities generally compute annual charges for depreciation using the straight-line method for financial statement purposes, with rates based on average service lives and net salvage factors. The average depreciation rate for CECONY was 3.2 percent for 2013 and 3.1 percent for 2012, and 2011. The average depreciation rates for O&R were 2.8 percent, 2.9 percent and 2.8 percent for 2013, 2012, and 2011, respectively. | |||||||||||||||||
The estimated lives for utility plant for CECONY range from 5 to 80 years for electric, 5 to 85 years for gas, 5 to 70 years for steam and 5 to 50 years for general plant. For O&R, the estimated lives for utility plant range from 5 to 75 years for electric, 5 to 75 years for gas and 5 to 50 years for general plant. | |||||||||||||||||
At December 31, 2013 and 2012, the capitalized cost of the Companies’ utility plant, net of accumulated depreciation, was as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Electric | |||||||||||||||||
Generation | $ | 452 | $ | 434 | $ | 452 | $ | 434 | |||||||||
Transmission | 2,776 | 2,698 | 2,597 | 2,518 | |||||||||||||
Distribution | 15,277 | 14,658 | 14,496 | 13,930 | |||||||||||||
Gas* | 4,469 | 4,170 | 4,013 | 3,735 | |||||||||||||
Steam | 1,790 | 1,674 | 1,790 | 1,674 | |||||||||||||
General | 1,565 | 1,567 | 1,433 | 1,439 | |||||||||||||
Held for future use | 73 | 73 | 62 | 62 | |||||||||||||
Construction work in progress | 1,393 | 1,027 | 1,303 | 947 | |||||||||||||
Net Utility Plant | $ | 27,795 | $ | 26,301 | $ | 26,146 | $ | 24,739 | |||||||||
* | Primarily distribution. | ||||||||||||||||
Under the Utilities’ rate plans, the aggregate annual depreciation allowance in effect at December 31, 2013 was $948 million, including $897 million under CECONY’s electric, gas and steam rate plans that have been approved by the New York State Public Service Commission (NYSPSC). | |||||||||||||||||
Non-Utility Plant | |||||||||||||||||
Non-utility plant is stated at original cost and consists primarily of land, gas storage and solar facilities that are currently not used within electric, gas or steam utility operations. Depreciation on these assets is computed using the straight-line method for financial statement purposes over their estimated useful lives, which range from 3 to 30 years. | |||||||||||||||||
Goodwill | ' | ||||||||||||||||
Goodwill | |||||||||||||||||
In accordance with the accounting rules for goodwill and intangible assets, Con Edison is required to test goodwill for impairment annually. Goodwill is tested for impairment using a two-step approach. The first step of the goodwill impairment test compares the estimated fair value of a reporting unit with its carrying value, including goodwill. If the estimated fair value of a reporting unit exceeds its carrying value, goodwill of the reporting unit is considered not impaired. If the carrying value exceeds the estimated fair value of the reporting unit, the second step is performed to measure the amount of impairment loss, if any. The second step requires a calculation of the implied fair value of goodwill. See Note K. | |||||||||||||||||
Impairments | ' | ||||||||||||||||
Impairments | |||||||||||||||||
In accordance with the accounting rules for impairment or disposal of long-lived assets, the Companies evaluate the impairment of long-lived assets, based on projections of undiscounted future cash flows, whenever events or changes in circumstances indicate that the carrying amounts of such assets may not be recoverable. In the event an evaluation indicates that such cash flows cannot be expected to be sufficient to fully recover the assets, the assets are written down to their estimated fair value. No impairment charges were recognized in 2013, 2012 or 2011. | |||||||||||||||||
Revenues | ' | ||||||||||||||||
Revenues | |||||||||||||||||
The Utilities and Con Edison Solutions recognize revenues for energy service on a monthly billing cycle basis. The Utilities defer over a 12-month period net interruptible gas revenues, other than those authorized by the NYSPSC to be retained by the Utilities, for refund to firm gas sales and transportation customers. The Utilities and Con Edison Solutions accrue revenues at the end of each month for estimated energy service not yet billed to customers. | |||||||||||||||||
CECONY’s electric and gas rate plans and O&R’s New York electric and gas rate plans each contain a revenue decoupling mechanism under which the company’s actual energy delivery revenues are compared with the authorized delivery revenues and the difference accrued, with interest, for refund to, or recovery from, customers, as applicable. See “Rate Plans” in Note B. | |||||||||||||||||
The NYSPSC requires utilities to record gross receipts tax revenues and expenses on a gross income statement presentation basis (i.e., included in both revenue and expense). The recovery of these taxes is generally provided for in the revenue requirement within each of the respective NYSPSC approved rate plans. | |||||||||||||||||
Public Utility Information | ' | ||||||||||||||||
Recoverable Energy Costs | |||||||||||||||||
The Utilities generally recover all of their prudently incurred fuel, purchased power and gas costs, including hedging gains and losses, in accordance with rate provisions approved by the applicable state public utility commissions. If the actual energy supply costs for a given month are more or less than the amounts billed to customers for that month, the difference in most cases is recoverable from or refundable to customers. Differences between actual and billed electric and steam supply costs are generally deferred for charge or refund to customers during the next billing cycle (normally within one or two months). In addition, CECONY recovers the costs of its electric demand management programs, in excess of the costs reflected in rates, as part of recoverable energy costs. For the Utilities’ gas costs, differences between actual and billed gas costs during the 12-month period ending each August are charged or refunded to customers during a subsequent 12-month period. | |||||||||||||||||
New York Independent System Operator (NYISO) | |||||||||||||||||
The Utilities purchase electricity through the wholesale electricity market administered by the NYISO. The difference between purchased power and related costs initially billed to the Utilities by the NYISO and the actual cost of power subsequently calculated by the NYISO is refunded by the NYISO to the Utilities, or paid to the NYISO by the Utilities. The reconciliation payments or receipts are recoverable from or refundable to the Utilities’ customers. | |||||||||||||||||
Certain other payments to or receipts from the NYISO are also subject to reconciliation, with shortfalls or amounts in excess of specified rate allowances recoverable from or refundable to customers. These include proceeds from the sale through the NYISO of transmission rights on CECONY’s transmission system (transmission congestion contracts or TCCs). | |||||||||||||||||
Temporary Cash Investments | ' | ||||||||||||||||
Temporary Cash Investments | |||||||||||||||||
Temporary cash investments are short-term, highly-liquid investments that generally have maturities of three months or less at the date of purchase. They are stated at cost, which approximates market. The Companies consider temporary cash investments to be cash equivalents. | |||||||||||||||||
Investments | ' | ||||||||||||||||
Investments | |||||||||||||||||
Investments consist primarily of the investments of Con Edison’s competitive energy businesses, which are accounted for under the equity method (depending on the subsidiaries’ percentage ownership) or accounted for as leveraged leases in accordance with the accounting rules for leases. See Note J for a discussion of investments in Lease In/Lease Out transactions. Utilities’ investments are recorded at fair value and include the deferred income plan and supplemental retirement income plan trust owned life insurance assets. | |||||||||||||||||
Pension and Other Postretirement Benefits | ' | ||||||||||||||||
Pension and Other Postretirement Benefits | |||||||||||||||||
The accounting rules for retirement benefits require an employer to recognize an asset or liability for the overfunded or underfunded status of its pension and other postretirement benefit plans. For a pension plan, the asset or liability is the difference between the fair value of the plan’s assets and the projected benefit obligation. For any other postretirement benefit plan, the asset or liability is the difference between the fair value of the plan’s assets and the accumulated postretirement benefit obligation. The accounting rules generally require employers to recognize all unrecognized prior service costs and credits and unrecognized actuarial gains and losses in accumulated other comprehensive income (OCI), net of tax. Such amounts will be adjusted as they are subsequently recognized as components of net periodic benefit cost or income pursuant to the current recognition and amortization provisions. | |||||||||||||||||
For the Utilities’ pension and other postretirement benefit plans, regulatory accounting treatment is generally applied in accordance with the accounting rules for regulated operations. Unrecognized prior service costs or credits and unrecognized actuarial gains and losses are recorded to regulatory assets or liabilities, rather than OCI. See Notes E and F. | |||||||||||||||||
The net periodic benefit costs are recognized in accordance with the accounting rules for retirement benefits. Investment gains and losses are recognized in expense over a 15-year period and other actuarial gains and losses are recognized in expense over a 10-year period, subject to the deferral provisions in the rate plans. | |||||||||||||||||
In accordance with the Statement of Policy issued by the NYSPSC and its current electric, gas and steam rate plans, CECONY defers for payment to or recovery from customers the difference between such expenses and the amounts for such expenses reflected in rates. Generally, O&R also defers such difference pursuant to its rate plans. See Note B – Regulatory Matters. | |||||||||||||||||
The Companies calculate the expected return on pension and other postretirement benefit plan assets by multiplying the expected rate of return on plan assets by the market-related value (MRV) of plan assets at the beginning of the year, taking into consideration anticipated contributions and benefit payments that are to be made during the year. The accounting rules allow the MRV of plan assets to be either fair value or a calculated value that recognizes changes in fair value in a systematic and rational manner over not more than five years. The Companies use a calculated value when determining the MRV of the plan assets that adjusts for 20 percent of the difference between fair value and expected MRV of plan assets. This calculated value has the effect of stabilizing variability in assets to which the Companies apply the expected return. | |||||||||||||||||
Income Taxes | ' | ||||||||||||||||
Federal Income Tax | |||||||||||||||||
In accordance with the accounting rules for income taxes, the Companies have recorded an accumulated deferred federal income tax liability for temporary differences between the book and tax basis of assets and liabilities at current tax rates. In accordance with rate plans, the Utilities have recovered amounts from customers for a portion of the tax liability they will pay in the future as a result of the reversal or “turn-around” of these temporary differences. As to the remaining tax liability, in accordance with the accounting rules for regulated operations, the Utilities have established regulatory assets for the net revenue requirements to be recovered from customers for the related future tax expense. See Notes B and L. In 1993, the NYSPSC issued a Policy Statement approving accounting procedures consistent with the accounting rules for income taxes and providing assurances that these future increases in taxes will be recoverable in rates. See Note L. | |||||||||||||||||
Accumulated deferred investment tax credits are amortized ratably over the lives of the related properties and applied as a reduction to future federal income tax expense. | |||||||||||||||||
Con Edison and its subsidiaries file a consolidated federal income tax return. The consolidated income tax liability is allocated to each member of the consolidated group using the separate return method. Each member pays or receives an amount based on its own taxable income or loss in accordance with tax sharing agreements among the members of the consolidated group. Tax loss carryforwards are allocated in accordance with consolidated tax return regulations. | |||||||||||||||||
State Income Tax | |||||||||||||||||
Con Edison and its subsidiaries file a combined New York State Corporation Business Franchise Tax Return. Similar to a federal consolidated income tax return, the income of all entities in the combined group is subject to New York State taxation, after adjustments for differences between federal and New York law and apportionment of income among the states in which the company does business. Each member of the group pays or receives an amount based on its own New York State taxable income or loss. | |||||||||||||||||
Research and Development Costs | ' | ||||||||||||||||
Research and Development Costs | |||||||||||||||||
Generally research and development costs are charged to operating expenses as incurred. Research and development costs were as follows: | |||||||||||||||||
For the Years Ended December 31, | |||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||||||
Con Edison | $ | 18 | $ | 21 | $ | 23 | |||||||||||
CECONY | 16 | 19 | 21 | ||||||||||||||
Reclassification | ' | ||||||||||||||||
Reclassification | |||||||||||||||||
Certain prior year amounts have been reclassified to conform with the current year presentation. | |||||||||||||||||
Earnings Per Common Share | ' | ||||||||||||||||
Earnings Per Common Share | |||||||||||||||||
In accordance with the accounting rules for earnings per share, Con Edison presents basic and diluted earnings per share on the face of its consolidated income statement. Basic earnings per share (EPS) are calculated by dividing earnings available to common shareholders (“Net income for common stock” on Con Edison’s consolidated income statement) by the weighted average number of Con Edison common shares outstanding during the period. In the calculation of diluted EPS, weighted average shares outstanding are increased for additional shares that would be outstanding if potentially dilutive securities were converted to common stock. | |||||||||||||||||
Potentially dilutive securities for Con Edison consist of restricted stock units, deferred stock units and stock options for which the average market price of the common shares for the period was greater than the exercise price. See Note M. | |||||||||||||||||
Basic and diluted EPS for Con Edison are calculated as follows: | |||||||||||||||||
For the Years Ended | |||||||||||||||||
December 31, | |||||||||||||||||
(Millions of Dollars, except per share amounts/Shares in Millions) | 2013 | 2012 | 2011 | ||||||||||||||
Net income for common stock | $ | 1,062 | $ | 1,138 | $ | 1,051 | |||||||||||
Weighted average common shares outstanding – Basic | 292.9 | 292.9 | 292.6 | ||||||||||||||
Add: Incremental shares attributable to effect of potentially dilutive securities | 1.5 | 1.6 | 1.8 | ||||||||||||||
Adjusted weighted average common shares outstanding – Diluted | 294.4 | 294.5 | 294.4 | ||||||||||||||
Net Income for common stock per common share – basic | $ | 3.62 | $ | 3.88 | $ | 3.59 | |||||||||||
Net Income for common stock per common share – diluted | $ | 3.61 | $ | 3.86 | $ | 3.57 | |||||||||||
The computation of diluted EPS for the years ended December 31, 2013 and 2012 exclude immaterial amounts of performance share awards which were not included because of their anti-dilutive effect. No such exclusions were required for the computation of diluted EPS for the year ended December 31, 2011. | |||||||||||||||||
Estimates | ' | ||||||||||||||||
Estimates | |||||||||||||||||
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |||||||||||||||||
Changes in Accumulated Other Comprehensive Income by Component | ' | ||||||||||||||||
Changes in Accumulated Other Comprehensive Income by Component | |||||||||||||||||
For 2013, changes to accumulated other comprehensive income (OCI) for Con Edison and CECONY are as follows: | |||||||||||||||||
(Millions of Dollars) | Con Edison | CECONY | |||||||||||||||
Accumulated OCI, net of taxes, at December 31, 2012 | $ | (53 | ) | $ | (9 | ) | |||||||||||
OCI before reclassifications, net of tax of $15 and $1 for Con Edison and CECONY, respectively | 21 | 2 | |||||||||||||||
Amounts reclassified from accumulated OCI related to pension plan liabilities, net of tax of $5 and $1 for Con Edison and CECONY, respectively(a)(b) | 7 | 1 | |||||||||||||||
Total OCI, net of taxes, at December 31, 2013 | $ | 28 | $ | 3 | |||||||||||||
Accumulated OCI, net of taxes, at December 31, 2013(b) | $ | (25 | ) | $ | (6 | ) | |||||||||||
(a) | For the portion of unrecognized pension and other postretirement benefit costs relating to the regulated Utilities, costs are recorded into, and amortized out of, regulatory assets instead of OCI. The net actuarial losses and prior service costs recognized during the period are included in the computation of net periodic pension and other postretirement benefit cost. See Notes E and F. | ||||||||||||||||
(b) | Tax reclassified from accumulated OCI is reported in the income tax expense line item of the income statement. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Capitalized Cost of Utility Plant | ' | ||||||||||||||||
At December 31, 2013 and 2012, the capitalized cost of the Companies’ utility plant, net of accumulated depreciation, was as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Electric | |||||||||||||||||
Generation | $ | 452 | $ | 434 | $ | 452 | $ | 434 | |||||||||
Transmission | 2,776 | 2,698 | 2,597 | 2,518 | |||||||||||||
Distribution | 15,277 | 14,658 | 14,496 | 13,930 | |||||||||||||
Gas* | 4,469 | 4,170 | 4,013 | 3,735 | |||||||||||||
Steam | 1,790 | 1,674 | 1,790 | 1,674 | |||||||||||||
General | 1,565 | 1,567 | 1,433 | 1,439 | |||||||||||||
Held for future use | 73 | 73 | 62 | 62 | |||||||||||||
Construction work in progress | 1,393 | 1,027 | 1,303 | 947 | |||||||||||||
Net Utility Plant | $ | 27,795 | $ | 26,301 | $ | 26,146 | $ | 24,739 | |||||||||
* | Primarily distribution. | ||||||||||||||||
Research and Development Costs | ' | ||||||||||||||||
Generally research and development costs are charged to operating expenses as incurred. Research and development costs were as follows: | |||||||||||||||||
For the Years Ended December 31, | |||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||||||
Con Edison | $ | 18 | $ | 21 | $ | 23 | |||||||||||
CECONY | 16 | 19 | 21 | ||||||||||||||
Earnings Per Common Share | ' | ||||||||||||||||
Basic and diluted EPS for Con Edison are calculated as follows: | |||||||||||||||||
For the Years Ended | |||||||||||||||||
December 31, | |||||||||||||||||
(Millions of Dollars, except per share amounts/Shares in Millions) | 2013 | 2012 | 2011 | ||||||||||||||
Net income for common stock | $ | 1,062 | $ | 1,138 | $ | 1,051 | |||||||||||
Weighted average common shares outstanding – Basic | 292.9 | 292.9 | 292.6 | ||||||||||||||
Add: Incremental shares attributable to effect of potentially dilutive securities | 1.5 | 1.6 | 1.8 | ||||||||||||||
Adjusted weighted average common shares outstanding – Diluted | 294.4 | 294.5 | 294.4 | ||||||||||||||
Net Income for common stock per common share – basic | $ | 3.62 | $ | 3.88 | $ | 3.59 | |||||||||||
Net Income for common stock per common share – diluted | $ | 3.61 | $ | 3.86 | $ | 3.57 | |||||||||||
Changes in Accumulated Other Comprehensive Income by Component | ' | ||||||||||||||||
For 2013, changes to accumulated other comprehensive income (OCI) for Con Edison and CECONY are as follows: | |||||||||||||||||
(Millions of Dollars) | Con Edison | CECONY | |||||||||||||||
Accumulated OCI, net of taxes, at December 31, 2012 | $ | (53 | ) | $ | (9 | ) | |||||||||||
OCI before reclassifications, net of tax of $15 and $1 for Con Edison and CECONY, respectively | 21 | 2 | |||||||||||||||
Amounts reclassified from accumulated OCI related to pension plan liabilities, net of tax of $5 and $1 for Con Edison and CECONY, respectively(a)(b) | 7 | 1 | |||||||||||||||
Total OCI, net of taxes, at December 31, 2013 | $ | 28 | $ | 3 | |||||||||||||
Accumulated OCI, net of taxes, at December 31, 2013(b) | $ | (25 | ) | $ | (6 | ) | |||||||||||
(a) | For the portion of unrecognized pension and other postretirement benefit costs relating to the regulated Utilities, costs are recorded into, and amortized out of, regulatory assets instead of OCI. The net actuarial losses and prior service costs recognized during the period are included in the computation of net periodic pension and other postretirement benefit cost. See Notes E and F. | ||||||||||||||||
(b) | Tax reclassified from accumulated OCI is reported in the income tax expense line item of the income statement. |
Regulatory_Matters_Tables
Regulatory Matters (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Regulatory Assets and Liabilities | ' | ||||||||||||||||
Regulatory Assets and Liabilities | |||||||||||||||||
Regulatory assets and liabilities at December 31, 2013 and 2012 were comprised of the following items: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Regulatory assets | |||||||||||||||||
Unrecognized pension and other postretirement costs | $ | 2,730 | $ | 5,677 | $ | 2,610 | $ | 5,407 | |||||||||
Future income tax | 2,145 | 1,922 | 2,030 | 1,831 | |||||||||||||
Environmental remediation costs | 938 | 730 | 830 | 615 | |||||||||||||
Deferred storm costs | 441 | 432 | 334 | 309 | |||||||||||||
Pension and other postretirement benefits deferrals | 237 | 183 | 211 | 154 | |||||||||||||
Revenue taxes | 207 | 176 | 196 | 170 | |||||||||||||
Net electric deferrals | 83 | 102 | 83 | 102 | |||||||||||||
Surcharge for New York State assessment | 78 | 73 | 74 | 68 | |||||||||||||
Unamortized loss on reacquired debt | 65 | 74 | 62 | 70 | |||||||||||||
O&R transition bond charges | 33 | 39 | - | - | |||||||||||||
Preferred stock redemption | 28 | 29 | 28 | 29 | |||||||||||||
Property tax reconciliation | 22 | 16 | - | - | |||||||||||||
Workers’ compensation | 12 | 19 | 12 | 19 | |||||||||||||
Deferred derivative losses – long-term | 8 | 40 | 7 | 20 | |||||||||||||
Other | 174 | 193 | 162 | 178 | |||||||||||||
Regulatory assets – long-term | 7,201 | 9,705 | 6,639 | 8,972 | |||||||||||||
Deferred derivative losses – current | 25 | 69 | 22 | 60 | |||||||||||||
Recoverable energy costs – current | 4 | 5 | 4 | - | |||||||||||||
Regulatory assets – current | 29 | 74 | 26 | 60 | |||||||||||||
Total Regulatory Assets | $ | 7,230 | $ | 9,779 | $ | 6,665 | $ | 9,032 | |||||||||
Regulatory liabilities | |||||||||||||||||
Allowance for cost of removal less salvage | $ | 540 | $ | 503 | $ | 453 | $ | 420 | |||||||||
Property tax reconciliation | 322 | 187 | 322 | 187 | |||||||||||||
Net unbilled revenue deferrals | 133 | 136 | 133 | 136 | |||||||||||||
Property tax refunds | 130 | 7 | 130 | 6 | |||||||||||||
Long-term interest rate reconciliation | 105 | 62 | 105 | 62 | |||||||||||||
Carrying charges on repair allowance and bonus depreciation | 88 | 11 | 87 | 10 | |||||||||||||
World Trade Center settlement proceeds | 62 | 62 | 62 | 62 | |||||||||||||
Other postretirement benefit deferrals | 50 | - | 50 | - | |||||||||||||
Expenditure prudence proceeding | 40 | 14 | 40 | 14 | |||||||||||||
Carrying charges on T&D net plant – electric and steam | 28 | 31 | 20 | 13 | |||||||||||||
Electric excess earnings | 22 | - | 18 | - | |||||||||||||
Other | 208 | 189 | 178 | 167 | |||||||||||||
Regulatory liabilities – long-term | 1,728 | 1,202 | 1,598 | 1,077 | |||||||||||||
Refundable energy costs – current | 100 | 82 | 66 | 48 | |||||||||||||
Revenue decoupling mechanism | 34 | 72 | 30 | 68 | |||||||||||||
Deferred derivative gains – current | 14 | - | 11 | - | |||||||||||||
Electric surcharge offset | - | 29 | - | 29 | |||||||||||||
Regulatory liabilities—current | 148 | 183 | 107 | 145 | |||||||||||||
Total Regulatory Liabilities | $ | 1,876 | $ | 1,385 | $ | 1,705 | $ | 1,222 | |||||||||
CECONY-Electric [Member] | ' | ||||||||||||||||
Schedule of Regulatory Liability Revenue Requirement Impact | ' | ||||||||||||||||
The amounts reflected in rates were: | |||||||||||||||||
Rate Year Ending March 31, | |||||||||||||||||
(Millions of Dollars) | 2011 | 2012 | 2013 | ||||||||||||||
T&D | $ | 13,818 | $ | 14,742 | $ | 15,414 | |||||||||||
Other | 1,487 | 1,565 | 1,650 | ||||||||||||||
ERP | - | 25 | 115 | ||||||||||||||
The amounts reflected in rates are: | |||||||||||||||||
Rate Year Ending December 31, | |||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | |||||||||||||||
T&D | $ | 16,869 | $ | 17,401 | |||||||||||||
Storm hardening | 89 | 177 | |||||||||||||||
Other | 2,034 | 2,102 | |||||||||||||||
CECONY-Gas [Member] | ' | ||||||||||||||||
Schedule of Regulatory Liability Revenue Requirement Impact | ' | ||||||||||||||||
The amounts reflected in rates are: | |||||||||||||||||
Rate Year Ending December 31, | |||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | 2016 | ||||||||||||||
Gas delivery | $ | 3,899 | $ | 4,258 | $ | 4,698 | |||||||||||
Storm hardening | 3 | 8 | 30 | ||||||||||||||
CECONY-Steam [Member] | ' | ||||||||||||||||
Schedule of Regulatory Liability Revenue Requirement Impact | ' | ||||||||||||||||
The amounts reflected in rates are: | |||||||||||||||||
Rate Year Ending September 30, | |||||||||||||||||
(Millions of Dollars) | 2011 | 2012 | 2013 | ||||||||||||||
Steam production | $ | 415 | $ | 426 | $ | 433 | |||||||||||
Steam distribution | 521 | 534 | 543 | ||||||||||||||
The amounts reflected in rates are: | |||||||||||||||||
Rate Year Ending December 31, | |||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | 2016 | ||||||||||||||
Steam production | $ | 1,752 | $ | 1,732 | $ | 1,720 | |||||||||||
Steam distribution | 6 | 11 | 25 | ||||||||||||||
Capitalization_Tables
Capitalization (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Regulated Operations [Abstract] | ' | ||||||||||||||||
Schedule of Long-Term Debt Maturities | ' | ||||||||||||||||
Long-term Debt | |||||||||||||||||
Long-term debt maturing in the period 2014-2018 is as follows: | |||||||||||||||||
(Millions of Dollars) | Con Edison | CECONY | |||||||||||||||
2014 | $ | 485 | $ | 475 | |||||||||||||
2015 | 500 | 350 | |||||||||||||||
2016 | 736 | 650 | |||||||||||||||
2017 | 12 | - | |||||||||||||||
2018 | 1,266 | 1,200 | |||||||||||||||
Carrying Amounts and Fair Values of Long-Term Debt | ' | ||||||||||||||||
The carrying amounts and fair values of long-term debt are: | |||||||||||||||||
December 31, | |||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | |||||||||||||||
Long-Term Debt | Carrying | Fair | Carrying | Fair | |||||||||||||
(including current portion) | Amount | Value | Amount | Value | |||||||||||||
Con Edison | $ | 10,974 | $ | 12,082 | $ | 10,768 | $ | 12,935 | |||||||||
CECONY | $ | 9,841 | $ | 10,797 | $ | 9,845 | $ | 11,751 |
Pension_Benefits_Tables
Pension Benefits (Tables) (Pension Benefits [Member]) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Pension Benefits [Member] | ' | ||||||||||||||||||||||||
Companies' Net Periodic Benefit Costs | ' | ||||||||||||||||||||||||
The components of the Companies’ net periodic benefit costs for 2013, 2012, and 2011 were as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Service cost – including administrative expenses | $ | 267 | $ | 237 | $ | 190 | $ | 249 | $ | 220 | $ | 177 | |||||||||||||
Interest cost on projected benefit obligation | 537 | 547 | 560 | 503 | 513 | 524 | |||||||||||||||||||
Expected return on plan assets | (750 | ) | (705 | ) | (734 | ) | (713 | ) | (670 | ) | (698 | ) | |||||||||||||
Recognition of net actuarial loss | 832 | 709 | 530 | 788 | 670 | 501 | |||||||||||||||||||
Recognition of prior service costs | 5 | 8 | 8 | 4 | 6 | 6 | |||||||||||||||||||
NET PERIODIC BENEFIT COST | $ | 891 | $ | 796 | $ | 554 | $ | 831 | $ | 739 | $ | 510 | |||||||||||||
Amortization of regulatory asset* | 2 | 2 | 2 | 2 | 2 | 2 | |||||||||||||||||||
TOTAL PERIODIC BENEFIT COST | $ | 893 | $ | 798 | $ | 556 | $ | 833 | $ | 741 | $ | 512 | |||||||||||||
Cost capitalized | (348 | ) | (277 | ) | (185 | ) | (327 | ) | (260 | ) | (172 | ) | |||||||||||||
Reconciliation to rate level | (84 | ) | (8 | ) | (65 | ) | (87 | ) | (12 | ) | (68 | ) | |||||||||||||
Cost charged to operating expenses | $ | 461 | $ | 513 | $ | 306 | $ | 419 | $ | 469 | $ | 272 | |||||||||||||
* | Relates to an increase in CECONY’s pension obligation of $45 million from a 1999 special retirement program. | ||||||||||||||||||||||||
Schedule of Funded Status | ' | ||||||||||||||||||||||||
The funded status at December 31, 2013, 2012, and 2011 was as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
CHANGE IN PROJECTED BENEFIT OBLIGATION | |||||||||||||||||||||||||
Projected benefit obligation at beginning of year | $ | 13,406 | $ | 11,825 | $ | 10,307 | $ | 12,572 | $ | 11,072 | $ | 9,653 | |||||||||||||
Service cost – excluding administrative expenses | 259 | 224 | 186 | 241 | 209 | 174 | |||||||||||||||||||
Interest cost on projected benefit obligation | 537 | 547 | 560 | 503 | 513 | 524 | |||||||||||||||||||
Net actuarial (gain)/loss | (1,469 | ) | 1,323 | 1,251 | (1,388 | ) | 1,255 | 1,166 | |||||||||||||||||
Benefits paid | (536 | ) | (513 | ) | (479 | ) | (499 | ) | (477 | ) | (445 | ) | |||||||||||||
PROJECTED BENEFIT OBLIGATION AT END OF YEAR | $ | 12,197 | $ | 13,406 | $ | 11,825 | $ | 11,429 | $ | 12,572 | $ | 11,072 | |||||||||||||
CHANGE IN PLAN ASSETS | |||||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 9,135 | $ | 7,800 | $ | 7,721 | $ | 8,668 | $ | 7,406 | $ | 7,340 | |||||||||||||
Actual return on plan assets | 1,310 | 1,094 | 37 | 1,241 | 1,040 | 33 | |||||||||||||||||||
Employer contributions | 879 | 785 | 542 | 819 | 729 | 498 | |||||||||||||||||||
Benefits paid | (536 | ) | (513 | ) | (479 | ) | (499 | ) | (477 | ) | (445 | ) | |||||||||||||
Administrative expenses | (33 | ) | (31 | ) | (21 | ) | (32 | ) | (30 | ) | (20 | ) | |||||||||||||
FAIR VALUE OF PLAN ASSETS AT END OF YEAR | $ | 10,755 | $ | 9,135 | $ | 7,800 | $ | 10,197 | $ | 8,668 | $ | 7,406 | |||||||||||||
FUNDED STATUS | $ | (1,442 | ) | $ | (4,271 | ) | $ | (4,025 | ) | $ | (1,232 | ) | $ | (3,904 | ) | $ | (3,666 | ) | |||||||
Unrecognized net loss | $ | 2,759 | $ | 5,594 | $ | 5,351 | $ | 2,617 | $ | 5,297 | $ | 5,063 | |||||||||||||
Unrecognized prior service costs | 17 | 23 | 30 | 6 | 10 | 16 | |||||||||||||||||||
Accumulated benefit obligation | 11,004 | 11,911 | 10,595 | 10,268 | 11,116 | 9,876 | |||||||||||||||||||
Schedule of Assumptions | ' | ||||||||||||||||||||||||
The actuarial assumptions were as follows: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Weighted-average assumptions used to determine benefit obligations at December 31: | |||||||||||||||||||||||||
Discount rate | 4.8 | % | 4.1 | % | 4.7 | % | |||||||||||||||||||
Rate of compensation increase | |||||||||||||||||||||||||
– CECONY | 4.35 | % | 4.35 | % | 4.35 | % | |||||||||||||||||||
– O&R | 4.25 | % | 4.25 | % | 4.25 | % | |||||||||||||||||||
Weighted-average assumptions used to determine net periodic benefit cost for the years ended December 31: | |||||||||||||||||||||||||
Discount rate | 4.1 | % | 4.7 | % | 5.6 | % | |||||||||||||||||||
Expected return on plan assets | 8 | % | 8 | % | 8.5 | % | |||||||||||||||||||
Rate of compensation increase | |||||||||||||||||||||||||
– CECONY | 4.35 | % | 4.35 | % | 4.35 | % | |||||||||||||||||||
– O&R | 4.25 | % | 4.25 | % | 4.25 | % | |||||||||||||||||||
Schedule of Expected Benefit Payments | ' | ||||||||||||||||||||||||
Based on current assumptions, the Companies expect to make the following benefit payments over the next ten years: | |||||||||||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | 2016 | 2017 | 2018 | 2019-2023 | |||||||||||||||||||
Con Edison | $ | 578 | $ | 600 | $ | 621 | $ | 640 | $ | 659 | $ | 3,527 | |||||||||||||
CECONY | 539 | 559 | 578 | 596 | 614 | 3,280 | |||||||||||||||||||
Schedule of Plan Assets Allocations | ' | ||||||||||||||||||||||||
The asset allocations for the pension plan at the end of 2013, 2012, and 2011, and the target allocation for 2014 are as follows: | |||||||||||||||||||||||||
Target | Plan Assets at December 31 | ||||||||||||||||||||||||
Allocation Range | |||||||||||||||||||||||||
Asset Category | 2014 | 2013 | 2012 | 2011 | |||||||||||||||||||||
Equity Securities | 55% - 65% | 60 | % | 60 | % | 61 | % | ||||||||||||||||||
Debt Securities | 27% - 33% | 30 | % | 31 | % | 32 | % | ||||||||||||||||||
Real Estate | 8% - 12% | 10 | % | 9 | % | 7 | % | ||||||||||||||||||
Total | 100% | 100 | % | 100 | % | 100 | % | ||||||||||||||||||
Schedule of Fair Value of Plan Assets | ' | ||||||||||||||||||||||||
The fair values of the pension plan assets at December 31, 2013 by asset category are as follows: | |||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
U.S. Equity(a) | $ | 3,057 | $ | - | $ | - | $ | 3,057 | |||||||||||||||||
International Equity(b) | 2,303 | 871 | - | 3,174 | |||||||||||||||||||||
Private Equity(c) | - | - | 67 | 67 | |||||||||||||||||||||
U.S. Government Issued Debt(d) | - | 1,855 | - | 1,855 | |||||||||||||||||||||
Corporate Bonds Debt(e) | - | 1,151 | - | 1,151 | |||||||||||||||||||||
Structured Assets Debt(f) | - | 4 | - | 4 | |||||||||||||||||||||
Other Fixed Income Debt(g) | - | 150 | - | 150 | |||||||||||||||||||||
Real Estate(h) | - | - | 1,062 | 1,062 | |||||||||||||||||||||
Cash and Cash Equivalents(i) | 127 | 558 | - | 685 | |||||||||||||||||||||
Futures(j) | 348 | - | - | 348 | |||||||||||||||||||||
Hedge Funds(k) | - | - | 206 | 206 | |||||||||||||||||||||
Total investments | $ | 5,835 | $ | 4,589 | $ | 1,335 | $ | 11,759 | |||||||||||||||||
Funds for retiree health benefits(l) | (185 | ) | (145 | ) | (42 | ) | (372 | ) | |||||||||||||||||
Investments (excluding funds for retiree health benefits) | $ | 5,650 | $ | 4,444 | $ | 1,293 | $ | 11,387 | |||||||||||||||||
Pending activities(m) | (632 | ) | |||||||||||||||||||||||
Total fair value of plan net assets | $ | 10,755 | |||||||||||||||||||||||
(a) | U.S. Equity includes both actively- and passively-managed assets with investments in domestic equity index funds and actively-managed small-capitalization equities. | ||||||||||||||||||||||||
(b) | International Equity includes international equity index funds and actively-managed international equities. | ||||||||||||||||||||||||
(c) | Private Equity consists of global equity funds that are not exchange-traded. | ||||||||||||||||||||||||
(d) | U.S. Government Issued Debt includes agency and treasury securities. | ||||||||||||||||||||||||
(e) | Corporate Bonds Debt consists of debt issued by various corporations. | ||||||||||||||||||||||||
(f) | Structured Assets Debt includes commercial-mortgage-backed securities and collateralized mortgage obligations. | ||||||||||||||||||||||||
(g) | Other Fixed Income Debt includes municipal bonds, sovereign debt and regional governments. | ||||||||||||||||||||||||
(h) | Real Estate investments include real estate funds based on appraised values that are broadly diversified by geography and property type. | ||||||||||||||||||||||||
(i) | Cash and Cash Equivalents include short term investments, money markets, foreign currency and cash collateral. | ||||||||||||||||||||||||
(j) | Futures consist of exchange-traded financial contracts encompassing U.S. Equity, International Equity and U.S. Government indices. | ||||||||||||||||||||||||
(k) | Hedge Funds are within a commingled structure which invests in various hedge fund managers who can invest in all financial instruments. | ||||||||||||||||||||||||
(l) | The Companies set aside funds for retiree health benefits through a separate account within the pension trust, as permitted under Section 401(h) of the Internal Revenue Code of 1986, as amended. In accordance with the Code, the plan’s investments in the 401(h) account may not be used for, or diverted to, any purpose other than providing health benefits for retirees. The net assets held in the 401(h) account are calculated based on a pro-rata percentage allocation of the net assets in the pension plan. The related obligations for health benefits are not included in the pension plan’s obligations and are included in the Companies’ other postretirement benefit obligation. See Note F. | ||||||||||||||||||||||||
(m) | Pending activities include security purchases and sales that have not settled, interest and dividends that have not been received and reflects adjustments for available estimates at year end. | ||||||||||||||||||||||||
The fair values of the pension plan assets at December 31, 2012 by asset category are as follows: | |||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
U.S. Equity(a) | $ | 2,637 | $ | - | $ | - | $ | 2,637 | |||||||||||||||||
International Equity(b) | 2,242 | 753 | - | 2,995 | |||||||||||||||||||||
Private Equity(c) | - | - | 20 | 20 | |||||||||||||||||||||
U.S. Government Issued Debt(d) | - | 1,626 | - | 1,626 | |||||||||||||||||||||
Corporate Bonds Debt(e) | - | 993 | - | 993 | |||||||||||||||||||||
Structured Assets Debt(f) | - | 30 | - | 30 | |||||||||||||||||||||
Other Fixed Income Debt(g) | - | 123 | - | 123 | |||||||||||||||||||||
Real Estate(h) | - | - | 833 | 833 | |||||||||||||||||||||
Cash and Cash Equivalents(i) | 83 | 328 | - | 411 | |||||||||||||||||||||
Futures(j) | 210 | - | - | 210 | |||||||||||||||||||||
Total investments | $ | 5,172 | $ | 3,853 | $ | 853 | $ | 9,878 | |||||||||||||||||
Funds for retiree health benefits(k) | (185 | ) | (137 | ) | (31 | ) | (353 | ) | |||||||||||||||||
Investments (excluding funds for retiree health benefits) | $ | 4,987 | $ | 3,716 | $ | 822 | $ | 9,525 | |||||||||||||||||
Pending activities(l) | (390 | ) | |||||||||||||||||||||||
Total fair value of plan net assets | $ | 9,135 | |||||||||||||||||||||||
(a) | U.S. Equity includes both actively- and passively-managed assets with investments in domestic equity index funds and actively-managed small-capitalization equities. | ||||||||||||||||||||||||
(b) | International Equity includes international equity index funds and actively-managed international equities. | ||||||||||||||||||||||||
(c) | Private Equity consists of global equity funds that are not exchange-traded. | ||||||||||||||||||||||||
(d) | U.S. Government Issued Debt includes agency and treasury securities. | ||||||||||||||||||||||||
(e) | Corporate Bonds Debt consists of debt issued by various corporations. | ||||||||||||||||||||||||
(f) | Structured Assets Debt includes commercial-mortgage-backed securities and collateralized mortgage obligations. | ||||||||||||||||||||||||
(g) | Other Fixed Income Debt includes municipal bonds, sovereign debt and regional governments. | ||||||||||||||||||||||||
(h) | Real Estate investments include real estate funds based on appraised values that are broadly diversified by geography and property type. | ||||||||||||||||||||||||
(i) | Cash and Cash Equivalents include short term investments, money markets, foreign currency and cash collateral. | ||||||||||||||||||||||||
(j) | Futures consist of exchange-traded financial contracts encompassing U.S. Equity, International Equity and U.S. Government indices. | ||||||||||||||||||||||||
(k) | The Companies set aside funds for retiree health benefits through a separate account within the pension trust, as permitted under Section 401(h) of the Internal Revenue Code of 1986, as amended. In accordance with the Code, the plan’s investments in the 401(h) account may not be used for, or diverted to, any purpose other than providing health benefits for retirees. The net assets held in the 401(h) account are calculated based on a pro-rata percentage allocation of the net assets in the pension plan. The related obligations for health benefits are not included in the pension plan’s obligations and are included in the Companies’ other postretirement benefit obligation. See Note F. | ||||||||||||||||||||||||
(l) | Pending activities include security purchases and sales that have not settled, interest and dividends that have not been received and reflects adjustments for available estimates at year end. | ||||||||||||||||||||||||
Reconciliation of Fair Value Balances for Net Assets | ' | ||||||||||||||||||||||||
The table below provides a reconciliation of the beginning and ending net balances for assets at December 31, 2013 classified as Level 3 in the fair value hierarchy. | |||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Assets Still Held | Assets Sold | Purchases | Transfer | Ending | |||||||||||||||||||
Balance as of | at Reporting Date – | During the | Sales and | In/(Out) of | Balance as of | ||||||||||||||||||||
January 1, 2013 | Unrealized Gains/ | Year – Realized | Settlements | Level 3 | December 31, | ||||||||||||||||||||
(Losses) | Gains/(Losses) | 2013 | |||||||||||||||||||||||
Real Estate | $ | 833 | $ | 114 | $ | 1 | $ | 114 | $ | - | $ | 1,062 | |||||||||||||
Private Equity | 20 | 5 | - | 42 | - | 67 | |||||||||||||||||||
Hedge Funds | - | 6 | - | 200 | - | 206 | |||||||||||||||||||
Total investments | $ | 853 | $ | 125 | $ | 1 | $ | 356 | $ | - | $ | 1,335 | |||||||||||||
Funds for retiree health benefits | (31 | ) | (3 | ) | - | (8 | ) | - | (42 | ) | |||||||||||||||
Investments (excluding funds for retiree health benefits) | $ | 822 | $ | 122 | $ | 1 | $ | 348 | $ | - | $ | 1,293 | |||||||||||||
The table below provides a reconciliation of the beginning and ending net balances for assets at December 31, 2012 classified as Level 3 in the fair value hierarchy. | |||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Assets Still Held | Assets Sold | Purchases | Transfer | Ending | |||||||||||||||||||
Balance as of | at Reporting Date – | During the | Sales and | In/(Out) of | Balance as of | ||||||||||||||||||||
January 1, 2012 | Unrealized | Year – Realized | Settlements | Level 3 | December 31, | ||||||||||||||||||||
Gains/(Losses) | Gains/(Losses) | 2012 | |||||||||||||||||||||||
Real Estate | $ | 572 | $ | 48 | $ | 1 | $ | 212 | $ | - | $ | 833 | |||||||||||||
Private Equity | - | 1 | - | 19 | - | 20 | |||||||||||||||||||
Corporate Bonds | 94 | - | - | (33 | ) | (61 | ) | - | |||||||||||||||||
Structured Assets | 13 | - | (6 | ) | - | (7 | ) | - | |||||||||||||||||
Other Fixed Income | 29 | - | - | (6 | ) | (23 | ) | - | |||||||||||||||||
Total investments | $ | 708 | $ | 49 | $ | (5 | ) | $ | 192 | $ | (91 | ) | $ | 853 | |||||||||||
Funds for retiree health benefits | (28 | ) | (2 | ) | - | (4 | ) | 3 | (31 | ) | |||||||||||||||
Investments (excluding funds for retiree health benefits) | $ | 680 | $ | 47 | $ | (5 | ) | $ | 188 | $ | (88 | ) | $ | 822 | |||||||||||
Schedule of Employer Contribution to Defined Savings Plan | ' | ||||||||||||||||||||||||
The Companies also offer a defined contribution savings plan that covers substantially all employees and made contributions to the plan as follows: | |||||||||||||||||||||||||
For the Years Ended December 31 | |||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||||||||||||||
Con Edison | $ | 30 | $ | 23 | $ | 23 | |||||||||||||||||||
CECONY | 26 | 21 | 21 |
Other_Postretirement_Benefits_
Other Postretirement Benefits (Tables) (Other Postretirement Benefits [Member]) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Other Postretirement Benefits [Member] | ' | ||||||||||||||||||||||||
Net Periodic Postretirement Benefit Costs | ' | ||||||||||||||||||||||||
The components of the Companies’ net periodic postretirement benefit costs for 2013, 2012, and 2011 were as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Service cost | $ | 23 | $ | 26 | $ | 26 | $ | 18 | $ | 21 | $ | 20 | |||||||||||||
Interest cost on accumulated other postretirement benefit obligation | 54 | 73 | 83 | 46 | 63 | 72 | |||||||||||||||||||
Expected return on plan assets | (77 | ) | (85 | ) | (88 | ) | (68 | ) | (75 | ) | (78 | ) | |||||||||||||
Recognition of net actuarial loss | 65 | 98 | 88 | 57 | 87 | 80 | |||||||||||||||||||
Recognition of prior service cost | (27 | ) | (21 | ) | (10 | ) | (23 | ) | (18 | ) | (11 | ) | |||||||||||||
Recognition of transition obligation | - | 2 | 4 | - | 2 | 4 | |||||||||||||||||||
NET PERIODIC POSTRETIREMENT BENEFIT COST | $ | 38 | $ | 93 | $ | 103 | $ | 30 | $ | 80 | $ | 87 | |||||||||||||
Cost capitalized | (15 | ) | (32 | ) | (35 | ) | (12 | ) | (28 | ) | (29 | ) | |||||||||||||
Reconciliation to rate level | 58 | 20 | 14 | 50 | 16 | 13 | |||||||||||||||||||
Cost charged to operating expenses | $ | 81 | $ | 81 | $ | 82 | $ | 68 | $ | 68 | $ | 71 | |||||||||||||
Schedule of Funded Status | ' | ||||||||||||||||||||||||
The funded status of the programs at December 31, 2013, 2012, and 2011 were as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
CHANGE IN BENEFIT OBLIGATION | |||||||||||||||||||||||||
Benefit obligation at beginning of year | $ | 1,454 | $ | 1,756 | $ | 1,642 | $ | 1,238 | $ | 1,511 | $ | 1,426 | |||||||||||||
Service cost | 23 | 26 | 25 | 18 | 21 | 20 | |||||||||||||||||||
Interest cost on accumulated postretirement benefit obligation | 54 | 73 | 83 | 46 | 63 | 72 | |||||||||||||||||||
Amendments | - | (127 | ) | - | - | (89 | ) | - | |||||||||||||||||
Net actuarial loss/(gain) | (42 | ) | (175 | ) | 109 | (20 | ) | (178 | ) | 86 | |||||||||||||||
Benefits paid and administrative expenses | (136 | ) | (146 | ) | (144 | ) | (126 | ) | (134 | ) | (132 | ) | |||||||||||||
Participant contributions | 38 | 37 | 33 | 38 | 36 | 32 | |||||||||||||||||||
Medicare prescription subsidy | 4 | 10 | 8 | 4 | 8 | 7 | |||||||||||||||||||
BENEFIT OBLIGATION AT END OF YEAR | $ | 1,395 | $ | 1,454 | $ | 1,756 | $ | 1,198 | $ | 1,238 | $ | 1,511 | |||||||||||||
CHANGE IN PLAN ASSETS | |||||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 1,047 | $ | 947 | $ | 942 | $ | 922 | $ | 840 | $ | 839 | |||||||||||||
Actual return on plan assets | 153 | 124 | 20 | 134 | 109 | 19 | |||||||||||||||||||
Employer contributions | 9 | 83 | 84 | 9 | 71 | 74 | |||||||||||||||||||
EGWP payments | 8 | - | - | 7 | - | - | |||||||||||||||||||
Participant contributions | 38 | 37 | 33 | 38 | 36 | 32 | |||||||||||||||||||
Benefits paid | (142 | ) | (144 | ) | (132 | ) | (133 | ) | (134 | ) | (124 | ) | |||||||||||||
FAIR VALUE OF PLAN ASSETS AT END OF YEAR | $ | 1,113 | $ | 1,047 | $ | 947 | $ | 977 | $ | 922 | $ | 840 | |||||||||||||
FUNDED STATUS | $ | (282 | ) | $ | (407 | ) | $ | (809 | ) | $ | (221 | ) | $ | (316 | ) | $ | (671 | ) | |||||||
Unrecognized net loss | $ | 70 | $ | 251 | $ | 563 | $ | 54 | $ | 197 | $ | 496 | |||||||||||||
Unrecognized prior service costs | (78 | ) | (105 | ) | (1 | ) | (61 | ) | (84 | ) | (15 | ) | |||||||||||||
Unrecognized net transition liability at January 1, 1993 | - | - | 4 | - | - | 4 | |||||||||||||||||||
Schedule of Actuarial Assumptions | ' | ||||||||||||||||||||||||
The actuarial assumptions were as follows: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Weighted-average assumptions used to determine benefit obligations at December 31: | |||||||||||||||||||||||||
Discount Rate | |||||||||||||||||||||||||
CECONY | 4.5 | % | 3.75 | % | 4.55 | % | |||||||||||||||||||
O&R | 4.75 | % | 4.05 | % | 4.55 | % | |||||||||||||||||||
Weighted-average assumptions used to determine net periodic benefit cost for the years ended December 31: | |||||||||||||||||||||||||
Discount Rate | |||||||||||||||||||||||||
CECONY | 3.75 | % | 4.55 | % | 5.4 | % | |||||||||||||||||||
O&R | 4.05 | % | 4.55 | % | 5.4 | % | |||||||||||||||||||
Expected Return on Plan Assets | 7.75 | % | 8.5 | % | 8.5 | % | |||||||||||||||||||
Schedule of Change of Assumed Health Care Cost Trend Rate | ' | ||||||||||||||||||||||||
A one-percentage point change in the assumed health care cost trend rate would have the following effects at December 31, 2014: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
1-Percentage-Point | |||||||||||||||||||||||||
(Millions of Dollars) | Increase | Decrease | Increase | Decrease | |||||||||||||||||||||
Effect on accumulated other postretirement benefit obligation | $ | (35 | ) | $ | 27 | $ | (53 | ) | $ | 41 | |||||||||||||||
Effect on service cost and interest cost components for 2013 | (2 | ) | 1 | (4 | ) | 3 | |||||||||||||||||||
Schedule of Expected Benefit Payments | ' | ||||||||||||||||||||||||
Based on current assumptions, the Companies expect to make the following benefit payments over the next ten years, net of receipt of governmental subsidies: | |||||||||||||||||||||||||
(Millions of Dollars) | 2014 | 2015 | 2016 | 2017 | 2018 | 2019-2023 | |||||||||||||||||||
BENEFIT PAYMENTS | |||||||||||||||||||||||||
Con Edison | $ | 105 | $ | 105 | $ | 102 | $ | 101 | $ | 99 | $ | 465 | |||||||||||||
CECONY | 94 | 94 | 91 | 89 | 88 | 403 | |||||||||||||||||||
Schedule of Plan Assets Allocations | ' | ||||||||||||||||||||||||
The asset allocations for CECONY’s other postretirement benefit plans at the end of 2013, 2012 and 2011, and the target allocation for 2014 are as follows: | |||||||||||||||||||||||||
Target Allocation Range | Plan Assets at | ||||||||||||||||||||||||
December 31 | |||||||||||||||||||||||||
Asset Category | 2014 | 2013 | 2012 | 2011 | |||||||||||||||||||||
Equity Securities | 57% - 73% | 61 | % | 62 | % | 62% | |||||||||||||||||||
Debt Securities | 26% - 44% | 39 | % | 38 | % | 38% | |||||||||||||||||||
Total | 100% | 100 | % | 100 | % | 100% | |||||||||||||||||||
Schedule of Fair Values of Plan Assets | ' | ||||||||||||||||||||||||
The fair values of the plan assets at December 31, 2013 by asset category (see description of levels in Note E) are as follows: | |||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
Equity(a) | $ | - | $ | 450 | $ | - | $ | 450 | |||||||||||||||||
Other Fixed Income Debt(b) | - | 286 | - | 286 | |||||||||||||||||||||
Cash and Cash Equivalents(c) | - | 7 | - | 7 | |||||||||||||||||||||
Total investments | $ | - | $ | 743 | $ | - | $ | 743 | |||||||||||||||||
Funds for retiree health benefits(d) | 185 | 145 | 42 | 372 | |||||||||||||||||||||
Investments (including funds for retiree health benefits) | $ | 185 | $ | 888 | $ | 42 | $ | 1,115 | |||||||||||||||||
Pending activities(e) | (2 | ) | |||||||||||||||||||||||
Total fair value of plan net assets | $ | 1,113 | |||||||||||||||||||||||
(a) | Equity includes a passively managed commingled index fund benchmarked to the MSCI All Country World Index. | ||||||||||||||||||||||||
(b) | Other Fixed Income Debt includes a passively managed commingled index fund benchmarked to the Barclays Capital Aggregate Index. | ||||||||||||||||||||||||
(c) | Cash and Cash Equivalents include short term investments and money markets. | ||||||||||||||||||||||||
(d) | The Companies set aside funds for retiree health benefits through a separate account within the pension trust, as permitted under Section 401(h) of the Internal Revenue Code of 1986, as amended. In accordance with the Code, the plan’s investments in the 401(h) account may not be used for, or diverted to, any purpose other than providing health benefits for retirees. The net assets held in the 401(h) account are calculated based on a pro-rata percentage allocation of the net assets in the pension plan. The related obligations for health benefits are not included in the pension plan’s obligations and are included in the Companies’ other postretirement benefit obligation. See Note E. | ||||||||||||||||||||||||
(e) | Pending activities include security purchases and sales that have not settled, interest and dividends that have not been received, and reflects adjustments for available estimates at year end. | ||||||||||||||||||||||||
The fair values of the plan assets at December 31, 2012 by asset category (see description of levels in Note E) are as follows: | |||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
U.S. Equity(a) | $ | 127 | $ | 184 | $ | - | $ | 311 | |||||||||||||||||
International Equity(b) | - | 124 | - | 124 | |||||||||||||||||||||
Other Fixed Income(c) | - | 229 | - | 229 | |||||||||||||||||||||
Cash and Cash Equivalents(d) | - | 23 | - | 23 | |||||||||||||||||||||
Total investments | $ | 127 | $ | 560 | $ | - | $ | 687 | |||||||||||||||||
Funds for retiree health benefits(e) | 185 | 137 | 31 | 353 | |||||||||||||||||||||
Investments (including funds for retiree health benefits) | $ | 312 | $ | 697 | $ | 31 | $ | 1,040 | |||||||||||||||||
Pending activities(f) | 7 | ||||||||||||||||||||||||
Total fair value of plan net assets | $ | 1,047 | |||||||||||||||||||||||
(a) | U.S. Equity includes both actively-and passively-managed assets with investments in domestic equity index funds and commingled funds. | ||||||||||||||||||||||||
(b) | International Equity includes commingled international equity funds. | ||||||||||||||||||||||||
(c) | Other Fixed Income includes commingled funds, which are valued at Net Asset Value. | ||||||||||||||||||||||||
(d) | Cash and Cash Equivalents include short term investments and money markets. | ||||||||||||||||||||||||
(e) | The Companies set aside funds for retiree health benefits through a separate account within the pension trust, as permitted under Section 401(h) of the Internal Revenue Code of 1986, as amended. In accordance with the Code, the plan’s investments in the 401(h) account may not be used for, or diverted to, any purpose other than providing health benefits for retirees. The net assets held in the 401(h) account are calculated based on a pro-rata percentage allocation of the net assets in the pension plan. The related obligations for health benefits are not included in the pension plan’s obligations and are included in the Companies’ other postretirement benefit obligation. See Note E. | ||||||||||||||||||||||||
(f) | Pending activities include security purchases and sales that have not settled, interest and dividends that have not been received, and reflects adjustments for available estimates at year end. | ||||||||||||||||||||||||
Reconciliation of Fair Value Balances for Net Assets | ' | ||||||||||||||||||||||||
The table below provides a reconciliation of the beginning and ending net balances for assets at December 31, 2013 classified as Level 3 in the fair value hierarchy. | |||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Assets Still Held | Assets Sold | Purchases | Transfers | Ending | |||||||||||||||||||
Balance as of | at Reporting Date – | During the | Sales and | In/(Out) of | Balance as of | ||||||||||||||||||||
January 1, 2013 | Unrealized | Year – Realized | Settlements | Level 3 | December 31, | ||||||||||||||||||||
Gains/(Losses) | Gains/(Losses) | 2013 | |||||||||||||||||||||||
Total investments | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |||||||||||||
Funds for retiree health benefits | 31 | 3 | - | 8 | - | 42 | |||||||||||||||||||
Investments (including funds for retiree health benefits) | $ | 31 | $ | 3 | $ | - | $ | 8 | $ | - | $ | 42 | |||||||||||||
The table below provides a reconciliation of the beginning and ending net balances for assets at December 31, 2012 classified as Level 3 in the fair value hierarchy. | |||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Assets Still Held | Assets Sold | Purchases | Transfers | Ending | |||||||||||||||||||
Balance as of | at Reporting Date — | During the | Sales and | In/(Out) of | Balance as of | ||||||||||||||||||||
January 1, 2012 | Unrealized | Year — Realized | Settlements | Level 3 | December 31, | ||||||||||||||||||||
Gains/(Losses) | Gains/(Losses) | 2012 | |||||||||||||||||||||||
Total investments | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |||||||||||||
Funds for retiree health benefits | 28 | 2 | - | 4 | (3 | ) | 31 | ||||||||||||||||||
Investments (including funds for retiree health benefits) | $ | 28 | $ | 2 | $ | - | $ | 4 | $ | (3 | ) | $ | 31 | ||||||||||||
Environmental_Matters_Tables
Environmental Matters (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Environmental Remediation Obligations [Abstract] | ' | ||||||||||||||||
Accrued Liabilities and Regulatory Assets | ' | ||||||||||||||||
The accrued liabilities and regulatory assets related to Superfund Sites at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Accrued Liabilities: | |||||||||||||||||
Manufactured gas plant sites | $ | 665 | $ | 462 | $ | 562 | $ | 351 | |||||||||
Other Superfund Sites | 84 | 83 | 82 | 82 | |||||||||||||
Total | $ | 749 | $ | 545 | $ | 644 | $ | 433 | |||||||||
Regulatory assets | $ | 938 | $ | 730 | $ | 830 | $ | 615 | |||||||||
Environmental Remediation Costs | ' | ||||||||||||||||
Environmental remediation costs incurred and insurance recoveries received related to Superfund Sites at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Remediation costs incurred | $ | 41 | $ | 31 | $ | 35 | $ | 26 | |||||||||
Insurance recoveries received* | - | 4 | - | 4 | |||||||||||||
* | Reduced amount deferred for recovery from customers | ||||||||||||||||
Accrued Liability for Asbestos Suits and Workers' Compensation Proceedings | ' | ||||||||||||||||
The accrued liability for asbestos suits and workers’ compensation proceedings (including those related to asbestos exposure) and the amounts deferred as regulatory assets for the Companies at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Accrued liability – asbestos suits | $ | 8 | $ | 10 | $ | 7 | $ | 10 | |||||||||
Regulatory assets – asbestos suits | $ | 8 | $ | 10 | $ | 7 | $ | 10 | |||||||||
Accrued liability – workers’ compensation | $ | 87 | $ | 94 | $ | 82 | $ | 89 | |||||||||
Regulatory assets – workers’ compensation | $ | 12 | $ | 19 | $ | 12 | $ | 19 |
Other_Material_Contingencies_T
Other Material Contingencies (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Commitments And Contingencies Disclosure [Abstract] | ' | ||||||||||||||||
Total Guarantees | ' | ||||||||||||||||
A summary, by type and term, of Con Edison’s total guarantees at December 31, 2013 is as follows: | |||||||||||||||||
Guarantee Type | 0 – 3 | 4 – 10 | > 10 | Total | |||||||||||||
years | years | years | |||||||||||||||
(Millions of Dollars) | |||||||||||||||||
Energy transactions | $ | 753 | $ | 30 | $ | 58 | $ | 841 | |||||||||
Solar energy projects | 445 | 14 | - | 459 | |||||||||||||
Other | 31 | - | - | 31 | |||||||||||||
Total | $ | 1,229 | $ | 44 | $ | 58 | $ | 1,331 |
Electricity_Purchase_Agreement1
Electricity Purchase Agreements (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Regulated Operations [Abstract] | ' | ||||||||||||||||||||||||
Summary of Significant Terms of Electricity Purchase Agreements | ' | ||||||||||||||||||||||||
At December 31, 2013, the significant terms of the electricity purchase agreements were as follows: | |||||||||||||||||||||||||
Facility | Equity Owner | Plant | Contracted | Contract | Contract | ||||||||||||||||||||
Output | Output | Start | Term | ||||||||||||||||||||||
(MW) | (MW) | Date | (Years) | ||||||||||||||||||||||
Indian Point | Entergy Nuclear Power Marketing, LLC | 1,299 | 500 | August 2001 | 16 | ||||||||||||||||||||
Independence | Sithe/Independence Power Partners, LP | 1,254 | 689 | November 1994 | 20 | ||||||||||||||||||||
Linden Cogeneration | Cogen Technologies Linden Venture, LP | 1,035 | 546 | May-92 | 25 | ||||||||||||||||||||
Astoria Energy | Astoria Energy, LLC | 640 | 500 | May-06 | 10 | ||||||||||||||||||||
Selkirk | Selkirk Cogen Partners, LP | 446 | 265 | September 1994 | 20 | ||||||||||||||||||||
Brooklyn Navy Yard | Brooklyn Navy Yard Cogeneration Partners, LP | 322 | 217 | Nov-96 | 40 | ||||||||||||||||||||
Indeck Corinth | Indeck Energy Services of Corinth, Inc. | 147 | 132 | Jul-95 | 20 | ||||||||||||||||||||
Summary of Estimated Capacity and Other Fixed Payments | ' | ||||||||||||||||||||||||
The future capacity and other fixed payments under the contracts are estimated to be as follows: | |||||||||||||||||||||||||
(Millions of | 2014 | 2015 | 2016 | 2017 | 2018 | All Years | |||||||||||||||||||
Dollars) | Thereafter | ||||||||||||||||||||||||
CECONY | $ | 447 | $ | 235 | $ | 169 | $ | 113 | $ | 57 | $ | 875 | |||||||||||||
Summary of Capacity, Energy and Other Fixed Payments | ' | ||||||||||||||||||||||||
The company’s payments under the agreements for capacity, energy and other fixed payments in 2013, 2012, and 2011 were as follows: | |||||||||||||||||||||||||
For the Years Ended | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||||||||||||||
Linden Cogeneration | $ | 346 | $ | 297 | $ | 379 | |||||||||||||||||||
Indian Point | 220 | 204 | 238 | ||||||||||||||||||||||
Selkirk | 215 | 196 | 209 | ||||||||||||||||||||||
Astoria Energy | 183 | 181 | 225 | ||||||||||||||||||||||
Independence | 121 | 127 | 121 | ||||||||||||||||||||||
Brooklyn Navy Yard | 118 | 93 | 123 | ||||||||||||||||||||||
Indeck Corinth | 79 | 66 | 77 | ||||||||||||||||||||||
Total | $ | 1,282 | $ | 1,164 | $ | 1,372 |
Leases_Tables
Leases (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Leases [Abstract] | ' | ||||||||||||||||
Schedule of Capital Leases | ' | ||||||||||||||||
The following assets under capital leases are included in the Companies’ consolidated balance sheets at December 31, 2013 and 2012: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
UTILITY PLANT | |||||||||||||||||
Common | $ | 3 | $ | 3 | $ | 2 | $ | 2 | |||||||||
Future Minimum Lease Commitments | ' | ||||||||||||||||
The future minimum lease commitments for the above assets are as follows: | |||||||||||||||||
(Millions of Dollars) | Con Edison | CECONY | |||||||||||||||
2014 | $ | 1 | $ | 1 | |||||||||||||
2015 | 1 | 1 | |||||||||||||||
2016 | - | - | |||||||||||||||
2017 | - | - | |||||||||||||||
2018 | 1 | 1 | |||||||||||||||
All years thereafter | - | - | |||||||||||||||
Total | 3 | 3 | |||||||||||||||
Less: amount representing interest | (1 | ) | (1 | ) | |||||||||||||
Present value of net minimum lease payment | $ | 2 | $ | 2 | |||||||||||||
Future Minimum Rental Payments for Operating Leases | ' | ||||||||||||||||
The future minimum lease commitments under the Companies’ non-cancelable operating lease agreements are as follows: | |||||||||||||||||
(Millions of Dollars) | Con Edison | CECONY | |||||||||||||||
2014 | $ | 17 | $ | 13 | |||||||||||||
2015 | 17 | 13 | |||||||||||||||
2016 | 16 | 13 | |||||||||||||||
2017 | 16 | 12 | |||||||||||||||
2018 | 15 | 12 | |||||||||||||||
All years thereafter | 90 | 61 | |||||||||||||||
Total | $ | 171 | $ | 124 | |||||||||||||
Schedule of Leveraged Lease Transactions Effect on Consolidated Income Statement | ' | ||||||||||||||||
The effect on Con Edison’s consolidated income statement is as follows: | |||||||||||||||||
(Millions of Dollars) | For the Year Ended | ||||||||||||||||
December 31, 2013 | |||||||||||||||||
Decrease to non-utility operating revenues | ($27) | ||||||||||||||||
Increase to other interest expense | -131 | ||||||||||||||||
Income tax benefit | 63 | ||||||||||||||||
Total decrease in net income | ($95) |
Income_Tax_Tables
Income Tax (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Schedule of Components of Income Tax | ' | ||||||||||||||||||||||||
The components of income tax are as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
State | |||||||||||||||||||||||||
Current | $ | 151 | $ | 29 | $ | 56 | $ | 111 | $ | 53 | $ | 53 | |||||||||||||
Deferred | (70 | ) | 97 | 63 | (14 | ) | 53 | 55 | |||||||||||||||||
Federal | |||||||||||||||||||||||||
Current | 285 | (13 | ) | 53 | 187 | 110 | 43 | ||||||||||||||||||
Deferred | 115 | 493 | 434 | 241 | 318 | 413 | |||||||||||||||||||
Amortization of investment tax credits | (5 | ) | (6 | ) | (6 | ) | (5 | ) | (5 | ) | (6 | ) | |||||||||||||
Total charge to income tax expense | $ | 476 | $ | 600 | $ | 600 | $ | 520 | $ | 529 | $ | 558 | |||||||||||||
Schedule of Differences on Deferred Tax Assets and Liabilities | ' | ||||||||||||||||||||||||
The tax effects of temporary differences, which gave rise to deferred tax assets and liabilities, are as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||
Depreciation | $ | 4,602 | $ | 4,210 | $ | 4,277 | $ | 3,909 | |||||||||||||||||
Regulatory asset – future income tax | 2,294 | 2,061 | 2,165 | 1,962 | |||||||||||||||||||||
State income tax | 1,111 | 1,060 | 1,008 | 897 | |||||||||||||||||||||
Unrecognized pension and other postretirement costs | 1,109 | 2,312 | 1,060 | 2,202 | |||||||||||||||||||||
Pension | 674 | 736 | 667 | 730 | |||||||||||||||||||||
Capitalized overheads | 566 | 565 | 501 | 496 | |||||||||||||||||||||
Unamortized investment tax credits | 43 | 49 | 42 | 47 | |||||||||||||||||||||
Other | 1,048 | 931 | 869 | 528 | |||||||||||||||||||||
Total deferred tax liabilities | 11,447 | 11,924 | 10,589 | 10,771 | |||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||
Unrecognized pension and other postretirement costs | 1,109 | 2,312 | 1,060 | 2,202 | |||||||||||||||||||||
Regulatory liability – future income tax | 126 | 126 | 112 | 117 | |||||||||||||||||||||
State income tax | 555 | 382 | 500 | 357 | |||||||||||||||||||||
Loss carryforwards | 12 | 252 | - | 136 | |||||||||||||||||||||
Loss carryforwards, valuation reserve | (12 | ) | (15 | ) | - | - | |||||||||||||||||||
Other | 1,313 | 791 | 1,185 | 700 | |||||||||||||||||||||
Total deferred tax assets | 3,103 | 3,848 | 2,857 | 3,512 | |||||||||||||||||||||
Net deferred tax liabilities and investment tax credits | $ | 8,344 | $ | 8,076 | $ | 7,732 | $ | 7,259 | |||||||||||||||||
Deferred income taxes and investment tax credits – noncurrent | $ | 8,466 | $ | 8,372 | $ | 7,832 | $ | 7,452 | |||||||||||||||||
Deferred tax assets – current | (122 | ) | (296 | ) | (100 | ) | (193 | ) | |||||||||||||||||
Net deferred tax liabilities and investment tax credits | $ | 8,344 | $ | 8,076 | $ | 7,732 | $ | 7,259 | |||||||||||||||||
Schedule of Income Tax Reconciliation | ' | ||||||||||||||||||||||||
Reconciliation of the difference between income tax expense and the amount computed by applying the prevailing statutory income tax rate to income before income taxes is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(% of Pre-tax income) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
STATUTORY TAX RATE | |||||||||||||||||||||||||
Federal | 35 | % | 35 | % | 35 | % | 35 | % | 35 | % | 35 | % | |||||||||||||
Changes in computed taxes resulting from: | |||||||||||||||||||||||||
State income tax | 4 | 4 | 5 | 5 | 4 | 5 | |||||||||||||||||||
Cost of removal | (5 | ) | (4 | ) | (4 | ) | (5 | ) | (4 | ) | (4 | ) | |||||||||||||
Manufacturing deduction | (1 | ) | - | - | - | - | - | ||||||||||||||||||
Other | (2 | ) | (1 | ) | - | (1 | ) | (1 | ) | - | |||||||||||||||
Effective Tax Rate | 31 | % | 34 | % | 36 | % | 34 | % | 34 | % | 36 | % | |||||||||||||
Summary of Unrecognized Tax Benefits | ' | ||||||||||||||||||||||||
A reconciliation of the beginning and ending amounts of unrecognized tax benefits for Con Edison and CECONY follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Balance at January 1 | $ | 86 | $ | 130 | $ | 93 | $ | 74 | $ | 114 | $ | 79 | |||||||||||||
Additions based on tax positions related to the current year | 5 | 12 | 76 | - | 11 | 74 | |||||||||||||||||||
Additions based on tax positions of prior years | 253 | - | 4 | - | - | 3 | |||||||||||||||||||
Reductions for tax positions of prior years | (86 | ) | (57 | ) | (43 | ) | (74 | ) | (52 | ) | (42 | ) | |||||||||||||
Settlements | (249 | ) | 1 | - | - | 1 | - | ||||||||||||||||||
Balance at December 31 | $ | 9 | $ | 86 | $ | 130 | $ | - | $ | 74 | $ | 114 |
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Stock-Based Compensation Expense | ' | ||||||||||||||||||||||||
The following table summarizes stock-based compensation expense recognized by the Companies in the years ended December 31, 2013, 2012, and 2011: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||||
Performance-based restricted stock | $ | 20 | $ | 14 | $ | 48 | $ | 18 | $ | 13 | $ | 44 | |||||||||||||
Time-based restricted stock | 2 | 1 | 3 | 2 | 1 | 3 | |||||||||||||||||||
Non-employee director deferred stock compensation | 2 | 1 | 1 | 2 | 1 | 1 | |||||||||||||||||||
Total | $ | 24 | $ | 16 | $ | 52 | $ | 22 | $ | 15 | $ | 48 | |||||||||||||
Income Tax Benefit | $ | 10 | $ | 6 | $ | 21 | $ | 9 | $ | 6 | $ | 20 | |||||||||||||
Summary of Status of Stock Options Awarded | ' | ||||||||||||||||||||||||
A summary of changes in the status of stock options awarded as of December 31, 2013 is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Shares | Weighted | Shares | Weighted | ||||||||||||||||||||||
Average | Average | ||||||||||||||||||||||||
Exercise | Exercise | ||||||||||||||||||||||||
Price | Price | ||||||||||||||||||||||||
Outstanding at 12/31/12 | 606,475 | $ | 43.008 | 481,175 | $ | 42.973 | |||||||||||||||||||
Exercised | (123,165 | ) | 41.539 | (98,165 | ) | 41.553 | |||||||||||||||||||
Forfeited | (2,000 | ) | 43.17 | (2,000 | ) | 43.17 | |||||||||||||||||||
Outstanding at 12/31/13 | 481,310 | $ | 43.383 | 381,010 | $ | 43.338 | |||||||||||||||||||
Summary of Stock Options Outstanding | ' | ||||||||||||||||||||||||
The following table summarizes stock options outstanding at December 31, 2013 for each plan year for the Companies: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Plan Year | Remaining | Options | Weighted | Options | Weighted | ||||||||||||||||||||
Contractual | Outstanding/ | Average | Outstanding/ | Average | |||||||||||||||||||||
Life | Exercisable | Exercise | Exercisable | Exercise | |||||||||||||||||||||
Price | Price | ||||||||||||||||||||||||
2006 | 2 | 201,700 | $ | 43.768 | 165,100 | $ | 43.705 | ||||||||||||||||||
2005 | 1 | 150,410 | 42.252 | 122,810 | 42.268 | ||||||||||||||||||||
2004 | <1 | 129,200 | 44.1 | 93,100 | 44.1 | ||||||||||||||||||||
Total | 481,310 | $ | 43.383 | 381,010 | $ | 43.338 | |||||||||||||||||||
Assumptions Used to Calculate Fair Value | ' | ||||||||||||||||||||||||
The following table illustrates the assumptions used to calculate the fair value of the awards: | |||||||||||||||||||||||||
2013 | |||||||||||||||||||||||||
Risk-free interest rate | 0.13% - 5.17% | ||||||||||||||||||||||||
Expected term | 3 years | ||||||||||||||||||||||||
Expected volatility | 13.52% | ||||||||||||||||||||||||
Time Based Awards [Member] | ' | ||||||||||||||||||||||||
Summary of Changes in Status of Time-Based Awards | ' | ||||||||||||||||||||||||
A summary of changes in the status of time-based awards during the year ended December 31, 2013 is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Units | Weighted | Units | Weighted | ||||||||||||||||||||||
Average | Average | ||||||||||||||||||||||||
Grant Date | Grant Date | ||||||||||||||||||||||||
Fair Value | Fair Value | ||||||||||||||||||||||||
Non-vested at 12/31/12 | 65,140 | $ | 51.339 | 61,690 | $ | 51.334 | |||||||||||||||||||
Granted | 25,490 | 60.99 | 24,290 | 60.988 | |||||||||||||||||||||
Vested | (22,538 | ) | 45.432 | (21,438 | ) | 45.478 | |||||||||||||||||||
Forfeited | (1,512 | ) | 56.255 | (1,512 | ) | 56.255 | |||||||||||||||||||
Non-vested at 12/31/13 | 66,580 | $ | 56.921 | 63,030 | $ | 56.928 | |||||||||||||||||||
TSR Portion [Member] | ' | ||||||||||||||||||||||||
Summary of Changes in Status of Performance RSUs' | ' | ||||||||||||||||||||||||
A summary of changes in the status of the Performance RSUs’ TSR portion during the year ended December 31, 2013 is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Units | Weighted | Units | Weighted | ||||||||||||||||||||||
Average | Average | ||||||||||||||||||||||||
Grant | Grant Date | ||||||||||||||||||||||||
Date | Fair Value* | ||||||||||||||||||||||||
Fair Value* | |||||||||||||||||||||||||
Non-vested at 12/31/12 | 618,910 | $ | 44.659 | 502,701 | $ | 44.681 | |||||||||||||||||||
Granted | 231,435 | 55.121 | 174,019 | 55.62 | |||||||||||||||||||||
Vested | (221,695 | ) | 41.34 | (178,549 | ) | 41.34 | |||||||||||||||||||
Forfeited | (67,851 | ) | 52.669 | (49,645 | ) | 52.592 | |||||||||||||||||||
Non-vested at 12/31/13 | 560,799 | $ | 49.319 | 448,526 | $ | 49.377 | |||||||||||||||||||
EIP Portion [Member] | ' | ||||||||||||||||||||||||
Summary of Changes in Status of Performance RSUs' | ' | ||||||||||||||||||||||||
A summary of changes in the status of the Performance RSUs’ EIP portion during the year ended December 31, 2013 is as follows: | |||||||||||||||||||||||||
Con Edison | CECONY | ||||||||||||||||||||||||
Units | Weighted | Units | Weighted | ||||||||||||||||||||||
Average | Average | ||||||||||||||||||||||||
Grant | Grant Date | ||||||||||||||||||||||||
Date | Fair Value* | ||||||||||||||||||||||||
Fair Value* | |||||||||||||||||||||||||
Non-vested at 12/31/12 | 618,910 | $ | 50.738 | 502,701 | $ | 50.783 | |||||||||||||||||||
Granted | 231,435 | 57.829 | 174,019 | 58.188 | |||||||||||||||||||||
Vested | (221,695 | ) | 44.54 | (178,549 | ) | 44.54 | |||||||||||||||||||
Forfeited | (67,851 | ) | 57.359 | (49,645 | ) | 57.322 | |||||||||||||||||||
Non-vested at 12/31/13 | 560,799 | $ | 55.314 | 448,526 | $ | 55.416 | |||||||||||||||||||
* | Fair value is determined using the market price of one share of Con Edison common stock on the grant date. The market price has not been discounted to reflect that dividends do not accrue and are not payable on Performance RSUs until vesting. |
Financial_Information_by_Busin1
Financial Information by Business Segment (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||||||||||||||
Financial Data for Business Segments | ' | ||||||||||||||||||||||||||||||||
The financial data for the business segments are as follows: | |||||||||||||||||||||||||||||||||
As of and for the Year Ended | Operating | Inter-segment | Depreciation | Operating | Interest | Income | Total | Construction | |||||||||||||||||||||||||
December 31, 2013 | revenues | revenues | and | income | charges | tax | assets* | expenditures | |||||||||||||||||||||||||
(Millions of Dollars) | amortization | expense | |||||||||||||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||
Electric | $ | 8,131 | $ | 16 | $ | 749 | $ | 1,595 | $ | 402 | $ | 380 | $ | 27,673 | $ | 1,471 | |||||||||||||||||
Gas | 1,616 | 5 | 130 | 362 | 83 | 112 | 6,008 | 536 | |||||||||||||||||||||||||
Steam | 683 | 82 | 67 | 103 | 36 | 39 | 2,577 | 128 | |||||||||||||||||||||||||
Consolidation adjustments | - | (103 | ) | - | - | - | - | - | - | ||||||||||||||||||||||||
Total CECONY | $ | 10,430 | $ | - | $ | 946 | $ | 2,060 | $ | 521 | $ | 531 | $ | 36,258 | $ | 2,135 | |||||||||||||||||
O&R | |||||||||||||||||||||||||||||||||
Electric | $ | 628 | $ | - | $ | 41 | $ | 87 | $ | 25 | $ | 13 | $ | 1,898 | $ | 98 | |||||||||||||||||
Gas | 205 | - | 15 | 33 | 11 | 7 | 645 | 37 | |||||||||||||||||||||||||
Other* | - | - | - | - | 1 | - | 2 | - | |||||||||||||||||||||||||
Total O&R | $ | 833 | $ | - | $ | 56 | $ | 120 | $ | 37 | $ | 20 | $ | 2,545 | $ | 135 | |||||||||||||||||
Competitive energy businesses | $ | 1,096 | $ | 5 | $ | 23 | $ | 63 | $ | 135 | $ | (41 | ) | $ | 1,314 | $ | 378 | ||||||||||||||||
Other** | (5 | ) | (5 | ) | (1 | ) | 1 | 26 | (6 | ) | 530 | - | |||||||||||||||||||||
Total Con Edison | $ | 12,354 | $ | - | $ | 1,024 | $ | 2,244 | $ | 719 | $ | 504 | $ | 40,647 | $ | 2,648 | |||||||||||||||||
As of and for the Year Ended | Operating | Inter-segment | Depreciation | Operating | Interest | Income | Total | Construction | |||||||||||||||||||||||||
December 31, 2012 | revenues | revenues | and | income | charges | tax | assets* | expenditures | |||||||||||||||||||||||||
(Millions of Dollars) | amortization | expense | |||||||||||||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||
Electric | $ | 8,176 | $ | 15 | $ | 710 | $ | 1,693 | $ | 423 | $ | 393 | $ | 28,339 | $ | 1,375 | |||||||||||||||||
Gas | 1,415 | 5 | 120 | 346 | 82 | 99 | 5,925 | 426 | |||||||||||||||||||||||||
Steam | 596 | 77 | 64 | 54 | 40 | 22 | 2,621 | 108 | |||||||||||||||||||||||||
Consolidation adjustments | - | (97 | ) | - | - | - | - | - | - | ||||||||||||||||||||||||
Total CECONY | $ | 10,187 | $ | - | $ | 894 | $ | 2,093 | $ | 545 | $ | 514 | $ | 36,885 | $ | 1,909 | |||||||||||||||||
O&R | |||||||||||||||||||||||||||||||||
Electric | $ | 592 | $ | - | $ | 38 | $ | 83 | $ | 19 | $ | 17 | $ | 1,960 | $ | 98 | |||||||||||||||||
Gas | 203 | - | 15 | 40 | 10 | 11 | 706 | 39 | |||||||||||||||||||||||||
Other* | - | - | - | - | 2 | - | 5 | - | |||||||||||||||||||||||||
Total O&R | $ | 795 | $ | - | $ | 53 | $ | 123 | $ | 31 | $ | 28 | $ | 2,671 | $ | 137 | |||||||||||||||||
Competitive energy businesses | $ | 1,213 | $ | 8 | $ | 8 | $ | 125 | $ | 1 | $ | 52 | $ | 1,061 | $ | 492 | |||||||||||||||||
Other** | (7 | ) | (8 | ) | - | (2 | ) | 27 | - | 592 | - | ||||||||||||||||||||||
Total Con Edison | $ | 12,188 | $ | - | $ | 955 | $ | 2,339 | $ | 604 | $ | 594 | $ | 41,209 | $ | 2,538 | |||||||||||||||||
As of and for the Year Ended | Operating | Inter-segment | Depreciation | Operating | Interest | Income | Total | Construction | |||||||||||||||||||||||||
December 31, 2011 | revenues | revenues | and | income | charges | tax | assets* | expenditures | |||||||||||||||||||||||||
(Millions of Dollars) | amortization | expense | |||||||||||||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||
Electric | $ | 8,228 | $ | 12 | $ | 656 | $ | 1,695 | $ | 414 | $ | 481 | $ | 27,123 | $ | 1,354 | |||||||||||||||||
Gas | 1,521 | 5 | 110 | 295 | 78 | 43 | 5,518 | 335 | |||||||||||||||||||||||||
Steam | 683 | 79 | 63 | 93 | 42 | 43 | 2,577 | 89 | |||||||||||||||||||||||||
Consolidation adjustments | - | (96 | ) | - | - | - | - | - | - | ||||||||||||||||||||||||
Total CECONY | $ | 10,432 | $ | - | $ | 829 | $ | 2,083 | $ | 534 | $ | 567 | $ | 35,218 | $ | 1,778 | |||||||||||||||||
O&R | |||||||||||||||||||||||||||||||||
Electric | $ | 641 | $ | - | $ | 35 | $ | 81 | $ | 20 | $ | 21 | $ | 1,755 | $ | 79 | |||||||||||||||||
Gas | 214 | - | 13 | 33 | 12 | 9 | 722 | 32 | |||||||||||||||||||||||||
Other* | - | - | - | - | 2 | - | 8 | - | |||||||||||||||||||||||||
Total O&R | $ | 855 | $ | - | $ | 48 | $ | 114 | $ | 34 | $ | 30 | $ | 2,485 | $ | 111 | |||||||||||||||||
Competitive energy businesses | $ | 1,617 | $ | 13 | $ | 7 | $ | 46 | $ | (1 | ) | $ | 20 | $ | 856 | $ | 114 | ||||||||||||||||
Other** | (18 | ) | (13 | ) | - | (4 | ) | 27 | - | 655 | - | ||||||||||||||||||||||
Total Con Edison | $ | 12,886 | $ | - | $ | 884 | $ | 2,239 | $ | 594 | $ | 617 | $ | 39,214 | $ | 2,003 | |||||||||||||||||
* | Includes amounts related to the RECO securitization. | ||||||||||||||||||||||||||||||||
** | Parent company expenses, primarily interest, and consolidation adjustments. Other does not represent a business segment. |
Derivative_Instruments_and_Hed1
Derivative Instruments and Hedging Activities (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||
Fair Values of Commodity Derivatives Including Offsetting of Assets and Liabilities | ' | ||||||||||||||||||||||||||||
The fair values of the Companies’ commodity derivatives including the offsetting of assets and liabilities at December 31, 2013 were: | |||||||||||||||||||||||||||||
(Millions of Dollars) | |||||||||||||||||||||||||||||
Commodity Derivatives | Gross Amounts of | Gross | Net Amounts of | Gross Amounts Not | Net | ||||||||||||||||||||||||
Recognized | Amounts Offset | Assets/(Liabilities) | Offset in the Statement | Amount | |||||||||||||||||||||||||
Assets/(Liabilities) | in the | Presented in the | of Financial Position | ||||||||||||||||||||||||||
Statement of | Statement of | ||||||||||||||||||||||||||||
Financial | Financial Position | ||||||||||||||||||||||||||||
Position | |||||||||||||||||||||||||||||
Financial | Cash | ||||||||||||||||||||||||||||
instruments | collateral | ||||||||||||||||||||||||||||
received | |||||||||||||||||||||||||||||
Con Edison | |||||||||||||||||||||||||||||
Derivative assets | $ | 166 | $ | (101 | ) | $ | 65 | (a) | $ | - | $ | - | $ | 65 | (a) | ||||||||||||||
Derivative liabilities | (113 | ) | 98 | (15 | ) | - | - | (15 | ) | ||||||||||||||||||||
Net derivative assets/(liabilities) | $ | 53 | $ | (3 | ) | $ | 50 | (a) | $ | - | $ | - | $ | 50 | (a) | ||||||||||||||
CECONY | |||||||||||||||||||||||||||||
Derivative assets | $ | 41 | $ | (32 | ) | $ | 9 | (a) | $ | - | $ | - | $ | 9 | (a) | ||||||||||||||
Derivative liabilities | (51 | ) | 37 | (14 | ) | - | - | (14 | ) | ||||||||||||||||||||
Net derivative assets/(liabilities) | $ | (10 | ) | $ | 5 | $ | (5 | )(a) | $ | - | $ | - | $ | (5 | )(a) | ||||||||||||||
(a) | At December 31, 2013, Con Edison and CECONY had margin deposits of $17 million and $16 million, respectively, classified as derivative assets in the balance sheet, but not included in the table. As required by an exchange, a margin is collateral, typically cash, that the holder of a derivative instrument has to deposit in order to transact on an exchange and to cover its potential losses with its broker or the exchange. | ||||||||||||||||||||||||||||
The fair values of the Companies’ commodity derivatives including the offsetting of assets and liabilities at December 31, 2012 were: | |||||||||||||||||||||||||||||
(Millions of Dollars) | |||||||||||||||||||||||||||||
Commodity Derivatives | Gross Amounts of | Gross | Net Amounts of | Gross Amounts Not | Net | ||||||||||||||||||||||||
Recognized | Amounts | Assets/(Liabilities) | Offset in the Statement | Amount | |||||||||||||||||||||||||
Assets/(Liabilities) | Offset in the | Presented in the | of Financial Position | ||||||||||||||||||||||||||
Statement of | Statement of | ||||||||||||||||||||||||||||
Financial | Financial Position | ||||||||||||||||||||||||||||
Position | |||||||||||||||||||||||||||||
Financial | Cash | ||||||||||||||||||||||||||||
instruments | collateral | ||||||||||||||||||||||||||||
received | |||||||||||||||||||||||||||||
Con Edison | |||||||||||||||||||||||||||||
Derivative assets | $ | 86 | $ | (57 | ) | $ | 29 | (a) | $ | - | $ | - | $ | 29 | (a) | ||||||||||||||
Derivative liabilities | (176 | ) | 104 | (72 | ) | - | - | (72 | ) | ||||||||||||||||||||
Net derivative assets/(liabilities) | $ | (90 | ) | $ | 47 | $ | (43 | )(a) | $ | - | $ | - | $ | (43 | )(a) | ||||||||||||||
CECONY | |||||||||||||||||||||||||||||
Derivative assets | $ | 27 | $ | (15 | ) | $ | 12 | (a) | $ | - | $ | - | $ | 12 | (a) | ||||||||||||||
Derivative liabilities | (83 | ) | 44 | (39 | ) | - | - | (39 | ) | ||||||||||||||||||||
Net derivative assets/(liabilities) | $ | (56 | ) | $ | 29 | $ | (27 | )(a) | $ | - | $ | - | $ | (27 | )(a) | ||||||||||||||
(a) | At December 31, 2012, Con Edison and CECONY had margin deposits of $37 million and $18 million, respectively, classified as derivative assets in the balance sheet, but not included in the table. As required by an exchange, a margin is collateral, typically cash, that the holder of a derivative instrument has to deposit in order to transact on an exchange and to cover its potential losses with its broker or the exchange. | ||||||||||||||||||||||||||||
Fair Values of Companies' Commodity Derivatives | ' | ||||||||||||||||||||||||||||
The fair values of the Companies’ commodity derivatives at December 31, 2013 were: | |||||||||||||||||||||||||||||
Fair Value of Commodity Derivatives(a) | |||||||||||||||||||||||||||||
(Millions of Dollars) | Balance Sheet Location | Con Edison | CECONY | ||||||||||||||||||||||||||
Derivative Assets | |||||||||||||||||||||||||||||
Current | Other current assets | $ | 134 | $ | 27 | ||||||||||||||||||||||||
Long-term | Other deferred charges and noncurrent assets | 32 | 14 | ||||||||||||||||||||||||||
Total derivative assets | $ | 166 | $ | 41 | |||||||||||||||||||||||||
Impact of netting | (84 | ) | (16 | ) | |||||||||||||||||||||||||
Net derivative assets | $ | 82 | $ | 25 | |||||||||||||||||||||||||
Derivative Liabilities | |||||||||||||||||||||||||||||
Current | Fair value of derivative liabilities | $ | 82 | $ | 32 | ||||||||||||||||||||||||
Long-term | Fair value of derivative liabilities | 31 | 19 | ||||||||||||||||||||||||||
Total derivative liabilities | $ | 113 | $ | 51 | |||||||||||||||||||||||||
Impact of netting | (98 | ) | (37 | ) | |||||||||||||||||||||||||
Net derivative liabilities | $ | 15 | $ | 14 | |||||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
The fair values of the Companies’ commodity derivatives at December 31, 2012 were: | |||||||||||||||||||||||||||||
Fair Value of Commodity Derivatives(a) | |||||||||||||||||||||||||||||
(Millions of Dollars) | Balance Sheet Location | Con Edison | CECONY | ||||||||||||||||||||||||||
Derivative Assets | |||||||||||||||||||||||||||||
Current | Other current assets | $ | 64 | $ | 18 | ||||||||||||||||||||||||
Long-term | Other deferred charges and noncurrent assets | 22 | 9 | ||||||||||||||||||||||||||
Total derivative assets | $ | 86 | $ | 27 | |||||||||||||||||||||||||
Impact of netting | (20 | ) | 3 | ||||||||||||||||||||||||||
Net derivative assets | $ | 66 | $ | 30 | |||||||||||||||||||||||||
Derivative Liabilities | |||||||||||||||||||||||||||||
Current | Fair value of derivative liabilities | $ | 122 | $ | 58 | ||||||||||||||||||||||||
Long-term | Fair value of derivative liabilities | 54 | 25 | ||||||||||||||||||||||||||
Total derivative liabilities | $ | 176 | $ | 83 | |||||||||||||||||||||||||
Impact of netting | (104 | ) | (44 | ) | |||||||||||||||||||||||||
Net derivative liabilities | $ | 72 | $ | 39 | |||||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
Changes in Fair Values of Commodity Derivatives | ' | ||||||||||||||||||||||||||||
The following table presents the changes in the fair values of commodity derivatives that have been deferred or recognized in earnings for the year ended December 31, 2013: | |||||||||||||||||||||||||||||
Realized and Unrealized Gains/(Losses) on Commodity Derivatives(a) | |||||||||||||||||||||||||||||
Deferred or Recognized in Income for the Year Ended December 31, 2013 | |||||||||||||||||||||||||||||
(Millions of Dollars) | Balance Sheet Location | Con Edison | CECONY | ||||||||||||||||||||||||||
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | |||||||||||||||||||||||||||||
Current | Deferred derivative gains | $ | 14 | $ | 11 | ||||||||||||||||||||||||
Long-term | Deferred derivative gains | - | - | ||||||||||||||||||||||||||
Total deferred gains/(losses) | $ | 14 | $ | 11 | |||||||||||||||||||||||||
Current | Deferred derivative losses | $ | 47 | $ | 38 | ||||||||||||||||||||||||
Current | Recoverable energy costs | (39 | ) | (37 | ) | ||||||||||||||||||||||||
Long-term | Deferred derivative losses | 27 | 13 | ||||||||||||||||||||||||||
Total deferred gains/(losses) | $ | 35 | $ | 14 | |||||||||||||||||||||||||
Net deferred gains/(losses) | $ | 49 | $ | 25 | |||||||||||||||||||||||||
Income Statement Location | |||||||||||||||||||||||||||||
Pre-tax gain/(loss) recognized in income | |||||||||||||||||||||||||||||
Purchased power expense | $ | 90 | (b) | $ | - | ||||||||||||||||||||||||
Gas purchased for resale | (27 | ) | - | ||||||||||||||||||||||||||
Non-utility revenue | 9 | (b) | - | ||||||||||||||||||||||||||
Total pre-tax gain/(loss) recognized in income | $ | 72 | $ | - | |||||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
(b) | For the year ended December 31, 2013, Con Edison recorded in non-utility purchased power expense an unrealized pre-tax gain of $74 million. | ||||||||||||||||||||||||||||
The following table presents the changes in the fair values of commodity derivatives that have been deferred or recognized in earnings for the year ended December 31, 2012: | |||||||||||||||||||||||||||||
Realized and Unrealized Gains/(Losses) on Commodity Derivatives(a) | |||||||||||||||||||||||||||||
Deferred or Recognized in Income for the Year Ended December 31, 2012 | |||||||||||||||||||||||||||||
(Millions of Dollars) | Balance Sheet Location | Con Edison | CECONY | ||||||||||||||||||||||||||
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | |||||||||||||||||||||||||||||
Current | Deferred derivative gains | $ | (1 | ) | $ | (1 | ) | ||||||||||||||||||||||
Long-term | Regulatory liabilities | - | - | ||||||||||||||||||||||||||
Total deferred gains/(losses) | $ | (1 | ) | $ | (1 | ) | |||||||||||||||||||||||
Current | Deferred derivative losses | $ | 95 | $ | 80 | ||||||||||||||||||||||||
Current | Recoverable energy costs | (220 | ) | (192 | ) | ||||||||||||||||||||||||
Long-term | Deferred derivative losses | 17 | 24 | ||||||||||||||||||||||||||
Total deferred gains/(losses) | $ | (108 | ) | $ | (88 | ) | |||||||||||||||||||||||
Net deferred gains/(losses) | $ | (109 | ) | $ | (89 | ) | |||||||||||||||||||||||
Income Statement Location | |||||||||||||||||||||||||||||
Pre-tax gain/(loss) recognized in income | |||||||||||||||||||||||||||||
Purchased power expense | $ | (54 | )(b) | $ | - | ||||||||||||||||||||||||
Gas purchased for resale | (5 | ) | - | ||||||||||||||||||||||||||
Non-utility revenue | (11 | )(b) | - | ||||||||||||||||||||||||||
Total pre-tax gain/(loss) recognized in income | $ | (70 | ) | $ | - | ||||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
(b) | For the year ended December 31, 2012, Con Edison recorded in non-utility operating revenues and purchased power expense an unrealized pre-tax gain/(loss) of $(14) million and $82 million, respectively. | ||||||||||||||||||||||||||||
Number of Derivative Contracts by Commodity Type | ' | ||||||||||||||||||||||||||||
The following table presents the number of contracts by commodity type: | |||||||||||||||||||||||||||||
Electric Derivatives | Gas Derivatives | ||||||||||||||||||||||||||||
Number of | MWHs(b) | Number of | MWs(b) | Number | Dths(b) | Total Number | |||||||||||||||||||||||
Energy | Capacity | of | Of | ||||||||||||||||||||||||||
Contracts(a) | Contracts(a) | Contracts(a) | Contracts(a) | ||||||||||||||||||||||||||
Con Edison | 501 | 16,143,806 | 61 | 6,376 | 554 | 74,672,185 | 1,116 | ||||||||||||||||||||||
CECONY | 75 | 3,075,850 | 4 | 1,200 | 468 | 70,490,000 | 547 | ||||||||||||||||||||||
(a) | Qualifying derivative contracts, which have been designated as normal purchases or normal sales contracts, are not reported at fair value under the accounting rules for derivatives and hedging and, therefore, are excluded from the table. | ||||||||||||||||||||||||||||
(b) | Volumes are reported net of long and short positions. | ||||||||||||||||||||||||||||
Aggregate Fair Value of All Derivative Instruments with Credit-Risk-Related Contingent Features | ' | ||||||||||||||||||||||||||||
The aggregate fair value of all derivative instruments with credit-risk-related contingent features that are in a net liability position and collateral posted at December 31, 2013, and the additional collateral that would have been required to be posted had the lowest applicable credit rating been reduced one level and to below investment grade were: | |||||||||||||||||||||||||||||
(Millions of Dollars) | Con Edison(a) | CECONY(a) | |||||||||||||||||||||||||||
Aggregate fair value – net liabilities | $ | 17 | $ | 14 | |||||||||||||||||||||||||
Collateral posted | $ | - | $ | - | |||||||||||||||||||||||||
Additional collateral(b) (downgrade one level from current ratings) | $ | - | $ | - | |||||||||||||||||||||||||
Additional collateral(b) (downgrade to below investment grade from current ratings) | $ | 11 | (c) | $ | 9 | (c) | |||||||||||||||||||||||
(a) | Non-derivative transactions for the purchase and sale of electricity and gas and qualifying derivative instruments, which have been designated as normal purchases or normal sales, are excluded from the table. These transactions primarily include purchases of electricity from independent system operators. In the event the Utilities and Con Edison’s competitive energy businesses were no longer extended unsecured credit for such purchases, the Companies would be required to post collateral, which at December 31, 2013, would have amounted to an estimated $28 million for Con Edison, including $15 million for CECONY. For certain other such non-derivative transactions, the Companies could be required to post collateral under certain circumstances, including in the event counterparties had reasonable grounds for insecurity. | ||||||||||||||||||||||||||||
(b) | The Companies measure the collateral requirements by taking into consideration the fair value amounts of derivative instruments that contain credit-risk-related contingent features that are in a net liabilities position plus amounts owed to counterparties for settled transactions and amounts required by counterparties for minimum financial security. The fair value amounts represent unrealized losses, net of any unrealized gains where the Companies have a legally enforceable right of setoff. | ||||||||||||||||||||||||||||
(c) | Derivative instruments that are net assets have been excluded from the table. At December 31, 2013, if Con Edison had been downgraded to below investment grade, it would have been required to post additional collateral for such derivative instruments of $41 million, including $1 million for CECONY. |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||||||||||||||||||||||||
Assets and Liabilities Measured at Fair Value on Recurring Basis | ' | ||||||||||||||||||||||||||||||||||||||||
Assets and liabilities measured at fair value on a recurring basis as of December 31, 2013 are summarized below. | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Netting | Total | |||||||||||||||||||||||||||||||||||||
Adjustments(d) | |||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Con | CECONY | Con | CECONY | Con | CECONY | Con | CECONY | Con | CECONY | |||||||||||||||||||||||||||||||
Edison | Edison | Edison | Edison | Edison | |||||||||||||||||||||||||||||||||||||
Derivative assets: | |||||||||||||||||||||||||||||||||||||||||
Commodity(a)(e)(f) | $ | 3 | $ | 3 | $ | 130 | $ | 13 | $ | 11 | $ | 6 | $ | (62 | ) | $ | 3 | $ | 82 | $ | 25 | ||||||||||||||||||||
Other assets(c)(e)(f) | 141 | 134 | 113 | 103 | - | - | - | - | 254 | 237 | |||||||||||||||||||||||||||||||
Total | $ | 144 | $ | 137 | $ | 243 | $ | 116 | $ | 11 | $ | 6 | $ | (62 | ) | $ | 3 | $ | 336 | $ | 262 | ||||||||||||||||||||
Derivative liabilities: | |||||||||||||||||||||||||||||||||||||||||
Commodity(a)(e)(f) | $ | 5 | $ | 5 | $ | 84 | $ | 27 | $ | 2 | $ | - | $ | (76 | ) | $ | (18 | ) | $ | 15 | $ | 14 | |||||||||||||||||||
Interest rate contract(b)(e)(f) | - | - | 2 | - | - | - | - | - | 2 | - | |||||||||||||||||||||||||||||||
Total | $ | 5 | $ | 5 | $ | 86 | $ | 27 | $ | 2 | $ | - | $ | (76 | ) | $ | (18 | ) | $ | 17 | $ | 14 | |||||||||||||||||||
(a) | A portion of the commodity derivatives categorized in Level 3 is valued using an internally developed model with observable inputs. The models also include some less readily observable inputs resulting in the classification of the entire contract as Level 3. See Note O. | ||||||||||||||||||||||||||||||||||||||||
(b) | See Note O. | ||||||||||||||||||||||||||||||||||||||||
(c) | Other assets are comprised of assets such as life insurance contracts within the deferred compensation plan and non-qualified retirement plans. | ||||||||||||||||||||||||||||||||||||||||
(d) | Amounts represent the impact of legally-enforceable master netting agreements that allow the Companies to net gain and loss positions and cash collateral held or placed with the same counterparties. | ||||||||||||||||||||||||||||||||||||||||
(e) | The Companies’ policy is to recognize transfers into and transfers out of the levels at the end of the reporting period. There were no transfers between levels 1, 2, and 3 for the year ended December 31, 2013. | ||||||||||||||||||||||||||||||||||||||||
(f) | Level 2 assets and liabilities include investments held in the deferred compensation plan and/or non-qualified retirement plans, interest rate swap, or exchange-traded contracts where there is insufficient market liquidity to warrant inclusion in Level 1, and certain over-the-counter derivative instruments for electricity and natural gas. Derivative instruments classified as Level 2 are valued using industry standard models that incorporate corroborated observable inputs; such as pricing services or prices from similar instruments that trade in liquid markets, time value, and volatility factors. | ||||||||||||||||||||||||||||||||||||||||
Assets and liabilities measured at fair value on a recurring basis as of December 31, 2012 are summarized below. | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Netting | Total | |||||||||||||||||||||||||||||||||||||
Adjustments(d) | |||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Con | CECONY | Con | CECONY | Con | CECONY | Con | CECONY | Con | CECONY | |||||||||||||||||||||||||||||||
Edison | Edison | Edison | Edison | Edison | |||||||||||||||||||||||||||||||||||||
Derivative assets: | |||||||||||||||||||||||||||||||||||||||||
Commodity(a)(e)(i) | $ | - | $ | - | $ | 43 | $ | 8 | $ | 33 | $ | 10 | $ | (10 | ) | $ | 12 | $ | 66 | $ | 30 | ||||||||||||||||||||
Other assets(c)(e)(f)(i) | 106 | 99 | 107 | 98 | - | - | - | - | 213 | 197 | |||||||||||||||||||||||||||||||
Total | $ | 106 | $ | 99 | $ | 150 | $ | 106 | $ | 33 | $ | 10 | $ | (10 | ) | $ | 12 | $ | 279 | $ | 227 | ||||||||||||||||||||
Derivative liabilities: | |||||||||||||||||||||||||||||||||||||||||
Commodity(a)(e)(h)(i) | $ | 12 | $ | 12 | $ | 116 | $ | 62 | $ | 38 | $ | - | $ | (94 | ) | $ | (35 | ) | $ | 72 | $ | 39 | |||||||||||||||||||
Interest rate contract(b)(e)(g)(i) | - | - | 6 | - | - | - | - | - | 6 | - | |||||||||||||||||||||||||||||||
Total | $ | 12 | $ | 12 | $ | 122 | $ | 62 | $ | 38 | $ | - | $ | (94 | ) | $ | (35 | ) | $ | 78 | $ | 39 | |||||||||||||||||||
(a) | A significant portion of the commodity derivative contracts categorized in Level 3 is valued using either an industry acceptable model or an internally developed model with observable inputs. The models also include some less readily observable inputs resulting in the classification of the entire contract as Level 3. See Note O. | ||||||||||||||||||||||||||||||||||||||||
(b) | See Note O. | ||||||||||||||||||||||||||||||||||||||||
(c) | Other assets are comprised of assets such as life insurance contracts within the deferred compensation plan and non-qualified retirement plans. | ||||||||||||||||||||||||||||||||||||||||
(d) | Amounts represent the impact of legally-enforceable master netting agreements that allow the Companies to net gain and loss positions and cash collateral held or placed with the same counterparties. | ||||||||||||||||||||||||||||||||||||||||
(e) | The Companies’ policy is to recognize transfers into and transfers out of the levels at the end of the reporting period. | ||||||||||||||||||||||||||||||||||||||||
(f) | On March 31, 2012, other assets of $105 million for Con Edison and $95 million for CECONY were transferred from Level 3 to Level 2 because of reassessment of the levels in the fair value hierarchy within which certain inputs fall as of March 31, 2012. | ||||||||||||||||||||||||||||||||||||||||
(g) | On March 31, 2012, interest rate contract of $8 million was transferred from Level 3 to Level 2 because of reassessment of the levels in the fair value hierarchy within which certain inputs fall. | ||||||||||||||||||||||||||||||||||||||||
(h) | During 2012, Con Edison transferred commodity derivative contract liabilities of $2 million from Level 1 to Level 2, $9 million from Level 2 to Level 1, $2 million from Level 2 to Level 3, and $11 million from Level 3 to Level 2 because of reassessment of the levels in the fair value hierarchy within which certain inputs fall. | ||||||||||||||||||||||||||||||||||||||||
(i) | Level 2 assets and liabilities include investments held in the deferred compensation plan and/or non-qualified retirement plans, interest rate swap, or exchange-traded contracts where there is insufficient market liquidity to warrant inclusion in Level 1, and certain over-the-counter derivative instruments for electricity and natural gas. Derivative instruments classified as Level 2 are valued using industry standard models that incorporate corroborated observable inputs; such as pricing services or prices from similar instruments that trade in liquid markets, time value, and volatility factors. | ||||||||||||||||||||||||||||||||||||||||
Schedule of Commodity Derivatives | ' | ||||||||||||||||||||||||||||||||||||||||
The managers of the risk management groups report to the Companies’ Vice President and Treasurer. | |||||||||||||||||||||||||||||||||||||||||
Fair Value of Level 3 at | Valuation | Unobservable Inputs | Range | ||||||||||||||||||||||||||||||||||||||
December 31, 2013 | Techniques | ||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | |||||||||||||||||||||||||||||||||||||||||
Con Edison – Commodity | |||||||||||||||||||||||||||||||||||||||||
Electricity | $ | 0.1 | Discounted Cash Flow | Forward energy prices(a) | $27.75 - $124.75 per MWH | ||||||||||||||||||||||||||||||||||||
Discounted Cash Flow | Forward capacity prices(a) | $9.50 per kW - month | |||||||||||||||||||||||||||||||||||||||
Transmission Congestion Contracts / Financial Transmission Rights | 9 | Discounted Cash Flow | Discount to adjust auction prices for inter-zonal forward price curves(b) | ||||||||||||||||||||||||||||||||||||||
Discount to adjust auction prices for historical monthly realized settlements(b) | (5.8)% - 36.5% | ||||||||||||||||||||||||||||||||||||||||
Inter-zonal forward price curves adjusted for historical zonal losses(b) | |||||||||||||||||||||||||||||||||||||||||
(102.4)% - 49.1% | |||||||||||||||||||||||||||||||||||||||||
$(0.31) - $10.25 | |||||||||||||||||||||||||||||||||||||||||
Total Con Edison—Commodity | $ | 9.1 | |||||||||||||||||||||||||||||||||||||||
CECONY – Commodity | |||||||||||||||||||||||||||||||||||||||||
Transmission Congestion Contracts | $ | 6.5 | Discounted Cash Flow | Discount to adjust auction prices for inter-zonal forward price curves(b) | |||||||||||||||||||||||||||||||||||||
Discount to adjust auction prices for historical monthly realized settlements(b) | (5.8)% - 36.5% | ||||||||||||||||||||||||||||||||||||||||
(102.4)% - 49.1% | |||||||||||||||||||||||||||||||||||||||||
(a) | Generally, increases/(decreases) in this input in isolation would result in a higher/(lower) fair value measurement. | ||||||||||||||||||||||||||||||||||||||||
(b) | Generally, increases/(decreases) in this input in isolation would result in a lower/(higher) fair value measurement. | ||||||||||||||||||||||||||||||||||||||||
Reconciliation of Beginning and Ending Net Balances for Assets and Liabilities Measured at Level 3 Fair Value | ' | ||||||||||||||||||||||||||||||||||||||||
The table listed below provides a reconciliation of the beginning and ending net balances for assets and liabilities measured at fair value for the years ended December 31, 2013 and 2012 and classified as Level 3 in the fair value hierarchy: | |||||||||||||||||||||||||||||||||||||||||
For Year Ended December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Total Gains/(Losses) – | |||||||||||||||||||||||||||||||||||||||||
Realized and Unrealized | |||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Included in | Included in | Purchases | Issuances | Sales | Settlements | Transfer | Ending | ||||||||||||||||||||||||||||||||
Balance as of | Earnings | Regulatory | In/Out of | Balance as of | |||||||||||||||||||||||||||||||||||||
January 1, 2013 | Assets and | Level 3 | December 31, 2013 | ||||||||||||||||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||||||||||||
Con Edison | |||||||||||||||||||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||||||||||||||
Commodity | $ | (5 | ) | $ | 7 | $ | 18 | $ | 17 | $ | - | $ | - | $ | (28 | ) | $ | - | $ | 9 | |||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||||||||||||||
Commodity | $ | 10 | $ | 7 | $ | (1 | ) | $ | 13 | $ | - | $ | - | $ | (23 | ) | $ | - | $ | 6 | |||||||||||||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||
Total Gains/(Losses) – | |||||||||||||||||||||||||||||||||||||||||
Realized and Unrealized | |||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Beginning | Included in | Included in | Purchases | Issuances | Sales | Settlements | Transfer | Ending | ||||||||||||||||||||||||||||||||
Balance as of | Earnings | Regulatory | In/Out of | Balance as of | |||||||||||||||||||||||||||||||||||||
January 1, 2012 | Assets and | Level 3 | December 31, 2012 | ||||||||||||||||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||||||||||||
Con Edison | |||||||||||||||||||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||||||||||||||
Commodity | $ | (62 | ) | $ | (112 | ) | $ | 16 | $ | 22 | $ | - | $ | - | $ | 122 | $ | 9 | $ | (5 | ) | ||||||||||||||||||||
Interest rate contract | (8 | ) | (1 | ) | - | - | - | - | 1 | 8 | (b) | - | |||||||||||||||||||||||||||||
Other assets(a) | 99 | 3 | 3 | - | - | - | - | (105 | )(b) | - | |||||||||||||||||||||||||||||||
Total | $ | 29 | $ | (110 | ) | $ | 19 | $ | 22 | $ | - | $ | - | $ | 123 | $ | (88 | ) | $ | (5 | ) | ||||||||||||||||||||
CECONY | |||||||||||||||||||||||||||||||||||||||||
Derivatives: | |||||||||||||||||||||||||||||||||||||||||
Commodity | $ | (7 | ) | $ | (32 | ) | $ | 8 | $ | 18 | $ | - | $ | - | $ | 14 | $ | 9 | $ | 10 | |||||||||||||||||||||
Other assets(a) | 90 | 3 | 2 | - | - | - | - | (95 | )(b) | - | |||||||||||||||||||||||||||||||
Total | $ | 83 | $ | (29 | ) | $ | 10 | $ | 18 | $ | - | $ | - | $ | 14 | $ | (86 | ) | $ | 10 | |||||||||||||||||||||
(a) | Amounts included in earnings are reported in investment and other income on the consolidated income statement. | ||||||||||||||||||||||||||||||||||||||||
(b) | Other assets and interest rate contract were transferred as of March 31, 2012. |
Asset_Retirement_Obligations_T
Asset Retirement Obligations (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Asset Retirement Obligation Disclosure [Abstract] | ' | ||||||||||||||||
Accrued Liability for Asset Retirement Obligations and Regulatory Liabilities | ' | ||||||||||||||||
The accrued liability for asset retirement obligations and the regulatory liabilities for allowance for cost of removal less salvage for the Companies at December 31, 2013 and 2012 were as follows: | |||||||||||||||||
Con Edison | CECONY | ||||||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Accrued liability – asset retirement obligations | $ | 143 | $ | 159 | $ | 143 | $ | 158 | |||||||||
Regulatory liabilities – allowance for cost of removal less salvage | $ | 540 | $ | 503 | $ | 453 | $ | 420 |
Related_Party_Transactions_Tab
Related Party Transactions (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Related Party Transactions [Abstract] | ' | ||||||||||||
Summary of Costs of Administrative and Other Services Provided and Received | ' | ||||||||||||
The costs of administrative and other services provided by CECONY to, and received by it from, Con Edison and its other subsidiaries for the years ended December 31, 2013, 2012, and 2011 were as follows: | |||||||||||||
CECONY | |||||||||||||
(Millions of Dollars) | 2013 | 2012 | 2011 | ||||||||||
Cost of services provided | $ | 84 | $ | 83 | $ | 79 | |||||||
Cost of services received | $ | 52 | $ | 49 | $ | 48 |
Consolidated_Statement_of_Capi2
Consolidated Statement of Capitalization - Long term Debt (Detail) (USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
TOTAL DEBENTURES | $9,310 | $9,310 | ||
TOTAL TRANSITION BONDS | 22 | 25 | ||
TOTAL TAX-EXEMPT DEBT | 1,130 | 1,130 | ||
Other long-term debt | 532 | 319 | ||
Unamortized debt discount | -20 | -16 | ||
TOTAL | 10,974 | 10,768 | ||
Less: long-term debt due within one year | 485 | 706 | ||
TOTAL LONG-TERM DEBT | 10,489 | 10,062 | ||
TOTAL CAPITALIZATION | 22,734 | 21,931 | ||
CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
TOTAL DEBENTURES | 8,775 | 8,775 | ||
TOTAL TAX-EXEMPT DEBT | 1,086 | [1] | 1,086 | [1] |
Unamortized debt discount | -20 | [1] | -16 | [1] |
TOTAL | 9,841 | [1] | 9,845 | [1] |
Less: long-term debt due within one year | 475 | [1] | 700 | [1] |
TOTAL LONG-TERM DEBT | 9,366 | [1] | 9,145 | [1] |
TOTAL CAPITALIZATION | 20,213 | [1] | 19,697 | [1] |
Debenture Series 2002B, 4.875% Due 2013 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | ' | 500 | ||
Interest Rate | 4.88% | ' | ||
Maturity Date | '2013 | ' | ||
Debenture Series 2002B, 4.875% Due 2013 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | ' | 500 | ||
Interest Rate | 4.88% | ' | ||
Maturity Date | '2013 | ' | ||
Debenture Series 2003B, 3.85% Due 2013 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | ' | 200 | ||
Interest Rate | 3.85% | ' | ||
Maturity Date | '2013 | ' | ||
Debenture Series 2003B, 3.85% Due 2013 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | ' | 200 | ||
Interest Rate | 3.85% | ' | ||
Maturity Date | '2013 | ' | ||
Debenture Series 2004A, 4.70% Due 2014 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 200 | 200 | ||
Interest Rate | 4.70% | ' | ||
Maturity Date | '2014 | ' | ||
Debenture Series 2004A, 4.70% Due 2014 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 200 | 200 | ||
Interest Rate | 4.70% | ' | ||
Maturity Date | '2014 | ' | ||
Debenture Series 2009A, 5.55% Due 2014 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 275 | 275 | ||
Interest Rate | 5.55% | ' | ||
Maturity Date | '2014 | ' | ||
Debenture Series 2009A, 5.55% Due 2014 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 275 | 275 | ||
Interest Rate | 5.55% | ' | ||
Maturity Date | '2014 | ' | ||
Debenture Series 2005A, 5.30% Due 2015 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 40 | 40 | ||
Interest Rate | 5.30% | ' | ||
Maturity Date | '2015 | ' | ||
Debenture Series 2005C, 5.375% Due 2015 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 350 | 350 | ||
Interest Rate | 5.38% | ' | ||
Maturity Date | '2015 | ' | ||
Debenture Series 2005C, 5.375% Due 2015 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 350 | 350 | ||
Interest Rate | 5.38% | ' | ||
Maturity Date | '2015 | ' | ||
Debenture Series 2010A, 2.50% Due 2015 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 55 | 55 | ||
Interest Rate | 2.50% | ' | ||
Maturity Date | '2015 | ' | ||
Debenture Series 2006A, 5.45% Due 2016 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 75 | 75 | ||
Interest Rate | 5.45% | ' | ||
Maturity Date | '2016 | ' | ||
Debenture Series 2006C, 5.50% Due 2016 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 400 | 400 | ||
Interest Rate | 5.50% | ' | ||
Maturity Date | '2016 | ' | ||
Debenture Series 2006C, 5.50% Due 2016 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 400 | 400 | ||
Interest Rate | 5.50% | ' | ||
Maturity Date | '2016 | ' | ||
Debenture Series 2006D, 5.30% Due 2016 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 250 | 250 | ||
Interest Rate | 5.30% | ' | ||
Maturity Date | '2016 | ' | ||
Debenture Series 2006D, 5.30% Due 2016 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 250 | 250 | ||
Interest Rate | 5.30% | ' | ||
Maturity Date | '2016 | ' | ||
Debenture Series 2008A, 5.85% Due 2018 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 600 | 600 | ||
Interest Rate | 5.85% | ' | ||
Maturity Date | '2018 | ' | ||
Debenture Series 2008A, 5.85% Due 2018 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 600 | 600 | ||
Interest Rate | 5.85% | ' | ||
Maturity Date | '2018 | ' | ||
Debenture Series 2008A, 6.15% Due 2018 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 50 | 50 | ||
Interest Rate | 6.15% | ' | ||
Maturity Date | '2018 | ' | ||
Debenture Series 2008C, 7.125% Due 2018 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 600 | 600 | ||
Interest Rate | 7.13% | ' | ||
Maturity Date | '2018 | ' | ||
Debenture Series 2008C, 7.125% Due 2018 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 600 | 600 | ||
Interest Rate | 7.13% | ' | ||
Maturity Date | '2018 | ' | ||
Debenture Series 2009A, 4.96% Due 2019 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 60 | 60 | ||
Interest Rate | 4.96% | ' | ||
Maturity Date | '2019 | ' | ||
Debenture Series 2009B, 6.65% Due 2019 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 475 | 475 | ||
Interest Rate | 6.65% | ' | ||
Maturity Date | '2019 | ' | ||
Debenture Series 2009B, 6.65% Due 2019 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 475 | 475 | ||
Interest Rate | 6.65% | ' | ||
Maturity Date | '2019 | ' | ||
Debenture Series 2010A, 4.45% Due 2020 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 350 | 350 | ||
Interest Rate | 4.45% | ' | ||
Maturity Date | '2020 | ' | ||
Debenture Series 2010A, 4.45% Due 2020 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 350 | 350 | ||
Interest Rate | 4.45% | ' | ||
Maturity Date | '2020 | ' | ||
Debenture Series 1997F, 6.50% Due 2027 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 80 | 80 | ||
Interest Rate | 6.50% | ' | ||
Maturity Date | '2027 | ' | ||
Debenture Series 2003A, 5.875% Due 2033 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 175 | 175 | ||
Interest Rate | 5.88% | ' | ||
Maturity Date | '2033 | ' | ||
Debenture Series 2003A, 5.875% Due 2033 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 175 | 175 | ||
Interest Rate | 5.88% | ' | ||
Maturity Date | '2033 | ' | ||
Debenture Series 2003C, 5.10% Due 2033 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 200 | 200 | ||
Interest Rate | 5.10% | ' | ||
Maturity Date | '2033 | ' | ||
Debenture Series 2003C, 5.10% Due 2033 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 200 | 200 | ||
Interest Rate | 5.10% | ' | ||
Maturity Date | '2033 | ' | ||
Debenture Series 2004B, 5.70% Due 2034 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 200 | 200 | ||
Interest Rate | 5.70% | ' | ||
Maturity Date | '2034 | ' | ||
Debenture Series 2004B, 5.70% Due 2034 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 200 | 200 | ||
Interest Rate | 5.70% | ' | ||
Maturity Date | '2034 | ' | ||
Debenture Series 2005A, 5.30% Due 2035 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 350 | 350 | ||
Interest Rate | 5.30% | ' | ||
Maturity Date | '2035 | ' | ||
Debenture Series 2005A, 5.30% Due 2035 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 350 | 350 | ||
Interest Rate | 5.30% | ' | ||
Maturity Date | '2035 | ' | ||
Debenture Series 2005B, 5.25% Due 2035 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 125 | 125 | ||
Interest Rate | 5.25% | ' | ||
Maturity Date | '2035 | ' | ||
Debenture Series 2005B, 5.25% Due 2035 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 125 | 125 | ||
Interest Rate | 5.25% | ' | ||
Maturity Date | '2035 | ' | ||
Debenture Series 2006A, 5.85% Due 2036 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 400 | 400 | ||
Interest Rate | 5.85% | ' | ||
Maturity Date | '2036 | ' | ||
Debenture Series 2006A, 5.85% Due 2036 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 400 | 400 | ||
Interest Rate | 5.85% | ' | ||
Maturity Date | '2036 | ' | ||
Debenture Series 2006B, 6.20% Due 2036 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 400 | 400 | ||
Interest Rate | 6.20% | ' | ||
Maturity Date | '2036 | ' | ||
Debenture Series 2006B, 6.20% Due 2036 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 400 | 400 | ||
Interest Rate | 6.20% | ' | ||
Maturity Date | '2036 | ' | ||
Debenture Series 2006E, 5.70% Due 2036 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 250 | 250 | ||
Interest Rate | 5.70% | ' | ||
Maturity Date | '2036 | ' | ||
Debenture Series 2006E, 5.70% Due 2036 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 250 | 250 | ||
Interest Rate | 5.70% | ' | ||
Maturity Date | '2036 | ' | ||
Debenture Series 2007A, 6.30% Due 2037 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 525 | 525 | ||
Interest Rate | 6.30% | ' | ||
Maturity Date | '2037 | ' | ||
Debenture Series 2007A, 6.30% Due 2037 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 525 | 525 | ||
Interest Rate | 6.30% | ' | ||
Maturity Date | '2037 | ' | ||
Debenture Series 2008B, 6.75% Due 2038 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 600 | 600 | ||
Interest Rate | 6.75% | ' | ||
Maturity Date | '2038 | ' | ||
Debenture Series 2008B, 6.75% Due 2038 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 600 | 600 | ||
Interest Rate | 6.75% | ' | ||
Maturity Date | '2038 | ' | ||
Debenture Series 2009B, 6.00% Due 2039 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 60 | 60 | ||
Interest Rate | 6.00% | ' | ||
Maturity Date | '2039 | ' | ||
Debenture Series 2009C, 5.50% Due 2039 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 600 | 600 | ||
Interest Rate | 5.50% | ' | ||
Maturity Date | '2039 | ' | ||
Debenture Series 2009C, 5.50% Due 2039 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 600 | 600 | ||
Interest Rate | 5.50% | ' | ||
Maturity Date | '2039 | ' | ||
Debenture Series 2010B, 5.70% Due 2040 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 350 | 350 | ||
Interest Rate | 5.70% | ' | ||
Maturity Date | '2040 | ' | ||
Debenture Series 2010B, 5.70% Due 2040 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 350 | 350 | ||
Interest Rate | 5.70% | ' | ||
Maturity Date | '2040 | ' | ||
Debenture Series 2010B, 5.50% Due 2040 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 115 | 115 | ||
Interest Rate | 5.50% | ' | ||
Maturity Date | '2040 | ' | ||
Debenture Series 2012A, 4.20% Due 2042 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 400 | 400 | ||
Interest Rate | 4.20% | ' | ||
Maturity Date | '2042 | ' | ||
Debenture Series 2012A, 4.20% Due 2042 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 400 | 400 | ||
Interest Rate | 4.20% | ' | ||
Maturity Date | '2042 | ' | ||
Debenture Series Two Thousand Thirteena Three Point Nine Five Percent Due Two Thousand Forty Three [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 700 | ' | ||
Interest Rate | 3.95% | ' | ||
Maturity Date | '2043 | ' | ||
Debenture Series Two Thousand Thirteena Three Point Nine Five Percent Due Two Thousand Forty Three [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 700 | ' | ||
Interest Rate | 3.95% | ' | ||
Maturity Date | '2043 | ' | ||
Debenture Series 2004-1, 5.22% Due 2019 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 22 | [2] | 25 | [2] |
Interest Rate | 5.22% | [2] | ' | |
Maturity Date | '2019 | [2] | ' | |
Debenture Series 1995, 0.11% Due 2015 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 44 | [1] | 44 | [1] |
Interest Rate | 0.11% | [1] | ' | |
Maturity Date | '2015 | [1] | ' | |
Tax Exempt Debt Series 2004B-1, 0.11% Due 2032 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 127 | [1] | 127 | [1] |
Interest Rate | 0.11% | [1] | ' | |
Maturity Date | '2032 | [1] | ' | |
Tax Exempt Debt Series 2004B-1, 0.11% Due 2032 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 127 | [1] | 127 | [1] |
Interest Rate | 0.11% | [1] | ' | |
Maturity Date | '2032 | [1] | ' | |
Tax-Exempt Debt Series 1999A, 0.10% Due 2034 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 293 | [1] | 293 | [1] |
Interest Rate | 0.10% | [1] | ' | |
Maturity Date | '2034 | [1] | ' | |
Tax-Exempt Debt Series 1999A, 0.10% Due 2034 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 293 | [1] | 293 | [1] |
Interest Rate | 0.10% | [1] | ' | |
Maturity Date | '2034 | [1] | ' | |
Tax Exempt Debt Series 2004B-2, 0.11% Due 2035 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 20 | [1] | 20 | [1] |
Interest Rate | 0.11% | [1] | ' | |
Maturity Date | '2035 | [1] | ' | |
Tax Exempt Debt Series 2004B-2, 0.11% Due 2035 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 20 | [1] | 20 | [1] |
Interest Rate | 0.11% | [1] | ' | |
Maturity Date | '2035 | [1] | ' | |
Tax-Exempt Debt Series 2001B, 0.09% Due 2036 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 98 | [1] | 98 | [1] |
Interest Rate | 0.09% | [1] | ' | |
Maturity Date | '2036 | [1] | ' | |
Tax-Exempt Debt Series 2001B, 0.09% Due 2036 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 98 | [1] | 98 | [1] |
Interest Rate | 0.09% | [1] | ' | |
Maturity Date | '2036 | [1] | ' | |
Tax-Exempt Debt Series 2010A, 0.05% Due 2036 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 225 | [1] | 225 | [1] |
Interest Rate | 0.05% | [1] | ' | |
Maturity Date | '2036 | [1] | ' | |
Tax-Exempt Debt Series 2010A, 0.05% Due 2036 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 225 | [1] | 225 | [1] |
Interest Rate | 0.05% | [1] | ' | |
Maturity Date | '2036 | [1] | ' | |
Tax-Exempt Debt Series 2004A, 0.09% Due 2039 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 98 | [1] | 98 | [1] |
Interest Rate | 0.09% | [1] | ' | |
Maturity Date | '2039 | [1] | ' | |
Tax-Exempt Debt Series 2004A, 0.09% Due 2039 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 98 | [1] | 98 | [1] |
Interest Rate | 0.09% | [1] | ' | |
Maturity Date | '2039 | [1] | ' | |
Tax-Exempt Debt Series 2004C, 0.05% Due 2039 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 99 | 99 | ||
Interest Rate | 0.05% | [1] | ' | |
Maturity Date | '2039 | [1] | ' | |
Tax-Exempt Debt Series 2004C, 0.05% Due 2039 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 99 | [1] | 99 | [1] |
Interest Rate | 0.05% | [1] | ' | |
Maturity Date | '2039 | [1] | ' | |
Tax-Exempt Debt Series 2005A, 0.04% Due 2039 [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | 126 | 126 | ||
Interest Rate | 0.04% | [1] | ' | |
Maturity Date | '2039 | [1] | ' | |
Tax-Exempt Debt Series 2005A, 0.04% Due 2039 [Member] | CECONY [Member] | ' | ' | ||
Schedule of Capitalization, Long-term Debt [Line Items] | ' | ' | ||
Debt Instrument, Fair Value | $126 | [1] | $126 | [1] |
Interest Rate | 0.04% | [1] | ' | |
Maturity Date | '2039 | [1] | ' | |
[1] | Rates are to be reset weekly or by auction held every 35 days; December 31, 2013 rates shown. | |||
[2] | The final date to pay the entire remaining unpaid principal balance, if any, of all outstanding bonds is May 17, 2021. |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Y | |||
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Annual aggregate depreciation allowance | $948 | ' | ' |
Impairment charges | 0 | 0 | 0 |
Investment gains and losses recognized, time period, years | 15 | ' | ' |
Other actuarial gains and losses recognized, time period, years | 10 | ' | ' |
Difference between fair value and expected Market Related Value of plan assets | 20.00% | ' | ' |
Minimum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '3 years | ' | ' |
Maximum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '30 years | ' | ' |
CECONY [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
AFDC rates | 4.00% | 6.50% | 6.90% |
Average depreciation rate | 3.20% | 3.10% | 3.10% |
Annual aggregate depreciation allowance | $897 | ' | ' |
CECONY [Member] | Electric [Member] | Minimum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '5 years | ' | ' |
CECONY [Member] | Electric [Member] | Maximum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '80 years | ' | ' |
CECONY [Member] | Gas [Member] | Minimum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '5 years | ' | ' |
CECONY [Member] | Gas [Member] | Maximum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '85 years | ' | ' |
CECONY [Member] | Steam [Member] | Minimum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '5 years | ' | ' |
CECONY [Member] | Steam [Member] | Maximum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '70 years | ' | ' |
CECONY [Member] | General [Member] | Minimum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '5 years | ' | ' |
CECONY [Member] | General [Member] | Maximum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '50 years | ' | ' |
O&R [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
AFDC rates | 5.70% | 7.00% | 6.60% |
Average depreciation rate | 2.80% | 2.90% | 2.80% |
O&R [Member] | Electric [Member] | Minimum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '5 years | ' | ' |
O&R [Member] | Electric [Member] | Maximum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '75 years | ' | ' |
O&R [Member] | Gas [Member] | Minimum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '5 years | ' | ' |
O&R [Member] | Gas [Member] | Maximum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '75 years | ' | ' |
O&R [Member] | General [Member] | Minimum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '5 years | ' | ' |
O&R [Member] | General [Member] | Maximum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives,(years) | '50 years | ' | ' |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies - Capitalized Cost of Utility Plant (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
General | $2,336 | $2,302 |
Held for future use | 73 | 73 |
Construction work in progress | 1,393 | 1,027 |
Net Utility Plant | 27,795 | 26,301 |
Electric [Member] | ' | ' |
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
Generation | 452 | 434 |
Electric [Member] | ' | ' |
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
Transmission | 2,776 | 2,698 |
Electric Distribution [Member] | ' | ' |
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
Distribution | 15,277 | 14,658 |
Gas [Member] | ' | ' |
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
Gas | 4,469 | 4,170 |
Steam [Member] | ' | ' |
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
Steam | 1,790 | 1,674 |
General [Member] | ' | ' |
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
General | 1,565 | 1,567 |
CECONY [Member] | ' | ' |
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
General | 2,154 | 2,126 |
Held for future use | 62 | 62 |
Construction work in progress | 1,303 | 947 |
Net Utility Plant | 26,146 | 24,739 |
CECONY [Member] | Electric [Member] | ' | ' |
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
Generation | 452 | 434 |
CECONY [Member] | Electric [Member] | ' | ' |
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
Transmission | 2,597 | 2,518 |
CECONY [Member] | Electric Distribution [Member] | ' | ' |
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
Distribution | 14,496 | 13,930 |
CECONY [Member] | Gas [Member] | ' | ' |
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
Gas | 4,013 | 3,735 |
CECONY [Member] | Steam [Member] | ' | ' |
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
Steam | 1,790 | 1,674 |
CECONY [Member] | General [Member] | ' | ' |
Public Utility, Property, Plant and Equipment [Line Items] | ' | ' |
General | $1,433 | $1,439 |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies - Research and Development Costs (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Accounting Policies [Line Items] | ' | ' | ' |
Research and Development Costs | $18 | $21 | $23 |
CECONY [Member] | ' | ' | ' |
Accounting Policies [Line Items] | ' | ' | ' |
Research and Development Costs | $16 | $19 | $21 |
Summary_of_Significant_Account6
Summary of Significant Accounting Policies - Earnings Per Common Share (Detail) (USD $) | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Earnings Per Share [Abstract] | ' | ' | ' |
Net income for common stock | $1,062 | $1,138 | $1,051 |
Weighted average common shares outstanding - Basic | 292.9 | 292.9 | 292.6 |
Add: Incremental shares attributable to effect of potentially dilutive securities | 1.5 | 1.6 | 1.8 |
Adjusted weighted average common shares outstanding - Diluted | 294.4 | 294.5 | 294.4 |
Net income for common stock per common share - basic | $3.62 | $3.88 | $3.59 |
Net income for common stock per common share - diluted | $3.61 | $3.86 | $3.57 |
Summary_of_Significant_Account7
Summary of Significant Accounting Policies - Changes in Accumulated Other Comprehensive Income by Component (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Accumulated OCI, net of taxes | ($53) | ' | ' |
OCI before reclassifications, net of tax of $15 and $1 for Con Edison and CECONY, respectively | 21 | ' | ' |
Amounts reclassified from accumulated OCI related to pension plan liabilities, net of tax of $5 and $1 for Con Edison and CECONY, respectively | 7 | ' | ' |
TOTAL OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAXES | 28 | 5 | -18 |
Accumulated OCI, net of taxes | -25 | -53 | ' |
CECONY [Member] | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Accumulated OCI, net of taxes | -9 | ' | ' |
OCI before reclassifications, net of tax of $15 and $1 for Con Edison and CECONY, respectively | 2 | ' | ' |
Amounts reclassified from accumulated OCI related to pension plan liabilities, net of tax of $5 and $1 for Con Edison and CECONY, respectively | 1 | ' | ' |
TOTAL OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAXES | 3 | -1 | -2 |
Accumulated OCI, net of taxes | ($6) | ($9) | ' |
Summary_of_Significant_Account8
Summary of Significant Accounting Policies - Changes in Accumulated Other Comprehensive Income by Component (Parenthetical) (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' |
OCI before reclassifications, Tax | $15 |
Amounts reclassified from accumulated OCI related to pension plan liabilities, Tax | 5 |
CECONY [Member] | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' |
OCI before reclassifications, Tax | 1 |
Amounts reclassified from accumulated OCI related to pension plan liabilities, Tax | $1 |
Regulatory_Matters_Cecony_Elec
Regulatory Matters - Cecony - Electric - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Earnings sharing threshold limit | $17.50 | ' | ' |
Deferred net regulatory assets | 126 | 126 | ' |
Deferred net regulatory liability | 2,294 | 2,061 | ' |
Increase in current liabilities | 9 | ' | ' |
Regulatory liability | 40 | ' | ' |
Deferred costs amortization period | '3 years | ' | ' |
February 2014 [Member] | Minimum [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Difference in property taxes | 10.00% | ' | ' |
February 2014 [Member] | Maximum [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Difference in property taxes | 90.00% | ' | ' |
CECONY-Electric [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Maximum impact on return on common equity and deferral of facility relocation expenses | 'Not more than a 10 basis point | ' | ' |
Deferred net regulatory assets | 42 | 140 | ' |
Deferred net regulatory liability | ' | ' | 39 |
Deferred revenues | 34 | 59 | 90 |
Potential operations penalties | 152 | ' | ' |
System reliability penalty | 0 | 0 | 5 |
Expected recovery of charges in 2014 | 20 | ' | ' |
CECONY-Electric [Member] | 50% of earnings [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Percentage of revenue allocated to customers | 50.00% | ' | ' |
Percentage of revenue requirement earnings | 9.80% | ' | ' |
CECONY-Electric [Member] | Minimum [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Difference in property taxes | 20.00% | ' | ' |
CECONY-Electric [Member] | Maximum [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Difference in property taxes | 80.00% | ' | ' |
CECONY-Electric [Member] | T&D [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Capital expenditures | 2,300 | ' | ' |
CECONY-Electric [Member] | Other [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Capital expenditures | 402 | ' | ' |
CECONY-Electric [Member] | November 2009 Joint Proposal [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Weighted average cost of capital | 7.76% | ' | ' |
Return on common equity | 10.15% | ' | ' |
Long-term debt cost | 5.65% | ' | ' |
Common equity ratio | 48.00% | ' | ' |
CECONY-Electric [Member] | Sale of transmission rights [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Accrued revenues | 27 | 45 | 26 |
Revenues difference between actual and rate year, recoverable from customers | 120 | ' | ' |
Decrease in annual revenue | 120 | ' | ' |
CECONY-Electric [Member] | February 2014 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Return on common equity | 9.20% | ' | ' |
Common equity ratio | 48.00% | ' | ' |
Maximum impact on return on common equity and deferral of facility relocation expenses | 'Not more than a 10 basis point | ' | ' |
Decrease in annual revenue | 21 | ' | ' |
Revenue requirement | 21 | ' | ' |
Percent of incremental costs charge against the reserve | 98.00% | ' | ' |
Potential operations penalties | 176 | ' | ' |
CECONY-Electric [Member] | December 2014 [Member] | February 2014 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Weighted average cost of capital | 7.05% | ' | ' |
Capital expenditures | 1,487 | ' | ' |
Decrease in annual revenue | 76 | ' | ' |
Cost of long-term debt, percentage | 5.17% | ' | ' |
Average base rate | 17,323 | ' | ' |
CECONY-Electric [Member] | December 2014 [Member] | February 2014 [Member] | Storm Hardening [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Capital expenditures | 180 | ' | ' |
CECONY-Electric [Member] | December 2015 [Member] | February 2014 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Weighted average cost of capital | 7.08% | ' | ' |
Capital expenditures | 1,708 | ' | ' |
Increase in annual revenues | 124 | ' | ' |
Regulatory liability | 30 | ' | ' |
Cost of long-term debt, percentage | 5.23% | ' | ' |
Average base rate | 18,113 | ' | ' |
CECONY-Electric [Member] | December 2015 [Member] | February 2014 [Member] | Storm Hardening [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Capital expenditures | 278 | ' | ' |
CECONY-Electric [Member] | December 2014 and 2015 [Member] | February 2014 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Revenue requirement | 107 | ' | ' |
CECONY-Electric [Member] | February 2010 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Potential refund from customers | 249 | ' | ' |
Increase in current liabilities | 36 | ' | ' |
CECONY-Electric [Member] | April 2010 [Member] | November 2009 Joint Proposal [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Electric base rate increase | 420 | ' | ' |
CECONY-Electric [Member] | April 2011 [Member] | November 2009 Joint Proposal [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Electric base rate increase | 420 | ' | ' |
CECONY-Electric [Member] | April 2012 [Member] | November 2009 Joint Proposal [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Electric base rate increase | 287 | ' | ' |
CECONY-Electric [Member] | March 2013 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Surcharge collected from customers | 134 | ' | ' |
Deferred regulatory liabilities | 7 | ' | ' |
CECONY-Electric [Member] | March 2013 [Member] | 50% of earnings [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Percentage of revenue requirement earnings | 10.65% | ' | ' |
CECONY-Electric [Member] | March 2013 [Member] | T&D [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Deferred regulatory liabilities | 15,414 | ' | ' |
CECONY-Electric [Member] | March 2013 [Member] | Other [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Deferred regulatory liabilities | 1,650 | ' | ' |
CECONY-Electric [Member] | March 2013 [Member] | ERP [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Deferred regulatory liabilities | 115 | ' | ' |
CECONY-Electric [Member] | March 2013 [Member] | November 2009 Joint Proposal [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Surcharge collected from customers | 134 | ' | ' |
Operations and maintenance expenses | 13 | ' | ' |
Average base rate | 16,826 | ' | ' |
CECONY-Electric [Member] | March 2011 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Deferred regulatory liabilities | 8 | ' | ' |
CECONY-Electric [Member] | March 2011 [Member] | 50% of earnings [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Percentage of revenue requirement earnings | 11.15% | ' | ' |
CECONY-Electric [Member] | March 2011 [Member] | T&D [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Deferred regulatory liabilities | 13,818 | ' | ' |
Capital expenditures | 1,200 | ' | ' |
CECONY-Electric [Member] | March 2011 [Member] | Other [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Deferred regulatory liabilities | 1,487 | ' | ' |
Capital expenditures | 220 | ' | ' |
CECONY-Electric [Member] | March 2011 [Member] | ERP [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Capital expenditures | 125 | ' | ' |
CECONY-Electric [Member] | March 2011 [Member] | November 2009 Joint Proposal [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Operations and maintenance expenses | 27 | ' | ' |
Average base rate | 14,887 | ' | ' |
CECONY-Electric [Member] | March 2012 [Member] | 50% of earnings [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Percentage of revenue requirement earnings | 10.65% | ' | ' |
CECONY-Electric [Member] | March 2012 [Member] | T&D [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Deferred regulatory liabilities | 14,742 | ' | ' |
CECONY-Electric [Member] | March 2012 [Member] | Other [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Deferred regulatory liabilities | 1,565 | ' | ' |
CECONY-Electric [Member] | March 2012 [Member] | ERP [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Deferred regulatory liabilities | 25 | ' | ' |
CECONY-Electric [Member] | March 2012 [Member] | November 2009 Joint Proposal [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Operations and maintenance expenses | 20 | ' | ' |
Average base rate | $15,987 | ' | ' |
Regulatory_Matters_Schedule_of
Regulatory Matters - Schedule of Regulatory Liability Revenue Requirement Impact (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
December 2014 [Member] | T&D [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | $16,869 |
December 2014 [Member] | Storm Hardening [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 89 |
December 2014 [Member] | Storm Hardening [Member] | CECONY-Gas [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 3 |
December 2014 [Member] | Other [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 2,034 |
December 2014 [Member] | Gas Delivery [Member] | CECONY-Gas [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 3,899 |
December 2014 [Member] | Production [Member] | CECONY-Steam [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 1,752 |
December 2014 [Member] | Distribution [Member] | CECONY-Steam [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 6 |
December 2015 [Member] | T&D [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 17,401 |
December 2015 [Member] | Storm Hardening [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 177 |
December 2015 [Member] | Storm Hardening [Member] | CECONY-Gas [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 8 |
December 2015 [Member] | Other [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 2,102 |
December 2015 [Member] | Gas Delivery [Member] | CECONY-Gas [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 4,258 |
December 2015 [Member] | Production [Member] | CECONY-Steam [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 1,732 |
December 2015 [Member] | Distribution [Member] | CECONY-Steam [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 11 |
December 2016 [Member] | Storm Hardening [Member] | CECONY-Gas [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 30 |
December 2016 [Member] | Gas Delivery [Member] | CECONY-Gas [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 4,698 |
December 2016 [Member] | Production [Member] | CECONY-Steam [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 1,720 |
December 2016 [Member] | Distribution [Member] | CECONY-Steam [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 25 |
September 2011 [Member] | Production [Member] | CECONY-Steam [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 415 |
September 2011 [Member] | Distribution [Member] | CECONY-Steam [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 521 |
September 2012 [Member] | Production [Member] | CECONY-Steam [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 426 |
September 2012 [Member] | Distribution [Member] | CECONY-Steam [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 534 |
September 2013 [Member] | Production [Member] | CECONY-Steam [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 433 |
September 2013 [Member] | Distribution [Member] | CECONY-Steam [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 543 |
March 2011 [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 8 |
March 2011 [Member] | T&D [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 13,818 |
March 2011 [Member] | Other [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 1,487 |
March 2012 [Member] | T&D [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 14,742 |
March 2012 [Member] | Other [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 1,565 |
March 2012 [Member] | ERP [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 25 |
March 2013 [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 7 |
March 2013 [Member] | T&D [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 15,414 |
March 2013 [Member] | Other [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | 1,650 |
March 2013 [Member] | ERP [Member] | CECONY-Electric [Member] | ' |
Regulatory Assets [Line Items] | ' |
Regulatory liability of revenue requirement impact, amounts reflected in rates | $115 |
Regulatory_Matters_Orange_and_
Regulatory Matters - Orange and Rockland Utilities, Inc. - Electric - Additional Information (Detail) (USD $) | 12 Months Ended | ||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2009 | |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Potential operational penalties | $1,389,000,000 | ' | ' | ' | ' |
Regulatory asset | 7,201,000,000 | 9,705,000,000 | ' | ' | ' |
O&R-Electric [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Recognition of deferred expenses | 4,100,000 | ' | ' | ' | ' |
Regulatory asset | 1,100,000 | ' | ' | ' | ' |
Potential operational penalties | 3,000,000 | ' | ' | ' | ' |
O&R-Electric [Member] | Maximum [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Common equity ratio | 50.00% | ' | ' | ' | ' |
O&R-Electric [Member] | July 2008 [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Annual return on common equity | 9.40% | ' | 9.40% | ' | ' |
Actual earnings on equity, percentage | 10.20% | ' | ' | ' | ' |
Average common equity ratio, subject to a 50 percent maximum | 50.00% | ' | ' | ' | ' |
Recognition of deferred expenses | 0 | 0 | 300,000 | ' | 3,000,000 |
Recognition of deferred revenue | ' | ' | ' | 700,000 | ' |
Company deferred revenue | ' | ' | 7,000,000 | 12,000,000 | 8,000,000 |
Annual inflation rate | ' | ' | 4.00% | ' | ' |
Potential negative earnings adjustments | 3,000,000 | ' | ' | ' | ' |
Reduction in company revenue | ' | ' | ' | 1,000,000 | ' |
Accrued revenue | ' | ' | 3,300,000 | 5,100,000 | 12,500,000 |
O&R-Electric [Member] | May 2010 [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Electric base rate increase | 9,800,000 | ' | ' | ' | ' |
Annual return on common equity | 10.30% | ' | ' | ' | ' |
Common equity ratio | 50.00% | ' | ' | ' | ' |
O&R-Electric [Member] | November 2013 [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Electric base rate increase | 19,300,000 | ' | ' | ' | ' |
Annual return on common equity | 10.25% | ' | ' | ' | ' |
Common equity ratio | 52.20% | ' | ' | ' | ' |
Recovery cost | 25,400,000 | ' | ' | ' | ' |
O&R-Electric [Member] | July 2011[Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Electric base rate increase | 26,600,000 | ' | ' | ' | ' |
Annual return on common equity | 9.20% | ' | ' | ' | ' |
Weighted average cost of capital | 7.22% | ' | ' | ' | ' |
Austerity measures | 825,000 | ' | ' | ' | ' |
Cost of long-term debt, percentage | 5.50% | ' | ' | ' | ' |
Common equity ratio | 48.00% | ' | ' | ' | ' |
Average net utility plant rates | 718,000,000 | ' | ' | ' | ' |
Potential operational penalties | 3,000,000 | ' | ' | ' | ' |
O&R-Electric [Member] | July 2008 [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Electric base rate increase | 15,600,000 | ' | ' | ' | ' |
O&R-Electric [Member] | July 2009 [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Electric base rate increase | 15,600,000 | ' | ' | ' | ' |
O&R-Electric [Member] | July 2010 [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Electric base rate increase | 5,700,000 | ' | ' | ' | ' |
Collection of additional electric cost | 9,900,000 | ' | ' | ' | ' |
O&R-Electric [Member] | July 2012 [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Electric base rate increase | 19,400,000 | ' | ' | ' | ' |
Increase rate | 15,200,000 | ' | ' | ' | ' |
O&R-Electric [Member] | July 2013 [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Electric base rate increase | 8,800,000 | ' | ' | ' | ' |
Increase rate | 15,200,000 | ' | ' | ' | ' |
O&R-Electric [Member] | July 2014 [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Electric base rate increase | 15,200,000 | ' | ' | ' | ' |
Increase rate | 13,100,000 | ' | ' | ' | ' |
Surcharge payment | 2,100,000 | ' | ' | ' | ' |
O&R-Electric [Member] | June 30, 2013 [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Annual return on common equity | 9.40% | ' | ' | ' | ' |
Weighted average cost of capital | 7.61% | ' | ' | ' | ' |
Common equity ratio | 48.00% | ' | ' | ' | ' |
Average net utility plant rates | 678,000,000 | ' | ' | ' | ' |
Cost of long-term debt | 6.07% | ' | ' | ' | ' |
Average base rate | 671,000,000 | ' | ' | ' | ' |
Percentage of revenue allocated to customers | 50.00% | ' | ' | ' | ' |
Common equity basis points | '80 | ' | ' | ' | ' |
O&R-Electric [Member] | June 30, 2014 [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Annual return on common equity | 9.50% | ' | ' | ' | ' |
Weighted average cost of capital | 7.65% | ' | ' | ' | ' |
Common equity ratio | 48.00% | ' | ' | ' | ' |
Average net utility plant rates | 704,000,000 | ' | ' | ' | ' |
Cost of long-term debt | 6.07% | ' | ' | ' | ' |
Average base rate | 708,000,000 | ' | ' | ' | ' |
Percentage of revenue allocated to customers | 75.00% | ' | ' | ' | ' |
Common equity basis points | '180 | ' | ' | ' | ' |
O&R-Electric [Member] | June 30, 2015 [Member] | ' | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' |
Annual return on common equity | 9.60% | ' | ' | ' | ' |
Weighted average cost of capital | 7.48% | ' | ' | ' | ' |
Common equity ratio | 48.00% | ' | ' | ' | ' |
Average net utility plant rates | 753,000,000 | ' | ' | ' | ' |
Cost of long-term debt | 5.64% | ' | ' | ' | ' |
Average base rate | $759,000,000 | ' | ' | ' | ' |
Percentage of revenue allocated to customers | 90.00% | ' | ' | ' | ' |
Common equity basis points | '280 | ' | ' | ' | ' |
Regulatory_Matters_Cecony_Gas_
Regulatory Matters - Cecony - Gas - Additional Information (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
In Millions, unless otherwise specified | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | CECONY-Gas [Member] | ||
Scenario, Forecast [Member] | Scenario, Forecast [Member] | Scenario, Forecast [Member] | Maximum [Member] | Maximum [Member] | Minimum [Member] | September 2010 [Member] | Gas Distribution Revenues [Member] | Gas Distribution Revenues [Member] | Gas Distribution Revenues [Member] | 25 Percent [Member] | 15 Percent [Member] | May 2010 [Member] | February 2014 [Member] | February 2014 [Member] | February 2014 [Member] | October 2010 [Member] | October 2011 [Member] | October 2012 [Member] | September 2011 [Member] | September 2012 [Member] | September 2013 [Member] | December 2014 [Member] | December 2014 [Member] | December 2015 [Member] | December 2015 [Member] | December 2016 [Member] | December 2016 [Member] | December 31, 2016[Member] | ||||||
50% of earnings [Member] | Maximum [Member] | Minimum [Member] | Storm Hardening [Member] | Storm Hardening [Member] | Storm Hardening [Member] | |||||||||||||||||||||||||||||
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gas base rate increase | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $47.10 | $47.90 | $46.70 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average cost of capital, percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7.46% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7.10% | ' | 7.13% | ' | 7.21% | ' | ' |
Return on common equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9.60% | ' | ' | ' | ' | ' | ' | 9.30% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reductions in costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6 | 4 | 2 | ' | ' | ' | ' | ' | ' | ' |
Cost of long-term debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.57% | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.17% | ' | 5.23% | ' | 5.39% | ' | ' |
Common equity ratio | ' | ' | 48.00% | ' | ' | ' | ' | ' | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' | 48.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Average base rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,027 | 3,245 | 3,434 | 3,521 | ' | 3,863 | ' | 4,236 | ' | ' |
Deferred regulatory liabilities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,934 | 3,148 | 3,346 | ' | ' | ' | ' | ' | ' | ' |
Deferred net regulatory liabilities | 2,294 | 2,061 | 26 | ' | 0.3 | ' | ' | ' | ' | ' | ' | ' | 36 | 22 | 20 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 2.9 | 9.5 | ' | ' | ' | ' | ' | ' | 32 |
Percentage of revenue requirement earnings | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9.90% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10.35% | 10.15% | 10.15% | ' | ' | ' | ' | ' | ' | ' |
Common equity basis points | ' | ' | '10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred regulatory asset | 126 | 126 | ' | 38 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Difference in property taxes | ' | ' | ' | ' | ' | ' | ' | ' | 80.00% | ' | 20.00% | ' | ' | ' | ' | ' | ' | ' | ' | 90.00% | 10.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of revenues retained | ' | ' | 64 | 57 | 70 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 58 | 65 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of revenue reserve | ' | ' | 25.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accrual of regulatory asset | ' | ' | 33 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of difference between targeted and least revenue reserve | ' | ' | 80.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Potential operational penalties | ' | ' | 12.6 | ' | ' | 56 | 44 | 33 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Potential refund from customers | ' | ' | 32 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Decrease in annual revenue | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 55 | ' | ' | ' | ' | ' | ' |
Increase in annual revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 39 | ' | 57 | ' | ' |
Capital expenditures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 524 | 5 | 586 | 36 | 627 | 57 | ' |
Accrued revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $65 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Regulatory_Matters_Orange_and_1
Regulatory Matters - Orange and Rockland Utilities, Inc. - Gas - Additional Information (Detail) (O&R-Gas [Member], USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' |
Return on common equity | 10.40% | ' | ' | ' |
Recognition of deferred expenses | $8.30 | $0.70 | $2.90 | $3.10 |
Deferred revenues | ' | ' | ' | 1.5 |
Deferred expenses | ' | 0.7 | 1 | ' |
Deferred revenues/expenses | 0 | ' | ' | ' |
Annual inflation rate | 4.00% | ' | ' | ' |
Accrued revenue | 0.7 | 4.7 | 2.8 | 0.8 |
Minimum [Member] | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' |
Return on common equity | 11.40% | ' | ' | ' |
Maximum [Member] | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' |
Average common equity ratio, subject to a 50 percent maximum | 50.00% | ' | ' | ' |
Annual negative earnings adjustments | 1.4 | ' | ' | ' |
October 2010 [Member] | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' |
Increase rate | 9 | ' | ' | ' |
October 2011 [Member] | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' |
Increase rate | 9 | ' | ' | ' |
October 2012 [Member] | ' | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' | ' |
Increase rate | 4.6 | ' | ' | ' |
Surcharge payment | $4.30 | ' | ' | ' |
Regulatory_Matters_Cecony_Stea
Regulatory Matters - Cecony - Steam - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Regulatory liability | $40 | ' | ' |
CECONY-Steam [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Deferred net regulatory liabilities | 0 | 0.2 | 0.3 |
Potential refund from customers | 6 | ' | ' |
Annual negative earnings adjustments | 0.5 | ' | ' |
Potential operational penalties | 1 | ' | ' |
CECONY-Steam [Member] | September 2011 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Reduction of cost | 4.5 | ' | ' |
Average base rate | 1,589 | ' | ' |
CECONY-Steam [Member] | September 2012 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Reduction of cost | 3 | ' | ' |
Average base rate | 1,603 | ' | ' |
CECONY-Steam [Member] | September 2013 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Surcharge collected from customers | 31.7 | ' | ' |
Reduction of cost | 1.5 | ' | ' |
Average base rate | 1,613 | ' | ' |
CECONY-Steam [Member] | December 2014 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Average base rate | 1,511 | ' | ' |
Capital expenditures | 82 | ' | ' |
CECONY-Steam [Member] | December 2014 [Member] | February 2014 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Decrease in annual revenue | 22 | ' | ' |
CECONY-Steam [Member] | December 2014 [Member] | Storm Hardening [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Capital expenditures | 27 | ' | ' |
CECONY-Steam [Member] | December 2015 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Average base rate | 1,547 | ' | ' |
Capital expenditures | 94 | ' | ' |
CECONY-Steam [Member] | December 2015 [Member] | February 2014 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Increase in annual revenues | 20 | ' | ' |
CECONY-Steam [Member] | December 2015 [Member] | Storm Hardening [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Capital expenditures | 31 | ' | ' |
CECONY-Steam [Member] | December 2016 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Average base rate | 1,604 | ' | ' |
Capital expenditures | 98 | ' | ' |
CECONY-Steam [Member] | December 2016 [Member] | February 2014 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Increase in annual revenues | 20 | ' | ' |
Regulatory liability | 8 | ' | ' |
CECONY-Steam [Member] | December 2016 [Member] | Storm Hardening [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Capital expenditures | 35 | ' | ' |
CECONY-Steam [Member] | October 2010 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Increase rate | 49.5 | ' | ' |
CECONY-Steam [Member] | October 2011 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Increase rate | 49.5 | ' | ' |
CECONY-Steam [Member] | October 2012 [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Increase rate | $17.80 | ' | ' |
Regulatory_Matters_Other_Regul
Regulatory Matters - Other Regulatory Matters - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Revenues from electric | ' | $249 | ' |
Revenues from gas | ' | 32 | ' |
Revenues from steam service | ' | 6 | ' |
Potential refund to customers | ' | 1,389 | ' |
Overcharges of construction expenditures | 208 | 208 | ' |
Regulatory liability | 40 | 40 | ' |
Company recovered from related parties | 16 | 16 | ' |
Amount recovered for the benefit of customers | 15 | ' | ' |
Additional refundable amounts applicable to customers | 25 | ' | ' |
Regulatory asset | 7,230 | 7,230 | 9,779 |
Regulatory liabilities | 148 | 148 | 183 |
CECONY [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Response and restoration costs | ' | 483 | ' |
Capital expenditures | ' | 147 | ' |
Regulatory asset | 6,665 | 6,665 | 9,032 |
Regulatory liabilities | 107 | 107 | 145 |
O&R [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Response and restoration costs | ' | 91 | ' |
Capital expenditures | ' | 15 | ' |
Storm Damage [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Number of customers interrupted electric distribution service | ' | 1,400,000 | ' |
Storm Costs [Member] | Rockland Electric Company [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Regulatory asset | 27 | 27 | ' |
Net Unbilled Revenue Deferrals [Member] | ' | ' | ' |
Public Utilities, General Disclosures [Line Items] | ' | ' | ' |
Regulatory liabilities | $133 | $133 | ' |
Regulatory_Matters_Regulatory_
Regulatory Matters - Regulatory Assets and Liabilities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Regulatory assets | ' | ' |
Regulatory assets - long-term | $7,201 | $9,705 |
Regulatory assets - current | 29 | 74 |
Total Regulatory Assets | 7,230 | 9,779 |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 1,728 | 1,202 |
Regulatory liabilities - current | 148 | 183 |
Total Regulatory Liabilities | 1,876 | 1,385 |
Unrecognized Pension and Other Postretirement Costs [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 2,730 | 5,677 |
Future Income Tax [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 2,145 | 1,922 |
Environmental Remediation Costs [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 938 | 730 |
Deferred Storm Costs [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 441 | 432 |
Pension and Other Postretirement Benefits Deferrals [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 237 | 183 |
Revenue Taxes [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 207 | 176 |
Net Electric Deferrals [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 83 | 102 |
Surcharge for New York State Assessment [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 78 | 73 |
Unamortized Loss on Reacquired Debt [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 65 | 74 |
O&R Transition Bond Charges [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 33 | 39 |
Preferred Stock Redemption [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 28 | 29 |
Property Tax Reconciliation [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 22 | 16 |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 322 | 187 |
Workers' Compensation [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 12 | 19 |
Deferred Derivative Losses - Long-Term [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 8 | 40 |
Other [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 174 | 193 |
Deferred Derivative Losses - Current [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - current | 25 | 69 |
Recoverable Energy Costs - Current [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - current | 4 | 5 |
Allowance for Cost Removal Less Salvage [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 540 | 503 |
Net Unbilled Revenue Deferrals [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 133 | 136 |
Regulatory liabilities - current | 133 | ' |
Property Tax Refunds [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 130 | 7 |
Long-Term Interest Rate Reconciliation [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 105 | 62 |
Carrying Charges On Repair Allowance And Bonus Depreciation [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 88 | 11 |
World Trade Center Settlement Proceeds [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 62 | 62 |
Other Postretirement Benefit Deferrals [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 50 | ' |
Expenditure Prudence Proceeding [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 40 | 14 |
Carrying Charges on Transmission and Distribution Net Plant [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 28 | 31 |
Electric Excess Earnings [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 22 | ' |
Other [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 208 | 189 |
Refundable Energy Costs - Current [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - current | 100 | 82 |
Revenue Decoupling Mechanism [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - current | 34 | 72 |
Deferred Derivative Gains - Current [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - current | 14 | ' |
Electric Surcharge Offset [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - current | ' | 29 |
CECONY [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 6,639 | 8,972 |
Regulatory assets - current | 26 | 60 |
Total Regulatory Assets | 6,665 | 9,032 |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 1,598 | 1,077 |
Regulatory liabilities - current | 107 | 145 |
Total Regulatory Liabilities | 1,705 | 1,222 |
CECONY [Member] | Unrecognized Pension and Other Postretirement Costs [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 2,610 | 5,407 |
CECONY [Member] | Future Income Tax [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 2,030 | 1,831 |
CECONY [Member] | Environmental Remediation Costs [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 830 | 615 |
CECONY [Member] | Deferred Storm Costs [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 334 | 309 |
CECONY [Member] | Pension and Other Postretirement Benefits Deferrals [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 211 | 154 |
CECONY [Member] | Revenue Taxes [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 196 | 170 |
CECONY [Member] | Net Electric Deferrals [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 83 | 102 |
CECONY [Member] | Surcharge for New York State Assessment [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 74 | 68 |
CECONY [Member] | Unamortized Loss on Reacquired Debt [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 62 | 70 |
CECONY [Member] | Preferred Stock Redemption [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 28 | 29 |
CECONY [Member] | Property Tax Reconciliation [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 322 | 187 |
CECONY [Member] | Workers' Compensation [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 12 | 19 |
CECONY [Member] | Deferred Derivative Losses - Long-Term [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 7 | 20 |
CECONY [Member] | Other [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - long-term | 162 | 178 |
CECONY [Member] | Deferred Derivative Losses - Current [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - current | 22 | 60 |
CECONY [Member] | Recoverable Energy Costs - Current [Member] | ' | ' |
Regulatory assets | ' | ' |
Regulatory assets - current | 4 | ' |
CECONY [Member] | Allowance for Cost Removal Less Salvage [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 453 | 420 |
CECONY [Member] | Net Unbilled Revenue Deferrals [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 133 | 136 |
CECONY [Member] | Property Tax Refunds [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 130 | 6 |
CECONY [Member] | Long-Term Interest Rate Reconciliation [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 105 | 62 |
CECONY [Member] | Carrying Charges On Repair Allowance And Bonus Depreciation [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 87 | 10 |
CECONY [Member] | World Trade Center Settlement Proceeds [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 62 | 62 |
CECONY [Member] | Other Postretirement Benefit Deferrals [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 50 | ' |
CECONY [Member] | Expenditure Prudence Proceeding [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 40 | 14 |
CECONY [Member] | Carrying Charges on Transmission and Distribution Net Plant [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 20 | 13 |
CECONY [Member] | Electric Excess Earnings [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 18 | ' |
CECONY [Member] | Other [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - long-term | 178 | 167 |
CECONY [Member] | Refundable Energy Costs - Current [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - current | 66 | 48 |
CECONY [Member] | Revenue Decoupling Mechanism [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - current | 30 | 68 |
CECONY [Member] | Deferred Derivative Gains - Current [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - current | 11 | ' |
CECONY [Member] | Electric Surcharge Offset [Member] | ' | ' |
Regulatory liabilities | ' | ' |
Regulatory liabilities - current | ' | $29 |
Capitalization_Additional_Info
Capitalization - Additional Information (Detail) (USD $) | 12 Months Ended | 12 Months Ended | 12 Months Ended | ||||||||||||||||||||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Oct. 31, 2011 | Dec. 31, 2013 | Oct. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | 31-May-12 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | ||
Y | Level 2 [Member] | Level 3 [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | Transition Bonds, Issued in 2004 [Member] | Transition Bonds, Issued in 2004 [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | Con Edison [Member] | Con Edison [Member] | ||||
Level 2 [Member] | Level 3 [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | Minimum [Member] | Maximum [Member] | ||||||||||||||||
Schedule of Capitalization [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Common stock shares, outstanding | 21,976,200 | 21,976,200 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Outstanding shares of Cumulative Preferred Stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5 | ' | ' | ' | ' | ' | ' | ' | ' | ||
Cumulative Preferred Stock, par value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $100 | ' | ' | ' | ' | ' | ' | ' | ' | ||
Percentage limitation for income available for dividends | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Rolling average calculation of income available for dividends, years | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Tax-exempt debt issued, value | $494 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Long-term debt, fair value | 12,082 | 12,935 | 11,446 | 636 | ' | ' | ' | ' | ' | ' | 10,797 | 11,751 | ' | 10,161 | 636 | ' | ' | ' | ' | ' | ' | ||
Long-term debt | 10,974 | 10,768 | ' | ' | ' | ' | ' | ' | 22 | 25 | 9,841 | [1] | 9,845 | [1] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument, covenant description | 'Con Edison's ratio of consolidated debt to consolidated capital to exceed 0.675 to 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Covenant principal balance amount limit | $100 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $150 | ' | $100 | ' | ' | ' | ||
Ratio of consolidated debt to consolidated capital | ' | ' | ' | ' | 0.5 | 0.65 | 1 | 1 | ' | ' | ' | ' | ' | ' | ' | 0.5 | 0.65 | 1 | 1 | 0.675 | 1 | ||
[1] | Rates are to be reset weekly or by auction held every 35 days; December 31, 2013 rates shown. |
Capitalization_Schedule_of_Lon
Capitalization - Schedule of Long-Term Debt Maturities (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Debt Instrument [Line Items] | ' |
2014 | $485 |
2015 | 500 |
2016 | 736 |
2017 | 12 |
2018 | 1,266 |
CECONY [Member] | ' |
Debt Instrument [Line Items] | ' |
2014 | 475 |
2015 | 350 |
2016 | 650 |
2017 | ' |
2018 | $1,200 |
Capitalization_Carrying_Amount
Capitalization - Carrying Amounts and Fair Values of Long-Term Debt (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Millions, unless otherwise specified | ||||
Debt Instrument [Line Items] | ' | ' | ||
Carrying Amount | $10,974 | $10,768 | ||
Fair Value | 12,082 | 12,935 | ||
CECONY [Member] | ' | ' | ||
Debt Instrument [Line Items] | ' | ' | ||
Carrying Amount | 9,841 | [1] | 9,845 | [1] |
Fair Value | $10,797 | $11,751 | ||
[1] | Rates are to be reset weekly or by auction held every 35 days; December 31, 2013 rates shown. |
ShortTerm_Borrowing_Additional
Short-Term Borrowing - Additional Information (Detail) (USD $) | 12 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Oct. 31, 2011 | Dec. 31, 2013 | Oct. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2011 | |
October 2016 [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | Letters of Credit [Member] | Letters of Credit [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | |||
October 2016 [Member] | October 2017 [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | ||||||||||
Short-term Debt [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Credit facility expiry date | 31-Oct-17 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | $2,250,000,000 | $2,100,000,000 | ' | ' | ' | ' | ' | ' |
Current amount available | ' | ' | 1,000,000,000 | ' | ' | ' | ' | 1,200,000,000 | ' | ' | ' | ' | ' | ' | ' |
Commercial paper, outstanding | 1,451,000,000 | 539,000,000 | ' | ' | ' | ' | ' | ' | ' | 1,210,000,000 | 421,000,000 | ' | ' | ' | ' |
Weighted average interest rate | 0.20% | 0.30% | ' | ' | ' | ' | ' | ' | ' | 0.20% | 0.30% | ' | ' | ' | ' |
Letters of credit outstanding under the Credit Agreement | $26,000,000 | $131,000,000 | ' | ' | ' | ' | ' | ' | ' | $11,000,000 | $121,000,000 | ' | ' | ' | ' |
Line of credit facility, covenant terms | 'Ratio of consolidated debt to consolidated total capital of 0.65 to 1 (at December 31, 2013 this ratio was 0.50 to 1 for Con Edison and CECONY); having liens on its assets in an aggregate amount exceeding 5 percent of its consolidated total capital, subject to certain exceptions; and the failure, following any applicable notice period, to meet certain other customary covenants. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ratio of consolidated debt to consolidated total capital | ' | ' | ' | 0.5 | 0.65 | 1 | 1 | ' | ' | ' | ' | 0.5 | 0.65 | 1 | 1 |
Minimum percentage of liens on assets | ' | ' | ' | 5.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pension_Benefits_Companies_Net
Pension Benefits - Companies' Net Periodic Benefit Costs (Detail) (Pension Benefits [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Service cost - including administrative expenses | $267 | $237 | $190 |
Interest cost on projected benefit obligation | 537 | 547 | 560 |
Expected return on plan assets | -750 | -705 | -734 |
Recognition of net actuarial loss | 832 | 709 | 530 |
Recognition of prior service costs | 5 | 8 | 8 |
NET PERIODIC BENEFIT COST | 891 | 796 | 554 |
Amortization of regulatory asset | 2 | 2 | 2 |
TOTAL PERIODIC BENEFIT COST | 893 | 798 | 556 |
Cost capitalized | -348 | -277 | -185 |
Reconciliation to rate level | -84 | -8 | -65 |
Cost charged to operating expenses | 461 | 513 | 306 |
CECONY [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Service cost - including administrative expenses | 249 | 220 | 177 |
Interest cost on projected benefit obligation | 503 | 513 | 524 |
Expected return on plan assets | -713 | -670 | -698 |
Recognition of net actuarial loss | 788 | 670 | 501 |
Recognition of prior service costs | 4 | 6 | 6 |
NET PERIODIC BENEFIT COST | 831 | 739 | 510 |
Amortization of regulatory asset | 2 | 2 | 2 |
TOTAL PERIODIC BENEFIT COST | 833 | 741 | 512 |
Cost capitalized | -327 | -260 | -172 |
Reconciliation to rate level | -87 | -12 | -68 |
Cost charged to operating expenses | $419 | $469 | $272 |
Pension_Benefits_Companies_Net1
Pension Benefits - Companies' Net Periodic Benefit Costs (Parenthetical) (Detail) (Pension Benefits [Member], USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Pension Benefits [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Increase in CECONY's pension obligation | $45 |
Pension_Benefits_Schedule_of_F
Pension Benefits - Schedule of Funded Status (Detail) (Pension Benefits [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
CHANGE IN PROJECTED BENEFIT OBLIGATION | ' | ' | ' |
Benefit obligation at beginning of year | $13,406 | $11,825 | $10,307 |
Service cost - excluding administrative expenses | 259 | 224 | 186 |
Interest cost on projected benefit obligation | 537 | 547 | 560 |
Net actuarial (gain)/loss | -1,469 | 1,323 | 1,251 |
Benefits paid | -536 | -513 | -479 |
BENEFIT OBLIGATION AT END OF YEAR | 12,197 | 13,406 | 11,825 |
CHANGE IN PLAN ASSETS | ' | ' | ' |
Fair value of plan assets at beginning of year | 9,135 | 7,800 | 7,721 |
Actual return on plan assets | 1,310 | 1,094 | 37 |
Employer contributions | 879 | 785 | 542 |
Benefits paid | -536 | -513 | -479 |
Administrative expenses | -33 | -31 | -21 |
FAIR VALUE OF PLAN ASSETS AT END OF YEAR | 10,755 | 9,135 | 7,800 |
FUNDED STATUS | -1,442 | -4,271 | -4,025 |
Unrecognized net loss | 2,759 | 5,594 | 5,351 |
Unrecognized prior service costs | 17 | 23 | 30 |
Accumulated benefit obligation | 11,004 | 11,911 | 10,595 |
CECONY [Member] | ' | ' | ' |
CHANGE IN PROJECTED BENEFIT OBLIGATION | ' | ' | ' |
Benefit obligation at beginning of year | 12,572 | 11,072 | 9,653 |
Service cost - excluding administrative expenses | 241 | 209 | 174 |
Interest cost on projected benefit obligation | 503 | 513 | 524 |
Net actuarial (gain)/loss | -1,388 | 1,255 | 1,166 |
Benefits paid | -499 | -477 | -445 |
BENEFIT OBLIGATION AT END OF YEAR | 11,429 | 12,572 | 11,072 |
CHANGE IN PLAN ASSETS | ' | ' | ' |
Fair value of plan assets at beginning of year | 8,668 | 7,406 | 7,340 |
Actual return on plan assets | 1,241 | 1,040 | 33 |
Employer contributions | 819 | 729 | 498 |
Benefits paid | -499 | -477 | -445 |
Administrative expenses | -32 | -30 | -20 |
FAIR VALUE OF PLAN ASSETS AT END OF YEAR | 10,197 | 8,668 | 7,406 |
FUNDED STATUS | -1,232 | -3,904 | -3,666 |
Unrecognized net loss | 2,617 | 5,297 | 5,063 |
Unrecognized prior service costs | 6 | 10 | 16 |
Accumulated benefit obligation | $10,268 | $11,116 | $9,876 |
Pension_Benefits_Additional_In
Pension Benefits - Additional Information (Detail) (USD $) | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Other Nonqualified Supplemental Defined Benefit Pension [Member] | Other Nonqualified Supplemental Defined Benefit Pension [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | Con Edison [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | |||
Other Nonqualified Supplemental Defined Benefit Pension [Member] | Other Nonqualified Supplemental Defined Benefit Pension [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | |||||||||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pension liability | ' | ' | ' | ' | $2,672 | ' | ' | ' | $2,829 | ' | ' | ' | ' | ' | ' |
Decrease to regulatory assets | 2,799 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -2,677 | ' | ' |
Credit to OCI | 24 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' | ' |
Net loss estimated to be amortized | ' | ' | ' | ' | 586 | ' | ' | ' | ' | 619 | ' | ' | ' | ' | ' |
Prior service cost estimated to be amortized | ' | ' | ' | ' | 2 | ' | ' | ' | ' | 4 | ' | ' | ' | ' | ' |
Investments value | 201 | 164 | ' | ' | 183 | 148 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accumulated benefit obligation | ' | ' | 234 | 231 | ' | ' | 199 | 193 | ' | 11,004 | 11,911 | 10,595 | 10,268 | 11,116 | 9,876 |
Assumptions used in calculating net periodic benefit cost | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'To determine the assumed discount rate, the Companies use a model that produces a yield curve based on yields on selected highly rated (Aa or higher by either Moodybs Investors Service (Moodybs) or Standard & Poorbs) corporate bonds. Bonds with insufficient liquidity, bonds with questionable pricing information and bonds that are not representative of the overall market are excluded from consideration. For example, the bonds used in the model cannot be callable, they must have a price between 50 percent and 200 percent of the original price, the yield must lie between 1 percent and 20 percent, and the amount of the bond issue outstanding must be in excess of $50 million. The spot rates defined by the yield curve and the planbs projected benefit payments are used to develop a weighted average discount rate. | ' | ' | ' | ' | ' |
Estimated future employer contributions | ' | ' | ' | ' | ' | ' | ' | ' | ' | $575 | ' | ' | $536 | ' | ' |
Pension_Benefits_Schedule_of_A
Pension Benefits - Schedule of Assumptions (Detail) (Pension Benefits [Member]) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Discount rate, benefit obligations | 4.80% | 4.10% | 4.70% |
Discount rate, net periodic benefit | 4.10% | 4.70% | 5.60% |
Expected return on plan assets | 8.00% | 8.00% | 8.50% |
CECONY [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Rate of compensation increase | 4.35% | 4.35% | 4.35% |
Rate of compensation increase | 4.35% | 4.35% | 4.35% |
O&R [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Rate of compensation increase | 4.25% | 4.25% | 4.25% |
Rate of compensation increase | 4.25% | 4.25% | 4.25% |
Pension_Benefits_Schedule_of_E
Pension Benefits - Schedule of Expected Benefit Payments (Detail) (Pension Benefits [Member], USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Defined Benefit Plan Disclosure [Line Items] | ' |
2014 | $578 |
2015 | 600 |
2016 | 621 |
2017 | 640 |
2018 | 659 |
2019-2023 | 3,527 |
CECONY [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2014 | 539 |
2015 | 559 |
2016 | 578 |
2017 | 596 |
2018 | 614 |
2019-2023 | $3,280 |
Pension_Benefits_Schedule_of_P
Pension Benefits - Schedule of Plan Assets Allocations (Detail) (Pension Benefits [Member]) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Equity Securities, Target Allocation, Minimum | 55.00% | ' | ' |
Equity Securities, Target Allocation, Maximum | 65.00% | ' | ' |
Debt Securities, Target Allocation, Minimum | 27.00% | ' | ' |
Debt Securities, Target Allocation, Maximum | 33.00% | ' | ' |
Real Estate, Target Allocation, Minimum | 8.00% | ' | ' |
Real Estate, Target Allocation, Maximum | 12.00% | ' | ' |
Plan Assets, Total | 100.00% | 100.00% | 100.00% |
Equity Securities [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Plan Assets, Debt Securities | 60.00% | 60.00% | 61.00% |
Debt Securities [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Plan Assets, Debt Securities | 30.00% | 31.00% | 32.00% |
Real Estate [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Plan Assets, Debt Securities | 10.00% | 9.00% | 7.00% |
Pension_Benefits_Schedule_of_F1
Pension Benefits - Schedule of Fair Value of Plan Assets (Detail) (USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
Private Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total fair value of plan net assets | $67 | $20 | ' | ' |
Real Estate [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total fair value of plan net assets | 1,062 | 833 | ' | ' |
Hedge Funds [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total fair value of plan net assets | 206 | ' | ' | ' |
Pension Benefits [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 11,759 | 9,878 | ' | ' |
Funds for retiree health benefits | -372 | -353 | ' | ' |
Investments (excluding funds for retiree health benefits) | 11,387 | 9,525 | ' | ' |
Pending activities | -632 | -390 | ' | ' |
Total fair value of plan net assets | 10,755 | 9,135 | 7,800 | 7,721 |
Pension Benefits [Member] | U.S. Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 3,057 | 2,637 | ' | ' |
Pension Benefits [Member] | International Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 3,174 | 2,995 | ' | ' |
Pension Benefits [Member] | Private Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 67 | 20 | ' | ' |
Total fair value of plan net assets | ' | 20 | ' | ' |
Pension Benefits [Member] | U.S. Government Issued Debt [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 1,855 | 1,626 | ' | ' |
Pension Benefits [Member] | Corporate Bonds Debt [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 1,151 | 993 | ' | ' |
Total fair value of plan net assets | ' | ' | 94 | ' |
Pension Benefits [Member] | Structured Assets Debt [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 4 | 30 | ' | ' |
Total fair value of plan net assets | ' | ' | 13 | ' |
Pension Benefits [Member] | Other Fixed Income Debt [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 150 | 123 | ' | ' |
Total fair value of plan net assets | ' | ' | 29 | ' |
Pension Benefits [Member] | Real Estate [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 1,062 | 833 | ' | ' |
Total fair value of plan net assets | ' | 833 | 572 | ' |
Pension Benefits [Member] | Cash and Cash Equivalents [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 685 | 411 | ' | ' |
Pension Benefits [Member] | Futures [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 348 | 210 | ' | ' |
Pension Benefits [Member] | Hedge Funds [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 206 | ' | ' | ' |
Pension Benefits [Member] | Level 1 [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 5,835 | 5,172 | ' | ' |
Funds for retiree health benefits | -185 | -185 | ' | ' |
Investments (excluding funds for retiree health benefits) | 5,650 | 4,987 | ' | ' |
Pension Benefits [Member] | Level 1 [Member] | U.S. Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 3,057 | 2,637 | ' | ' |
Pension Benefits [Member] | Level 1 [Member] | International Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 2,303 | 2,242 | ' | ' |
Pension Benefits [Member] | Level 1 [Member] | Cash and Cash Equivalents [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 127 | 83 | ' | ' |
Pension Benefits [Member] | Level 1 [Member] | Futures [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 348 | 210 | ' | ' |
Pension Benefits [Member] | Level 2 [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 4,589 | 3,853 | ' | ' |
Funds for retiree health benefits | -145 | -137 | ' | ' |
Investments (excluding funds for retiree health benefits) | 4,444 | 3,716 | ' | ' |
Pension Benefits [Member] | Level 2 [Member] | International Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 871 | 753 | ' | ' |
Pension Benefits [Member] | Level 2 [Member] | U.S. Government Issued Debt [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 1,855 | 1,626 | ' | ' |
Pension Benefits [Member] | Level 2 [Member] | Corporate Bonds Debt [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 1,151 | 993 | ' | ' |
Pension Benefits [Member] | Level 2 [Member] | Structured Assets Debt [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 4 | 30 | ' | ' |
Pension Benefits [Member] | Level 2 [Member] | Other Fixed Income Debt [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 150 | 123 | ' | ' |
Pension Benefits [Member] | Level 2 [Member] | Cash and Cash Equivalents [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 558 | 328 | ' | ' |
Pension Benefits [Member] | Level 3 [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 1,335 | 853 | ' | ' |
Funds for retiree health benefits | -42 | -31 | ' | ' |
Investments (excluding funds for retiree health benefits) | 1,293 | 822 | ' | ' |
Pension Benefits [Member] | Level 3 [Member] | Private Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 67 | 20 | ' | ' |
Pension Benefits [Member] | Level 3 [Member] | Real Estate [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 1,062 | 833 | ' | ' |
Pension Benefits [Member] | Level 3 [Member] | Hedge Funds [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | $206 | ' | ' | ' |
Pension_Benefits_Reconciliatio
Pension Benefits - Reconciliation of Fair Value Balances for Net Assets (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 |
In Millions, unless otherwise specified | Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Real Estate [Member] | Real Estate [Member] | Private Equity [Member] | Private Equity [Member] | Corporate Bonds Debt [Member] | Structured Assets Debt [Member] | Other Fixed Income Debt [Member] | Investments [Member] | Investments [Member] | Funds for Retiree Health Benefits [Member] | Funds for Retiree Health Benefits [Member] | Investments (Excluding Funds for Retiree Health Benefits) [Member] | Investments (Excluding Funds for Retiree Health Benefits) [Member] | Hedge Funds [Member] |
Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | Pension Benefits [Member] | |||||||||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value of plan assets at beginning of year | $10,755 | $9,135 | $7,800 | $7,721 | $833 | $572 | $20 | ' | $94 | $13 | $29 | $853 | $708 | ($31) | ($28) | $822 | $680 | ' |
Assets Still Held at Reporting Date - Unrealized Gains/(Losses) | ' | ' | ' | ' | 114 | 48 | 5 | 1 | ' | ' | ' | 125 | 49 | -3 | -2 | 122 | 47 | 6 |
Assets Sold During the Year - Realized Gains/(Losses) | ' | ' | ' | ' | 1 | 1 | ' | ' | ' | -6 | ' | 1 | -5 | ' | ' | 1 | -5 | ' |
Purchases Sales and Settlements | ' | ' | ' | ' | 114 | 212 | 42 | 19 | -33 | ' | -6 | 356 | 192 | -8 | -4 | 348 | 188 | 200 |
Transfer In/(Out) of Level 3 | ' | ' | ' | ' | ' | ' | ' | ' | -61 | -7 | -23 | ' | -91 | ' | 3 | ' | -88 | ' |
FAIR VALUE OF PLAN ASSETS AT END OF YEAR | $10,755 | $9,135 | $7,800 | $7,721 | $1,062 | $833 | $67 | $20 | ' | ' | ' | $1,335 | $853 | ($42) | ($31) | $1,293 | $822 | $206 |
Pension_Benefits_Schedule_of_E1
Pension Benefits - Schedule of Employer Contribution to Defined Savings Plan (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Employer contribution to the defined savings plan | $887 | $870 | $628 |
Con Edison [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Employer contribution to the defined savings plan | 30 | 23 | 23 |
CECONY [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Employer contribution to the defined savings plan | $830 | $804 | $576 |
Other_Postretirement_Benefits_1
Other Postretirement Benefits - Net Periodic Postretirement Benefit Costs (Detail) (Other Postretirement Benefits [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Service cost | $23 | $26 | $26 |
Interest cost on accumulated other postretirement benefit obligation | 54 | 73 | 83 |
Expected return on plan assets | -77 | -85 | -88 |
Recognition of net actuarial loss | 65 | 98 | 88 |
Recognition of prior service cost | -27 | -21 | -10 |
Recognition of transition obligation | ' | 2 | 4 |
NET PERIODIC BENEFIT COST | 38 | 93 | 103 |
Cost capitalized | -15 | -32 | -35 |
Reconciliation to rate level | 58 | 20 | 14 |
Cost charged to operating expenses | 81 | 81 | 82 |
CECONY [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Service cost | 18 | 21 | 20 |
Interest cost on accumulated other postretirement benefit obligation | 46 | 63 | 72 |
Expected return on plan assets | -68 | -75 | -78 |
Recognition of net actuarial loss | 57 | 87 | 80 |
Recognition of prior service cost | -23 | -18 | -11 |
Recognition of transition obligation | ' | 2 | 4 |
NET PERIODIC BENEFIT COST | 30 | 80 | 87 |
Cost capitalized | -12 | -28 | -29 |
Reconciliation to rate level | 50 | 16 | 13 |
Cost charged to operating expenses | $68 | $68 | $71 |
Other_Postretirement_Benefits_2
Other Postretirement Benefits - Schedule of Funded Status (Detail) (Other Postretirement Benefits [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
CHANGE IN BENEFIT OBLIGATION | ' | ' | ' |
Benefit obligation at beginning of year | $1,454 | $1,756 | $1,642 |
Service cost | 23 | 26 | 25 |
Interest cost on accumulated postretirement benefit obligation | 54 | 73 | 83 |
Amendments | ' | -127 | ' |
Net actuarial loss/(gain) | -42 | -175 | 109 |
Benefits paid and administrative expenses | -136 | -146 | -144 |
Participant contributions | 38 | 37 | 33 |
Medicare prescription subsidy | 4 | 10 | 8 |
BENEFIT OBLIGATION AT END OF YEAR | 1,395 | 1,454 | 1,756 |
CHANGE IN PLAN ASSETS | ' | ' | ' |
Fair value of plan assets at beginning of year | 1,047 | 947 | 942 |
Actual return on plan assets | 153 | 124 | 20 |
Employer contributions | 9 | 83 | 84 |
EGWP payments | 8 | ' | ' |
Participant contributions | 38 | 37 | 33 |
Benefits paid | -142 | -144 | -132 |
FAIR VALUE OF PLAN ASSETS AT END OF YEAR | 1,113 | 1,047 | 947 |
FUNDED STATUS | -282 | -407 | -809 |
Unrecognized net loss | 70 | 251 | 563 |
Unrecognized prior service costs | -78 | -105 | -1 |
Unrecognized net transition liability at January 1, 1993 | ' | ' | 4 |
CECONY [Member] | ' | ' | ' |
CHANGE IN BENEFIT OBLIGATION | ' | ' | ' |
Benefit obligation at beginning of year | 1,238 | 1,511 | 1,426 |
Service cost | 18 | 21 | 20 |
Interest cost on accumulated postretirement benefit obligation | 46 | 63 | 72 |
Amendments | ' | -89 | ' |
Net actuarial loss/(gain) | -20 | -178 | 86 |
Benefits paid and administrative expenses | -126 | -134 | -132 |
Participant contributions | 38 | 36 | 32 |
Medicare prescription subsidy | 4 | 8 | 7 |
BENEFIT OBLIGATION AT END OF YEAR | 1,198 | 1,238 | 1,511 |
CHANGE IN PLAN ASSETS | ' | ' | ' |
Fair value of plan assets at beginning of year | 922 | 840 | 839 |
Actual return on plan assets | 134 | 109 | 19 |
Employer contributions | 9 | 71 | 74 |
EGWP payments | 7 | ' | ' |
Participant contributions | 38 | 36 | 32 |
Benefits paid | -133 | -134 | -124 |
FAIR VALUE OF PLAN ASSETS AT END OF YEAR | 977 | 922 | 840 |
FUNDED STATUS | -221 | -316 | -671 |
Unrecognized net loss | 54 | 197 | 496 |
Unrecognized prior service costs | -61 | -84 | -15 |
Unrecognized net transition liability at January 1, 1993 | ' | ' | $4 |
Other_Postretirement_Benefits_3
Other Postretirement Benefits - Additional Information (Detail) (USD $) | 12 Months Ended | 3 Months Ended | 12 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 |
Other Postretirement Benefits [Member] | Other Postretirement Benefits [Member] | Other Postretirement Benefits [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | ||
Other Postretirement Benefits [Member] | Other Postretirement Benefits [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Reduction in postretirement life and health benefit plans | ' | $102 | ' | ' | ' | $25 | ' |
Reduction to postretirement health benefit obligation recorded as actuarial gain | ' | ' | ' | 306 | ' | ' | ' |
Decreased liability for other postretirement benefits | ' | ' | -125 | ' | ' | ' | -95 |
Decrease to regulatory assets | 2,799 | ' | -148 | ' | ' | ' | 120 |
Credit to OCI | 24 | ' | 4 | ' | ' | ' | ' |
Net losses unrecognized to be amortized | ' | ' | 59 | ' | 586 | ' | -19 |
Prior service cost unrecognized to be amortized | ' | ' | 52 | ' | 2 | ' | -15 |
Health care cost trend rate for net periodic benefit cost, current | ' | ' | 5.75% | ' | ' | ' | ' |
Health care cost trend rate for net periodic benefit cost | ' | ' | 4.50% | ' | ' | ' | ' |
Year for final trend rate for net periodic benefit cost | ' | ' | '2018 | ' | ' | ' | ' |
Health care cost trend rate for benefit obligations, current | ' | ' | 5.50% | ' | ' | ' | ' |
Health care cost trend rate for benefit obligations | ' | ' | 4.50% | ' | ' | ' | ' |
Year for final trend rate for benefit obligations | ' | ' | '2018 | ' | ' | ' | ' |
Expected contributions | ' | ' | $7 | ' | ' | ' | $7 |
Other_Postretirement_Benefits_4
Other Postretirement Benefits - Schedule of Actuarial Assumptions (Detail) (Other Postretirement Benefits [Member]) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Expected return on plan assets | 7.75% | 8.50% | 8.50% |
CECONY [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Discount rate, benefit obligations | 4.50% | 3.75% | 4.55% |
Discount rate, net periodic benefit | 3.75% | 4.55% | 5.40% |
O&R [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Discount rate, benefit obligations | 4.75% | 4.05% | 4.55% |
Discount rate, net periodic benefit | 4.05% | 4.55% | 5.40% |
Other_Postretirement_Benefits_5
Other Postretirement Benefits - Schedule of Change of Assumed Health Care Cost Trend Rate (Detail) (Scenario, Forecast [Member], Other Postretirement Benefits [Member], USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 |
Defined Benefit Plan Disclosure [Line Items] | ' |
Effect on accumulated other postretirement benefit obligation, Increase | ($35) |
Effect on service cost and interest cost components for 2013, Increase | -2 |
Effect on accumulated other postretirement benefit obligation, Decrease | 27 |
Effect on service cost and interest cost components for 2013, Decrease | 1 |
CECONY [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Effect on accumulated other postretirement benefit obligation, Increase | -53 |
Effect on service cost and interest cost components for 2013, Increase | -4 |
Effect on accumulated other postretirement benefit obligation, Decrease | 41 |
Effect on service cost and interest cost components for 2013, Decrease | $3 |
Other_Postretirement_Benefits_6
Other Postretirement Benefits - Schedule of Expected Benefit Payments (Detail) (Other Postretirement Benefits [Member], USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Defined Benefit Plan Disclosure [Line Items] | ' |
2014 - BENEFIT PAYMENTS | $105 |
2015 - BENEFIT PAYMENTS | 105 |
2016 - BENEFIT PAYMENTS | 102 |
2017 - BENEFIT PAYMENTS | 101 |
2018 - BENEFIT PAYMENTS | 99 |
2019-2023 - BENEFIT PAYMENTS | 465 |
CECONY [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2014 - BENEFIT PAYMENTS | 94 |
2015 - BENEFIT PAYMENTS | 94 |
2016 - BENEFIT PAYMENTS | 91 |
2017 - BENEFIT PAYMENTS | 89 |
2018 - BENEFIT PAYMENTS | 88 |
2019-2023 - BENEFIT PAYMENTS | $403 |
Other_Postretirement_Benefits_7
Other Postretirement Benefits - Schedule of Plan Assets Allocations (Detail) (CECONY [Member], Other Postretirement Benefits [Member]) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 |
Equity Securities [Member] | Equity Securities [Member] | Equity Securities [Member] | Debt Securities [Member] | Debt Securities [Member] | Debt Securities [Member] | Scenario, Forecast [Member] | Scenario, Forecast [Member] | Scenario, Forecast [Member] | ||||
Equity Securities [Member] | Debt Securities [Member] | |||||||||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Plan Assets | 100.00% | 100.00% | 100.00% | 61.00% | 62.00% | 62.00% | 39.00% | 38.00% | 38.00% | ' | ' | ' |
Target Allocation, Minimum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 57.00% | 26.00% |
Target Allocation, Maximum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 73.00% | 44.00% |
Target Allocation Range, Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' |
Other_Postretirement_Benefits_8
Other Postretirement Benefits - Schedule of Fair Values of Plan Assets (Detail) (Other Postretirement Benefits [Member], USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | $743 | $687 | ' | ' |
Funds for retiree health benefits | 372 | 353 | ' | ' |
Investments (including funds for retiree health benefits) | 1,115 | 1,040 | ' | ' |
Pending activities | -2 | 7 | ' | ' |
Total fair value of plan net assets | 1,113 | 1,047 | 947 | 942 |
Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 450 | ' | ' | ' |
U.S. Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | 311 | ' | ' |
International Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | 124 | ' | ' |
Other Fixed Income Debt [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 286 | 229 | ' | ' |
Cash and Cash Equivalents [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 7 | 23 | ' | ' |
Level 1 [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | 127 | ' | ' |
Funds for retiree health benefits | 185 | 185 | ' | ' |
Investments (including funds for retiree health benefits) | 185 | 312 | ' | ' |
Level 1 [Member] | Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | ' | ' | ' |
Level 1 [Member] | U.S. Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | 127 | ' | ' |
Level 1 [Member] | International Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | ' | ' | ' |
Level 1 [Member] | Other Fixed Income Debt [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | ' | ' | ' |
Level 1 [Member] | Cash and Cash Equivalents [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | ' | ' | ' |
Level 2 [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 743 | 560 | ' | ' |
Funds for retiree health benefits | 145 | 137 | ' | ' |
Investments (including funds for retiree health benefits) | 888 | 697 | ' | ' |
Level 2 [Member] | Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 450 | ' | ' | ' |
Level 2 [Member] | U.S. Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | 184 | ' | ' |
Level 2 [Member] | International Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | 124 | ' | ' |
Level 2 [Member] | Other Fixed Income Debt [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 286 | 229 | ' | ' |
Level 2 [Member] | Cash and Cash Equivalents [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | 7 | 23 | ' | ' |
Level 3 [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | ' | ' | ' |
Funds for retiree health benefits | 42 | 31 | ' | ' |
Investments (including funds for retiree health benefits) | 42 | 31 | ' | ' |
Total fair value of plan net assets | ' | ' | ' | ' |
Level 3 [Member] | Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | ' | ' | ' |
Level 3 [Member] | U.S. Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | ' | ' | ' |
Level 3 [Member] | International Equity [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | ' | ' | ' |
Level 3 [Member] | Other Fixed Income Debt [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | ' | ' | ' |
Level 3 [Member] | Cash and Cash Equivalents [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Total investments | ' | ' | ' | ' |
Other_Postretirement_Benefits_9
Other Postretirement Benefits - Reconciliation of Fair Value Balances for Net Assets (Detail) (USD $) | 12 Months Ended | 12 Months Ended | |||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Funds for Retiree Health Benefits [Member] | Other Postretirement Benefits [Member] | Other Postretirement Benefits [Member] | Other Postretirement Benefits [Member] | Other Postretirement Benefits [Member] | Other Postretirement Benefits [Member] | Other Postretirement Benefits [Member] | Other Postretirement Benefits [Member] | Other Postretirement Benefits [Member] | Other Postretirement Benefits [Member] | Other Postretirement Benefits [Member] | |
Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | ||||||
Funds for Retiree Health Benefits [Member] | Funds for Retiree Health Benefits [Member] | Investments (including funds for retiree health benefits) [Member] | Investments (including funds for retiree health benefits) [Member] | ||||||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value of plan assets at beginning of year | ($31) | $1,113 | $1,047 | $947 | $942 | ' | ' | $31 | $28 | $31 | $28 |
Assets Still Held at Reporting Date - Unrealized Gains/(Losses) | -3 | ' | ' | ' | ' | ' | ' | 3 | 2 | 3 | 2 |
Assets Sold During the Year - Realized Gains/(Losses) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchases Sales and Settlements | -8 | ' | ' | ' | ' | ' | ' | 8 | 4 | 8 | 4 |
Transfers (In/Out) of Level 3 | ' | ' | ' | ' | ' | ' | ' | ' | -3 | ' | -3 |
FAIR VALUE OF PLAN ASSETS AT END OF YEAR | ($42) | $1,113 | $1,047 | $947 | $942 | ' | ' | $42 | $31 | $42 | $31 |
Environmental_Matters_Accrued_
Environmental Matters - Accrued Liabilities and Regulatory Assets (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Accrued Liabilities: | ' | ' |
Regulatory assets | $7,230 | $9,779 |
Manufactured Gas Plant Sites [Member] | ' | ' |
Accrued Liabilities: | ' | ' |
Accrued Liabilities | 665 | 462 |
Other Superfund Sites [Member] | ' | ' |
Accrued Liabilities: | ' | ' |
Accrued Liabilities | 84 | 83 |
Superfund Sites [Member] | ' | ' |
Accrued Liabilities: | ' | ' |
Accrued Liabilities | 749 | 545 |
Regulatory assets | 938 | 730 |
CECONY [Member] | ' | ' |
Accrued Liabilities: | ' | ' |
Regulatory assets | 6,665 | 9,032 |
CECONY [Member] | Manufactured Gas Plant Sites [Member] | ' | ' |
Accrued Liabilities: | ' | ' |
Accrued Liabilities | 562 | 351 |
CECONY [Member] | Other Superfund Sites [Member] | ' | ' |
Accrued Liabilities: | ' | ' |
Accrued Liabilities | 82 | 82 |
CECONY [Member] | Superfund Sites [Member] | ' | ' |
Accrued Liabilities: | ' | ' |
Accrued Liabilities | 644 | 433 |
Regulatory assets | $830 | $615 |
Environmental_Matters_Environm
Environmental Matters - Environmental Remediation Costs (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Environmental Exit Cost [Line Items] | ' | ' |
Remediation costs incurred | $41 | $31 |
Insurance recoveries received | ' | 4 |
CECONY [Member] | ' | ' |
Environmental Exit Cost [Line Items] | ' | ' |
Remediation costs incurred | 35 | 26 |
Insurance recoveries received | ' | $4 |
Environmental_Matters_Addition
Environmental Matters - Additional Information (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Asbestos Proceedings [Member] | ' |
Environmental Exit Cost [Line Items] | ' |
Estimated undiscounted asbestos liability | $8 |
CECONY [Member] | Asbestos Proceedings [Member] | ' |
Environmental Exit Cost [Line Items] | ' |
Estimated undiscounted asbestos liability | 7 |
Estimated undiscounted asbestos liability in year | '15 years |
CECONY [Member] | Superfund Sites [Member] | Manufactured Gas Plant Sites [Member] | ' |
Environmental Exit Cost [Line Items] | ' |
Estimated aggregate undiscounted potential liability related environmental contaminants | 2,400 |
O&R [Member] | Superfund Sites [Member] | Manufactured Gas Plant Sites [Member] | ' |
Environmental Exit Cost [Line Items] | ' |
Estimated aggregate undiscounted potential liability related environmental contaminants | $167 |
Environmental_Matters_Accrued_1
Environmental Matters - Accrued Liability for Asbestos Suits and Workers' Compensation Proceedings (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Site Contingency [Line Items] | ' | ' |
Regulatory assets | $7,230 | $9,779 |
Asbestos Suits [Member] | ' | ' |
Site Contingency [Line Items] | ' | ' |
Accrued liability | 8 | 10 |
Regulatory assets | 8 | 10 |
Workers Compensation Insurance [Member] | ' | ' |
Site Contingency [Line Items] | ' | ' |
Accrued liability | 87 | 94 |
Regulatory assets | 12 | 19 |
CECONY [Member] | ' | ' |
Site Contingency [Line Items] | ' | ' |
Regulatory assets | 6,665 | 9,032 |
CECONY [Member] | Asbestos Suits [Member] | ' | ' |
Site Contingency [Line Items] | ' | ' |
Accrued liability | 7 | 10 |
Regulatory assets | 7 | 10 |
CECONY [Member] | Workers Compensation Insurance [Member] | ' | ' |
Site Contingency [Line Items] | ' | ' |
Accrued liability | 82 | 89 |
Regulatory assets | $12 | $19 |
Other_Material_Contingencies_A
Other Material Contingencies - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | |||||
In Millions, unless otherwise specified | Jul. 31, 2007 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
Person | Lawsuits | Con Edison Development [Member] | Construction and Operation of Solar Energy Facilities [Member] | Other [Member] | Insurance Receivable [Member] | ||
Operating Leased Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Number of person died in steam ruptured | 1 | ' | ' | ' | ' | ' | ' |
Number of suits pending against the company | ' | 90 | ' | ' | ' | ' | ' |
Estimated accrued liability for suits | ' | ' | ' | ' | ' | ' | $50 |
Insurance receivable for suits | ' | 50 | ' | ' | ' | ' | ' |
Guarantee obligations maximum exposure | ' | 1,331 | 859 | 80 | ' | 31 | ' |
Percentage of variable interests | ' | ' | ' | 50.00% | ' | ' | ' |
Guarantees issued | ' | ' | ' | ' | 3 | ' | ' |
Estimate of maximum potential obligation | ' | ' | ' | ' | ' | 5 | ' |
Indemnity agreements amount | ' | ' | ' | ' | ' | $25 | ' |
Other_Material_Contingencies_T1
Other Material Contingencies - Total Guarantees (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | $1,331 | $859 |
Energy Transactions [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | 841 | ' |
Solar Energy Projects [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | 459 | ' |
Other [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | 31 | ' |
0 - 3 years [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | 1,229 | ' |
0 - 3 years [Member] | Energy Transactions [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | 753 | ' |
0 - 3 years [Member] | Solar Energy Projects [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | 445 | ' |
0 - 3 years [Member] | Other [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | 31 | ' |
4 - 10 years [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | 44 | ' |
4 - 10 years [Member] | Energy Transactions [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | 30 | ' |
4 - 10 years [Member] | Solar Energy Projects [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | 14 | ' |
4 - 10 years [Member] | Other [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | ' | ' |
Greater than 10 years [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | 58 | ' |
Greater than 10 years [Member] | Energy Transactions [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | 58 | ' |
Greater than 10 years [Member] | Solar Energy Projects [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | ' | ' |
Greater than 10 years [Member] | Other [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Total guarantees, by type and term | ' | ' |
Electricity_Purchase_Agreement2
Electricity Purchase Agreements - Summary of Significant Terms of Electricity Purchase Agreements (Detail) (CECONY [Member]) | 12 Months Ended |
Dec. 31, 2013 | |
MW | |
Indian Point [Member] | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' |
Plant Output (MW) | 1,299 |
Contracted Output (MW) | 500 |
Contract Start Date | 'August 2001 |
Contract Term (Years) | '16 years |
Independence [Member] | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' |
Plant Output (MW) | 1,254 |
Contracted Output (MW) | 689 |
Contract Start Date | 'November 1994 |
Contract Term (Years) | '20 years |
Linden Cogeneration [Member] | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' |
Plant Output (MW) | 1,035 |
Contracted Output (MW) | 546 |
Contract Start Date | 'May 1992 |
Contract Term (Years) | '25 years |
Astoria Energy [Member] | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' |
Plant Output (MW) | 640 |
Contracted Output (MW) | 500 |
Contract Start Date | 'May 2006 |
Contract Term (Years) | '10 years |
Selkirk [Member] | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' |
Plant Output (MW) | 446 |
Contracted Output (MW) | 265 |
Contract Start Date | 'September 1994 |
Contract Term (Years) | '20 years |
Brooklyn Navy Yard [Member] | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' |
Plant Output (MW) | 322 |
Contracted Output (MW) | 217 |
Contract Start Date | 'November 1996 |
Contract Term (Years) | '40 years |
Indeck Corinth [Member] | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' |
Plant Output (MW) | 147 |
Contracted Output (MW) | 132 |
Contract Start Date | 'July 1995 |
Contract Term (Years) | '20 years |
Electricity_Purchase_Agreement3
Electricity Purchase Agreements - Summary of Estimated Capacity and Other Fixed Payments (Detail) (CECONY [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Fixed payment under the contracts | $1,282 | $1,164 | $1,372 |
2014 [Member] | ' | ' | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Fixed payment under the contracts | 447 | ' | ' |
2015 [Member] | ' | ' | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Fixed payment under the contracts | 235 | ' | ' |
2016 [Member] | ' | ' | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Fixed payment under the contracts | 169 | ' | ' |
2017 [Member] | ' | ' | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Fixed payment under the contracts | 113 | ' | ' |
Year 2018 [Member] | ' | ' | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Fixed payment under the contracts | 57 | ' | ' |
All Years Thereafter [Member] | ' | ' | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Fixed payment under the contracts | $875 | ' | ' |
Electricity_Purchase_Agreement4
Electricity Purchase Agreements - Summary of Capacity, Energy and Other Fixed Payments (Detail) (CECONY [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Capacity, energy and other fixed payments | $1,282 | $1,164 | $1,372 |
Linden Cogeneration [Member] | ' | ' | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Capacity, energy and other fixed payments | 346 | 297 | 379 |
Indian Point [Member] | ' | ' | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Capacity, energy and other fixed payments | 220 | 204 | 238 |
Selkirk [Member] | ' | ' | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Capacity, energy and other fixed payments | 215 | 196 | 209 |
Astoria Energy [Member] | ' | ' | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Capacity, energy and other fixed payments | 183 | 181 | 225 |
Independence [Member] | ' | ' | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Capacity, energy and other fixed payments | 121 | 127 | 121 |
Brooklyn Navy Yard [Member] | ' | ' | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Capacity, energy and other fixed payments | 118 | 93 | 123 |
Indeck Corinth [Member] | ' | ' | ' |
Long-term Contract for Purchase of Electric Power [Line Items] | ' | ' | ' |
Capacity, energy and other fixed payments | $79 | $66 | $77 |
Leases_Schedule_of_Capital_Lea
Leases - Schedule of Capital Leases (Detail) (Common [Member], USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Leases | ' | ' |
Utility Plant | $3 | $3 |
CECONY [Member] | ' | ' |
Leases | ' | ' |
Utility Plant | $2 | $2 |
Leases_Additional_Information_
Leases - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | |||
In Millions, unless otherwise specified | Aug. 31, 2013 | Jun. 30, 2013 | Jan. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 |
Operating Leased Assets [Line Items] | ' | ' | ' | ' | ' |
Accumulated amortization | ' | ' | ' | $1 | $1 |
Lease In/Lease Out total investment | ' | ' | ' | 259 | ' |
Lease In/Lease Out total financed by equity | ' | ' | ' | 93 | ' |
Lease In/Lease Out total financed by long-term debt | ' | ' | ' | 166 | ' |
Company's net investment in LILO transactions | ' | ' | ' | 0 | -76 |
Gross investment in leverage leases | ' | ' | ' | ' | 228 |
Deferred tax liabilities | ' | ' | ' | ' | 304 |
Estimated charge after-tax | ' | ' | 150 | ' | ' |
Gain from LILO transaction termination | 26 | 29 | ' | ' | ' |
Proceeds from the termination of a LILO transaction | 92 | 108 | ' | ' | ' |
Defray of interest charges relating to potential tax liability | ' | ' | 447 | ' | ' |
Returned deposit from IRS | ' | ' | ' | 327 | 70 |
Settlement of federal and state tax liabilities | ' | ' | ' | 48 | ' |
Refund from IFRS | ' | ' | ' | 10 | ' |
IRS [Member] | ' | ' | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' | ' | ' |
Returned deposit from IRS | ' | ' | ' | 125 | ' |
Settlement of tax and interest | ' | ' | ' | 38 | ' |
Tax deficiency paid in December 2005 [Member] | ' | ' | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' | ' | ' |
Tax deficiency paid to IRS | ' | ' | ' | 0.3 | ' |
Interest in April 2006 [Member] | ' | ' | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' | ' | ' |
Interest paid related to tax deficiency | ' | ' | ' | 0.2 | ' |
Disallowance of Tax 1998 to 2011 [Member] | ' | ' | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' | ' | ' |
Disallowed deduction | ' | ' | ' | 574 | ' |
CECONY [Member] | ' | ' | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' | ' | ' |
Accumulated amortization | ' | ' | ' | 0.6 | 0.4 |
Returned deposit from IRS | ' | ' | ' | $86 | $65 |
Leases_Future_Minimum_Lease_Co
Leases - Future Minimum Lease Commitments (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Capital Leased Assets [Line Items] | ' |
2014 | $1 |
2015 | 1 |
2016 | ' |
2017 | ' |
2018 | 1 |
All years thereafter | ' |
Total | 3 |
Less: amount representing interest | -1 |
Present value of net minimum lease payment | 2 |
CECONY [Member] | ' |
Capital Leased Assets [Line Items] | ' |
2014 | 1 |
2015 | 1 |
2016 | ' |
2017 | ' |
2018 | 1 |
All years thereafter | ' |
Total | 3 |
Less: amount representing interest | -1 |
Present value of net minimum lease payment | $2 |
Leases_Future_Minimum_Rental_P
Leases - Future Minimum Rental Payments for Operating Leases (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Operating Leased Assets [Line Items] | ' |
2014 | $17 |
2015 | 17 |
2016 | 16 |
2017 | 16 |
2018 | 15 |
All years thereafter | 90 |
Total | 171 |
CECONY [Member] | ' |
Operating Leased Assets [Line Items] | ' |
2014 | 13 |
2015 | 13 |
2016 | 13 |
2017 | 12 |
2018 | 12 |
All years thereafter | 61 |
Total | $124 |
Leases_Schedule_of_Leveraged_L
Leases - Schedule of Leveraged Lease Transactions Effect on Consolidated Income Statement (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Guarantor Obligations [Line Items] | ' |
Total decrease in net income | ($95) |
Decrease to Non-Utility Operating Revenues [Member] | ' |
Guarantor Obligations [Line Items] | ' |
Total decrease in net income | -27 |
Increase to Other Interest Expense [Member] | ' |
Guarantor Obligations [Line Items] | ' |
Total decrease in net income | -131 |
Income Tax Benefit [Member] | ' |
Guarantor Obligations [Line Items] | ' |
Total decrease in net income | $63 |
Goodwill_Additional_Informatio
Goodwill - Additional Information (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Goodwill [Line Items] | ' | ' |
Goodwill | $429 | $429 |
O&R [Member] | ' | ' |
Goodwill [Line Items] | ' | ' |
Goodwill | 406 | 406 |
CECONY [Member] | ' | ' |
Goodwill [Line Items] | ' | ' |
Goodwill | 245 | 245 |
O&R [Member] | ' | ' |
Goodwill [Line Items] | ' | ' |
Goodwill | 161 | 161 |
Energy Services Acquired [Member] | ' | ' |
Goodwill [Line Items] | ' | ' |
Goodwill | $23 | $23 |
Income_Tax_Schedule_of_Compone
Income Tax - Schedule of Components of Income Tax (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax [Line Items] | ' | ' | ' | ' |
State - Current | ' | $151 | $29 | $56 |
State - Deferred | ' | -70 | 97 | 63 |
Federal - Current | ' | 285 | -13 | 53 |
Federal - Deferred | ' | 115 | 493 | 434 |
Amortization of investment tax credits | ' | -5 | -6 | -6 |
Total charge to income tax expense | 13 | 476 | 600 | 600 |
CECONY [Member] | ' | ' | ' | ' |
Income Tax [Line Items] | ' | ' | ' | ' |
State - Current | ' | 111 | 53 | 53 |
State - Deferred | ' | -14 | 53 | 55 |
Federal - Current | ' | 187 | 110 | 43 |
Federal - Deferred | ' | 241 | 318 | 413 |
Amortization of investment tax credits | ' | -5 | -5 | -6 |
Total charge to income tax expense | $7 | $520 | $529 | $558 |
Income_Tax_Schedule_of_Differe
Income Tax - Schedule of Differences on Deferred Tax Assets and Liabilities (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Income Tax Contingency [Line Items] | ' | ' |
Depreciation | $4,602 | $4,210 |
Regulatory asset - future income tax | 2,294 | 2,061 |
State income tax | 1,111 | 1,060 |
Unrecognized pension and other postretirement costs | 1,109 | 2,312 |
Pension | 674 | 736 |
Capitalized overheads | 566 | 565 |
Unamortized investment tax credits | 43 | 49 |
Other | 1,048 | 931 |
Total deferred tax liabilities | 11,447 | 11,924 |
Unrecognized pension and other postretirement costs | 1,109 | 2,312 |
Regulatory liability - future income tax | 126 | 126 |
State income tax | 555 | 382 |
Loss carryforwards | 12 | 252 |
Loss carryforwards, valuation reserve | -12 | -15 |
Other | 1,313 | 791 |
Total deferred tax assets | 3,103 | 3,848 |
Net deferred tax liabilities and investment tax credits | 8,344 | 8,076 |
Deferred income taxes and investment tax credits - noncurrent | 8,466 | 8,372 |
Deferred tax assets - current | -122 | -296 |
Net deferred tax liabilities and investment tax credits | 8,344 | 8,076 |
CECONY [Member] | ' | ' |
Income Tax Contingency [Line Items] | ' | ' |
Depreciation | 4,277 | 3,909 |
Regulatory asset - future income tax | 2,165 | 1,962 |
State income tax | 1,008 | 897 |
Unrecognized pension and other postretirement costs | 1,060 | 2,202 |
Pension | 667 | 730 |
Capitalized overheads | 501 | 496 |
Unamortized investment tax credits | 42 | 47 |
Other | 869 | 528 |
Total deferred tax liabilities | 10,589 | 10,771 |
Unrecognized pension and other postretirement costs | 1,060 | 2,202 |
Regulatory liability - future income tax | 112 | 117 |
State income tax | 500 | 357 |
Loss carryforwards | ' | 136 |
Other | 1,185 | 700 |
Total deferred tax assets | 2,857 | 3,512 |
Net deferred tax liabilities and investment tax credits | 7,732 | 7,259 |
Deferred income taxes and investment tax credits - noncurrent | 7,832 | 7,452 |
Deferred tax assets - current | -100 | -193 |
Net deferred tax liabilities and investment tax credits | $7,732 | $7,259 |
Income_Tax_Schedule_of_Income_
Income Tax - Schedule of Income Tax Reconciliation (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Income Tax Contingency [Line Items] | ' | ' | ' |
Federal | 35.00% | 35.00% | 35.00% |
State income tax | 4.00% | 4.00% | 5.00% |
Cost of removal | -5.00% | -4.00% | -4.00% |
Manufacturing deduction | -1.00% | ' | ' |
Other | -2.00% | -1.00% | ' |
Effective Tax Rate | 31.00% | 34.00% | 36.00% |
CECONY [Member] | ' | ' | ' |
Income Tax Contingency [Line Items] | ' | ' | ' |
Federal | 35.00% | 35.00% | 35.00% |
State income tax | 5.00% | 4.00% | 5.00% |
Cost of removal | -5.00% | -4.00% | -4.00% |
Manufacturing deduction | ' | ' | ' |
Other | -1.00% | -1.00% | ' |
Effective Tax Rate | 34.00% | 34.00% | 36.00% |
Income_Tax_Additional_Informat
Income Tax - Additional Information (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | |||||||
In Millions, unless otherwise specified | Jun. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Jan. 31, 2013 |
CECONY [Member] | CECONY [Member] | CECONY [Member] | CECONY [Member] | Con Edison [Member] | New York State [Member] | Federal and State [Member] | ||||||
Operating Loss Carryforwards [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net operating loss carryforward | ' | ' | $529 | ' | ' | ' | ' | ' | ' | ' | $213 | ' |
Net operating loss carryforward expire date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2019 through 2033 | ' |
Deferred tax asset | ' | ' | 8,344 | 8,076 | ' | ' | 7,732 | 7,259 | ' | ' | 12 | ' |
Accrued liability for uncertain tax position | ' | ' | 72 | 72 | ' | ' | 66 | 66 | ' | ' | ' | 249 |
Decrease in estimated prior year liabilities | 249 | ' | 86 | 57 | 43 | ' | 74 | 52 | 42 | ' | ' | ' |
Income tax benefits | ' | 13 | 476 | 600 | 600 | 7 | 520 | 529 | 558 | 6 | ' | ' |
Uncertain tax positions | ' | ' | 9 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Increase in noncurrent liabilities | ' | ' | 9 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest charges related to uncertain tax positions | ' | ' | 121 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reduced interest expenses | ' | ' | 10 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest charges related to uncertain tax position, LILO transaction | ' | ' | 131 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of interest and penalties in their consolidated income statements | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' |
Amount of interest and penalties in their consolidated balance sheets | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized tax benefits amount | ' | ' | $9 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income_Tax_Summary_of_Unrecogn
Income Tax - Summary of Unrecognized Tax Benefits (Detail) (USD $) | 1 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Contingency [Line Items] | ' | ' | ' | ' |
Balance at January 1 | ' | $86 | $130 | $93 |
Additions based on tax positions related to the current year | ' | 5 | 12 | 76 |
Additions based on tax positions of prior years | ' | 253 | ' | 4 |
Reductions for tax positions of prior years | -249 | -86 | -57 | -43 |
Settlements | ' | -249 | 1 | ' |
Balance at December 31 | ' | 9 | 86 | 130 |
CECONY [Member] | ' | ' | ' | ' |
Income Tax Contingency [Line Items] | ' | ' | ' | ' |
Balance at January 1 | ' | 74 | 114 | 79 |
Additions based on tax positions related to the current year | ' | ' | 11 | 74 |
Additions based on tax positions of prior years | ' | ' | ' | 3 |
Reductions for tax positions of prior years | ' | -74 | -52 | -42 |
Settlements | ' | ' | 1 | ' |
Balance at December 31 | ' | ' | $74 | $114 |
StockBased_Compensation_Additi
Stock-Based Compensation - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Stock option awards, LTIP | ' | 5,000,000 | ' | ' |
Stock options vesting period | ' | '3 years | ' | ' |
Stock options granted | ' | 0 | 0 | ' |
Intrinsic value for outstanding options | ' | $6,000,000 | $8,000,000 | ' |
Intrinsic value for exercised options | ' | 2,000,000 | 5,000,000 | ' |
Cash received for payment of the exercise price | ' | 5,000,000 | 14,000,000 | ' |
Remaining contractual life, years | ' | '1 year | ' | ' |
Income tax benefit | 13,000,000 | 476,000,000 | 600,000,000 | 600,000,000 |
Number of units issued | ' | 32,114 | ' | ' |
Number of units issued annually to each individual price | ' | $59.16 | ' | ' |
Maximum employer contribution match | ' | 1 | ' | ' |
Amount employee contribution for employer match | ' | 9 | ' | ' |
Maximum employee investment per year | ' | 25,000 | ' | ' |
Maximum percentage allowed to invest | ' | 20.00% | ' | ' |
Shares purchased on the open market | ' | 864,281 | 665,718 | 721,520 |
Weighted average share price per share, on shares purchased on open market | ' | $57.24 | $59.72 | $52.50 |
Time Based Awards [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Total expense recognized in future periods | ' | 2,000,000 | ' | ' |
Weighted average period | ' | 1 | ' | ' |
Stock Options [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Income tax benefit | ' | 10,000,000 | ' | 2,000,000 |
TSR Portion [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Adjustment percentage used for Performance awards | ' | 50.00% | ' | ' |
TSR Portion [Member] | Management Employees [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Factor used for adjustment of Performance awards, low end | ' | 0.00% | ' | ' |
Factor used for adjustment of Performance awards, high end | ' | 150.00% | ' | ' |
TSR Portion [Member] | Officers [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Factor used for adjustment of Performance awards, low end | ' | 0.00% | ' | ' |
Factor used for adjustment of Performance awards, high end | ' | 200.00% | ' | ' |
Performance-Based Restricted Stock [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Weighted average period | ' | 1 | ' | ' |
Common stock received upon vesting | ' | '1 | ' | ' |
Compensation expense to be recognized | ' | 18,000,000 | ' | ' |
Restricted Stock Units [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Stock options vesting period | ' | '3 years | ' | ' |
Performance RSUs [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Stock options vesting period | ' | '3 years | ' | ' |
1996 Stock Option Plan [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Stock option awards issued to officers and employees | ' | 0 | ' | ' |
EIP Portion [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Adjustment percentage used for Performance awards | ' | 50.00% | ' | ' |
EIP Portion [Member] | Management Employees [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Factor used for adjustment of Performance awards, low end | ' | 0.00% | ' | ' |
Factor used for adjustment of Performance awards, high end | ' | 120.00% | ' | ' |
EIP Portion [Member] | Officers [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Factor used for adjustment of Performance awards, low end | ' | 0.00% | ' | ' |
Factor used for adjustment of Performance awards, high end | ' | 200.00% | ' | ' |
CECONY [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Intrinsic value for outstanding options | ' | 5,000,000 | 6,000,000 | ' |
Income tax benefit | 7,000,000 | 520,000,000 | 529,000,000 | 558,000,000 |
CECONY [Member] | Time Based Awards [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Total expense recognized in future periods | ' | 1,000,000 | ' | ' |
Weighted average period | ' | 1 | ' | ' |
CECONY [Member] | Performance-Based Restricted Stock [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Weighted average period | ' | 1 | ' | ' |
Compensation expense to be recognized | ' | $15,000,000 | ' | ' |
Maximum [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Stock option vesting period | ' | '10 years | ' | ' |
StockBased_Compensation_StockB
Stock-Based Compensation - Stock-Based Compensation Expense (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation expense | $24 | $16 | $52 |
Income Tax Benefit | 10 | 6 | 21 |
Performance-Based Restricted Stock [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation expense | 20 | 14 | 48 |
Time-Based Restricted Stock [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation expense | 2 | 1 | 3 |
Non-Employee Director Stock Compensation [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation expense | 2 | 1 | 1 |
CECONY [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation expense | 22 | 15 | 48 |
Income Tax Benefit | 9 | 6 | 20 |
CECONY [Member] | Performance-Based Restricted Stock [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation expense | 18 | 13 | 44 |
CECONY [Member] | Time-Based Restricted Stock [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation expense | 2 | 1 | 3 |
CECONY [Member] | Non-Employee Director Stock Compensation [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation expense | $2 | $1 | $1 |
StockBased_Compensation_Summar
Stock-Based Compensation - Summary of Status of Stock Options Awarded (Detail) (USD $) | 12 Months Ended |
Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Outstanding Shares, Beginning Balance | 606,475 |
Exercised, Shares | -123,165 |
Forfeited, Shares | -2,000 |
Outstanding Shares, Ending Balance | 481,310 |
Weighted Average Exercise Price Outstanding, Beginning Balance | $43.01 |
Weighted Average Exercise Price, Exercised | $41.54 |
Weighted Average Exercise Price, Forfeited | $43.17 |
Weighted Average Exercise Price Outstanding, Ending Balance | $43.38 |
CECONY [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Outstanding Shares, Beginning Balance | 481,175 |
Exercised, Shares | -98,165 |
Forfeited, Shares | -2,000 |
Outstanding Shares, Ending Balance | 381,010 |
Weighted Average Exercise Price Outstanding, Beginning Balance | $42.97 |
Weighted Average Exercise Price, Exercised | $41.55 |
Weighted Average Exercise Price, Forfeited | $43.17 |
Weighted Average Exercise Price Outstanding, Ending Balance | $43.34 |
StockBased_Compensation_Summar1
Stock-Based Compensation - Summary of Stock Options Outstanding (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Remaining Contractual Life | '1 year | ' |
Options Outstanding / Exercisable | 481,310 | 606,475 |
Weighted Average Exercise Price | $43.38 | $43.01 |
2006 [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Remaining Contractual Life | '2 years | ' |
Options Outstanding / Exercisable | 201,700 | ' |
Weighted Average Exercise Price | $43.77 | ' |
2005 [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Remaining Contractual Life | '1 year | ' |
Options Outstanding / Exercisable | 150,410 | ' |
Weighted Average Exercise Price | $42.25 | ' |
2004 [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Options Outstanding / Exercisable | 129,200 | ' |
Weighted Average Exercise Price | $44.10 | ' |
2004 [Member] | Maximum [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Remaining Contractual Life | '1 year | ' |
CECONY [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Options Outstanding / Exercisable | 381,010 | 481,175 |
Weighted Average Exercise Price | $43.34 | $42.97 |
CECONY [Member] | 2006 [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Options Outstanding / Exercisable | 165,100 | ' |
Weighted Average Exercise Price | $43.70 | ' |
CECONY [Member] | 2005 [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Options Outstanding / Exercisable | 122,810 | ' |
Weighted Average Exercise Price | $42.27 | ' |
CECONY [Member] | 2004 [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Options Outstanding / Exercisable | 93,100 | ' |
Weighted Average Exercise Price | $44.10 | ' |
StockBased_Compensation_Summar2
Stock-Based Compensation - Summary of Changes in Status of Time-Based Awards (Detail) (Time Based Awards [Member], USD $) | 12 Months Ended |
Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Non-vested Units, Beginning Balance | 65,140 |
Granted, Units | 25,490 |
Vested, Units | -22,538 |
Forfeited, Units | -1,512 |
Non-vested Units, Ending Balance | 66,580 |
Weighted Average Grant Date Fair Value Non-vested, Beginning Balance | $51.34 |
Weighted Average Grant Date Fair Value, Granted | $60.99 |
Weighted Average Grant Date Fair Value, Vested | $45.43 |
Weighted Average Grant Date Fair Value, Forfeited | $56.26 |
Weighted Average Grant Date Fair Value Non-vested, Ending Balance | $56.92 |
CECONY [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Non-vested Units, Beginning Balance | 61,690 |
Granted, Units | 24,290 |
Vested, Units | -21,438 |
Forfeited, Units | -1,512 |
Non-vested Units, Ending Balance | 63,030 |
Weighted Average Grant Date Fair Value Non-vested, Beginning Balance | $51.33 |
Weighted Average Grant Date Fair Value, Granted | $60.99 |
Weighted Average Grant Date Fair Value, Vested | $45.48 |
Weighted Average Grant Date Fair Value, Forfeited | $56.26 |
Weighted Average Grant Date Fair Value Non-vested, Ending Balance | $56.93 |
StockBased_Compensation_Assump
Stock-Based Compensation - Assumptions Used to Calculate Fair Value (Detail) | 12 Months Ended |
Dec. 31, 2013 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' |
Risk-free interest rate, Maximum | 0.13% |
Risk-free interest rate, Minimum | 5.17% |
Expected term | '3 years |
Expected volatility | 13.52% |
StockBased_Compensation_Summar3
Stock-Based Compensation - Summary of Changes in Status of Performance RSUs' (Detail) (USD $) | 12 Months Ended |
Dec. 31, 2013 | |
EIP Portion [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Non-vested Units, Beginning Balance | 618,910 |
Granted, Units | 231,435 |
Vested, Units | -221,695 |
Forfeited, Units | -67,851 |
Non-vested Units, Ending Balance | 560,799 |
Weighted Average Grant Date Fair Value Non-vested, Beginning Balance | $50.74 |
Weighted Average Grant Date Fair Value, Granted | $57.83 |
Weighted Average Grant Date Fair Value, Vested | $44.54 |
Weighted Average Grant Date Fair Value, Forfeited | $57.36 |
Weighted Average Grant Date Fair Value Non-vested, Ending Balance | $55.31 |
TSR Portion [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Non-vested Units, Beginning Balance | 618,910 |
Granted, Units | 231,435 |
Vested, Units | -221,695 |
Forfeited, Units | -67,851 |
Non-vested Units, Ending Balance | 560,799 |
Weighted Average Grant Date Fair Value Non-vested, Beginning Balance | $44.66 |
Weighted Average Grant Date Fair Value, Granted | $55.12 |
Weighted Average Grant Date Fair Value, Vested | $41.34 |
Weighted Average Grant Date Fair Value, Forfeited | $52.67 |
Weighted Average Grant Date Fair Value Non-vested, Ending Balance | $49.32 |
CECONY [Member] | EIP Portion [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Non-vested Units, Beginning Balance | 502,701 |
Granted, Units | 174,019 |
Vested, Units | -178,549 |
Forfeited, Units | -49,645 |
Non-vested Units, Ending Balance | 448,526 |
Weighted Average Grant Date Fair Value Non-vested, Beginning Balance | $50.78 |
Weighted Average Grant Date Fair Value, Granted | $58.19 |
Weighted Average Grant Date Fair Value, Vested | $44.54 |
Weighted Average Grant Date Fair Value, Forfeited | $57.32 |
Weighted Average Grant Date Fair Value Non-vested, Ending Balance | $55.42 |
CECONY [Member] | TSR Portion [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Non-vested Units, Beginning Balance | 502,701 |
Granted, Units | 174,019 |
Vested, Units | -178,549 |
Forfeited, Units | -49,645 |
Non-vested Units, Ending Balance | 448,526 |
Weighted Average Grant Date Fair Value Non-vested, Beginning Balance | $44.68 |
Weighted Average Grant Date Fair Value, Granted | $55.62 |
Weighted Average Grant Date Fair Value, Vested | $41.34 |
Weighted Average Grant Date Fair Value, Forfeited | $52.59 |
Weighted Average Grant Date Fair Value Non-vested, Ending Balance | $49.38 |
Financial_Information_by_Busin2
Financial Information by Business Segment - Financial Data for Business Segments (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Segment Reporting Information [Line Items] | ' | ' | ' |
Operating revenues | $12,354 | $12,188 | $12,886 |
Inter-segment revenues | ' | ' | ' |
Depreciation and amortization | 1,024 | 955 | 884 |
Operating income | 2,244 | 2,339 | 2,239 |
Interest charges | 719 | 604 | 594 |
INCOME TAX EXPENSE | 504 | 594 | 617 |
Total assets | 40,647 | 41,209 | 39,214 |
Construction expenditures | 2,648 | 2,538 | 2,003 |
Competitive Energy Businesses [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Operating revenues | 1,096 | 1,213 | 1,617 |
Inter-segment revenues | 5 | 8 | 13 |
Depreciation and amortization | 23 | 8 | 7 |
Operating income | 63 | 125 | 46 |
Interest charges | 135 | 1 | -1 |
INCOME TAX EXPENSE | -41 | 52 | 20 |
Total assets | 1,314 | 1,061 | 856 |
Construction expenditures | 378 | 492 | 114 |
Other [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Operating revenues | -5 | -7 | -18 |
Inter-segment revenues | -5 | -8 | -13 |
Depreciation and amortization | -1 | ' | ' |
Operating income | 1 | -2 | -4 |
Interest charges | 26 | 27 | 27 |
INCOME TAX EXPENSE | -6 | ' | ' |
Total assets | 530 | 592 | 655 |
Construction expenditures | ' | ' | ' |
CECONY [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Operating revenues | 10,430 | 10,187 | 10,432 |
Inter-segment revenues | ' | ' | ' |
Depreciation and amortization | 946 | 894 | 829 |
Operating income | 2,060 | 2,093 | 2,083 |
Interest charges | 521 | 545 | 534 |
INCOME TAX EXPENSE | 531 | 514 | 567 |
Total assets | 36,258 | 36,885 | 35,218 |
Construction expenditures | 2,135 | 1,909 | 1,778 |
CECONY [Member] | Operating Segments [Member] | CECONY-Electric [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Operating revenues | 8,131 | 8,176 | 8,228 |
Inter-segment revenues | 16 | 15 | 12 |
Depreciation and amortization | 749 | 710 | 656 |
Operating income | 1,595 | 1,693 | 1,695 |
Interest charges | 402 | 423 | 414 |
INCOME TAX EXPENSE | 380 | 393 | 481 |
Total assets | 27,673 | 28,339 | 27,123 |
Construction expenditures | 1,471 | 1,375 | 1,354 |
CECONY [Member] | Operating Segments [Member] | CECONY-Gas [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Operating revenues | 1,616 | 1,415 | 1,521 |
Inter-segment revenues | 5 | 5 | 5 |
Depreciation and amortization | 130 | 120 | 110 |
Operating income | 362 | 346 | 295 |
Interest charges | 83 | 82 | 78 |
INCOME TAX EXPENSE | 112 | 99 | 43 |
Total assets | 6,008 | 5,925 | 5,518 |
Construction expenditures | 536 | 426 | 335 |
CECONY [Member] | Operating Segments [Member] | CECONY-Steam [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Operating revenues | 683 | 596 | 683 |
Inter-segment revenues | 82 | 77 | 79 |
Depreciation and amortization | 67 | 64 | 63 |
Operating income | 103 | 54 | 93 |
Interest charges | 36 | 40 | 42 |
INCOME TAX EXPENSE | 39 | 22 | 43 |
Total assets | 2,577 | 2,621 | 2,577 |
Construction expenditures | 128 | 108 | 89 |
CECONY [Member] | Consolidation Adjustments [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Operating revenues | ' | ' | ' |
Inter-segment revenues | -103 | -97 | -96 |
Depreciation and amortization | ' | ' | ' |
Operating income | ' | ' | ' |
Interest charges | ' | ' | ' |
INCOME TAX EXPENSE | ' | ' | ' |
Total assets | ' | ' | ' |
Construction expenditures | ' | ' | ' |
O&R [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Operating revenues | 833 | 795 | 855 |
Inter-segment revenues | ' | ' | ' |
Depreciation and amortization | 56 | 53 | 48 |
Operating income | 120 | 123 | 114 |
Interest charges | 37 | 31 | 34 |
INCOME TAX EXPENSE | 20 | 28 | 30 |
Total assets | 2,545 | 2,671 | 2,485 |
Construction expenditures | 135 | 137 | 111 |
O&R [Member] | Operating Segments [Member] | O&R-Electric [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Operating revenues | 628 | 592 | 641 |
Inter-segment revenues | ' | ' | ' |
Depreciation and amortization | 41 | 38 | 35 |
Operating income | 87 | 83 | 81 |
Interest charges | 25 | 19 | 20 |
INCOME TAX EXPENSE | 13 | 17 | 21 |
Total assets | 1,898 | 1,960 | 1,755 |
Construction expenditures | 98 | 98 | 79 |
O&R [Member] | Operating Segments [Member] | O&R - Gas [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Operating revenues | 205 | 203 | 214 |
Inter-segment revenues | ' | ' | ' |
Depreciation and amortization | 15 | 15 | 13 |
Operating income | 33 | 40 | 33 |
Interest charges | 11 | 10 | 12 |
INCOME TAX EXPENSE | 7 | 11 | 9 |
Total assets | 645 | 706 | 722 |
Construction expenditures | 37 | 39 | 32 |
O&R [Member] | Operating Segments [Member] | O&R - Other [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Operating revenues | ' | ' | ' |
Inter-segment revenues | ' | ' | ' |
Depreciation and amortization | ' | ' | ' |
Operating income | ' | ' | ' |
Interest charges | 1 | 2 | 2 |
INCOME TAX EXPENSE | ' | ' | ' |
Total assets | 2 | 5 | 8 |
Construction expenditures | ' | ' | ' |
Derivative_Instruments_and_Hed2
Derivative Instruments and Hedging Activities - Fair Values of Commodity Derivatives Including Offsetting of Assets and Liabilities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts of Recognized Assets/(Liabilities) | $53 | ($90) |
Gross Amounts Offset in the Statement of Financial Position | -3 | 47 |
Net Amounts of Assets/(Liabilities) Presented in the Statement of Financial Position | 50 | -43 |
Net Amount | 50 | -43 |
Derivative Assets [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts of Recognized Assets/(Liabilities) | 166 | 86 |
Gross Amounts Offset in the Statement of Financial Position | -101 | -57 |
Net Amounts of Assets/(Liabilities) Presented in the Statement of Financial Position | 65 | 29 |
Net Amount | 65 | 29 |
Derivative Liabilities [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts of Recognized Assets/(Liabilities) | -113 | -176 |
Gross Amounts Offset in the Statement of Financial Position | 98 | 104 |
Net Amounts of Assets/(Liabilities) Presented in the Statement of Financial Position | -15 | -72 |
Net Amount | -15 | -72 |
Financial Instruments [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts Not Offset in the Statement of Financial Position | ' | ' |
Financial Instruments [Member] | Derivative Assets [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts Not Offset in the Statement of Financial Position | ' | ' |
Financial Instruments [Member] | Derivative Liabilities [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts Not Offset in the Statement of Financial Position | ' | ' |
Cash Collateral Received [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts Not Offset in the Statement of Financial Position | ' | ' |
Cash Collateral Received [Member] | Derivative Assets [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts Not Offset in the Statement of Financial Position | ' | ' |
Cash Collateral Received [Member] | Derivative Liabilities [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts Not Offset in the Statement of Financial Position | ' | ' |
CECONY [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts of Recognized Assets/(Liabilities) | -10 | -56 |
Gross Amounts Offset in the Statement of Financial Position | 5 | 29 |
Net Amounts of Assets/(Liabilities) Presented in the Statement of Financial Position | -5 | -27 |
Net Amount | -5 | -27 |
CECONY [Member] | Derivative Assets [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts of Recognized Assets/(Liabilities) | 41 | 27 |
Gross Amounts Offset in the Statement of Financial Position | -32 | -15 |
Net Amounts of Assets/(Liabilities) Presented in the Statement of Financial Position | 9 | 12 |
Net Amount | 9 | 12 |
CECONY [Member] | Derivative Liabilities [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts of Recognized Assets/(Liabilities) | -51 | -83 |
Gross Amounts Offset in the Statement of Financial Position | 37 | 44 |
Net Amounts of Assets/(Liabilities) Presented in the Statement of Financial Position | -14 | -39 |
Net Amount | -14 | -39 |
CECONY [Member] | Financial Instruments [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts Not Offset in the Statement of Financial Position | ' | ' |
CECONY [Member] | Financial Instruments [Member] | Derivative Assets [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts Not Offset in the Statement of Financial Position | ' | ' |
CECONY [Member] | Financial Instruments [Member] | Derivative Liabilities [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts Not Offset in the Statement of Financial Position | ' | ' |
CECONY [Member] | Cash Collateral Received [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts Not Offset in the Statement of Financial Position | ' | ' |
CECONY [Member] | Cash Collateral Received [Member] | Derivative Assets [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts Not Offset in the Statement of Financial Position | ' | ' |
CECONY [Member] | Cash Collateral Received [Member] | Derivative Liabilities [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Gross Amounts Not Offset in the Statement of Financial Position | ' | ' |
Derivative_Instruments_and_Hed3
Derivative Instruments and Hedging Activities - Fair Values of Commodity Derivatives Including Offsetting of Assets and Liabilities (Parenthetical) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Derivatives, Fair Value [Line Items] | ' | ' |
Margin deposits | $17 | $37 |
CECONY [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Margin deposits | $16 | $18 |
Derivative_Instruments_and_Hed4
Derivative Instruments and Hedging Activities - Additional Information (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Contract | |
Investment Holdings [Line Items] | ' |
Energy supply and hedging activities credit exposure total | $164 |
Makeup of net credit exposure with investment-grade counterparties | 33 |
Makeup of net credit exposure with commodity exchange brokers | 46 |
Makeup of net credit exposure independent system operators | 84 |
Makeup of net credit exposure non-investment grade/non-rated counterparties | 1 |
Number of Capacity Contracts | 1,116 |
Terminate date of interest rate swap | 'October 2014 |
Interest Rate Swap [Member] | ' |
Investment Holdings [Line Items] | ' |
Derivative, fixed interest rate | 6.09% |
Unrealized gain (loss) on derivatives | 2 |
Increase in the fair value of derivative | 4 |
CECONY [Member] | ' |
Investment Holdings [Line Items] | ' |
Energy supply and hedging activities credit exposure total | 20 |
Makeup of net credit exposure with investment-grade counterparties | 3 |
Makeup of net credit exposure with commodity exchange brokers | $17 |
Number of Capacity Contracts | 547 |
Derivative_Instruments_and_Hed5
Derivative Instruments and Hedging Activities - Fair Values of Companies' Commodity Derivatives (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Derivative Liabilities | ' | ' |
Fair value of derivative liabilities | $113 | $176 |
Impact of netting | -98 | -104 |
Net derivatives liabilities | 15 | 72 |
Derivatives Assets [Member] | ' | ' |
Derivative Assets | ' | ' |
Fair value of derivative assets | 166 | 86 |
Impact of netting | -84 | -20 |
Net derivatives assets | 82 | 66 |
Derivatives Assets [Member] | Other Current Assets [Member] | ' | ' |
Derivative Assets | ' | ' |
Fair value of derivative assets | 134 | 64 |
Derivatives Assets [Member] | Other Deferred Charges and Noncurrent Assets [Member] | ' | ' |
Derivative Assets | ' | ' |
Fair value of derivative assets | 32 | 22 |
Derivatives Liabilities [Member] | Fair Value of Derivative Liabilities, Current [Member] | ' | ' |
Derivative Liabilities | ' | ' |
Fair value of derivative liabilities | 82 | 122 |
Derivatives Liabilities [Member] | Fair Value of Derivative Liabilities, Long-term [Member] | ' | ' |
Derivative Liabilities | ' | ' |
Fair value of derivative liabilities | 31 | 54 |
CECONY [Member] | ' | ' |
Derivative Liabilities | ' | ' |
Fair value of derivative liabilities | 51 | 83 |
Impact of netting | -37 | -44 |
Net derivatives liabilities | 14 | 39 |
CECONY [Member] | Derivatives Assets [Member] | ' | ' |
Derivative Assets | ' | ' |
Fair value of derivative assets | 41 | 27 |
Impact of netting | -16 | 3 |
Net derivatives assets | 25 | 30 |
CECONY [Member] | Derivatives Assets [Member] | Other Current Assets [Member] | ' | ' |
Derivative Assets | ' | ' |
Fair value of derivative assets | 27 | 18 |
CECONY [Member] | Derivatives Assets [Member] | Other Deferred Charges and Noncurrent Assets [Member] | ' | ' |
Derivative Assets | ' | ' |
Fair value of derivative assets | 14 | 9 |
CECONY [Member] | Derivatives Liabilities [Member] | Fair Value of Derivative Liabilities, Current [Member] | ' | ' |
Derivative Liabilities | ' | ' |
Fair value of derivative liabilities | 32 | 58 |
CECONY [Member] | Derivatives Liabilities [Member] | Fair Value of Derivative Liabilities, Long-term [Member] | ' | ' |
Derivative Liabilities | ' | ' |
Fair value of derivative liabilities | $19 | $25 |
Derivative_Instruments_and_Hed6
Derivative Instruments and Hedging Activities - Changes in Fair Values of Commodity Derivatives (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | ' | ' |
Total deferred gains/(losses) | $14 | ($1) |
Total deferred gains/(losses) | 35 | -108 |
Net deferred gains/(losses) | 49 | -109 |
Pre-tax gain/(loss) recognized in income | ' | ' |
Total pre-tax gain/(loss) recognized in income | 72 | -70 |
Deferred Derivative Gains, Current [Member] | ' | ' |
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | ' | ' |
Total deferred gains/(losses) | 14 | -1 |
Regulatory Liabilities, Long-term [Member] | ' | ' |
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | ' | ' |
Total deferred gains/(losses) | ' | ' |
Deferred Derivative Losses, Current [Member] | ' | ' |
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | ' | ' |
Total deferred gains/(losses) | 47 | 95 |
Recoverable Energy Costs, Current [Member] | ' | ' |
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | ' | ' |
Total deferred gains/(losses) | -39 | -220 |
Long-term [Member] | ' | ' |
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | ' | ' |
Total deferred gains/(losses) | 27 | 17 |
CECONY [Member] | ' | ' |
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | ' | ' |
Total deferred gains/(losses) | 11 | -1 |
Total deferred gains/(losses) | 14 | -88 |
Net deferred gains/(losses) | 25 | -89 |
Pre-tax gain/(loss) recognized in income | ' | ' |
Total pre-tax gain/(loss) recognized in income | ' | ' |
CECONY [Member] | Deferred Derivative Gains, Current [Member] | ' | ' |
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | ' | ' |
Total deferred gains/(losses) | 11 | -1 |
CECONY [Member] | Regulatory Liabilities, Long-term [Member] | ' | ' |
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | ' | ' |
Total deferred gains/(losses) | ' | ' |
CECONY [Member] | Deferred Derivative Losses, Current [Member] | ' | ' |
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | ' | ' |
Total deferred gains/(losses) | 38 | 80 |
CECONY [Member] | Recoverable Energy Costs, Current [Member] | ' | ' |
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | ' | ' |
Total deferred gains/(losses) | -37 | -192 |
CECONY [Member] | Long-term [Member] | ' | ' |
Pre-tax gains/(losses) deferred in accordance with accounting rules for regulated operations: | ' | ' |
Total deferred gains/(losses) | 13 | 24 |
Purchased Power Expense [Member] | ' | ' |
Pre-tax gain/(loss) recognized in income | ' | ' |
Total pre-tax gain/(loss) recognized in income | 90 | -54 |
Purchased Power Expense [Member] | CECONY [Member] | ' | ' |
Pre-tax gain/(loss) recognized in income | ' | ' |
Total pre-tax gain/(loss) recognized in income | ' | ' |
Gas Purchased for Resale [Member] | ' | ' |
Pre-tax gain/(loss) recognized in income | ' | ' |
Total pre-tax gain/(loss) recognized in income | -27 | -5 |
Gas Purchased for Resale [Member] | CECONY [Member] | ' | ' |
Pre-tax gain/(loss) recognized in income | ' | ' |
Total pre-tax gain/(loss) recognized in income | ' | ' |
Non-utility Revenue [Member] | ' | ' |
Pre-tax gain/(loss) recognized in income | ' | ' |
Total pre-tax gain/(loss) recognized in income | 9 | -11 |
Non-utility Revenue [Member] | CECONY [Member] | ' | ' |
Pre-tax gain/(loss) recognized in income | ' | ' |
Total pre-tax gain/(loss) recognized in income | ' | ' |
Derivative_Instruments_and_Hed7
Derivative Instruments and Hedging Activities - Changes in Fair Values of Commodity Derivatives (Parenthetical) (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Purchased Power Expense [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Unrealized gain/(loss) on derivatives | $74 | $82 |
Non Utility Operating Revenue [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Unrealized gain/(loss) on derivatives | ' | ($14) |
Derivative_Instruments_and_Hed8
Derivative Instruments and Hedging Activities - Number of Derivative Contracts by Commodity Type (Detail) | 12 Months Ended |
Dec. 31, 2013 | |
Contract | |
Derivatives, Fair Value [Line Items] | ' |
Number of Capacity Contracts | 1,116 |
CECONY [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Number of Capacity Contracts | 547 |
Electric Derivatives [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Number of Energy Contracts | 501 |
MWHs | 16,143,806 |
Number of Capacity Contracts | 61 |
MWs | 6,376 |
Electric Derivatives [Member] | CECONY [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Number of Energy Contracts | 75 |
MWHs | 3,075,850 |
Number of Capacity Contracts | 4 |
MWs | 1,200 |
Gas Derivatives [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Number of Energy Contracts | 554 |
Dths | 74,672,185 |
Number of Capacity Contracts | 1,116 |
Gas Derivatives [Member] | CECONY [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Number of Energy Contracts | 468 |
Dths | 70,490,000 |
Number of Capacity Contracts | 547 |
Derivative_Instruments_and_Hed9
Derivative Instruments and Hedging Activities - Aggregate Fair Value of All Derivative Instruments with Credit-Risk-Related Contingent Features (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Derivatives, Fair Value [Line Items] | ' |
Aggregate fair value - net liabilities | $17 |
Collateral posted | ' |
Additional Collateral Required Due To Loss Of Unsecured Credit [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Collateral posted | 28 |
Additional collateral | ' |
Additional Collateral Aggregate Fair Value Down below Investment Grade [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Collateral posted | 41 |
Additional collateral | 11 |
CECONY [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Aggregate fair value - net liabilities | 14 |
Collateral posted | ' |
CECONY [Member] | Additional Collateral Required Due To Loss Of Unsecured Credit [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Collateral posted | 15 |
Additional collateral | ' |
CECONY [Member] | Additional Collateral Aggregate Fair Value Down below Investment Grade [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Collateral posted | 1 |
Additional collateral | $9 |
Recovered_Sheet1
Derivative Instruments and Hedging Activities - Aggregate Fair Value of All Derivative Instruments with Credit-Risk-Related Contingent Features (Parenthetical) (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Derivatives, Fair Value [Line Items] | ' |
Collateral posted | ' |
Additional Collateral Required Due To Loss Of Unsecured Credit [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Collateral posted | 28 |
Additional Collateral Aggregate Fair Value Down below Investment Grade [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Collateral posted | 41 |
CECONY [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Collateral posted | ' |
CECONY [Member] | Additional Collateral Required Due To Loss Of Unsecured Credit [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Collateral posted | 15 |
CECONY [Member] | Additional Collateral Aggregate Fair Value Down below Investment Grade [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Collateral posted | $1 |
Fair_Value_Measurements_Assets
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Con Edison [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Total assets | $336 | $279 |
Total liabilities | 17 | 78 |
CECONY [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Total assets | 262 | 227 |
Total liabilities | 14 | 39 |
Commodity [Member] | Con Edison [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 82 | 66 |
Commodity [Member] | Con Edison [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | 15 | 72 |
Commodity [Member] | CECONY [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 25 | 30 |
Commodity [Member] | CECONY [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | 14 | 39 |
Other Assets [Member] | Con Edison [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 254 | 213 |
Other Assets [Member] | CECONY [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 237 | 197 |
Interest Rate Contract [Member] | Con Edison [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | 2 | 6 |
Interest Rate Contract [Member] | CECONY [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | ' | ' |
Level 1 [Member] | Con Edison [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Total assets | 144 | 106 |
Total liabilities | 5 | 12 |
Level 1 [Member] | CECONY [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Total assets | 137 | 99 |
Total liabilities | 5 | 12 |
Level 1 [Member] | Commodity [Member] | Con Edison [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 3 | ' |
Level 1 [Member] | Commodity [Member] | Con Edison [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | 5 | 12 |
Level 1 [Member] | Commodity [Member] | CECONY [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 3 | ' |
Level 1 [Member] | Commodity [Member] | CECONY [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | 5 | 12 |
Level 1 [Member] | Other Assets [Member] | Con Edison [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 141 | 106 |
Level 1 [Member] | Other Assets [Member] | CECONY [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 134 | 99 |
Level 1 [Member] | Interest Rate Contract [Member] | Con Edison [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | ' | ' |
Level 1 [Member] | Interest Rate Contract [Member] | CECONY [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | ' | ' |
Level 2 [Member] | Con Edison [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Total assets | 243 | 150 |
Total liabilities | 86 | 122 |
Level 2 [Member] | CECONY [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Total assets | 116 | 106 |
Total liabilities | 27 | 62 |
Level 2 [Member] | Commodity [Member] | Con Edison [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 130 | 43 |
Level 2 [Member] | Commodity [Member] | Con Edison [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | 84 | 116 |
Level 2 [Member] | Commodity [Member] | CECONY [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 13 | 8 |
Level 2 [Member] | Commodity [Member] | CECONY [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | 27 | 62 |
Level 2 [Member] | Other Assets [Member] | Con Edison [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 113 | 107 |
Level 2 [Member] | Other Assets [Member] | CECONY [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 103 | 98 |
Level 2 [Member] | Interest Rate Contract [Member] | Con Edison [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | 2 | 6 |
Level 2 [Member] | Interest Rate Contract [Member] | CECONY [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | ' | ' |
Level 3 [Member] | Con Edison [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Total assets | 11 | 33 |
Total liabilities | 2 | 38 |
Level 3 [Member] | CECONY [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Total assets | 6 | 10 |
Total liabilities | ' | ' |
Level 3 [Member] | Commodity [Member] | Con Edison [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 11 | 33 |
Level 3 [Member] | Commodity [Member] | Con Edison [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | 2 | 38 |
Level 3 [Member] | Commodity [Member] | CECONY [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 6 | 10 |
Level 3 [Member] | Commodity [Member] | CECONY [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | ' | ' |
Level 3 [Member] | Other Assets [Member] | Con Edison [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | ' | ' |
Level 3 [Member] | Other Assets [Member] | CECONY [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | ' | ' |
Level 3 [Member] | Interest Rate Contract [Member] | Con Edison [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | ' | ' |
Level 3 [Member] | Interest Rate Contract [Member] | CECONY [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | ' | ' |
Netting Adjustments [Member] | Con Edison [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Total assets | -62 | -10 |
Total liabilities | -76 | -94 |
Netting Adjustments [Member] | CECONY [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Total assets | 3 | 12 |
Total liabilities | -18 | -35 |
Netting Adjustments [Member] | Commodity [Member] | Con Edison [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | -62 | -10 |
Netting Adjustments [Member] | Commodity [Member] | Con Edison [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | -76 | -94 |
Netting Adjustments [Member] | Commodity [Member] | CECONY [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 3 | 12 |
Netting Adjustments [Member] | Commodity [Member] | CECONY [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | -18 | -35 |
Netting Adjustments [Member] | Other Assets [Member] | Con Edison [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | ' | ' |
Netting Adjustments [Member] | Other Assets [Member] | CECONY [Member] | Derivatives Assets [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | ' | ' |
Netting Adjustments [Member] | Interest Rate Contract [Member] | Con Edison [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | ' | ' |
Netting Adjustments [Member] | Interest Rate Contract [Member] | CECONY [Member] | Derivatives Liabilities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative liabilities | ' | ' |
Fair_Value_Measurements_Assets1
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Recurring Basis (Parenthetical) (Detail) (USD $) | 12 Months Ended | 3 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2012 | Mar. 31, 2012 | Mar. 31, 2012 | Mar. 31, 2012 |
Interest Rate Contract [Member] | Con Edison [Member] | CECONY [Member] | ||
Other Assets [Member] | Other Assets [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fair value measurement assets, transfers from Level 3 to Level 2 | ' | ' | $105 | $95 |
Fair value measurement liabilities, transfers from Level 1 to Level 2 | 2 | ' | ' | ' |
Fair value measurement liabilities, transfers from Level 2 to Level 1 | 9 | ' | ' | ' |
Fair value measurement liabilities, transfers from Level 2 to Level 3 | 2 | ' | ' | ' |
Fair value measurement liabilities, transfers from Level 3 to Level 2 | $11 | $8 | ' | ' |
Fair_Value_Measurements_Schedu
Fair Value Measurements - Schedule of Commodity Derivatives (Detail) (USD $) | 12 Months Ended |
Dec. 31, 2013 | |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Valuation Techniques | 'Discounted Cash Flow |
Electricity [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Valuation Techniques | 'Discounted Cash Flow |
Transmission Congestion Contracts / Financial Transmission Rights [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Valuation Techniques | 'Discounted Cash Flow |
Minimum [Member] | Discount to Adjust Auction Prices for Inter-Zonal Forward Price Curves [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Unobservable Inputs Range in percentage | -5.80% |
Minimum [Member] | Discount to Adjust Auction Prices for Historical Monthly Realized Settlements [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Unobservable Inputs Range in percentage | -102.40% |
Minimum [Member] | Inter-Zonal Forward Price Curves and for Historical Zonal Losses [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Unobservable Inputs Range | -0.31 |
Minimum [Member] | Forward energy prices [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Unobservable Inputs Range | 27.75 |
Minimum [Member] | Forward capacity prices [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Unobservable Inputs Range | 9.5 |
Maximum [Member] | Discount to Adjust Auction Prices for Inter-Zonal Forward Price Curves [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Unobservable Inputs Range in percentage | 36.50% |
Maximum [Member] | Discount to Adjust Auction Prices for Historical Monthly Realized Settlements [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Unobservable Inputs Range in percentage | 49.10% |
Maximum [Member] | Inter-Zonal Forward Price Curves and for Historical Zonal Losses [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Unobservable Inputs Range | 10.25 |
Maximum [Member] | Forward energy prices [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Unobservable Inputs Range | 124.75 |
Level 3 [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Fair Value of commodity derivatives | 9,100,000 |
Level 3 [Member] | Electricity [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Fair Value of commodity derivatives | 100,000 |
Level 3 [Member] | Transmission Congestion Contracts / Financial Transmission Rights [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Fair Value of commodity derivatives | 9,000,000 |
CECONY [Member] | Transmission Congestion Contracts [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Valuation Techniques | 'Discounted Cash Flow |
CECONY [Member] | Minimum [Member] | Discount to Adjust Auction Prices for Inter-Zonal Forward Price Curves [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Unobservable Inputs Range in percentage | -5.80% |
CECONY [Member] | Minimum [Member] | Discount to Adjust Auction Prices for Historical Monthly Realized Settlements [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Unobservable Inputs Range in percentage | -102.40% |
CECONY [Member] | Maximum [Member] | Discount to Adjust Auction Prices for Inter-Zonal Forward Price Curves [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Unobservable Inputs Range in percentage | 36.50% |
CECONY [Member] | Maximum [Member] | Discount to Adjust Auction Prices for Historical Monthly Realized Settlements [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Unobservable Inputs Range in percentage | 49.10% |
CECONY [Member] | Level 3 [Member] | Transmission Congestion Contracts [Member] | ' |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ' |
Fair Value of commodity derivatives | 6,500,000 |
Fair_Value_Measurements_Reconc
Fair Value Measurements - Reconciliation of Beginning and Ending Net Balances for Assets and Liabilities Measured at Level 3 Fair Value (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Beginning Balance | ' | $29 |
Included in Earnings | ' | -110 |
Included in Regulatory Assets and Liabilities | ' | 19 |
Purchases | ' | 22 |
Issuances | ' | ' |
Sales | ' | ' |
Settlements | ' | 123 |
Transfer In/Out of Level 3 | ' | -88 |
Ending Balance | ' | -5 |
Commodity [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Beginning Balance | -5 | -62 |
Included in Earnings | 7 | -112 |
Included in Regulatory Assets and Liabilities | 18 | 16 |
Purchases | 17 | 22 |
Issuances | ' | ' |
Sales | ' | ' |
Settlements | -28 | 122 |
Transfer In/Out of Level 3 | ' | 9 |
Ending Balance | 9 | -5 |
Interest Rate Contract [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Beginning Balance | ' | -8 |
Included in Earnings | ' | -1 |
Included in Regulatory Assets and Liabilities | ' | ' |
Purchases | ' | ' |
Issuances | ' | ' |
Sales | ' | ' |
Settlements | ' | 1 |
Transfer In/Out of Level 3 | ' | 8 |
Ending Balance | ' | ' |
Other Assets [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Beginning Balance | ' | 99 |
Included in Earnings | ' | 3 |
Included in Regulatory Assets and Liabilities | ' | 3 |
Purchases | ' | ' |
Issuances | ' | ' |
Sales | ' | ' |
Settlements | ' | ' |
Transfer In/Out of Level 3 | ' | -105 |
Ending Balance | ' | ' |
CECONY [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Beginning Balance | ' | 83 |
Included in Earnings | ' | -29 |
Included in Regulatory Assets and Liabilities | ' | 10 |
Purchases | ' | 18 |
Issuances | ' | ' |
Sales | ' | ' |
Settlements | ' | 14 |
Transfer In/Out of Level 3 | ' | -86 |
Ending Balance | ' | 10 |
CECONY [Member] | Commodity [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Beginning Balance | 10 | -7 |
Included in Earnings | 7 | -32 |
Included in Regulatory Assets and Liabilities | -1 | 8 |
Purchases | 13 | 18 |
Issuances | ' | ' |
Sales | ' | ' |
Settlements | -23 | 14 |
Transfer In/Out of Level 3 | ' | 9 |
Ending Balance | 6 | 10 |
CECONY [Member] | Other Assets [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Beginning Balance | ' | 90 |
Included in Earnings | ' | 3 |
Included in Regulatory Assets and Liabilities | ' | 2 |
Purchases | ' | ' |
Issuances | ' | ' |
Sales | ' | ' |
Settlements | ' | ' |
Transfer In/Out of Level 3 | ' | -95 |
Ending Balance | ' | ' |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Gain (loss) on Level 3 energy derivative assets | ' | $110 |
Other Income [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Fair value, assets measured on recurring basis, change in unrealized gain (loss) | -2 | -12 |
Other Income [Member] | Competitive Energy Businesses [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Gain (loss) on Level 3 energy derivative assets | -2 | ' |
Gain (loss) on Level 3 energy derivative liabilities | ' | -12 |
Purchased Power Expense [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Fair value, assets measured on recurring basis, change in unrealized gain (loss) | 3 | 46 |
Purchased Power Expense [Member] | Competitive Energy Businesses [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Gain (loss) on Level 3 energy derivative assets | 5 | ' |
Gain (loss) on Level 3 energy derivative liabilities | ' | ($46) |
Variable_Interest_Entities_Add
Variable Interest Entities - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Aug. 31, 2011 | Dec. 31, 2013 |
VIE | ||
Variable Interest Entity [Line Items] | ' | ' |
Number of VIEs, long-term electricity purchase agreements | ' | 5 |
Solar energy project cost | ' | $90 |
Operation commenced date | 1-Aug-11 | ' |
Assets related to Pilesgrove | ' | 25 |
Additional financing obligation | ' | 25 |
CMS 2 [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Assets related to Pilesgrove | ' | 75 |
Percentage of variable interests | ' | 50.00% |
CMS 2 [Member] | Nevada [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Solar energy project | ' | 150 |
Solar energy in service | ' | 92 |
MS 1 [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Assets related to Pilesgrove | ' | $104 |
Percentage of variable interests | ' | 50.00% |
MS 1 [Member] | Arizona [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Solar energy project | ' | 150 |
Asset_Retirement_Obligations_A
Asset Retirement Obligations - Accrued Liability for Asset Retirement Obligations and Regulatory Liabilities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Regulatory Liabilities [Line Items] | ' | ' |
Accrued liability - asset retirement obligations | $143 | $159 |
Regulatory liabilities - allowance for cost of removal less salvage | 1,728 | 1,202 |
Allowance for Cost Removal Less Salvage [Member] | ' | ' |
Regulatory Liabilities [Line Items] | ' | ' |
Regulatory liabilities - allowance for cost of removal less salvage | 540 | 503 |
CECONY [Member] | ' | ' |
Regulatory Liabilities [Line Items] | ' | ' |
Accrued liability - asset retirement obligations | 143 | 158 |
Regulatory liabilities - allowance for cost of removal less salvage | 1,598 | 1,077 |
CECONY [Member] | Allowance for Cost Removal Less Salvage [Member] | ' | ' |
Regulatory Liabilities [Line Items] | ' | ' |
Regulatory liabilities - allowance for cost of removal less salvage | $453 | $420 |
Related_Party_Transactions_Sum
Related Party Transactions - Summary of Costs of Administrative and Other Services Provided and Received (Detail) (CECONY [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
CECONY [Member] | ' | ' | ' |
Cost of services provided | $84 | $83 | $79 |
Cost of services received | $52 | $49 | $48 |
Related_Party_Transactions_Add
Related Party Transactions - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
CECONY [Member] | ' | ' | ' |
Sale of natural gas | $123 | $54 | $81 |
Funding limit of CECONY to O&R | 250 | ' | ' |
O&R [Member] | ' | ' | ' |
Outstanding loans to O&R | $0 | $0 | ' |
Schedule_I_Condensed_Financial1
Schedule I - Condensed Financial Information - Condensed Income Statement (Detail) (USD $) | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Other Items Net Interest And Other Financial Income [Line Items] | ' | ' | ' |
Other income (deductions), net of taxes | $13 | $6 | $17 |
Interest expense | -719 | -604 | -594 |
NET INCOME FOR COMMON STOCK | 1,062 | 1,138 | 1,051 |
Comprehensive Income for Common Stock | 1,090 | 1,143 | 1,033 |
Net Income Per Common Share - Basic | $3.62 | $3.88 | $3.59 |
Net Income Per Common Share - Diluted | $3.61 | $3.86 | $3.57 |
DIVIDENDS DECLARED PER SHARE OF COMMON STOCK | $2.46 | $2.42 | $2.40 |
Average Number Of Shares Outstanding-Basic | 292.9 | 292.9 | 292.6 |
Average Number Of Shares Outstanding-Diluted | 294.4 | 294.5 | 294.4 |
Parent Company [Member] | ' | ' | ' |
Other Items Net Interest And Other Financial Income [Line Items] | ' | ' | ' |
Equity in earnings of subsidiaries | 1,062 | 1,154 | 1,064 |
Other income (deductions), net of taxes | 29 | 12 | 15 |
Interest expense | -29 | -28 | -28 |
NET INCOME FOR COMMON STOCK | 1,062 | 1,138 | 1,051 |
Comprehensive Income for Common Stock | $1,090 | $1,143 | $1,033 |
Net Income Per Common Share - Basic | $3.62 | $3.88 | $3.59 |
Net Income Per Common Share - Diluted | $3.61 | $3.86 | $3.57 |
DIVIDENDS DECLARED PER SHARE OF COMMON STOCK | $2.46 | $2.42 | $2.40 |
Average Number Of Shares Outstanding-Basic | 292.9 | 292.9 | 292.6 |
Average Number Of Shares Outstanding-Diluted | 294.4 | 294.5 | 294.4 |
Schedule_I_Condensed_Financial2
Schedule I - Condensed Financial Information - Condensed Income Statement (Parenthetical) (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2012 | Dec. 31, 2011 |
Income Statement [Abstract] | ' | ' |
Increase (decrease) in comprehensive income for common stock | $5 | ($18) |
Schedule_I_Condensed_Financial3
Schedule I - Condensed Financial Information - Condensed Statement of Cash Flows (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Supplemental Cash Flow Information [Line Items] | ' | ' | ' |
Net Income | $1,062 | $1,138 | $1,051 |
Common stock dividends | 721 | 709 | 693 |
Change in Assets: | ' | ' | ' |
Special deposits | -257 | -13 | -4 |
Other - net | 34 | 40 | 55 |
NET CASH FLOWS FROM OPERATING ACTIVITIES | 2,552 | 2,599 | 3,137 |
INVESTING ACTIVITIES | ' | ' | ' |
NET CASH FLOWS USED IN INVESTING ACTIVITIES | -2,659 | -2,523 | -2,150 |
FINANCING ACTIVITIES | ' | ' | ' |
Net proceeds of short-term debt | 912 | 539 | ' |
Retirement of long-term debt | 709 | 305 | 4 |
Common stock dividends | 721 | 709 | 693 |
NET CASH FLOWS FROM (USED IN) FINANCING ACTIVITIES | 387 | -330 | -677 |
Net Change for the Period | 280 | -254 | 310 |
BALANCE AT BEGINNING OF PERIOD | 394 | 648 | 338 |
BALANCE AT END OF PERIOD | 674 | 394 | 648 |
Parent Company [Member] | ' | ' | ' |
Supplemental Cash Flow Information [Line Items] | ' | ' | ' |
Net Income | 1,062 | 1,138 | 1,051 |
Common stock dividends | -721 | -709 | -693 |
Equity in earnings of subsidiaries | -1,062 | -1,154 | -1,064 |
Change in Assets: | ' | ' | ' |
Special deposits | -264 | ' | ' |
Other - net | 166 | -208 | -67 |
NET CASH FLOWS FROM OPERATING ACTIVITIES | 680 | 503 | 646 |
INVESTING ACTIVITIES | ' | ' | ' |
Contributions to subsidiaries | ' | -100 | ' |
NET CASH FLOWS USED IN INVESTING ACTIVITIES | ' | -100 | ' |
FINANCING ACTIVITIES | ' | ' | ' |
Net proceeds of short-term debt | 58 | 115 | ' |
Retirement of long-term debt | -1 | -1 | -1 |
Issuance of common shares for stock plans, net of repurchases | -8 | -9 | 31 |
Common stock dividends | -721 | -709 | -693 |
NET CASH FLOWS FROM (USED IN) FINANCING ACTIVITIES | -672 | -604 | -663 |
Net Change for the Period | 8 | -201 | -17 |
BALANCE AT BEGINNING OF PERIOD | 4 | 205 | 222 |
BALANCE AT END OF PERIOD | 12 | 4 | 205 |
CECONY [Member] | ' | ' | ' |
Supplemental Cash Flow Information [Line Items] | ' | ' | ' |
Net Income | 1,020 | 1,014 | 978 |
Change in Assets: | ' | ' | ' |
Other - net | -88 | -40 | 170 |
NET CASH FLOWS FROM OPERATING ACTIVITIES | 2,643 | 2,346 | 2,933 |
INVESTING ACTIVITIES | ' | ' | ' |
NET CASH FLOWS USED IN INVESTING ACTIVITIES | -2,417 | -1,958 | -1,947 |
FINANCING ACTIVITIES | ' | ' | ' |
Retirement of long-term debt | 700 | 300 | ' |
NET CASH FLOWS FROM (USED IN) FINANCING ACTIVITIES | 54 | -407 | -692 |
Net Change for the Period | 280 | -19 | 294 |
BALANCE AT BEGINNING OF PERIOD | 353 | 372 | 78 |
BALANCE AT END OF PERIOD | 633 | 353 | 372 |
CECONY [Member] | Parent Company [Member] | ' | ' | ' |
Supplemental Cash Flow Information [Line Items] | ' | ' | ' |
Common stock dividends | 728 | 682 | 681 |
FINANCING ACTIVITIES | ' | ' | ' |
Common stock dividends | 728 | 682 | 681 |
O&R [Member] | Parent Company [Member] | ' | ' | ' |
Supplemental Cash Flow Information [Line Items] | ' | ' | ' |
Common stock dividends | 38 | 34 | 33 |
FINANCING ACTIVITIES | ' | ' | ' |
Common stock dividends | 38 | 34 | 33 |
Competitive Energy Businesses [Member] | Parent Company [Member] | ' | ' | ' |
Supplemental Cash Flow Information [Line Items] | ' | ' | ' |
Common stock dividends | 12 | 11 | 12 |
FINANCING ACTIVITIES | ' | ' | ' |
Common stock dividends | $12 | $11 | $12 |
Schedule_I_Condensed_Financial4
Schedule I - Condensed Financial Information - Condensed Balance Sheet (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Millions, unless otherwise specified | ||||
CURRENT ASSETS | ' | ' | ' | ' |
Cash and temporary cash investments | $674 | $394 | $648 | $338 |
Special deposits | 327 | 70 | ' | ' |
Accounts receivable - other | 1,251 | 1,222 | ' | ' |
Prepayments | 136 | 159 | ' | ' |
Other current assets | 235 | 162 | ' | ' |
TOTAL CURRENT ASSETS | 3,891 | 3,451 | ' | ' |
Investments in subsidiaries and others | 461 | 467 | ' | ' |
Goodwill | 429 | 429 | ' | ' |
Other assets | 7,859 | 10,352 | ' | ' |
TOTAL ASSETS | 40,647 | 41,209 | ' | ' |
CURRENT LIABILITIES | ' | ' | ' | ' |
Long-term debt due within one year | 485 | 706 | ' | ' |
Accounts payable | 1,017 | 1,215 | ' | ' |
Accrued taxes | 476 | 162 | ' | ' |
Other current liabilities | 478 | 542 | ' | ' |
TOTAL CURRENT LIABILITIES | 4,730 | 3,945 | ' | ' |
Noncurrent Liabilities | 13,183 | 15,333 | ' | ' |
LONG-TERM DEBT | 10,489 | 10,062 | ' | ' |
Shareholders' Equity | ' | ' | ' | ' |
Common stock | 12,245 | 11,869 | 11,436 | 11,061 |
TOTAL LIABILITIES AND SHAREHOLDER'S EQUITY | 40,647 | 41,209 | ' | ' |
Parent Company [Member] | ' | ' | ' | ' |
CURRENT ASSETS | ' | ' | ' | ' |
Cash and temporary cash investments | 12 | 4 | 205 | 222 |
Special deposits | 315 | 51 | ' | ' |
Accounts receivable - other | 185 | 88 | ' | ' |
Accounts receivable from affiliated companies | 950 | 393 | ' | ' |
Prepayments | 2 | 51 | ' | ' |
Other current assets | ' | 3 | ' | ' |
TOTAL CURRENT ASSETS | 1,464 | 590 | ' | ' |
Investments in subsidiaries and others | 11,954 | 11,642 | ' | ' |
Goodwill | 406 | 406 | ' | ' |
Deferred income tax | 14 | 20 | ' | ' |
Other assets | 4 | 4 | ' | ' |
TOTAL ASSETS | 13,842 | 12,662 | ' | ' |
CURRENT LIABILITIES | ' | ' | ' | ' |
Long-term debt due within one year | 2 | 2 | ' | ' |
Notes Payable | 173 | 115 | ' | ' |
Accounts payable | ' | 5 | ' | ' |
Accounts payable to affiliated companies | 148 | 146 | ' | ' |
Accrued taxes | 426 | 119 | ' | ' |
Other current liabilities | 538 | 95 | ' | ' |
TOTAL CURRENT LIABILITIES | 1,287 | 482 | ' | ' |
Noncurrent Liabilities | ' | ' | ' | ' |
Total Liabilities | 1,287 | 482 | ' | ' |
LONG-TERM DEBT | 310 | 311 | ' | ' |
Shareholders' Equity | ' | ' | ' | ' |
Common stock | 5,027 | 5,023 | ' | ' |
Retained earnings | 7,218 | 6,846 | ' | ' |
Total Shareholders' Equity | 12,245 | 11,869 | ' | ' |
TOTAL LIABILITIES AND SHAREHOLDER'S EQUITY | $13,842 | $12,662 | ' | ' |
Schedule_II_Valuation_and_Qual1
Schedule II - Valuation and Qualifying Accounts - Valuation and Qualifying Accounts (Detail) (Allowance For Uncollectible Accounts [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Balance at Beginning of Period | $105 | $97 | $84 |
Charged To Costs And Expenses | 86 | 96 | 99 |
Charged To Other Accounts | ' | ' | ' |
Deductions | 88 | 88 | 86 |
Balance At End of Period | 103 | 105 | 97 |
CECONY [Member] | ' | ' | ' |
Balance at Beginning of Period | 96 | 88 | 75 |
Charged To Costs And Expenses | 82 | 90 | 91 |
Charged To Other Accounts | ' | ' | ' |
Deductions | 83 | 82 | 78 |
Balance At End of Period | $95 | $96 | $88 |