Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2022 | Oct. 28, 2022 | |
Cover [Abstract] | ||
Entity Registrant Name | AVISTA CORPORATION | |
Amendment Flag | false | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Information, Former Legal or Registered Name | None | |
City Area Code | 509 | |
Entity Incorporation, State or Country Code | WA | |
Document Transition Report | false | |
Document Quarterly Report | true | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2022 | |
Entity File Number | 1-3701 | |
Entity Tax Identification Number | 91-0462470 | |
Entity Address, Address Line One | 1411 East Mission Avenue | |
Entity Address, City or Town | Spokane | |
Entity Address, State or Province | WA | |
Entity Address, Postal Zip Code | 99202-2600 | |
Local Phone Number | 489-0500 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q3 | |
Entity Central Index Key | 0000104918 | |
Current Fiscal Year End Date | --12-31 | |
Entity Common Stock, Shares Outstanding | 73,775,760 | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | AVA | |
Security Exchange Name | NYSE |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Utility revenues: | ||||
Utility revenues, exclusive of alternative revenue programs | $ 365,142 | $ 306,398 | $ 1,228,059 | $ 1,019,756 |
Alternative revenue programs | (5,850) | (10,499) | (28,420) | (13,069) |
Total utility revenues | 359,292 | 295,899 | 1,199,639 | 1,006,687 |
Non-utility revenues | 154 | 108 | 419 | 445 |
Total operating revenues | 359,446 | 296,007 | 1,200,058 | 1,007,132 |
Utility operating expenses: | ||||
Resource costs | 147,784 | 102,133 | 492,049 | 327,390 |
Other operating expenses | 101,701 | 85,625 | 300,710 | 267,233 |
Depreciation and amortization | 63,484 | 57,722 | 188,867 | 169,009 |
Taxes other than income taxes | 26,002 | 25,440 | 86,777 | 82,223 |
Non-utility operating expenses: | ||||
Other operating expenses | 1,041 | 843 | 4,907 | 3,186 |
Depreciation and amortization | 32 | 30 | 94 | 230 |
Total operating expenses | 340,044 | 271,793 | 1,073,404 | 849,271 |
Income from operations | 19,402 | 24,214 | 126,654 | 157,861 |
Interest expense | 29,533 | 26,547 | 86,118 | 78,982 |
Interest expense to affiliated trusts | 302 | 102 | 596 | 317 |
Capitalized interest | (828) | (1,102) | (2,853) | (3,033) |
Other income-net | (3,964) | (10,267) | (22,749) | (23,992) |
Income (loss) before income taxes | (5,641) | 8,934 | 65,542 | 105,587 |
Income tax expense (benefit) | 157 | (5,432) | (11,678) | 9,130 |
Net income (loss) | $ (5,798) | $ 14,366 | $ 77,220 | $ 96,457 |
Weighted-average common shares outstanding (thousands), basic | 73,229 | 70,054 | 72,547 | 69,582 |
Weighted-average common shares outstanding (thousands), diluted | 73,298 | 70,129 | 72,629 | 69,722 |
Earnings (loss) per common share: | ||||
Basic | $ (0.08) | $ 0.21 | $ 1.06 | $ 1.39 |
Diluted | $ (0.08) | $ 0.20 | $ 1.06 | $ 1.38 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ (5,798) | $ 14,366 | $ 77,220 | $ 96,457 |
Other Comprehensive Income: | ||||
Change in unfunded benefit obligation for pension and other postretirement benefit plans - net of taxes of $73, $82, $146 and $166, respectively | 272 | 304 | 821 | 927 |
Total other comprehensive income | 272 | 304 | 821 | 927 |
Comprehensive income (loss) | $ (5,526) | $ 14,670 | $ 78,041 | $ 97,384 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | $ 72 | $ 81 | $ 218 | $ 247 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Current Assets: | ||
Cash and cash equivalents | $ 14,363 | $ 22,168 |
Accounts and notes receivable-less allowances of $9,872 and $10,465, respectively | 164,928 | 203,035 |
Materials and supplies, fuel stock and stored natural gas | 123,447 | 84,733 |
Regulatory assets | 59,573 | 43,783 |
Other current assets | 101,293 | 80,754 |
Total current assets | 463,604 | 434,473 |
Net utility property | 5,378,844 | 5,225,515 |
Goodwill | 52,426 | 52,426 |
Non-current regulatory assets | 836,538 | 860,626 |
Other property and investments-net and other non-current assets | 324,387 | 280,543 |
Total assets | 7,055,799 | 6,853,583 |
Current Liabilities: | ||
Accounts payable | 112,646 | 133,096 |
Current portion of long-term debt | 13,500 | 250,000 |
Short-term borrowings | 268,000 | 284,000 |
Regulatory liabilities | 98,081 | 77,149 |
Other current liabilities | 192,973 | 168,861 |
Total current liabilities | 685,200 | 913,106 |
Long-term debt | 2,280,802 | 1,898,370 |
Long-term debt to affiliated trusts | 51,547 | 51,547 |
Pensions and other postretirement benefits | 114,866 | 153,467 |
Deferred income taxes | 666,115 | 642,709 |
Non-current regulatory liabilities | 845,495 | 861,515 |
Other non-current liabilities and deferred credits | 176,925 | 178,125 |
Total liabilities | 4,820,950 | 4,698,839 |
Commitments and Contingencies (See Notes to Condensed Consolidated Financial Statements) | ||
Shareholders’ Equity: | ||
Common stock, no par value; 200,000,000 shares authorized; 72,976,082 and 71,497,523 shares issued and outstanding, respectively | 1,478,443 | 1,380,152 |
Accumulated other comprehensive loss | (10,218) | (11,039) |
Retained earnings | 766,624 | 785,631 |
Total shareholders’ equity | 2,234,849 | 2,154,744 |
Total liabilities and equity | $ 7,055,799 | $ 6,853,583 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Accounts and notes receivable, allowances | $ 9,162 | $ 10,465 |
Common stock, par value | ||
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares, issued | 73,774,804 | 71,497,523 |
Common stock, shares outstanding | 73,774,804 | 71,497,523 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Operating Activities: | ||
Net income | $ 77,220 | $ 96,457 |
Non-cash items included in net income: | ||
Depreciation and amortization | 188,961 | 169,239 |
Deferred income tax provision and investment tax credits | (19,494) | 18,645 |
Power and natural gas cost deferrals, net | (20,675) | (40,178) |
Amortization of debt expense | 1,506 | 2,068 |
Stock-based compensation expense | 6,787 | 3,173 |
Equity-related AFUDC | (5,117) | (5,280) |
Pension and other postretirement benefit expense | 15,460 | 21,925 |
Other regulatory assets and liabilities and deferred debits and credits | 3,585 | 2,597 |
Change in decoupling regulatory deferral | 28,455 | 12,602 |
Realized and unrealized gain on assets and investments | (13,783) | (15,883) |
Other | 4,364 | 1,370 |
Contributions to defined benefit pension plan | (42,000) | (42,000) |
Cash paid for settlement of interest rate swap agreements | (17,035) | (17,568) |
Cash received for settlement of interest rate swap agreements | 324 | |
Changes in certain current assets and liabilities: | ||
Accounts and notes receivable | 32,347 | 24,521 |
Materials and supplies, fuel stock and stored natural gas | (38,714) | (19,753) |
Collateral posted for derivative instruments | (29,362) | (9,944) |
Income taxes receivable | 5,991 | 10,663 |
Other current assets | 4,074 | 7,902 |
Accounts payable | (22,145) | (889) |
Other current liabilities | 49,987 | 8,925 |
Net cash provided by operating activities | 210,412 | 228,916 |
Investing Activities: | ||
Utility property capital expenditures (excluding equity-related AFUDC) | (331,309) | (322,808) |
Equity and property investments | (9,061) | (12,621) |
Proceeds from sale of investments | 1,000 | 8,306 |
Other | (941) | 193 |
Net cash used in investing activities | (340,311) | (326,930) |
Financing Activities: | ||
Net increase (decrease) in short-term borrowings | (16,000) | 66,000 |
Proceeds from issuance of long-term debt | 399,856 | 70,000 |
Maturity of long-term debt and finance leases | (252,314) | (2,223) |
Issuance of common stock, net of issuance costs | 92,966 | 61,345 |
Cash dividends paid | (96,278) | (88,204) |
Other | (6,136) | (3,876) |
Net cash provided by financing activities | 122,094 | 103,042 |
Net increase (decrease) in cash and cash equivalents | (7,805) | 5,028 |
Cash and cash equivalents at beginning of period | 22,168 | 14,196 |
Cash and cash equivalents at end of period | $ 14,363 | $ 19,224 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY - USD ($) $ in Thousands | Total | Common Stock [Member] | Accumulated Other Comprehensive Loss [Member] | Retained Earnings [Member] |
Beginning Balance (in shares) at Dec. 31, 2020 | 69,238,901 | |||
Shares issued | 1,528,311 | |||
Ending Balance (in shares) at Sep. 30, 2021 | 70,767,212 | |||
Beginning Balance at Dec. 31, 2020 | $ 1,286,068 | $ (14,378) | $ 758,036 | |
Equity compensation expense | 3,540 | |||
Issuance of common stock, net of issuance costs | 61,345 | |||
Payment of minimum tax withholdings for share-based payment awards | (993) | |||
Other comprehensive income | $ 927 | 927 | ||
Net income (loss) | 96,457 | 96,457 | ||
Dividends on common stock | (89,366) | |||
Ending Balance at Sep. 30, 2021 | $ 2,101,636 | $ 1,349,960 | (13,451) | 765,127 |
Dividends declared per common share | $ 1.2675 | |||
Beginning Balance (in shares) at Jun. 30, 2021 | 69,666,667 | |||
Shares issued | 1,100,545 | |||
Ending Balance (in shares) at Sep. 30, 2021 | 70,767,212 | |||
Beginning Balance at Jun. 30, 2021 | $ 1,303,411 | (13,755) | 780,310 | |
Equity compensation expense | 893 | |||
Issuance of common stock, net of issuance costs | 45,656 | |||
Other comprehensive income | $ 304 | 304 | ||
Net income (loss) | 14,366 | 14,366 | ||
Dividends on common stock | (29,549) | |||
Ending Balance at Sep. 30, 2021 | $ 2,101,636 | $ 1,349,960 | (13,451) | 765,127 |
Dividends declared per common share | $ 0.4225 | |||
Beginning Balance (in shares) at Dec. 31, 2021 | 71,497,523 | 71,497,523 | ||
Shares issued | 2,277,281 | |||
Ending Balance (in shares) at Sep. 30, 2022 | 73,774,804 | 73,774,804 | ||
Beginning Balance at Dec. 31, 2021 | $ 2,154,744 | $ 1,380,152 | (11,039) | 785,631 |
Equity compensation expense | 6,787 | |||
Issuance of common stock, net of issuance costs | 92,966 | |||
Payment of minimum tax withholdings for share-based payment awards | (1,462) | |||
Other comprehensive income | 821 | 821 | ||
Net income (loss) | 77,220 | 77,220 | ||
Dividends on common stock | (96,227) | |||
Ending Balance at Sep. 30, 2022 | $ 2,234,849 | $ 1,478,443 | (10,218) | 766,624 |
Dividends declared per common share | $ 1.32 | |||
Beginning Balance (in shares) at Jun. 30, 2022 | 72,976,082 | |||
Shares issued | 798,722 | |||
Ending Balance (in shares) at Sep. 30, 2022 | 73,774,804 | 73,774,804 | ||
Beginning Balance at Jun. 30, 2022 | $ 1,443,102 | (10,490) | 804,882 | |
Equity compensation expense | 3,140 | |||
Issuance of common stock, net of issuance costs | 32,201 | |||
Other comprehensive income | $ 272 | 272 | ||
Net income (loss) | (5,798) | (5,798) | ||
Dividends on common stock | (32,460) | |||
Ending Balance at Sep. 30, 2022 | $ 2,234,849 | $ 1,478,443 | $ (10,218) | $ 766,624 |
Dividends declared per common share | $ 0.44 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | NOTE 1. SUMMARY OF SIGNIF ICANT ACCOUNTING POLICIES Nature of Business Avista Corp. is primarily an electric and natural gas utility with certain other business ventures. Avista Utilities is an operating division of Avista Corp., comprising its regulated utility operations in the Pacific Northwest. Avista Utilities provides electric distribution and transmission, and natural gas distribution services in parts of eastern Washington and northern Idaho. Avista Utilities also provides natural gas distribution service in parts of northeastern and southwestern Oregon. Avista Utilities has electric generating facilities in Washington, Idaho, Oregon and Montana. Avista Utilities also supplies electricity to a small number of customers in Montana. AERC is a wholly-owned subsidiary of Avista Corp. The primary subsidiary of AERC is AEL&P, which comprises Avista Corp.'s regulated utility operations in Alaska. Avista Capital, a wholly owned non-regulated subsidiary of Avista Corp., is the parent company of all of the subsidiary companies in the non-utility businesses, with the exception of AJT Mining Properties, Inc., which is a subsidiary of AERC. See Note 16 for business segment information. Basis of Reporting The condensed consolidated financial statements include the assets, liabilities, revenues and expenses of the Company and its subsidiaries and other majority owned subsidiaries and variable interest entities for which the Company or its subsidiaries are the primary beneficiaries. Intercompany balances were eliminated in consolidation. The accompanying condensed consolidated financial statements include the Company’s proportionate share of utility plant and related operations resulting from its interests in jointly owned plants. Regulation The Company is subject to state regulation in Washington, Idaho, Montana, Oregon and Alaska. The Company is also subject to federal regulation primarily by the FERC, as well as various other federal agencies with regulatory oversight of particular aspects of its operations. Derivative Assets and Liabilities Derivatives are recorded as either assets or liabilities on the Condensed Consolidated Balance Sheets measured at estimated fair value. The WUTC and the IPUC issued accounting orders authorizing Avista Corp. to offset energy commodity derivative assets or liabilities with a regulatory asset or liability. This accounting treatment is intended to defer the recognition of mark-to-market gains and losses on energy commodity transactions until the period of delivery. Realized benefits and costs result in adjustments to retail rates through PGAs, the ERM in Washington, the PCA mechanism in Idaho, and periodic general rate cases. The resulting regulatory assets associated with energy commodity derivative instruments have been concluded to be probable of recovery through future rates. Substantially all forward contracts to purchase or sell power and natural gas are recorded as derivative assets or liabilities at estimated fair value with an offsetting regulatory asset or liability. Contracts that are not considered derivatives are accounted for on the accrual basis until they are settled or realized unless there is a decline in the fair value of the contract that is determined to be other-than-temporary. For interest rate swap derivatives, Avista Corp. records all mark-to-market gains and losses in each accounting period as assets and liabilities, as well as offsetting regulatory assets and liabilities, such that there is no income statement impact. The interest rate swap derivatives are risk management tools similar to energy commodity derivatives. Upon settlement of interest rate swap derivatives, the regulatory asset or liability is amortized as a component of interest expense over the term of the associated debt. The Company records an offset of interest rate swap derivative assets and liabilities with regulatory assets and liabilities, based on the prior practice of the commissions to provide recovery through the ratemaking process. The Company has multiple master netting agreements with a variety of entities that allow for cross-commodity netting of derivative agreements with the same counterparty (i.e. power derivatives can be netted with natural gas derivatives). In addition, some master netting agreements allow for the netting of commodity derivatives and interest rate swap derivatives for the same counterparty. The Company does not have any agreements which allow for cross-affiliate netting among multiple affiliated legal entities. The Company nets all derivative instruments when allowed by the agreement for presentation in the Condensed Consolidated Balance Sheets. Fair Value Measurements Fair value represents the price that would be received when selling an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the measurement date. Energy commodity derivative assets and liabilities, deferred compensation assets, as well as derivatives related to interest rate swaps and foreign currency exchange contracts, are reported at estimated fair value on the Condensed Consolidated Balance Sheets. See Note 11 for the Company’s fair value disclosures. Contingencies The Company has unresolved regulatory, legal and tax issues which have inherently uncertain outcomes. The Company accrues a loss contingency if it is probable that a liability has been incurred and the amount of the loss or impairment can be reasonably estimated. The Company also discloses loss contingencies that do not meet these conditions for accrual if there is a reasonable possibility that a material loss may be incurred. See Note 15 for further discussion of the Company's commitments and contingencies. |
New Accounting Standards
New Accounting Standards | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Standards Update and Change in Accounting Principle [Abstract] | |
New Accounting Standards | NOTE 2. NEW ACCO UNTING STANDARDS There are no new accounting standards with a material impact to the Company. |
Balance Sheet Components
Balance Sheet Components | 9 Months Ended |
Sep. 30, 2022 | |
Balance Sheet Related Disclosures [Abstract] | |
Balance Sheet Components | NOTE 3. BALANCE SHEET COMPONENTS Materials and Supplies, Fuel Stock and Stored Natural Gas Inventories of materials and supplies, fuel stock and stored natural gas are recorded at average cost for our regulated operations and the lower of cost or net realizable value for our non-regulated operations and consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, 2022 2021 Materials and supplies $ 70,763 $ 62,003 Stored natural gas $ 47,039 $ 17,604 Fuel stock 5,645 5,126 Total $ 123,447 $ 84,733 Other Current Assets Other current assets consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, 2022 2021 Prepayments 21,812 24,387 Income taxes receivable 23,620 29,615 Derivative assets net of collateral 5,022 1,398 Collateral posted for derivative instruments after netting with outstanding $ 47,425 $ 21,477 Other 3,414 3,877 Total $ 101,293 $ 80,754 Net Utility Property Net utility property, which is recorded at original cost net of accumulated depreciation, consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, 2022 2021 Utility plant in service $ 7,453,971 $ 7,166,580 Construction work in progress 167,139 205,405 Total 7,621,110 7,371,985 Less: Accumulated depreciation and amortization 2,242,266 2,146,470 Total $ 5,378,844 $ 5,225,515 Other Property and Investments-Net and Other Non-Current Assets Other property and investments-net and other non-current assets consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, 2022 2021 Equity investments 113,390 91,057 Operating lease ROU assets 68,707 70,133 Finance lease ROU assets 40,966 43,697 Non-utility property 25,425 20,033 Notes receivable 17,254 14,949 Long-term prepaid license fees 15,710 8,465 Investment in affiliated trust 11,547 11,547 Derivative assets net of collateral 12,741 2,659 Deferred compensation assets 7,609 9,513 Other 11,038 8,490 Total $ 324,387 $ 280,543 Other Current Liabilities Other current liabilities consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, Accrued taxes other than income taxes $ 40,579 $ 41,706 Derivative liabilities 2,996 28,801 Employee paid time off accruals 29,638 27,741 Accrued interest 34,990 17,538 Deferred wholesale revenue 29,081 884 Pensions and other postretirement benefits 13,277 13,582 Other 42,412 38,609 Total $ 192,973 $ 168,861 Other Non-Current Liabilities and Deferred Credits Other non-current liabilities and deferred credits consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, Operating lease liabilities $ 67,702 $ 66,068 Finance lease liabilities 43,304 45,730 Deferred investment tax credits 28,922 29,313 Asset retirement obligations 15,878 17,142 Derivative liabilities 4,673 4,525 Other 16,446 15,347 Total $ 176,925 $ 178,125 Regulatory Assets and Liabilities Regulatory assets and liabilities consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, 2022 December 31, 2021 Current Non-Current Current Non-Current Regulatory Assets Energy commodity derivatives $ 8,374 $ 4,201 $ 12,447 $ 2,938 Decoupling surcharge 6,674 5,346 9,907 14,625 Deferred natural gas costs 38,674 — 14,095 6,932 Deferred power costs 4,413 — 7,334 3,501 Deferred income taxes — 251,033 — 244,154 Pension and other postretirement benefit plans — 161,665 — 165,696 Interest rate swaps — 187,607 — 199,754 AFUDC above FERC allowed rate — 50,956 — 48,455 Settlement with Coeur d'Alene Tribe — 38,088 — 38,926 Advanced meter infrastructure — 33,288 — 36,008 Utility plant abandoned — 24,937 — 26,771 COVID-19 deferrals — 13,497 — 13,591 Unamortized debt repurchase costs — 6,305 — 6,768 Demand side management programs — 5,144 — 3,974 Other regulatory assets 1,438 54,471 — 48,533 Total regulatory assets $ 59,573 $ 836,538 $ 43,783 $ 860,626 Regulatory Liabilities Income tax related liabilities $ 77,689 $ 402,464 $ 56,331 $ 458,789 Deferred power costs — 2,287 6,457 5,434 Decoupling rebate 7,504 17,748 3,049 6,259 Utility plant retirement costs — 370,232 — 350,190 Interest rate swaps — 23,556 — 15,062 COVID-19 deferrals — 12,032 — 12,500 Other regulatory liabilities 12,888 17,176 11,312 13,281 Total regulatory liabilities $ 98,081 $ 845,495 $ 77,149 $ 861,515 |
Revenue
Revenue | 9 Months Ended |
Sep. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | NOTE 4. REVENUE Under ASC 606, the core principle of the revenue recognition model is that an entity should identify the various performance obligations in a contract, allocate the transaction price among the performance obligations and recognize revenue when (or as) the entity satisfies each performance obligation. Utility Revenues Revenue from Contracts with Customers General The majority of Avista Corp.’s revenue is from rate-regulated sales of electricity and natural gas to retail customers, which has two performance obligations, (1) having service available for a specified period (typically a month at a time) and (2) the delivery of energy to customers. The total energy price generally has a fixed component (basic charge) related to having service available and a usage-based component, related to the delivery and consumption of energy. The commodity is sold and/or delivered to and consumed by the customer simultaneously, and the provisions of the relevant utility commission authorization determine the charges the Company may bill the customer. Given that all revenue recognition criteria are met upon the delivery of energy to customers, revenue is recognized immediately at that time. Revenues from contracts with customers are presented in the Condensed Consolidated Statements of Income in the line item "Utility revenues, exclusive of alternative revenue programs." Non-Derivative Wholesale Contracts The Company has certain wholesale contracts which are not accounted for as derivatives and, accordingly, are within the scope of ASC 606 and considered revenue from contracts with customers. Revenue is recognized as energy is delivered to the customer or the service is available for a specified period of time, consistent with the discussion of rate-regulated sales above. Alternative Revenue Programs (Decoupling) ASC 606 retained existing GAAP associated with alternative revenue programs, which specified that alternative revenue programs are contracts between an entity and a regulator of utilities, not a contract between an entity and a customer. GAAP requires that an entity present revenue arising from alternative revenue programs separately from revenues arising from contracts with customers on the face of the Condensed Consolidated Statements of Income. The Company's decoupling mechanisms (also known as a FCA in Idaho) qualify as alternative revenue programs. Decoupling revenue deferrals are recognized in the Condensed Consolidated Statements of Income during the period they occur (i.e. during the period of revenue shortfall or excess due to fluctuations in customer usage), subject to certain limitations, and a regulatory asset or liability is established that will be surcharged or rebated to customers in future periods. GAAP requires that for any alternative revenue program, like decoupling, the revenue must be expected to be collected from customers within 24 months of the deferral to qualify for recognition in the current period Condensed Consolidated Statement of Income. Any amounts included in the Company's decoupling program that are not expected to be collected from customers within 24 months are not recorded in the financial statements until the period in which revenue recognition criteria are met. The amounts expected to be collected from customers within 24 months represents an estimate that must be made by the Company on an ongoing basis due to it being based on the volumes of electric and natural gas sold to customers on a go-forward basis. Derivative Revenue Most wholesale electric and natural gas transactions (including both physical and financial transactions), and the sale of fuel are considered derivatives, which are specifically scoped out of ASC 606. As such, these revenues are disclosed separately from revenue from contracts with customers. Revenue is recognized for these items upon the settlement/expiration of the derivative contract. Derivative revenue includes those transactions that are entered into and settled within the same month. Other Utility Revenue Other utility revenue includes rent, sales of materials, late fees and other charges that do not represent contracts with customers. Other utility revenue also includes the provision for earnings sharing. This revenue is scoped out of ASC 606, as this revenue does not represent items where a customer is a party that has contracted with the Company to obtain goods or services that are an output of the Company’s ordinary activities in exchange for consideration. As such, these revenues are presented separately from revenue from contracts with customers. Other Considerations for Utility Revenues Gross Versus Net Presentation Revenues and resource costs from Avista Utilities’ settled energy contracts that are “booked out” (not physically delivered) are reported on a net basis as part of derivative revenues. Utility-related taxes collected from customers (primarily state excise taxes and city utility taxes) are taxes that are imposed on Avista Utilities as opposed to being imposed on its customers; therefore, Avista Utilities is the taxpayer and records these transactions on a gross basis in revenue from contracts with customers and operating expense (taxes other than income taxes). The utility-related taxes collected from customers at AEL&P are imposed on the customers rather than AEL&P; therefore, the customers are the taxpayers and AEL&P is acting as their agent. As such, these transactions at AEL&P are presented on a net basis within revenue from contracts with customers. Utility-related taxes that were included in revenue from contracts with customers were as follows for the three and nine months ended September 30 (dollars in thousands): Three months ended September 30, Nine months ended September 30, 2022 2021 2022 2021 Utility-related taxes $ 14,049 $ 13,816 $ 51,091 $ 46,971 Significant Judgments and Unsatisfied Performance Obligations The only significant judgments involving revenue recognition are estimates surrounding unbilled revenue and receivables from contracts with customers and estimates surrounding the amount of decoupling revenues that will be collected from customers within 24 months (discussed above). The Company has certain capacity arrangements, where the Company has a contractual obligation to provide either electric or natural gas capacity to its customers for a fixed fee. Most of these arrangements are paid for in arrears by the customers and do not result in deferred revenue and only result in receivables from the customers. The Company does have one capacity agreement where the customer makes payments throughout the year. As of September 30, 2022, the Company estimates it had unsatisfied capacity performance obligations of $ 13.1 million , which will be recognized as revenue in future periods as the capacity is provided to the customers. These performance obligations are not reflected in the financial statements, as the Company has not received payment for these services. Disaggregation of Total Operating Revenue The following table disaggregates total operating revenue by segment and source for the three and nine months ended September 30 (dollars in thousands): Three months ended September 30, Nine months ended September 30, 2022 2021 2022 2021 Avista Utilities Revenue from contracts with customers $ 276,988 $ 266,789 $ 970,247 $ 886,078 Derivative revenues 76,248 28,087 218,024 91,151 Alternative revenue programs ( 5,850 ) ( 10,499 ) ( 28,420 ) ( 13,069 ) Deferrals and amortizations for rate refunds to customers 156 ( 156 ) 25 2,664 Other utility revenues 2,113 2,531 7,166 7,348 Total Avista Utilities 349,655 286,752 1,167,042 974,172 AEL&P Revenue from contracts with customers 9,526 9,065 32,747 32,331 Deferrals and amortizations for rate refunds to customers ( 49 ) ( 48 ) ( 614 ) ( 143 ) Other utility revenues 160 130 464 327 Total AEL&P 9,637 9,147 32,597 32,515 Other non-utility revenues 154 108 419 445 Total operating revenues $ 359,446 $ 296,007 $ 1,200,058 $ 1,007,132 Utility Revenue from Contracts with Customers by Type and Service The following table disaggregates revenue from contracts with customers associated with the Company's electric operations for the three and nine months ended September 30 (dollars in thousands): 2022 2021 Avista AEL&P Total Utility Avista AEL&P Total Utility Three months ended September 30: ELECTRIC OPERATIONS Revenue from contracts with customers Residential $ 94,451 $ 3,123 $ 97,574 $ 94,803 $ 3,080 $ 97,883 Commercial 89,411 6,339 95,750 86,228 5,920 92,148 Industrial 30,090 — 30,090 28,843 — 28,843 Public street and highway lighting 1,810 64 1,874 1,877 65 1,942 Total retail revenue 215,762 9,526 225,288 211,751 9,065 220,816 Transmission 9,662 — 9,662 7,372 — 7,372 Other revenue from contracts with 11,457 — 11,457 11,610 — 11,610 Total electric revenue from contracts $ 236,881 $ 9,526 $ 246,407 $ 230,733 $ 9,065 $ 239,798 Nine months ended September 30: ELECTRIC OPERATIONS Revenue from contracts with customers Residential $ 299,562 $ 13,740 $ 313,302 $ 292,714 $ 13,379 $ 306,093 Commercial 253,694 18,824 272,518 243,370 18,768 262,138 Industrial 82,235 — 82,235 80,983 — 80,983 Public street and highway lighting 5,586 183 5,769 5,598 184 5,782 Total retail revenue 641,077 32,747 673,824 622,665 32,331 654,996 Transmission 22,764 — 22,764 15,668 — 15,668 Other revenue from contracts with 27,628 — 27,628 24,282 — 24,282 Total electric revenue from contracts $ 691,469 $ 32,747 $ 724,216 $ 662,615 $ 32,331 $ 694,946 The following table disaggregates revenue from contracts with customers associated with the Company's natural gas operations for the three and nine months ended September 30 (dollars in thousands): Three months ended September 30, Nine months ended September 30, 2022 2021 2022 2021 Avista Utilities Avista Utilities Avista Utilities Avista Utilities NATURAL GAS OPERATIONS Revenue from contracts with customers Residential $ 22,960 $ 21,197 $ 174,655 $ 142,401 Commercial 11,978 10,055 86,335 65,428 Industrial and interruptible 1,930 1,477 7,238 5,520 Total retail revenue 36,868 32,729 268,228 213,349 Transportation 1,832 1,921 6,331 6,177 Other revenue from contracts with customers 1,407 1,406 4,219 3,937 Total natural gas revenue from contracts with customers $ 40,107 $ 36,056 $ 278,778 $ 223,463 |
Derivatives and Risk Management
Derivatives and Risk Management | 9 Months Ended |
Sep. 30, 2022 | |
Derivative Instruments and Hedges, Assets [Abstract] | |
Derivatives and Risk Management | NOTE 5. DERIVATIVES AND RISK MANAGEMENT Energy Commodity Derivatives Avista Corp. is exposed to market risks relating to changes in electricity and natural gas commodity prices and certain other fuel prices. Market risk is, in general, the risk of fluctuation in the market price of the commodity being traded and is influenced primarily by supply and demand. Market risk includes the fluctuation in the market price of associated derivative commodity instruments. Avista Corp. utilizes derivative instruments, such as forwards, futures, swap derivatives and options, in order to manage the various risks relating to these commodity price exposures. Avista Corp. has an energy resources risk policy and control procedures to manage these risks. As part of Avista Corp.'s resource procurement and management operations in the electric business, Avista Corp. engages in an ongoing process of resource optimization, which involves the economic selection from available energy resources to serve Avista Corp.'s load obligations and the use of these resources to capture available economic value through wholesale market transactions. These include sales and purchases of electric capacity and energy, fuel for electric generation, and derivative contracts related to capacity, energy and fuel. Such transactions are part of the process of matching resources with load obligations and hedging a portion of the related financial risks. These transactions range from terms of intra-hour up to multiple years. As part of its resource procurement and management of its natural gas business, Avista Corp. makes continuing projections of its natural gas loads and assesses available natural gas resources including natural gas storage availability. Natural gas resource planning typically includes peak requirements, low and average monthly requirements and delivery constraints from natural gas supply locations to Avista Corp.’s distribution system. However, daily variations in natural gas demand can be significantly different than monthly demand projections. On the basis of these projections, Avista Corp. plans and executes a series of transactions to hedge a portion of its projected natural gas requirements through forward market transactions and derivative instruments. These transactions may extend as much as three natural gas operating years (November through October) into the future. Avista Corp. also leaves a significant portion of its natural gas supply requirements unhedged for purchase in short-term and spot markets. Avista Corp. plans for sufficient natural gas delivery capacity to serve its retail customers for a theoretical peak day event. Avista Corp. generally has more pipeline and storage capacity than what is needed during periods other than a peak-day. Avista Corp. optimizes its natural gas resources by using market opportunities to generate economic value that mitigates the fixed costs. Avista Corp. also optimizes its natural gas storage capacity by purchasing and storing natural gas when prices are traditionally lower, typically in the summer, and withdrawing during higher priced months, typically during the winter. However, if market conditions and prices indicate that Avista Corp. should buy or sell natural gas at other times during the year, Avista Corp. engages in optimization transactions to capture value in the marketplace. Natural gas optimization activities include, but are not limited to, wholesale market sales of surplus natural gas supplies, purchases and sales of natural gas to optimize use of pipeline and storage capacity, and participation in the transportation capacity release market. The following table presents the underlying energy commodity derivative volumes as of September 30, 2022 that are expected to be delivered or mature in each respective year (in thousands of MWhs and mmBTUs): Purchases Sales Electric Derivatives Gas Derivatives Electric Derivatives Gas Derivatives Year Physical Financial Physical Financial Physical Financial Physical Financial Remainder 2022 39 — 10,692 28,583 76 62 1,762 11,703 2023 — — 13,325 65,635 62 584 1,810 28,330 2024 — — 533 29,135 — — 1,370 8,755 2025 — — 450 2,250 — — 1,115 450 As of September 30, 2022 , there are no expected deliveries of energy commodity derivatives after 2 0 25. The following table presents the underlying energy commodity derivative volumes as of December 31, 2021 that are expected to be delivered or mature in each respective year (in thousands of MWhs and mmBTUs): Purchases Sales Electric Derivatives Gas Derivatives Electric Derivatives Gas Derivatives Year Physical Financial Physical Financial Physical Financial Physical Financial 2022 129 — 7,114 61,405 234 452 3,933 31,485 2023 — — 378 23,218 — — 1,360 9,323 2024 — — 228 3,413 — — 1,370 228 2025 — — — — — — 1,115 — As of December 31, 2021 , there are no expected deliveries of energy commodity derivatives after 2 0 25. (1) Physical transactions represent commodity transactions in which Avista Corp. will take or make delivery of either electricity or natural gas; financial transactions represent derivative instruments with delivery of cash in the amount of the benefit or cost but with no physical delivery of the commodity, such as futures, swap derivatives, options, or forward contracts. The electric and natural gas derivative contracts above will be included in either power supply costs or natural gas supply costs during the period they are scheduled to be delivered and will be included in the various deferral and recovery mechanisms (ERM, PCA and PGAs), or in the general rate case process, and are expected to be collected through retail rates from customers. Foreign Currency Exchange Derivatives A significant portion of Avista Corp.’s natural gas supply (including fuel for power generation) is obtained from Canadian sources. Most of those transactions are executed in U.S. dollars, which avoids foreign currency risk. A portion of Avista Corp.’s short-term natural gas transactions and long-term Canadian transportation contracts are committed based on Canadian currency prices. The short-term natural gas transactions are settled within 60 days with U.S. dollars. Avista Corp. hedges a portion of the foreign currency risk by purchasing Canadian currency exchange derivatives when such commodity transactions are initiated. The foreign currency exchange derivatives and the unhedged foreign currency risk have not had a material effect on Avista Corp.’s financial condition, results of operations or cash flows and these differences in cost related to currency fluctuations are included with natural gas supply costs for ratemaking. The following table summarizes the foreign currency exchange derivatives that Avista Corp. has outstanding as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, 2022 2021 Number of contracts 22 25 Notional amount (in United States dollars) $ 8,647 $ 8,571 Notional amount (in Canadian dollars) 11,554 10,957 Interest Rate Swap Derivatives Avista Corp. is affected by fluctuating interest rates related to a portion of its existing debt, and future borrowing requirements. Avista Corp. hedges a portion of its interest rate risk with financial derivative instruments, which may include interest rate swap derivatives. These interest rate swap derivatives are considered economic hedges against fluctuations in future cash flows associated with anticipated debt issuances. The following table summarizes the unsettled interest rate swap derivatives that Avista Corp. has outstanding as of September 30, 2022 and December 31, 2021 (dollars in thousands): Balance Sheet Date Number of Notional Mandatory September 30, 2022 3 $ 30,000 2023 1 10,000 2024 December 31, 2021 13 $ 140,000 2022 2 20,000 2023 1 10,000 2024 See Note 9 for discussion of the issuance of first mortgage bonds and the related settlement of interest rate swaps in connection with the pricing of the bonds in March 2022. The fair value of outstanding interest rate swap derivatives can vary significantly from period to period depending on the total notional amount of swap derivatives outstanding and fluctuations in market interest rates compared to the interest rates fixed by the swaps. Avista Corp. is required to make cash payments to settle the interest rate swap derivatives when the fixed rates are higher than prevailing market rates at the date of settlement. Conversely, Avista Corp. receives cash to settle its interest rate swap derivatives when prevailing market rates at the time of settlement exceed the fixed swap rates. Summary of Outstanding Derivative Instruments The amounts recorded on the Condensed Consolidated Balance Sheet as of September 30, 2022 and December 31, 2021 reflect the offsetting of derivative assets and liabilities where a legal right of offset exists. The following table presents the fair values and locations of derivative instruments recorded on the Condensed Consolidated Balance Sheet as of September 30, 2022 (in thousands): Fair Value Derivative and Balance Sheet Location Gross Gross Collateral Net Asset Foreign currency exchange derivatives Other current liabilities $ — $ ( 221 ) $ — $ ( 221 ) Interest rate swap derivatives Other property and investments-net and other non-current assets 10,384 — — 10,384 Energy commodity derivatives Other current assets 49,379 ( 44,357 ) — 5,022 Other property and investments-net and other non-current assets 9,895 ( 7,538 ) — 2,357 Other current liabilities 30,473 ( 43,867 ) 10,619 ( 2,775 ) Other non-current liabilities and deferred credits 6,207 ( 12,764 ) 1,884 ( 4,673 ) Total derivative instruments recorded on the balance sheet $ 106,338 $ ( 108,747 ) $ 12,503 $ 10,094 The following table presents the fair values and locations of derivative instruments recorded on the Condensed Consolidated Balance Sheet as of December 31, 2021 (in thousands): Fair Value Derivative and Balance Sheet Location Gross Gross Collateral Net Asset Foreign currency exchange derivatives Other current liabilities $ — $ ( 19 ) $ — $ ( 19 ) Interest rate swap derivatives Other property and investments-net and other non-current assets 1,149 — — 1,149 Other current liabilities 1,170 ( 25,196 ) — ( 24,026 ) Other non-current liabilities and deferred credits — ( 78 ) — ( 78 ) Energy commodity derivatives Other current assets 1,506 ( 107 ) — 1,399 Other property and investments-net and other non-current assets 6,844 ( 5,335 ) — 1,509 Other current liabilities 25,771 ( 39,616 ) 9,089 ( 4,756 ) Other non-current liabilities and deferred credits 141 ( 4,589 ) — ( 4,448 ) Total derivative instruments recorded on the balance sheet $ 36,581 $ ( 74,940 ) $ 9,089 $ ( 29,270 ) Exposure to Demands for Collateral Avista Corp.'s derivative contracts often require collateral (in the form of cash or letters of credit) or other credit enhancements, or reductions or terminations of a portion of the contract through cash settlement. In the event of a downgrade in Avista Corp.'s credit ratings or changes in market prices, additional collateral may be required. In periods of price volatility, the level of exposure can change significantly. As a result, sudden and significant demands may be made against Avista Corp.'s credit facilities and cash. Avista Corp. actively monitors the exposure to possible collateral calls and takes steps to mitigate capital requirements. The following table presents Avista Corp.'s collateral outstanding related to its derivative instruments as of September 30, 2022 and December 31, 2021 (in thousands): September 30, December 31, 2022 2021 Energy commodity derivatives Cash collateral posted $ 59,929 $ 30,567 Letters of credit outstanding 26,000 34,000 Balance sheet offsetting 12,503 9,089 There was no cash collateral or letters of credit outstanding related to interest rate swap derivatives a s of September 30, 2022 and December 31, 2021. Certain of Avista Corp.’s derivative instruments contain provisions that require Avista Corp. to maintain an "investment grade" credit rating from the major credit rating agencies. If Avista Corp.’s credit ratings were to fall below "investment grade," it would be in violation of these provisions, and the counterparties to the derivative instruments could request immediate payment or demand immediate and ongoing collateralization on derivative instruments in net liability positions. The following table presents the aggregate fair value of all derivative instruments with credit-risk-related contingent features that are in a liability position and the amount of additional collateral Avista Corp. could be required to post as of September 30, 2022 and December 31, 2021 (in thousands): September 30, December 31, 2022 2021 Interest rate swap derivatives Liabilities with credit-risk-related contingent features $ — $ 25,274 Additional collateral to post — 25,274 |
Pension Plans and Other Postret
Pension Plans and Other Postretirement Benefit Plans | 9 Months Ended |
Sep. 30, 2022 | |
Retirement Benefits, Description [Abstract] | |
Pension Plans and Other Postretirement Benefit Plans | NOTE 6. PENSION PLANS AND OTHE R POSTRETIREMENT BENEFIT PLANS Avista Utilities The Company contributed $ 42.0 million in cash to the pension plan for the nine months ended September 30, 2022 , and does no t expect further contributions in 2022. The Company uses a December 31 measurement date for its defined benefit pension and other postretirement benefit plans. The following table sets forth the components of net periodic benefit costs for the three and nine months ended September 30 (dollars in thousands): Pension Benefits Other Postretirement Benefits 2022 2021 2022 2021 Three months ended September 30: Service cost $ 5,914 $ 6,412 $ 1,095 $ 1,062 Interest cost 6,578 6,528 1,343 1,305 Expected return on plan assets ( 10,950 ) ( 9,835 ) ( 700 ) ( 509 ) Amortization of prior service cost 75 75 ( 275 ) ( 275 ) Net loss recognition 997 1,592 826 777 Net periodic benefit cost $ 2,614 $ 4,772 $ 2,289 $ 2,360 Nine months ended September 30: Service cost $ 17,914 $ 18,912 $ 3,255 $ 2,967 Interest cost 20,005 19,638 4,167 3,990 Expected return on plan assets ( 32,851 ) ( 29,314 ) ( 2,100 ) ( 1,967 ) Amortization of prior service cost 225 225 ( 825 ) ( 825 ) Net loss recognition 3,084 5,103 2,586 3,196 Net periodic benefit cost $ 8,377 $ 14,564 $ 7,083 $ 7,361 Total service costs in the table above are recorded to the same accounts as labor expense. Labor and benefits expense is recorded to various projects based on whether the work is a capital project or an operating expense. Approximately 40 percent of all labor and benefits is capitalized to utility property and 60 percent is expensed to utility other operating expenses. The non-service portion of costs in the table above are recorded to other expense below income from operations in the Condensed Consolidated Statements of Income or capitalized as a regulatory asset. Approximately 40 percent of the costs are capitalized to regulatory assets and 60 percent is expensed to the income statement. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 7. IN COME TAXES In accordance with interim reporting requirements, the Company uses an estimated annual effective tax rate for computing its provisions for income taxes. An estimate of annual income tax expense (or benefit) is made each interim period using estimates for annual pre-tax income, income tax adjustments, and tax credits. The estimated annual effective tax rates do not include discrete events such as tax law changes, examination settlements, accounting method changes, or adjustments to tax expense or benefits attributable to prior years. Discrete events are recorded in the interim period in which they occur or become known. The estimated annual tax rate is applied to year-to-date pre-tax income to determine income tax expense (or benefit) for the interim period consistent with the annual estimate. In subsequent interim periods, income tax expense (or benefit) for the period is computed as the difference between the year-to-date amount reported for the previous interim period and the current period’s year-to-date amount. The following table summarizes the significant factors impacting the difference between our effective tax rate and the federal statutory rate for the three and nine months ended September 30 (dollars in thousands): Three months ended September 30, Nine months ended September 30, 2022 2021 2022 2021 Federal income taxes at statutory rates $ ( 1,185 ) 21.0 % $ 1,876 21.0 % $ 13,764 21.0 % $ 22,173 21.0 % Increase (decrease) in tax resulting from: Flow through related to deduction of meters 1,192 ( 21.1 ) ( 5,277 ) ( 59.1 ) ( 18,643 ) ( 28.4 ) ( 5,277 ) ( 5.0 ) Tax effect of regulatory treatment of utility 420 ( 7.5 ) ( 1,697 ) ( 19.0 ) ( 6,878 ) ( 10.5 ) ( 8,748 ) ( 8.3 ) State income tax expense ( 45 ) 0.8 166 1.9 856 1.3 885 0.8 Settlement of equity awards — — — — ( 19 ) — 909 0.9 Settlement of prior year tax returns ( 318 ) 5.6 ( 400 ) ( 4.5 ) ( 318 ) ( 0.5 ) ( 400 ) ( 0.4 ) Other 93 ( 1.6 ) ( 100 ) ( 1.1 ) ( 440 ) ( 0.7 ) ( 412 ) ( 0.4 ) Total income tax expense (benefit) $ 157 ( 2.8 )% $ ( 5,432 ) ( 60.8 )% $ ( 11,678 ) ( 17.8 )% $ 9,130 8.6 % (1) In September and October 2021, new rates from the Company's Idaho and Washington general rate cases went into effect. While there were base rate increases approved in each of the cases, these base rate increases were offset by tax customer credits which resulted in no increase in customer billing rates. As the tax customer credits are returned to customers, this results in a decrease to income tax expense as a result of flowing through the benefits related to meters and mixed service costs. This decrease in income tax expense represents the benefits to the Company as a result of these general rate cases. (2) In 2017, the Tax Cuts and Jobs Act (TCJA) reduced the corporate income tax rate, which resulted in a reduction to deferred income tax assets and liabilities. Prior to 2022, for depreciation-related temporary differences that are returned to customers, the Company utilized the average rate assumption method to compute the amounts returned to customers. Beginning in 2022, the Company changed to the alternative method provided for in the TCJA, to be in compliance with recently released revenue procedures and private letter rulings. Inflation Reduction Act The Inflation Reduction Act of 2022 (IRA) was signed into law in August 2022. Among the provisions included in the IRA was the implementation of a new corporate alternative minimum tax, which is applicable to corporations with average adjusted financial statement income over a three-year period in excess of $1 billion. The corporate alternative minimum tax is not expected to impact the Company's financial results, and there are no immediate impacts of the IRA to the three and nine months ended September 30, 2022 . |
Committed Lines of Credit
Committed Lines of Credit | 9 Months Ended |
Sep. 30, 2022 | |
Short-Term Debt [Abstract] | |
Committed Lines of Credit | NOTE 8. COMMITTED LINES OF CREDIT Avista Corp. Avista Corp. has a committed line of credit with various financial institutions in the total amount of $ 400.0 million. The committed line of credit has an expiration date of June 2026 , with the option to extend for an additional one year period (subject to customary conditions). The committed line of credit is secured by non-transferable first mortgage bonds of the Company issued to the agent bank that would only become due and payable in the event, and then only to the extent, that the Company defaults on its obligations under the committed line of credit. Balances outstanding and interest rates of borrowings (excluding letters of credit) under the Company’s revolving committed line of credit were as follows as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, 2022 2021 Balance outstanding at end of period $ 268,000 $ 284,000 Letters of credit outstanding at end of period $ 30,288 $ 34,000 Average interest rate at end of period 3.85 % 1.11 % AEL&P AEL&P has a committed line of credit in the amount of $ 25.0 million that expires in November 2024 . There were no borrowings or letters of credit outstanding under this agreement as of September 30, 2022 and December 31, 2021 . The committed line of credit is secured by non-transferable first mortgage bonds of AEL&P issued to the agent bank that would only become due and payable in the event, and then only to the extent, that AEL&P defaults on its obligations under the committed line of credit. |
Long-Term Debt
Long-Term Debt | 9 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Long Term Debt | NOTE 9. LONG-TERM DEBT In March 2022, the Company issued and sold $ 400.0 mi llion of 4.00 percent first mortgage bonds due in 2052 through a public offering. In connection with the pricing of the first mortgage bonds in March 2022, the Company cash-settled thirteen interest rate swap derivatives (notional aggregate amount of $ 140.0 million) and paid a net amount of $ 17.0 million, which will be amortized as a component of interest expense over the life of the debt. See Note 5 for a discussion of interest rate swap derivatives. The total net proceeds from the sale of the new bonds was used to repay the borrowings outstanding under the Company’s $ 400.0 million committed line of credit in March 2022. In April 2022, the Company used the remainder of the proceeds, as well as borrowings on committed line of credit to pay off $ 250.0 million of maturing debt. |
Long- Term Debt to Affiliated T
Long- Term Debt to Affiliated Trusts | 9 Months Ended |
Sep. 30, 2022 | |
Long Term Debt To Affiliated Trust [Abstract] | |
Long- Term Debt To Affiliated Trusts | NOTE 10. LONG-TERM DEB T TO AFFILIATED TRUSTS In 1997 , the Company issued Floating Rate Junior Subordinated Deferrable Interest Debentures, Series B, with a principal amount of $ 51.5 million to Avista Capital II, an affiliated business trust formed by the Company. Avista Capital II issued $ 50.0 million of Preferred Trust Securities with a floating distribution rate of LIBOR plus 0.875 percent, calculated and reset quarterly. Effective in July 2023, the reference to LIBOR in the formulation for the distribution rate on these securities will be replaced, by operation of law, with a new benchmark identified by the Federal Reserve Board that is based on SOFR including a tenor spread adjustment, as calculated and published by an administrator selected by the Federal Reserve Board. Accordingly, the distribution rate on the Preferred Trust Securities will then be that replacement benchmark (including spread) plus 0.875 percent. The distribution rates were as follows during the nine months ended September 30, 2022 and the year ended December 31, 2021: September 30, December 31, 2022 2021 Low distribution rate 1.05 % 0.99 % High distribution rate 3.96 % 1.10 % Distribution rate at the end of the period 3.96 % 1.05 % Concurrent with the issuance of the Preferred Trust Securities, Avista Capital II issued $ 1.5 million of Common Trust Securities to the Company. The Preferred Trust Securities may be redeemed at the option of Avista Capital II at any time and mature on June 1, 2037. In December 2000, the Company purchased $ 10.0 million of these Preferred Trust Securities. The Company owns 100 percent of Avista Capital II and has solely and unconditionally guaranteed the payment of distributions on, and redemption price and liquidation amount for, the Preferred Trust Securities to the extent that Avista Capital II has funds available for such payments from the respective debt securities. Upon maturity or prior redemption of such debt securities, the Preferred Trust Securities will be mandatorily redeemed. The Company does not include these capital trusts in its consolidated financial statements as Avista Corp. is not the primary beneficiary. As such, the sole assets of the capital trusts are $ 51.5 million of junior subordinated deferrable interest debentures of Avista Corp., which are reflected on the Condensed Consolidated Balance Sheets. Interest expense to affiliated trusts in the Condensed Consolidated Statements of Income represents interest expense on these debentures. |
Fair Value
Fair Value | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value | NOTE 11. FAIR VALUE The carrying values of cash and cash equivalents, accounts and notes receivable, accounts payable, and short-term borrowings as shown on the Condensed Consolidated Balance Sheets are reasonable estimates of their fair values. The carrying values of long-term debt (including current portion and material finance leases) and long-term debt to affiliated trusts as shown on the Condensed Consolidated Balance Sheets may be different from the estimated fair value. See below for the estimated fair value of long-term debt and long-term debt to affiliated trusts. The fair value hierarchy prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to fair values derived from unobservable inputs (Level 3 measurement). The three levels of the fair value hierarchy are defined as follows: Level 1 – Quoted prices are available in active markets for identical assets or liabilities. Active markets are those in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis. Level 2 – Pricing inputs are other than quoted prices in active markets included in Level 1, but which are either directly or indirectly observable as of the reporting date. Level 2 includes those financial instruments that are valued using models or other valuation methodologies. These models are primarily industry-standard models that consider various assumptions, including quoted forward prices for commodities, time value, volatility factors, and current market and contractual prices for the underlying instruments, as well as other relevant economic measures. Substantially all of these assumptions are observable in the marketplace throughout the full term of the instrument, can be derived from observable data or are supported by observable levels at which transactions are executed in the marketplace. Level 3 – Pricing inputs include significant inputs that are generally unobservable from objective sources. These inputs may be used with internally developed methodologies that result in management’s best estimate of fair value. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the valuation of fair value assets and liabilities and their placement within the fair value hierarchy levels. The determination of the fair values incorporates various factors that not only include the credit standing of the counterparties involved and the impact of credit enhancements (such as cash deposits and letters of credit), but also the impact of Avista Corp.’s nonperformance risk on its liabilities. The following table sets forth the carrying value and estimated fair value of the Company’s financial instruments not reported at estimated fair value on the Condensed Consolidated Balance Sheets as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, 2022 December 31, 2021 Carrying Estimated Carrying Estimated Long-term debt (Level 2) $ 1,113,500 $ 967,695 $ 963,500 $ 1,157,651 Long-term debt (Level 3) 1,200,000 890,658 1,200,000 1,366,619 Snettisham finance lease obligation (Level 3) 46,501 41,800 48,815 54,000 Long-term debt to affiliated trusts (Level 3) 51,547 40,908 51,547 43,299 These estimates of fair value of long-term debt and long-term debt to affiliated trusts were primarily based on available market information, which generally consists of estimated market prices from third party brokers for debt with similar risk and terms. The price ranges obtained from the third party brokers consisted of market prices of 61.29 percent to 104.10 percent of the principal amount, where a market price of 100.0 percent (adjusted for unamortized discount or premium) represents the carrying value recorded on the Condensed Consolidated Balance Sheets. Level 2 long-term debt represents publicly issued bonds with quoted market prices; however, due to their limited trading activity, they are classified as Level 2 because brokers must generate quotes and make estimates if there is no trading activity near a period end. Level 3 long-term debt consists of private placement bonds and debt to affiliated trusts, which typically have no secondary trading activity. Fair values in Level 3 are estimated based on market prices from third party brokers using secondary market quotes for debt with similar risk and terms to generate quotes for Avista Corp. bonds. Due to the unique nature of the Snettisham finance lease obligation, the estimated fair value of these items was determined based on a discounted cash flow model using available market information. The Snettisham finance lease obligation was discounted to present value using the Morgan Markets A Ex-Fin discount rate as published on September 30, 2022 and December 31, 2021. The following table discloses by level within the fair value hierarchy the Company’s assets and liabilities measured and reported on the Condensed Consolidated Balance Sheets as of September 30, 2022 and December 31, 2021 at fair value on a recurring basis (dollars in thousands): Level 1 Level 2 Level 3 Counterparty Total September 30, 2022 Assets: Energy commodity derivatives $ — $ 95,579 $ — $ ( 88,200 ) $ 7,379 Level 3 energy commodity derivatives: Natural gas exchange agreement — — 375 ( 375 ) — Interest rate swap derivatives — 10,384 — — 10,384 Deferred compensation assets: Mutual Funds: Fixed income securities (2) 1,381 — — — 1,381 Equity securities (2) 6,076 — — — 6,076 Total $ 7,457 $ 105,963 $ 375 $ ( 88,575 ) $ 25,220 Liabilities: Energy commodity derivatives $ — $ 101,311 $ — $ ( 100,703 ) $ 608 Level 3 energy commodity derivatives: Natural gas exchange agreement — — 7,215 ( 375 ) 6,840 Foreign currency exchange derivatives — 221 — — 221 Total $ — $ 101,532 $ 7,215 $ ( 101,078 ) $ 7,669 December 31, 2021 Assets: Energy commodity derivatives $ — $ 34,119 $ — $ ( 31,211 ) $ 2,908 Level 3 energy commodity derivatives: Natural gas exchange agreement — — 143 ( 143 ) — Interest rate swap derivatives — 2,319 — ( 1,170 ) 1,149 Deferred compensation assets: Mutual Funds: Fixed income securities (2) 1,809 — — — 1,809 Equity securities (2) 7,594 — — — 7,594 Total $ 9,403 $ 36,438 $ 143 $ ( 32,524 ) $ 13,460 Liabilities: Energy commodity derivatives $ — $ 41,733 $ — $ ( 40,300 ) $ 1,433 Level 3 energy commodity derivatives: Natural gas exchange agreement — — 7,914 ( 143 ) 7,771 Foreign currency exchange derivatives — 19 — - 19 Interest rate swap derivatives — 25,274 — ( 1,170 ) 24,104 Total $ — $ 67,026 $ 7,914 $ ( 41,613 ) $ 33,327 (1) The Company is permitted to net derivative assets and derivative liabilities with the same counterparty when a legally enforceable master netting agreement exists. In addition, the Company nets derivative assets and derivative liabilities against any payables and receivables for cash collateral held or placed with these same counterparties. (2) These assets are included in other property and investments-net and other non-current assets on the Condensed Consolidated Balance Sheets. The difference between the amount of derivative assets and liabilities disclosed in respective levels in the table above and the amount of derivative assets and liabilities disclosed on the Condensed Consolidated Balance Sheets is due to netting arrangements with certain counterparties. See Note 5 for additional discussion of derivative netting. To establish fair value for energy commodity derivatives, the Company uses quoted market prices and forward price curves to estimate the fair value of energy commodity derivative instruments included in Level 2. In particular, electric derivative valuations are performed using market quotes, adjusted for periods in between quotable periods. Natural gas derivative valuations are estimated using New York Mercantile Exchange pricing for similar instruments, adjusted for basin differences, using market quotes. Where observable inputs are available for substantially the full term of the contract, the derivative asset or liability is included in Level 2. To establish fair values for interest rate swap derivatives, the Company uses forward market curves for interest rates for the term of the swaps and discounts the cash flows back to present value using an appropriate discount rate. The discount rate is calculated by third party brokers according to the terms of the swap derivatives and evaluated by the Company for reasonableness, with consideration given to the potential non-performance risk by the Company. Future cash flows of the interest rate swap derivatives are equal to the fixed interest rate in the swap compared to the floating market interest rate multiplied by the notional amount for each period. To establish fair value for foreign currency derivatives, the Company uses forward market curves for Canadian dollars against the US dollar and multiplies the difference between the locked-in price and the market price by the notional amount of the derivative. Forward foreign currency market curves are provided by third party brokers. The Company's credit spread is factored into the locked-in price of the foreign exchange contracts. Deferred compensation assets and liabilities represent funds held by the Company in a Rabbi Trust for an executive deferral plan. These funds consist of actively traded equity and bond funds with quoted prices in active markets. The balances disclosed in the table above exclude cash and cash equivalents of $ 0.1 million and $ 0.1 million as of September 30, 2022 and December 31, 2021, respectively. Level 3 Fair Value The following table presents the quantitative information which was used to estimate the fair values of the Level 3 assets and liabilities above as of September 30, 2022 (dollars in thousands): Fair Value Valuation Unobservable Range and Weighted September 30, 2022 Technique Input Average Price Natural gas exchange agreement $ ( 6,840 ) Internally derived weighted average cost of gas Forward purchase prices $ 3.37 - $ 4.56 /mmBTU 3.92 Weighted Average Forward sales prices $ 3.48 - $ 9.06 /mmBTU 6.23 Weighted Average Purchase volumes 130,000 - 310,000 mmBTUs Sales volumes 75,000 - 310,000 mmBTUs The following table presents activity for the natural gas exchange agreement derivative assets (liabilities) measured at fair value using significant unobservable inputs (Level 3) for the three and nine months ended September 30 (dollars in thousands): Three Months Ended September 30: Nine Months Ended September 30: 2022 2021 2022 2021 Beginning balance $ ( 2,289 ) $ ( 6,078 ) $ ( 7,771 ) $ ( 8,410 ) Total gains (realized/unrealized): Included in regulatory assets/liabilities (1) ( 4,551 ) ( 4,971 ) 3,144 ( 1,482 ) Settlements — — ( 2,213 ) ( 1,157 ) Ending balance (2) $ ( 6,840 ) $ ( 11,049 ) $ ( 6,840 ) $ ( 11,049 ) (1) All gains and losses are included in other regulatory assets and liabilities. There were no gains and losses included in either net income or other comprehensive income during any of the periods presented in the table above. (2) There were no purchases, issuances or transfers from other categories of any derivatives instruments during the periods presented in the table above. Nonrecurring Fair Value Measurements The Company holds equity investments through its non-utility subsidiaries without readily determinable fair values. These assets are adjusted on a nonrecurring basis as a result of observable changes in fair value as of the measurement date, such as the date of a transaction involving the underlying asset, using the measurement alternative. These assets are measured using the market approach, and are Level 2 assets. The carrying value of these equity investments without a readily determinable fair value was $ 43.2 million and $ 24.2 million as of September 30, 2022 and December 31, 2021, respectively. The Company recognized a $ 3.8 million gain in the three months ended September 30, 2022, and a $ 5.0 million gain in the three months ended September 30, 2021 due to fair value adjustments. Gains recognized as a result of fair value adjustments were $ 12.7 million and $ 5.2 million for the nine months ended September 30, 2022 and 2021, respectively. In addition to these gains recognized in 2022, the Company made additional capital investments. On a cumulative basis, the Company has recognized a net gain of $ 24.1 million for fair value adjustments on equity investments without a readily determinable fair value held as of September 30, 2022 . |
Common Stock
Common Stock | 9 Months Ended |
Sep. 30, 2022 | |
Stockholders' Equity Note [Abstract] | |
Common Stock | NOTE 12. CO MMON STOCK The Company issued common stock for total net proceeds of $ 32.2 million and $ 93.0 million during the three and nine months ended September 30, 2022, respectively. Most of these issuances came through the Company's sales agency agreements under which the sales agents may offer and sell new shares of common stock from time to time. Under these sales agency agreements, the Company issued 0.8 million shares and 2.1 million shares during the three and nine months ended September 30, 2022, respectively. In April 2022, the Company completed the board and regulatory approval processes to issue an additional 4.8 million shares . |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 9 Months Ended |
Sep. 30, 2022 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Accumulated Other Comprehensive Loss | NOTE 13. ACCUMULATED OT HER COMPREHENSIVE LOSS Accumulated other comprehensive loss, net of tax, consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, Unfunded benefit obligation for pensions and other postretirement benefit plans - 2,716 and $ 2,934 , respectively $ 10,218 $ 11,039 The following table details the reclassifications out of accumulated other comprehensive loss to net income by component for the three and nine months ended September 30 (dollars in thousands): Amounts Reclassified from Accumulated Other Three months ended September 30, Nine months ended September 30, Details about Accumulated Other Comprehensive Loss Components 2022 2021 2022 2021 Amortization of defined benefit pension and Amortization of net prior service cost (a) $ ( 200 ) $ ( 200 ) $ ( 600 ) $ ( 600 ) Amortization of net loss (a) 1,823 2,369 5,670 8,299 Adjustment due to effects of regulation (a) ( 1,279 ) ( 1,784 ) ( 4,031 ) ( 6,525 ) Total before tax (b) 344 385 1,039 1,174 Tax expense (b) ( 72 ) ( 81 ) ( 218 ) ( 247 ) Net of tax (b) $ 272 $ 304 $ 821 $ 927 (a) These accumulated other comprehensive loss components are included in the computation of net periodic pension cost (see Note 6 for additional details). (b) Description is also the affected line item on the Condensed Consolidated Statement of Income. |
Earnings (loss) Per Common Shar
Earnings (loss) Per Common Share | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings (loss) Per Common Share | NOTE 14. EARNINGS (LOSS) PER COMMON SHAR E The following table presents the computation of basic and diluted earnings (loss) per common share for the three and nine months ended September 30 (in thousands, except per share amounts): Three months ended September 30, Nine months ended September 30, 2022 2021 2022 2021 Numerator: Net income (loss) $ ( 5,798 ) $ 14,366 $ 77,220 $ 96,457 Denominator: Weighted-average number of common shares outstanding-basic 73,229 70,054 72,547 69,582 Effect of dilutive securities: Performance and restricted stock awards 69 75 82 140 Weighted-average number of common shares outstanding-diluted 73,298 70,129 72,629 69,722 Earnings (loss) per common share: Basic $ ( 0.08 ) $ 0.21 $ 1.06 $ 1.39 Diluted $ ( 0.08 ) $ 0.20 $ 1.06 $ 1.38 There were no shares excluded from the calculation because they were antidilutive. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 15. COMMITMENT S AND CONTINGENCIES In the course of its business, the Company becomes involved in various claims, controversies, disputes and other contingent matters, including the items described in this Note. Some of these claims, controversies, disputes and other contingent matters involve litigation or other contested proceedings. For all such matters, the Company will vigorously protect and defend its interests and pursue its rights. However, no assurance can be given as to the ultimate outcome of any particular matter because litigation and other contested proceedings are inherently subject to numerous uncertainties. For matters that affect Avista Utilities’ or AEL&P's operations, the Company intends to seek, to the extent appropriate, recovery of incurred costs through the ratemaking process. Collective Bargaining Agreements The Company’s collective bargaining agreement with the IBEW represents approximately 40 percent of all of Avista Corp.’s employees. The Company’s largest represented group, representing approximately 90 percent of Avista Corp.’s bargaining unit employees in Washington and Idaho, were covered under a three-year agreement which expired in March 2021. In March 2022, a new four-year collective bargaining agreement was reached with the IBEW. The new agreement is retroactive to March 2021 and expires in March 2025. Boyds Fire (State of Washington Department of Natural Resources (DNR) v. Avista) In August 2019, the Company was served with a complaint, captioned “State of Washington Department of Natural Resources v. Avista Corporation,” seeking recovery of up to $ 4.4 million for fire suppression and investigation costs and related expenses incurred in connection with a wildfire that occurred in Ferry County, Washington in August 2018. Specifically, the complaint alleges that the fire, which became known as the “Boyds Fire,” was caused by a dead ponderosa pine tree falling into an overhead distribution line, and that Avista Corp. was negligent in failing to identify and remove the tree before it came into contact with the line. Avista Corp. disputes that the tree in question was the cause of the fire and that it was negligent in failing to identify and remove it. Additional lawsuits have subsequently been filed by private landowners seeking property damages, and holders of insurance subrogation claims seeking recovery of insurance proceeds paid. The lawsuits were filed in the Superior Court of Ferry County, Washington. The Company continues to vigorously defend itself in the litigation. However, at this time the Company is unable to predict the likelihood of an adverse outcome or estimate a range of potential loss in the event of such an outcome. Road 11 Fire In April 2022, Avista Corp. received a notice of claim from property owners seeking damages of $ 5 million in connection with a fire that occurred in Douglas County, Washington, in July 2020. In June 2022, those claimants filed suit in the Superior Court of Douglas County, Washington, seeking unspecified damages. The fire, which was designated as the “Road 11 Fire,” occurred in the vicinity of an Avista Corp. 115kv line, resulting in damage to three overhead transmission structures. The fire occurred during a high wind event and grew to 10,000 acres before being contained. The Company disputes that it is liable for the fire and will vigorously defend itself in the pending legal proceeding; however, at this time the Company is unable to predict the likelihood of an adverse outcome or estimate a range of potential loss in the event of such an outcome. Labor Day 2020 Windstorm General In September 2020, a severe windstorm occurred in eastern Washington and northern Idaho. The extreme weather event resulted in customer outages and multiple wildfires in the region. The Company has become aware of instances where, during the course of the storm, otherwise healthy trees and limbs, located in areas outside its maintenance right-of-way, broke under the extraordinary wind conditions and caused damage to its energy delivery system at or near what is believed to be the potential area of origin of a wildfire. Those instances include what has been referred to as: the Babb Road fire (near Malden and Pine City, Washington); the Christensen Road fire (near Airway Heights, Washington); the Mile Marker 49 fire (near Orofino, Idaho); and the Kewa Field Fire (near Colville, Washington). The Company estimates approximately 230 residential, commercial and other structures were impacted. With respect to the Christensen Road Fire, the Mile Marker 49 Fire, and the Kewa Field Fire, the Company’s investigation determined that the primary cause of the fires was extreme high winds. To date, the Company has not found any evidence that the fires were caused by any deficiencies in its equipment, maintenance activities or vegetation management practices. See further discussion below regarding the Babb Road Fire. The Company’s investigation has found no evidence of negligence with respect to any of the fires, and the Company will vigorously defend itself against any claims for damages that may be asserted against it with respect to the wildfires arising out of the extreme wind event; however, at this time the Company is unable to predict the likelihood of an adverse outcome or estimate a range of potential loss in the event of such an outcome. Babb Road Fire In May 2021 the Company learned that the Washington Department of Natural Resources (DNR) had completed its investigation and issued a report on the Babb Road Fire. The Babb Road fire covered approximately 15,000 acres and destroyed approximately 220 structures. There are no reports of personal injury or death resulting from the fire. The DNR report concluded, among other things, that • the fire was ignited when a branch of a multi-dominant Ponderosa Pine tree was broken off by the wind and fell on an Avista Corp. distribution line; • the tree was located approximately 30 feet from the center of Avista Corp.’s distribution line and approximately 20 feet beyond Avista Corp.’s right-of-way; • the tree showed some evidence of insect damage, damage at the top of the tree from porcupines, a small area of scarring where a lateral branch/leader (LBL) had broken off in the past, and some past signs of Gall Rust disease. The DNR report concluded as follows: “It is my opinion that because of the unusual configuration of the tree, and its proximity to the powerline, a closer inspection was warranted. A nearer inspection of the tree should have revealed the cut LBL ends and its previous failure, and necessitated determination of the failure potential of the adjacent LBL, implicated in starting the Babb Road Fire.” The DNR report acknowledged that, other than the multi-dominant nature of the tree, the conditions mentioned above would not have been easily visible without close-up inspection of, or cutting into, the tree. The report also acknowledged that, while the presence of multiple tops would have been visible from the nearby roadway, the tree did not fail at a v-fork due to the presence of multiple tops. The Company contends that applicable inspection standards did not require a closer inspection of the otherwise healthy tree, nor was the Company negligent with respect to its maintenance, inspection or vegetation management practices. Eight lawsuits seeking unspecified damages have been filed in connection with the Babb Road fire. These include five subrogation actions filed by insurance companies seeking recovery for amounts paid to insureds; two actions on behalf of individual plaintiffs; and a class action lawsuit. All proceedings have been consolidated for discovery and pre-trial proceedings, are pending in the Superior Court of Spokane County Washington, and variously assert causes of action for negligence, private nuisance, trespass and inverse condemnation (a theory of strict liability). On September 16, 2022, the Company filed a motion in the Superior Court of Spokane County, Washington, seeking dismissal of the Plaintiffs' inverse condemnation claims as a matter of law on the grounds that they are not legally cognizable under Washington law. On October 14, 2022, the Superior Court heard oral argument on that motion. The Court concluded the Company's motion involved mixed questions of law and fact and, as a consequence, could not be granted at that stage of the proceedings; however, the Court indicated the Company could bring the issue before the Court again after discovery is completed. The Company will vigorously defend itself in the legal proceedings; however, at this time the Company is unable to predict the likelihood of an adverse outcome or estimate a range of potential loss in the event of such an outcome. Colstrip Colstrip Owners Arbitration and Litigation Colstrip Units 3 and 4 are owned by the Company, PacifiCorp, Portland General Electric (PGE), and Puget Sound Energy (PSE) (collectively, the "Western Co-Owners"), as well as NorthWestern and Talen Montana, LLC (Talen), as tenants in common under an Ownership and Operating Agreement, dated May 6, 1981, as amended (O&O Agreement), in the percentages set forth below: Co-Owner Unit 3 Unit 4 Avista 15 % 15 % PacifiCorp 10 % 10 % PGE 20 % 20 % PSE 25 % 25 % NorthWestern — 30 % Talen 30 % — Colstrip Units 1 and 2, owned by PSE and Talen, were shut down in 2020 and are in the process of being decommissioned. The co-owners of Units 3 and 4 also own undivided interests in facilities common to both Units 3 and 4, as well as in certain facilities common to all four Colstrip units. The Washington Clean Energy Transformation Act (CETA), among other things, imposes deadlines by which each electric utility must eliminate from its electricity rates in Washington the costs and benefits associated with coal-fired resources, such as Colstrip. The practical impact of CETA is that electricity from such resources, including Colstrip, may no longer be delivered to Washington retail customers after 2025. The co-owners of Colstrip Units 3 and 4 have differing needs for the generating capacity of these units. Accordingly, certain business disagreements have arisen among the co-owners, including, disagreements as to the requirements for shutting down these units. These business disagreements, in turn, have led to disagreements as to the interpretation of the O&O Agreement, including, but not limited to, whether a 55 percent vote of the Owner’s Committee is sufficient or whether unanimous consent of the owners is required to either remove a Colstrip unit from service or make a determination that the project can no longer be operated consistent with prudent utility practice or the requirements of governmental agencies having jurisdiction. NorthWestern has initiated arbitration pursuant to the O&O Agreement to resolve these business disagreements, and two actions have been initiated to compel arbitration of those disputes: one by Talen in the Montana Thirteenth Judicial District Court for Yellowstone County, and one by the Western Co-Owners, which is pending in Montana Federal District Court. Both the arbitration and these legal proceedings remain pending. In addition, there are legal proceedings pending in Montana Federal District Court with respect to the validity and constitutionality of changes to Montana law enacted in 2021 after the foregoing disputes arose. The Western Co-Owners are plaintiffs in those proceedings. Specifically, the Western Co-Owners challenged the validity and constitutionality of Montana Senate Bill 265, which purports to modify the provisions in the O&O Agreement governing arbitration of any controversies arising out of or relating to the O&O Agreement to require arbitration before a single arbitrator experienced in the subject matter, in Montana (as opposed to Washington), and under Montana law (as opposed to Washington). NorthWestern and Talen are defendants with regard to the claims against Senate Bill 265. The Western Co-Owners also challenged the constitutionality of Senate Bill 266, which purports to make (1) the failure or refusal of an owner of a jointly owned electrical generation facility in the state to fund its share of operating costs associated with a jointly owned electrical generation facility, and (2) conduct by one or more owners of a jointly owned electrical generation facility in the state to bring about permanent closure of a generating unit of a facility without seeking and obtaining the consent of all co-owners of a generating unit, violations of Montana’s Consumer protection Act. On May 9, 2022, Talen, the operator of Colstrip, together with affiliates, commenced a voluntary case under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of Texas (Houston Division). This resulted in a temporary suspension of activity in the Colstrip legal proceedings described above. On the stipulation of the parties, the stay of proceedings was lifted with respect to the Montana litigation and the arbitration on August 25, 2022. On September 28, 2022, a Montana Federal Magistrate Judge issued recommended Findings and a recommended Order, concluding that Senate Bill 265 is preempted by the Federal Arbitration Act and is unconstitutional and that Senate Bill 266 is unconstitutional. On October 19, 2022, the Federal District Court Judge adopted the Magistrate's findings and recommendations in full. The Company is not able to predict the outcome of the issues and legal proceedings described above, or the timing of the resolution thereof, or an amount or range of potential impact in the event of an outcome that is adverse to the Company’s interests. However, the Company will continue to vigorously defend and protect its interests (and those of its stakeholders) in all matters and legal proceedings relating to Colstrip. Talen Energy and Puget Sound Energy Transaction On September 12, 2022, the Company received notice that PSE and Talen entered into a binding agreement through which PSE has agreed to transfer its 25 percent ownership in Colstrip Units 3 and 4 to Talen at the end of 2025. The Company continues to engage with the co-owners of Colstrip on potential solutions that will allow the Company to meet its obligations under CETA while also addressing the differing needs of other co-owners. Burnett et al. v. Talen et al. Multiple property owners have initiated a legal proceeding (titled Burnett et al. v. Talen et al. ) in the Montana District Court for Rosebud County against Talen, PSE, Pacificorp, PGE, Avista Corp., NorthWestern, and Westmoreland Rosebud Mining. The plaintiffs allege a failure to contain coal dust in connection with the operation of Colstrip, and seek unspecified damages. The parties have agreed to temporarily stay the litigation as a result of the bankruptcy proceedings initiated by Talen, which agreement was not impacted by the stipulation to lift the stay for purposes of the Montana litigation and arbitration. The Company will vigorously defend itself in the litigation, but at this time is unable to predict the outcome, nor an amount or range of potential impact in the event of an outcome that is adverse to the Company’s interests. Westmoreland Mine Permits Two lawsuits have been commenced by the Montana Environmental Information Center, challenging certain permits relating to the operation of the Westmoreland Rosebud Mine, which provides coal to Colstrip. In the first, the Montana District Court for Rosebud County issued an order vacating a permit for one area of the mine. In the second, the Montana Federal District Court issued findings and recommended that a decision approving expansion of the mine into a new area should be vacated, but recommending that the decision not take effect for 365 days from the date of a final order, which order remains pending. Both decisions may be subject to appellate review. Avista Corp. is not a party to either of these proceedings, but is continuing to monitor the progress of both lawsuits and assess the impact, if any, of the proceedings on Westmoreland’s ability to meet its contractual coal supply obligations. National Park Service (NPS) - Natural and Cultural Damage Claim In March 2017, the Company accessed property managed by the National Park Service (NPS) to prevent the imminent failure of a power pole that was surrounded by flood water in the Spokane River. The Company voluntarily reported its actions to the NPS several days later. Thereafter, in March 2018, the NPS notified the Company that it might seek recovery for unspecified costs and damages allegedly caused during the incident pursuant to the System Unit Resource Protection Act (SURPA), 54 U.S.C. 100721 et seq. In January 2021, the United States Department of Justice (DOJ) requested that the Company and the DOJ renew discussions relating to the matter. In July 2021, the DOJ communicated that it may seek damages of approximately $ 2 million in connection with the incident for alleged damage to "natural and cultural resources". In addition, the DOJ indicated that it may seek treble damages under the SURPA and state law, bringing its total potential claim to approximately $ 6 million. The Company disputes the position taken by the DOJ with respect to the incident, as well as the nature and extent of the DOJ’s alleged damages, and will vigorously defend itself in any litigation that may arise with respect to the matter. The Company and the DOJ have agreed to engage in discussions to understand their respective positions and determine whether a resolution of the dispute may be possible. However, the Company cannot predict the outcome of the matter. Rathdrum, Idaho Natural Gas Incident In October 2021, there was an incident in Rathdrum, Idaho involving the Company’s natural gas infrastructure. The incident occurred after a third party damaged those facilities during the course of excavation work. The incident resulted in a fire which destroyed one residence and resulted in minor injuries to the occupants. No claims or proceedings have been initiated from this incident; however, the Company will vigorously defend itself against any claims for damages that may be asserted against it. Other Contingencies In the normal course of business, the Company has various other legal claims and contingent matters outstanding. The Company believes that any ultimate liability arising from these actions will not have a material impact on its financial condition, results of operations or cash flows. It is possible that a change could occur in the Company’s estimates of the probability or amount of a liability being incurred. Such a change, should it occur, could be significant. See "Note 22 of the Notes to Consolidated Financial Statements" in the 2021 Form 10-K for additional discussion regarding other contingencies. |
Information by Business Segment
Information by Business Segments | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Information by Business Segments | NOTE 16. INFORMATION BY BUSINESS SEGMENTS The business segment presentation reflects the basis used by the Company's management to analyze performance and determine the allocation of resources. The Company's management evaluates performance based on income (loss) from operations before income taxes as well as net income (loss). The accounting policies of the segments are the same as those described in the summary of significant accounting policies. Avista Utilities' business is managed based on the total regulated utility operation; therefore, it is considered one segment. AEL&P is a separate reportable business segment, as it has separate financial reports that are reviewed in detail by the Chief Operating Decision Maker and its operations and risks are sufficiently different from Avista Utilities and the other businesses at AERC that it cannot be aggregated with any other operating segments. The Other category, which is not a reportable segment, includes other investments and operations of various subsidiaries, as well as certain other operations of Avista Capital. The following table presents information for each of the Company’s business segments (dollars in thousands): Avista Alaska Total Utility Other Intersegment Total For the three months ended September 30, 2022: Operating revenues $ 349,655 $ 9,637 $ 359,292 $ 154 $ — $ 359,446 Resource costs 146,384 1,400 147,784 — — 147,784 Other operating expenses 98,062 3,639 101,701 1,041 — 102,742 Depreciation and amortization 60,780 2,704 63,484 32 — 63,516 Income (loss) from operations 18,660 1,661 20,321 ( 919 ) — 19,402 Interest expense (2) 28,214 1,489 29,703 243 ( 111 ) 29,835 Income taxes 197 21 218 ( 61 ) — 157 Net (loss) income ( 5,987 ) 228 ( 5,759 ) ( 39 ) — ( 5,798 ) Capital expenditures (3) 116,809 3,854 120,663 — — 120,663 For the three months ended September 30, 2021: Operating revenues $ 286,752 $ 9,147 $ 295,899 $ 108 $ — $ 296,007 Resource costs 101,109 1,024 102,133 — — 102,133 Other operating expenses 82,006 3,619 85,625 843 — 86,468 Depreciation and amortization 55,039 2,683 57,722 30 — 57,752 Income (loss) from operations 23,416 1,563 24,979 ( 765 ) — 24,214 Interest expense (2) 25,015 1,523 26,538 132 ( 21 ) 26,649 Income taxes ( 6,371 ) 18 ( 6,353 ) 921 — ( 5,432 ) Net income 9,086 41 9,127 5,239 — 14,366 Capital expenditures (3) 107,519 1,462 108,981 373 — 109,354 For the nine months ended September 30 2022: Operating revenues $ 1,167,042 $ 32,597 $ 1,199,639 $ 419 $ — $ 1,200,058 Resource costs 489,029 3,020 492,049 — — 492,049 Other operating expenses 289,828 10,882 300,710 4,907 — 305,617 Depreciation and amortization 180,765 8,102 188,867 94 — 188,961 Income (loss) from operations 121,476 9,760 131,236 ( 4,582 ) — 126,654 Interest expense (2) 81,864 4,463 86,327 508 ( 121 ) 86,714 Income taxes ( 14,728 ) 1,070 ( 13,658 ) 1,980 — ( 11,678 ) Net income 65,241 4,292 69,533 7,687 — 77,220 Capital expenditures (3) 324,123 7,186 331,309 756 — 332,065 For the nine months ended September 30 2021: Operating revenues $ 974,172 $ 32,515 $ 1,006,687 $ 445 $ — $ 1,007,132 Resource costs 324,464 2,926 327,390 — — 327,390 Other operating expenses 257,333 9,900 267,233 3,186 — 270,419 Depreciation and amortization 161,332 7,677 169,009 230 — 169,239 Income (loss) from operations 149,670 11,162 160,832 ( 2,971 ) — 157,861 Interest expense (2) 74,423 4,571 78,994 392 ( 87 ) 79,299 Income taxes 4,932 1,819 6,751 2,379 — 9,130 Net income 80,861 4,816 85,677 10,780 — 96,457 Capital expenditures (3) 318,354 4,454 322,808 938 — 323,746 Total Assets: As of September 30, 2022: $ 6,648,603 $ 266,907 $ 6,915,510 $ 149,077 $ ( 8,788 ) $ 7,055,799 As of December 31, 2021: $ 6,458,244 $ 265,422 $ 6,723,666 $ 132,158 $ ( 2,241 ) $ 6,853,583 (1) Intersegment eliminations reported as interest expense represent intercompany interest. (2) Including interest expense to affiliated trusts. (3) The capital expenditures for the other businesses are included in other investing activities on the Condensed Consolidated Statements of Cash Flows. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Nature of Business | Nature of Business Avista Corp. is primarily an electric and natural gas utility with certain other business ventures. Avista Utilities is an operating division of Avista Corp., comprising its regulated utility operations in the Pacific Northwest. Avista Utilities provides electric distribution and transmission, and natural gas distribution services in parts of eastern Washington and northern Idaho. Avista Utilities also provides natural gas distribution service in parts of northeastern and southwestern Oregon. Avista Utilities has electric generating facilities in Washington, Idaho, Oregon and Montana. Avista Utilities also supplies electricity to a small number of customers in Montana. AERC is a wholly-owned subsidiary of Avista Corp. The primary subsidiary of AERC is AEL&P, which comprises Avista Corp.'s regulated utility operations in Alaska. Avista Capital, a wholly owned non-regulated subsidiary of Avista Corp., is the parent company of all of the subsidiary companies in the non-utility businesses, with the exception of AJT Mining Properties, Inc., which is a subsidiary of AERC. See Note 16 for business segment information. |
Basis of Reporting | Basis of Reporting The condensed consolidated financial statements include the assets, liabilities, revenues and expenses of the Company and its subsidiaries and other majority owned subsidiaries and variable interest entities for which the Company or its subsidiaries are the primary beneficiaries. Intercompany balances were eliminated in consolidation. The accompanying condensed consolidated financial statements include the Company’s proportionate share of utility plant and related operations resulting from its interests in jointly owned plants. |
Regulation | Regulation The Company is subject to state regulation in Washington, Idaho, Montana, Oregon and Alaska. The Company is also subject to federal regulation primarily by the FERC, as well as various other federal agencies with regulatory oversight of particular aspects of its operations. |
Derivative Assets and Liabilities | Derivative Assets and Liabilities Derivatives are recorded as either assets or liabilities on the Condensed Consolidated Balance Sheets measured at estimated fair value. The WUTC and the IPUC issued accounting orders authorizing Avista Corp. to offset energy commodity derivative assets or liabilities with a regulatory asset or liability. This accounting treatment is intended to defer the recognition of mark-to-market gains and losses on energy commodity transactions until the period of delivery. Realized benefits and costs result in adjustments to retail rates through PGAs, the ERM in Washington, the PCA mechanism in Idaho, and periodic general rate cases. The resulting regulatory assets associated with energy commodity derivative instruments have been concluded to be probable of recovery through future rates. Substantially all forward contracts to purchase or sell power and natural gas are recorded as derivative assets or liabilities at estimated fair value with an offsetting regulatory asset or liability. Contracts that are not considered derivatives are accounted for on the accrual basis until they are settled or realized unless there is a decline in the fair value of the contract that is determined to be other-than-temporary. For interest rate swap derivatives, Avista Corp. records all mark-to-market gains and losses in each accounting period as assets and liabilities, as well as offsetting regulatory assets and liabilities, such that there is no income statement impact. The interest rate swap derivatives are risk management tools similar to energy commodity derivatives. Upon settlement of interest rate swap derivatives, the regulatory asset or liability is amortized as a component of interest expense over the term of the associated debt. The Company records an offset of interest rate swap derivative assets and liabilities with regulatory assets and liabilities, based on the prior practice of the commissions to provide recovery through the ratemaking process. The Company has multiple master netting agreements with a variety of entities that allow for cross-commodity netting of derivative agreements with the same counterparty (i.e. power derivatives can be netted with natural gas derivatives). In addition, some master netting agreements allow for the netting of commodity derivatives and interest rate swap derivatives for the same counterparty. The Company does not have any agreements which allow for cross-affiliate netting among multiple affiliated legal entities. The Company nets all derivative instruments when allowed by the agreement for presentation in the Condensed Consolidated Balance Sheets. |
Fair Value Measurements | Fair Value Measurements Fair value represents the price that would be received when selling an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the measurement date. Energy commodity derivative assets and liabilities, deferred compensation assets, as well as derivatives related to interest rate swaps and foreign currency exchange contracts, are reported at estimated fair value on the Condensed Consolidated Balance Sheets. See Note 11 for the Company’s fair value disclosures. |
Contingencies | Contingencies The Company has unresolved regulatory, legal and tax issues which have inherently uncertain outcomes. The Company accrues a loss contingency if it is probable that a liability has been incurred and the amount of the loss or impairment can be reasonably estimated. The Company also discloses loss contingencies that do not meet these conditions for accrual if there is a reasonable possibility that a material loss may be incurred. See Note 15 for further discussion of the Company's commitments and contingencies. |
Inventory | Materials and Supplies, Fuel Stock and Stored Natural Gas Inventories of materials and supplies, fuel stock and stored natural gas are recorded at average cost for our regulated operations and the lower of cost or net realizable value for our non-regulated operations and consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, 2022 2021 Materials and supplies $ 70,763 $ 62,003 Stored natural gas $ 47,039 $ 17,604 Fuel stock 5,645 5,126 Total $ 123,447 $ 84,733 |
Balance Sheet Components (Table
Balance Sheet Components (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Balance Sheet Related Disclosures [Abstract] | |
Materials and Supplies, Fuel Stock and Stored Natural Gas | Inventories of materials and supplies, fuel stock and stored natural gas are recorded at average cost for our regulated operations and the lower of cost or net realizable value for our non-regulated operations and consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, 2022 2021 Materials and supplies $ 70,763 $ 62,003 Stored natural gas $ 47,039 $ 17,604 Fuel stock 5,645 5,126 Total $ 123,447 $ 84,733 |
Schedule of Other Current Assets | Other current assets consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, 2022 2021 Prepayments 21,812 24,387 Income taxes receivable 23,620 29,615 Derivative assets net of collateral 5,022 1,398 Collateral posted for derivative instruments after netting with outstanding $ 47,425 $ 21,477 Other 3,414 3,877 Total $ 101,293 $ 80,754 Net Utility Property |
Schedule of Net Utility Property Recorded at Original Cost Net of Accumulated Depreciation | Net utility property, which is recorded at original cost net of accumulated depreciation, consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, 2022 2021 Utility plant in service $ 7,453,971 $ 7,166,580 Construction work in progress 167,139 205,405 Total 7,621,110 7,371,985 Less: Accumulated depreciation and amortization 2,242,266 2,146,470 Total $ 5,378,844 $ 5,225,515 |
Other Property and Investments-Net and Other Non-Current Assets | Other property and investments-net and other non-current assets consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, 2022 2021 Equity investments 113,390 91,057 Operating lease ROU assets 68,707 70,133 Finance lease ROU assets 40,966 43,697 Non-utility property 25,425 20,033 Notes receivable 17,254 14,949 Long-term prepaid license fees 15,710 8,465 Investment in affiliated trust 11,547 11,547 Derivative assets net of collateral 12,741 2,659 Deferred compensation assets 7,609 9,513 Other 11,038 8,490 Total $ 324,387 $ 280,543 |
Other Current Liabilities | Other current liabilities consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, Accrued taxes other than income taxes $ 40,579 $ 41,706 Derivative liabilities 2,996 28,801 Employee paid time off accruals 29,638 27,741 Accrued interest 34,990 17,538 Deferred wholesale revenue 29,081 884 Pensions and other postretirement benefits 13,277 13,582 Other 42,412 38,609 Total $ 192,973 $ 168,861 |
Schedule of Other Non-Current Liabilities and Deferred Credits | Other non-current liabilities and deferred credits consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, Operating lease liabilities $ 67,702 $ 66,068 Finance lease liabilities 43,304 45,730 Deferred investment tax credits 28,922 29,313 Asset retirement obligations 15,878 17,142 Derivative liabilities 4,673 4,525 Other 16,446 15,347 Total $ 176,925 $ 178,125 |
Schedule of Regulatory Assets and Liabilities | Regulatory assets and liabilities consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, 2022 December 31, 2021 Current Non-Current Current Non-Current Regulatory Assets Energy commodity derivatives $ 8,374 $ 4,201 $ 12,447 $ 2,938 Decoupling surcharge 6,674 5,346 9,907 14,625 Deferred natural gas costs 38,674 — 14,095 6,932 Deferred power costs 4,413 — 7,334 3,501 Deferred income taxes — 251,033 — 244,154 Pension and other postretirement benefit plans — 161,665 — 165,696 Interest rate swaps — 187,607 — 199,754 AFUDC above FERC allowed rate — 50,956 — 48,455 Settlement with Coeur d'Alene Tribe — 38,088 — 38,926 Advanced meter infrastructure — 33,288 — 36,008 Utility plant abandoned — 24,937 — 26,771 COVID-19 deferrals — 13,497 — 13,591 Unamortized debt repurchase costs — 6,305 — 6,768 Demand side management programs — 5,144 — 3,974 Other regulatory assets 1,438 54,471 — 48,533 Total regulatory assets $ 59,573 $ 836,538 $ 43,783 $ 860,626 Regulatory Liabilities Income tax related liabilities $ 77,689 $ 402,464 $ 56,331 $ 458,789 Deferred power costs — 2,287 6,457 5,434 Decoupling rebate 7,504 17,748 3,049 6,259 Utility plant retirement costs — 370,232 — 350,190 Interest rate swaps — 23,556 — 15,062 COVID-19 deferrals — 12,032 — 12,500 Other regulatory liabilities 12,888 17,176 11,312 13,281 Total regulatory liabilities $ 98,081 $ 845,495 $ 77,149 $ 861,515 |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Utilities Operating Revenue Expense Taxes | Utility-related taxes that were included in revenue from contracts with customers were as follows for the three and nine months ended September 30 (dollars in thousands): Three months ended September 30, Nine months ended September 30, 2022 2021 2022 2021 Utility-related taxes $ 14,049 $ 13,816 $ 51,091 $ 46,971 |
Disaggregation of Revenue | Disaggregation of Total Operating Revenue The following table disaggregates total operating revenue by segment and source for the three and nine months ended September 30 (dollars in thousands): Three months ended September 30, Nine months ended September 30, 2022 2021 2022 2021 Avista Utilities Revenue from contracts with customers $ 276,988 $ 266,789 $ 970,247 $ 886,078 Derivative revenues 76,248 28,087 218,024 91,151 Alternative revenue programs ( 5,850 ) ( 10,499 ) ( 28,420 ) ( 13,069 ) Deferrals and amortizations for rate refunds to customers 156 ( 156 ) 25 2,664 Other utility revenues 2,113 2,531 7,166 7,348 Total Avista Utilities 349,655 286,752 1,167,042 974,172 AEL&P Revenue from contracts with customers 9,526 9,065 32,747 32,331 Deferrals and amortizations for rate refunds to customers ( 49 ) ( 48 ) ( 614 ) ( 143 ) Other utility revenues 160 130 464 327 Total AEL&P 9,637 9,147 32,597 32,515 Other non-utility revenues 154 108 419 445 Total operating revenues $ 359,446 $ 296,007 $ 1,200,058 $ 1,007,132 Utility Revenue from Contracts with Customers by Type and Service The following table disaggregates revenue from contracts with customers associated with the Company's electric operations for the three and nine months ended September 30 (dollars in thousands): 2022 2021 Avista AEL&P Total Utility Avista AEL&P Total Utility Three months ended September 30: ELECTRIC OPERATIONS Revenue from contracts with customers Residential $ 94,451 $ 3,123 $ 97,574 $ 94,803 $ 3,080 $ 97,883 Commercial 89,411 6,339 95,750 86,228 5,920 92,148 Industrial 30,090 — 30,090 28,843 — 28,843 Public street and highway lighting 1,810 64 1,874 1,877 65 1,942 Total retail revenue 215,762 9,526 225,288 211,751 9,065 220,816 Transmission 9,662 — 9,662 7,372 — 7,372 Other revenue from contracts with 11,457 — 11,457 11,610 — 11,610 Total electric revenue from contracts $ 236,881 $ 9,526 $ 246,407 $ 230,733 $ 9,065 $ 239,798 Nine months ended September 30: ELECTRIC OPERATIONS Revenue from contracts with customers Residential $ 299,562 $ 13,740 $ 313,302 $ 292,714 $ 13,379 $ 306,093 Commercial 253,694 18,824 272,518 243,370 18,768 262,138 Industrial 82,235 — 82,235 80,983 — 80,983 Public street and highway lighting 5,586 183 5,769 5,598 184 5,782 Total retail revenue 641,077 32,747 673,824 622,665 32,331 654,996 Transmission 22,764 — 22,764 15,668 — 15,668 Other revenue from contracts with 27,628 — 27,628 24,282 — 24,282 Total electric revenue from contracts $ 691,469 $ 32,747 $ 724,216 $ 662,615 $ 32,331 $ 694,946 The following table disaggregates revenue from contracts with customers associated with the Company's natural gas operations for the three and nine months ended September 30 (dollars in thousands): Three months ended September 30, Nine months ended September 30, 2022 2021 2022 2021 Avista Utilities Avista Utilities Avista Utilities Avista Utilities NATURAL GAS OPERATIONS Revenue from contracts with customers Residential $ 22,960 $ 21,197 $ 174,655 $ 142,401 Commercial 11,978 10,055 86,335 65,428 Industrial and interruptible 1,930 1,477 7,238 5,520 Total retail revenue 36,868 32,729 268,228 213,349 Transportation 1,832 1,921 6,331 6,177 Other revenue from contracts with customers 1,407 1,406 4,219 3,937 Total natural gas revenue from contracts with customers $ 40,107 $ 36,056 $ 278,778 $ 223,463 |
Derivatives and Risk Manageme_2
Derivatives and Risk Management (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Derivative Instruments and Hedges, Assets [Abstract] | |
Schedule of Energy Commodity Derivative Volumes | The following table presents the underlying energy commodity derivative volumes as of September 30, 2022 that are expected to be delivered or mature in each respective year (in thousands of MWhs and mmBTUs): Purchases Sales Electric Derivatives Gas Derivatives Electric Derivatives Gas Derivatives Year Physical Financial Physical Financial Physical Financial Physical Financial Remainder 2022 39 — 10,692 28,583 76 62 1,762 11,703 2023 — — 13,325 65,635 62 584 1,810 28,330 2024 — — 533 29,135 — — 1,370 8,755 2025 — — 450 2,250 — — 1,115 450 As of September 30, 2022 , there are no expected deliveries of energy commodity derivatives after 2 0 25. The following table presents the underlying energy commodity derivative volumes as of December 31, 2021 that are expected to be delivered or mature in each respective year (in thousands of MWhs and mmBTUs): Purchases Sales Electric Derivatives Gas Derivatives Electric Derivatives Gas Derivatives Year Physical Financial Physical Financial Physical Financial Physical Financial 2022 129 — 7,114 61,405 234 452 3,933 31,485 2023 — — 378 23,218 — — 1,360 9,323 2024 — — 228 3,413 — — 1,370 228 2025 — — — — — — 1,115 — As of December 31, 2021 , there are no expected deliveries of energy commodity derivatives after 2 0 25. (1) Physical transactions represent commodity transactions in which Avista Corp. will take or make delivery of either electricity or natural gas; financial transactions represent derivative instruments with delivery of cash in the amount of the benefit or cost but with no physical delivery of the commodity, such as futures, swap derivatives, options, or forward contracts. |
Summary of Foreign Currency Exchange Derivatives | The following table summarizes the foreign currency exchange derivatives that Avista Corp. has outstanding as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, 2022 2021 Number of contracts 22 25 Notional amount (in United States dollars) $ 8,647 $ 8,571 Notional amount (in Canadian dollars) 11,554 10,957 |
Summary of Unsettled Interest Rate Swap Derivatives | The following table summarizes the unsettled interest rate swap derivatives that Avista Corp. has outstanding as of September 30, 2022 and December 31, 2021 (dollars in thousands): Balance Sheet Date Number of Notional Mandatory September 30, 2022 3 $ 30,000 2023 1 10,000 2024 December 31, 2021 13 $ 140,000 2022 2 20,000 2023 1 10,000 2024 |
Schedules of Fair Values and Locations of Derivative Instruments | The following table presents the fair values and locations of derivative instruments recorded on the Condensed Consolidated Balance Sheet as of September 30, 2022 (in thousands): Fair Value Derivative and Balance Sheet Location Gross Gross Collateral Net Asset Foreign currency exchange derivatives Other current liabilities $ — $ ( 221 ) $ — $ ( 221 ) Interest rate swap derivatives Other property and investments-net and other non-current assets 10,384 — — 10,384 Energy commodity derivatives Other current assets 49,379 ( 44,357 ) — 5,022 Other property and investments-net and other non-current assets 9,895 ( 7,538 ) — 2,357 Other current liabilities 30,473 ( 43,867 ) 10,619 ( 2,775 ) Other non-current liabilities and deferred credits 6,207 ( 12,764 ) 1,884 ( 4,673 ) Total derivative instruments recorded on the balance sheet $ 106,338 $ ( 108,747 ) $ 12,503 $ 10,094 The following table presents the fair values and locations of derivative instruments recorded on the Condensed Consolidated Balance Sheet as of December 31, 2021 (in thousands): Fair Value Derivative and Balance Sheet Location Gross Gross Collateral Net Asset Foreign currency exchange derivatives Other current liabilities $ — $ ( 19 ) $ — $ ( 19 ) Interest rate swap derivatives Other property and investments-net and other non-current assets 1,149 — — 1,149 Other current liabilities 1,170 ( 25,196 ) — ( 24,026 ) Other non-current liabilities and deferred credits — ( 78 ) — ( 78 ) Energy commodity derivatives Other current assets 1,506 ( 107 ) — 1,399 Other property and investments-net and other non-current assets 6,844 ( 5,335 ) — 1,509 Other current liabilities 25,771 ( 39,616 ) 9,089 ( 4,756 ) Other non-current liabilities and deferred credits 141 ( 4,589 ) — ( 4,448 ) Total derivative instruments recorded on the balance sheet $ 36,581 $ ( 74,940 ) $ 9,089 $ ( 29,270 ) |
Schedule of Collateral Outstanding Related to Derivative Instruments | The following table presents Avista Corp.'s collateral outstanding related to its derivative instruments as of September 30, 2022 and December 31, 2021 (in thousands): September 30, December 31, 2022 2021 Energy commodity derivatives Cash collateral posted $ 59,929 $ 30,567 Letters of credit outstanding 26,000 34,000 Balance sheet offsetting 12,503 9,089 There was no cash collateral or letters of credit outstanding related to interest rate swap derivatives a s of September 30, 2022 and December 31, 2021. Certain of Avista Corp.’s derivative instruments contain provisions that require Avista Corp. to maintain an "investment grade" credit rating from the major credit rating agencies. If Avista Corp.’s credit ratings were to fall below "investment grade," it would be in violation of these provisions, and the counterparties to the derivative instruments could request immediate payment or demand immediate and ongoing collateralization on derivative instruments in net liability positions. The following table presents the aggregate fair value of all derivative instruments with credit-risk-related contingent features that are in a liability position and the amount of additional collateral Avista Corp. could be required to post as of September 30, 2022 and December 31, 2021 (in thousands): September 30, December 31, 2022 2021 Interest rate swap derivatives Liabilities with credit-risk-related contingent features $ — $ 25,274 Additional collateral to post — 25,274 |
Pension Plans and Other Postr_2
Pension Plans and Other Postretirement Benefit Plans (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Retirement Benefits, Description [Abstract] | |
Components of Net Periodic Benefit Cost | The Company uses a December 31 measurement date for its defined benefit pension and other postretirement benefit plans. The following table sets forth the components of net periodic benefit costs for the three and nine months ended September 30 (dollars in thousands): Pension Benefits Other Postretirement Benefits 2022 2021 2022 2021 Three months ended September 30: Service cost $ 5,914 $ 6,412 $ 1,095 $ 1,062 Interest cost 6,578 6,528 1,343 1,305 Expected return on plan assets ( 10,950 ) ( 9,835 ) ( 700 ) ( 509 ) Amortization of prior service cost 75 75 ( 275 ) ( 275 ) Net loss recognition 997 1,592 826 777 Net periodic benefit cost $ 2,614 $ 4,772 $ 2,289 $ 2,360 Nine months ended September 30: Service cost $ 17,914 $ 18,912 $ 3,255 $ 2,967 Interest cost 20,005 19,638 4,167 3,990 Expected return on plan assets ( 32,851 ) ( 29,314 ) ( 2,100 ) ( 1,967 ) Amortization of prior service cost 225 225 ( 825 ) ( 825 ) Net loss recognition 3,084 5,103 2,586 3,196 Net periodic benefit cost $ 8,377 $ 14,564 $ 7,083 $ 7,361 |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Summary of Significant Factors Impact on Difference Between Effective Tax Rate and Federal Statutory Rate | The following table summarizes the significant factors impacting the difference between our effective tax rate and the federal statutory rate for the three and nine months ended September 30 (dollars in thousands): Three months ended September 30, Nine months ended September 30, 2022 2021 2022 2021 Federal income taxes at statutory rates $ ( 1,185 ) 21.0 % $ 1,876 21.0 % $ 13,764 21.0 % $ 22,173 21.0 % Increase (decrease) in tax resulting from: Flow through related to deduction of meters 1,192 ( 21.1 ) ( 5,277 ) ( 59.1 ) ( 18,643 ) ( 28.4 ) ( 5,277 ) ( 5.0 ) Tax effect of regulatory treatment of utility 420 ( 7.5 ) ( 1,697 ) ( 19.0 ) ( 6,878 ) ( 10.5 ) ( 8,748 ) ( 8.3 ) State income tax expense ( 45 ) 0.8 166 1.9 856 1.3 885 0.8 Settlement of equity awards — — — — ( 19 ) — 909 0.9 Settlement of prior year tax returns ( 318 ) 5.6 ( 400 ) ( 4.5 ) ( 318 ) ( 0.5 ) ( 400 ) ( 0.4 ) Other 93 ( 1.6 ) ( 100 ) ( 1.1 ) ( 440 ) ( 0.7 ) ( 412 ) ( 0.4 ) Total income tax expense (benefit) $ 157 ( 2.8 )% $ ( 5,432 ) ( 60.8 )% $ ( 11,678 ) ( 17.8 )% $ 9,130 8.6 % (1) In September and October 2021, new rates from the Company's Idaho and Washington general rate cases went into effect. While there were base rate increases approved in each of the cases, these base rate increases were offset by tax customer credits which resulted in no increase in customer billing rates. As the tax customer credits are returned to customers, this results in a decrease to income tax expense as a result of flowing through the benefits related to meters and mixed service costs. This decrease in income tax expense represents the benefits to the Company as a result of these general rate cases. In 2017, the Tax Cuts and Jobs Act (TCJA) reduced the corporate income tax rate, which resulted in a reduction to deferred income tax assets and liabilities. Prior to 2022, for depreciation-related temporary differences that are returned to customers, the Company utilized the average rate assumption method to compute the amounts returned to customers. Beginning in 2022, the Company changed to the alternative method provided for in the TCJA, to be in compliance with recently released revenue procedures and private letter rulings. |
Committed Lines of Credit (Tabl
Committed Lines of Credit (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Avista Utilities [Member] | |
Short-Term Debt [Line Items] | |
Schedule of Balances Outstanding and Interest Rates of Borrowings | Balances outstanding and interest rates of borrowings (excluding letters of credit) under the Company’s revolving committed line of credit were as follows as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, 2022 2021 Balance outstanding at end of period $ 268,000 $ 284,000 Letters of credit outstanding at end of period $ 30,288 $ 34,000 Average interest rate at end of period 3.85 % 1.11 % |
Long- Term Debt to Affiliated_2
Long- Term Debt to Affiliated Trusts (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Long Term Debt To Affiliated Trust [Abstract] | |
Schedule Of Distribution Rates | The distribution rates were as follows during the nine months ended September 30, 2022 and the year ended December 31, 2021: September 30, December 31, 2022 2021 Low distribution rate 1.05 % 0.99 % High distribution rate 3.96 % 1.10 % Distribution rate at the end of the period 3.96 % 1.05 % |
Fair Value (Tables)
Fair Value (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of Carrying Value and Estimated Fair Value of Financial Instruments | The following table sets forth the carrying value and estimated fair value of the Company’s financial instruments not reported at estimated fair value on the Condensed Consolidated Balance Sheets as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, 2022 December 31, 2021 Carrying Estimated Carrying Estimated Long-term debt (Level 2) $ 1,113,500 $ 967,695 $ 963,500 $ 1,157,651 Long-term debt (Level 3) 1,200,000 890,658 1,200,000 1,366,619 Snettisham finance lease obligation (Level 3) 46,501 41,800 48,815 54,000 Long-term debt to affiliated trusts (Level 3) 51,547 40,908 51,547 43,299 |
Schedule of Fair Value of Assets and Liabilities Measured on Recurring Basis | The following table discloses by level within the fair value hierarchy the Company’s assets and liabilities measured and reported on the Condensed Consolidated Balance Sheets as of September 30, 2022 and December 31, 2021 at fair value on a recurring basis (dollars in thousands): Level 1 Level 2 Level 3 Counterparty Total September 30, 2022 Assets: Energy commodity derivatives $ — $ 95,579 $ — $ ( 88,200 ) $ 7,379 Level 3 energy commodity derivatives: Natural gas exchange agreement — — 375 ( 375 ) — Interest rate swap derivatives — 10,384 — — 10,384 Deferred compensation assets: Mutual Funds: Fixed income securities (2) 1,381 — — — 1,381 Equity securities (2) 6,076 — — — 6,076 Total $ 7,457 $ 105,963 $ 375 $ ( 88,575 ) $ 25,220 Liabilities: Energy commodity derivatives $ — $ 101,311 $ — $ ( 100,703 ) $ 608 Level 3 energy commodity derivatives: Natural gas exchange agreement — — 7,215 ( 375 ) 6,840 Foreign currency exchange derivatives — 221 — — 221 Total $ — $ 101,532 $ 7,215 $ ( 101,078 ) $ 7,669 December 31, 2021 Assets: Energy commodity derivatives $ — $ 34,119 $ — $ ( 31,211 ) $ 2,908 Level 3 energy commodity derivatives: Natural gas exchange agreement — — 143 ( 143 ) — Interest rate swap derivatives — 2,319 — ( 1,170 ) 1,149 Deferred compensation assets: Mutual Funds: Fixed income securities (2) 1,809 — — — 1,809 Equity securities (2) 7,594 — — — 7,594 Total $ 9,403 $ 36,438 $ 143 $ ( 32,524 ) $ 13,460 Liabilities: Energy commodity derivatives $ — $ 41,733 $ — $ ( 40,300 ) $ 1,433 Level 3 energy commodity derivatives: Natural gas exchange agreement — — 7,914 ( 143 ) 7,771 Foreign currency exchange derivatives — 19 — - 19 Interest rate swap derivatives — 25,274 — ( 1,170 ) 24,104 Total $ — $ 67,026 $ 7,914 $ ( 41,613 ) $ 33,327 (1) The Company is permitted to net derivative assets and derivative liabilities with the same counterparty when a legally enforceable master netting agreement exists. In addition, the Company nets derivative assets and derivative liabilities against any payables and receivables for cash collateral held or placed with these same counterparties. (2) These assets are included in other property and investments-net and other non-current assets on the Condensed Consolidated Balance Sheets. |
Schedule of Quantitative Information | The following table presents the quantitative information which was used to estimate the fair values of the Level 3 assets and liabilities above as of September 30, 2022 (dollars in thousands): Fair Value Valuation Unobservable Range and Weighted September 30, 2022 Technique Input Average Price Natural gas exchange agreement $ ( 6,840 ) Internally derived weighted average cost of gas Forward purchase prices $ 3.37 - $ 4.56 /mmBTU 3.92 Weighted Average Forward sales prices $ 3.48 - $ 9.06 /mmBTU 6.23 Weighted Average Purchase volumes 130,000 - 310,000 mmBTUs Sales volumes 75,000 - 310,000 mmBTUs |
Schedule of Activity for Natural Gas Exchange Agreement Derivative Assets (Liabilities) Measured At Fair Value Using Significant Unobservable Inputs (Level 3) | The following table presents activity for the natural gas exchange agreement derivative assets (liabilities) measured at fair value using significant unobservable inputs (Level 3) for the three and nine months ended September 30 (dollars in thousands): Three Months Ended September 30: Nine Months Ended September 30: 2022 2021 2022 2021 Beginning balance $ ( 2,289 ) $ ( 6,078 ) $ ( 7,771 ) $ ( 8,410 ) Total gains (realized/unrealized): Included in regulatory assets/liabilities (1) ( 4,551 ) ( 4,971 ) 3,144 ( 1,482 ) Settlements — — ( 2,213 ) ( 1,157 ) Ending balance (2) $ ( 6,840 ) $ ( 11,049 ) $ ( 6,840 ) $ ( 11,049 ) (1) All gains and losses are included in other regulatory assets and liabilities. There were no gains and losses included in either net income or other comprehensive income during any of the periods presented in the table above. (2) There were no purchases, issuances or transfers from other categories of any derivatives instruments during the periods presented in the table above. |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss, Net of Tax | Accumulated other comprehensive loss, net of tax, consisted of the following as of September 30, 2022 and December 31, 2021 (dollars in thousands): September 30, December 31, Unfunded benefit obligation for pensions and other postretirement benefit plans - 2,716 and $ 2,934 , respectively $ 10,218 $ 11,039 |
Reclassification out of Accumulated Other Comprehensive Income | The following table details the reclassifications out of accumulated other comprehensive loss to net income by component for the three and nine months ended September 30 (dollars in thousands): Amounts Reclassified from Accumulated Other Three months ended September 30, Nine months ended September 30, Details about Accumulated Other Comprehensive Loss Components 2022 2021 2022 2021 Amortization of defined benefit pension and Amortization of net prior service cost (a) $ ( 200 ) $ ( 200 ) $ ( 600 ) $ ( 600 ) Amortization of net loss (a) 1,823 2,369 5,670 8,299 Adjustment due to effects of regulation (a) ( 1,279 ) ( 1,784 ) ( 4,031 ) ( 6,525 ) Total before tax (b) 344 385 1,039 1,174 Tax expense (b) ( 72 ) ( 81 ) ( 218 ) ( 247 ) Net of tax (b) $ 272 $ 304 $ 821 $ 927 (a) These accumulated other comprehensive loss components are included in the computation of net periodic pension cost (see Note 6 for additional details). (b) Description is also the affected line item on the Condensed Consolidated Statement of Income. |
Earnings (loss) Per Common Sh_2
Earnings (loss) Per Common Share (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Earnings Per Common Share | The following table presents the computation of basic and diluted earnings (loss) per common share for the three and nine months ended September 30 (in thousands, except per share amounts): Three months ended September 30, Nine months ended September 30, 2022 2021 2022 2021 Numerator: Net income (loss) $ ( 5,798 ) $ 14,366 $ 77,220 $ 96,457 Denominator: Weighted-average number of common shares outstanding-basic 73,229 70,054 72,547 69,582 Effect of dilutive securities: Performance and restricted stock awards 69 75 82 140 Weighted-average number of common shares outstanding-diluted 73,298 70,129 72,629 69,722 Earnings (loss) per common share: Basic $ ( 0.08 ) $ 0.21 $ 1.06 $ 1.39 Diluted $ ( 0.08 ) $ 0.20 $ 1.06 $ 1.38 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Ownership and Operating Ownership Interest Percentage | Colstrip Units 3 and 4 are owned by the Company, PacifiCorp, Portland General Electric (PGE), and Puget Sound Energy (PSE) (collectively, the "Western Co-Owners"), as well as NorthWestern and Talen Montana, LLC (Talen), as tenants in common under an Ownership and Operating Agreement, dated May 6, 1981, as amended (O&O Agreement), in the percentages set forth below: Co-Owner Unit 3 Unit 4 Avista 15 % 15 % PacifiCorp 10 % 10 % PGE 20 % 20 % PSE 25 % 25 % NorthWestern — 30 % Talen 30 % — |
Information by Business Segme_2
Information by Business Segments (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Schedule of Business Segments | The following table presents information for each of the Company’s business segments (dollars in thousands): Avista Alaska Total Utility Other Intersegment Total For the three months ended September 30, 2022: Operating revenues $ 349,655 $ 9,637 $ 359,292 $ 154 $ — $ 359,446 Resource costs 146,384 1,400 147,784 — — 147,784 Other operating expenses 98,062 3,639 101,701 1,041 — 102,742 Depreciation and amortization 60,780 2,704 63,484 32 — 63,516 Income (loss) from operations 18,660 1,661 20,321 ( 919 ) — 19,402 Interest expense (2) 28,214 1,489 29,703 243 ( 111 ) 29,835 Income taxes 197 21 218 ( 61 ) — 157 Net (loss) income ( 5,987 ) 228 ( 5,759 ) ( 39 ) — ( 5,798 ) Capital expenditures (3) 116,809 3,854 120,663 — — 120,663 For the three months ended September 30, 2021: Operating revenues $ 286,752 $ 9,147 $ 295,899 $ 108 $ — $ 296,007 Resource costs 101,109 1,024 102,133 — — 102,133 Other operating expenses 82,006 3,619 85,625 843 — 86,468 Depreciation and amortization 55,039 2,683 57,722 30 — 57,752 Income (loss) from operations 23,416 1,563 24,979 ( 765 ) — 24,214 Interest expense (2) 25,015 1,523 26,538 132 ( 21 ) 26,649 Income taxes ( 6,371 ) 18 ( 6,353 ) 921 — ( 5,432 ) Net income 9,086 41 9,127 5,239 — 14,366 Capital expenditures (3) 107,519 1,462 108,981 373 — 109,354 For the nine months ended September 30 2022: Operating revenues $ 1,167,042 $ 32,597 $ 1,199,639 $ 419 $ — $ 1,200,058 Resource costs 489,029 3,020 492,049 — — 492,049 Other operating expenses 289,828 10,882 300,710 4,907 — 305,617 Depreciation and amortization 180,765 8,102 188,867 94 — 188,961 Income (loss) from operations 121,476 9,760 131,236 ( 4,582 ) — 126,654 Interest expense (2) 81,864 4,463 86,327 508 ( 121 ) 86,714 Income taxes ( 14,728 ) 1,070 ( 13,658 ) 1,980 — ( 11,678 ) Net income 65,241 4,292 69,533 7,687 — 77,220 Capital expenditures (3) 324,123 7,186 331,309 756 — 332,065 For the nine months ended September 30 2021: Operating revenues $ 974,172 $ 32,515 $ 1,006,687 $ 445 $ — $ 1,007,132 Resource costs 324,464 2,926 327,390 — — 327,390 Other operating expenses 257,333 9,900 267,233 3,186 — 270,419 Depreciation and amortization 161,332 7,677 169,009 230 — 169,239 Income (loss) from operations 149,670 11,162 160,832 ( 2,971 ) — 157,861 Interest expense (2) 74,423 4,571 78,994 392 ( 87 ) 79,299 Income taxes 4,932 1,819 6,751 2,379 — 9,130 Net income 80,861 4,816 85,677 10,780 — 96,457 Capital expenditures (3) 318,354 4,454 322,808 938 — 323,746 Total Assets: As of September 30, 2022: $ 6,648,603 $ 266,907 $ 6,915,510 $ 149,077 $ ( 8,788 ) $ 7,055,799 As of December 31, 2021: $ 6,458,244 $ 265,422 $ 6,723,666 $ 132,158 $ ( 2,241 ) $ 6,853,583 (1) Intersegment eliminations reported as interest expense represent intercompany interest. (2) Including interest expense to affiliated trusts. (3) The capital expenditures for the other businesses are included in other investing activities on the Condensed Consolidated Statements of Cash Flows. |
Balance Sheet Components - Mate
Balance Sheet Components - Materials and Supplies, Fuel Stock and Stored Natural Gas (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Balance Sheet Related Disclosures [Abstract] | ||
Materials and supplies | $ 70,763 | $ 62,003 |
Stored natural gas | 47,039 | 17,604 |
Fuel stock | 5,645 | 5,126 |
Total | $ 123,447 | $ 84,733 |
Balance Sheet Components - Sche
Balance Sheet Components - Schedule of Other Current Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Balance Sheet Related Disclosures [Abstract] | ||
Prepayments | $ 21,812 | $ 24,387 |
Income taxes receivable | 23,620 | 29,615 |
Derivative assets net of collateral | 5,022 | 1,398 |
Collateral posted for derivative instruments after netting with outstanding derivative | 47,425 | 21,477 |
Other | 3,414 | 3,877 |
Total | $ 101,293 | $ 80,754 |
Balance Sheet Components - Sc_2
Balance Sheet Components - Schedule of Net Utility Property Recorded at Original Cost Net of Accumulated Depreciation (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Balance Sheet Related Disclosures [Abstract] | ||
Utility plant in service | $ 7,453,971 | $ 7,166,580 |
Construction work in progress | 167,139 | 205,405 |
Total | 7,621,110 | 7,371,985 |
Less: Accumulated depreciation and amortization | 2,242,266 | 2,146,470 |
Total | $ 5,378,844 | $ 5,225,515 |
Balance Sheet Components - Othe
Balance Sheet Components - Other Property and Investments-Net and Other Non-current Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Balance Sheet Related Disclosures [Abstract] | ||
Equity investments | $ 113,390 | $ 91,057 |
Operating lease ROU assets | $ 68,707 | $ 70,133 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Total | Total |
Finance lease ROU assets | $ 40,966 | $ 43,697 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Total | Total |
Non-utility property | $ 25,425 | $ 20,033 |
Notes receivable | 17,254 | 14,949 |
Long-term prepaid license fees | 15,710 | 8,465 |
Investment in affiliated trust | 11,547 | 11,547 |
Derivative assets net of collateral | 12,741 | 2,659 |
Deferred compensation assets | 7,609 | 9,513 |
Other | 11,038 | 8,490 |
Total | $ 324,387 | $ 280,543 |
Balance Sheet Components - Ot_2
Balance Sheet Components - Other Current Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Balance Sheet Related Disclosures [Abstract] | ||
Accrued taxes other than income taxes | $ 40,579 | $ 41,706 |
Derivative liabilities | 2,996 | 28,801 |
Employee paid time off accruals | 29,638 | 27,741 |
Accrued interest | 34,990 | 17,538 |
Deferred wholesale revenue | 29,081 | 884 |
Pensions and other postretirement benefits | 13,277 | 13,582 |
Other | 42,412 | 38,609 |
Total | $ 192,973 | $ 168,861 |
Balance Sheet Components - Sc_3
Balance Sheet Components - Schedule of Other Non-Current Liabilities and Deferred Credits (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Balance Sheet Related Disclosures [Abstract] | ||
Operating lease liabilities | $ 67,702 | $ 66,068 |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Total | Total |
Finance lease liabilities | $ 43,304 | $ 45,730 |
Deferred investment tax credits | 28,922 | 29,313 |
Asset retirement obligations | 15,878 | 17,142 |
Derivative liabilities | 4,673 | 4,525 |
Other | 16,446 | 15,347 |
Total | $ 176,925 | $ 178,125 |
Balance Sheet Components - Sc_4
Balance Sheet Components - Schedule of Regulatory Assets and Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Regulated Asset Liability [Line Items] | ||
Regulatory assets | $ 59,573 | $ 43,783 |
Non-current regulatory assets | 836,538 | 860,626 |
Regulatory liabilities | 98,081 | 77,149 |
Non-current regulatory liabilities | 845,495 | 861,515 |
Income Tax Related Liabilities [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory liabilities | 77,689 | 56,331 |
Non-current regulatory liabilities | 402,464 | 458,789 |
Deferred Power Costs [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory liabilities | 0 | 6,457 |
Non-current regulatory liabilities | 2,287 | 5,434 |
Decoupling Rebate [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory liabilities | 7,504 | 3,049 |
Non-current regulatory liabilities | 17,748 | 6,259 |
Utility Plant Retirement Costs [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory liabilities | 0 | 0 |
Non-current regulatory liabilities | 370,232 | 350,190 |
Interest Rate Swaps [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory liabilities | 0 | 0 |
Non-current regulatory liabilities | 23,556 | 15,062 |
COVID-19 Deferrals [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory liabilities | 0 | 0 |
Non-current regulatory liabilities | 12,032 | 12,500 |
Other Regulatory Liabilities [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory liabilities | 12,888 | 11,312 |
Non-current regulatory liabilities | 17,176 | 13,281 |
Energy Commodity Derivatives [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 8,374 | 12,447 |
Non-current regulatory assets | 4,201 | 2,938 |
Decoupling Surcharge [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 6,674 | 9,907 |
Non-current regulatory assets | 5,346 | 14,625 |
Deferred Natural Gas Costs [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 38,674 | 14,095 |
Non-current regulatory assets | 0 | 6,932 |
Deferred Power Costs [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 4,413 | 7,334 |
Non-current regulatory assets | 0 | 3,501 |
Deferred Income Taxes [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 0 | 0 |
Non-current regulatory assets | 251,033 | 244,154 |
Pension and Other Postretirement Benefit Plans [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 0 | 0 |
Non-current regulatory assets | 161,665 | 165,696 |
Interest Rate Swaps [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 0 | 0 |
Non-current regulatory assets | 187,607 | 199,754 |
AFUDC Above FERC Allowed Rate [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 0 | 0 |
Non-current regulatory assets | 50,956 | 48,455 |
Settlement with Coeur d'Alene Tribe [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 0 | 0 |
Non-current regulatory assets | 38,088 | 38,926 |
Advanced Meter Infrastructure [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 0 | 0 |
Non-current regulatory assets | 33,288 | 36,008 |
Utility Plant Abandoned [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 0 | 0 |
Non-current regulatory assets | 24,937 | 26,771 |
COVID-19 Deferrals [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 0 | 0 |
Non-current regulatory assets | 13,497 | 13,591 |
Unamortized Debt Repurchase Costs [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 0 | 0 |
Non-current regulatory assets | 6,305 | 6,768 |
Demand Side Management Programs [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 0 | 0 |
Non-current regulatory assets | 5,144 | 3,974 |
Other Regulatory Assets [Member] | ||
Regulated Asset Liability [Line Items] | ||
Regulatory assets | 1,438 | 0 |
Non-current regulatory assets | $ 54,471 | $ 48,533 |
Revenue - Schedule of Utilities
Revenue - Schedule of Utilities Operating Revenue Expense Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | ||||
Utility-related taxes | $ 14,049 | $ 13,816 | $ 51,091 | $ 46,971 |
Revenue - Additional Informatio
Revenue - Additional Information (Details) $ in Millions | Sep. 30, 2022 USD ($) |
Revenue from Contract with Customer [Abstract] | |
Revenue, Remaining Performance Obligation, Amount | $ 13.1 |
Revenue - Disaggregation of Rev
Revenue - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 359,446 | $ 296,007 | $ 1,200,058 | $ 1,007,132 |
Residential Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 97,574 | 97,883 | 313,302 | 306,093 |
Commercial Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 95,750 | 92,148 | 272,518 | 262,138 |
Industrial Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 30,090 | 28,843 | 82,235 | 80,983 |
Public Street and Highway Lighting Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 1,874 | 1,942 | 5,769 | 5,782 |
Retail Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 225,288 | 220,816 | 673,824 | 654,996 |
Transmission Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 9,662 | 7,372 | 22,764 | 15,668 |
Other Electric Revenues from Contracts With Customers [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 11,457 | 11,610 | 27,628 | 24,282 |
Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 246,407 | 239,798 | 724,216 | 694,946 |
Avista Utilities [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 349,655 | 286,752 | 1,167,042 | 974,172 |
Avista Utilities [Member] | Residential Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 94,451 | 94,803 | 299,562 | 292,714 |
Avista Utilities [Member] | Commercial Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 89,411 | 86,228 | 253,694 | 243,370 |
Avista Utilities [Member] | Industrial Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 30,090 | 28,843 | 82,235 | 80,983 |
Avista Utilities [Member] | Public Street and Highway Lighting Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 1,810 | 1,877 | 5,586 | 5,598 |
Avista Utilities [Member] | Retail Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 215,762 | 211,751 | 641,077 | 622,665 |
Avista Utilities [Member] | Transmission Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 9,662 | 7,372 | 22,764 | 15,668 |
Avista Utilities [Member] | Other Electric Revenues from Contracts With Customers [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 11,457 | 11,610 | 27,628 | 24,282 |
Avista Utilities [Member] | Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 236,881 | 230,733 | 691,469 | 662,615 |
Avista Utilities [Member] | Residential Natural Gas [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 22,960 | 21,197 | 174,655 | 142,401 |
Avista Utilities [Member] | Commercial Natural Gas [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 11,978 | 10,055 | 86,335 | 65,428 |
Avista Utilities [Member] | Industrial and Interruptible Natural Gas [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 1,930 | 1,477 | 7,238 | 5,520 |
Avista Utilities [Member] | Retail Natural Gas [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 36,868 | 32,729 | 268,228 | 213,349 |
Avista Utilities [Member] | Transportation Natural Gas [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 1,832 | 1,921 | 6,331 | 6,177 |
Avista Utilities [Member] | Other Natural Gas Revenues from Contracts With Customers [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 1,407 | 1,406 | 4,219 | 3,937 |
Avista Utilities [Member] | Natural Gas [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 40,107 | 36,056 | 278,778 | 223,463 |
Avista Utilities [Member] | Revenue from Contracts with Customers | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 276,988 | 266,789 | 970,247 | 886,078 |
Avista Utilities [Member] | Derivative revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 76,248 | 28,087 | 218,024 | 91,151 |
Avista Utilities [Member] | Alternative Revenue Programs [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | (5,850) | (10,499) | (28,420) | (13,069) |
Avista Utilities [Member] | Deferrals and Amortizations for Rate Refunds to Customers | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | (156) | (156) | (25) | 2,664 |
Avista Utilities [Member] | Other Utility Revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 2,113 | 2,531 | 7,166 | 7,348 |
Alaska Electric Light & Power [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 9,637 | 9,147 | 32,597 | 32,515 |
Alaska Electric Light & Power [Member] | Residential Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 3,123 | 3,080 | 13,740 | 13,379 |
Alaska Electric Light & Power [Member] | Commercial Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 6,339 | 5,920 | 18,824 | 18,768 |
Alaska Electric Light & Power [Member] | Public Street and Highway Lighting Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 64 | 65 | 183 | 184 |
Alaska Electric Light & Power [Member] | Retail Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 9,526 | 9,065 | 32,747 | 32,331 |
Alaska Electric Light & Power [Member] | Electric [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 9,526 | 9,065 | 32,747 | 32,331 |
Alaska Electric Light & Power [Member] | Revenue from Contracts with Customers | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 9,526 | 9,065 | 32,747 | 32,331 |
Alaska Electric Light & Power [Member] | Deferrals and Amortizations for Rate Refunds to Customers | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | (49) | (48) | (614) | (143) |
Alaska Electric Light & Power [Member] | Other Utility Revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 160 | 130 | 464 | 327 |
Corporate and Other [Member] | Other Non-utility Revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 154 | $ 108 | $ 419 | $ 445 |
Derivatives and Risk Manageme_3
Derivatives and Risk Management - Schedule of Energy Commodity Derivative Volumes (Details) MWh in Thousands, MMBTU in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2022 MMBTU MWh | Dec. 31, 2021 MWh MMBTU | |
Purchase [Member] | Physical [Member] | Electric Derivative [Member] | ||
Energy Commodity Derivative Volumes [Line Items] | ||
Year one | MWh | 39 | 129 |
Year two | MWh | 0 | 0 |
Year three | MWh | 0 | 0 |
Year four | MWh | 0 | 0 |
Purchase [Member] | Physical [Member] | Gas Derivative [Member] | ||
Energy Commodity Derivative Volumes [Line Items] | ||
Year one | MMBTU | 10,692 | 7,114 |
Year two | MMBTU | 13,325 | 378 |
Year three | MMBTU | 533 | 228 |
Year four | MMBTU | 450 | 0 |
Purchase [Member] | Financial [Member] | Electric Derivative [Member] | ||
Energy Commodity Derivative Volumes [Line Items] | ||
Year one | MWh | 0 | 0 |
Year two | MWh | 0 | 0 |
Year three | MWh | 0 | 0 |
Year four | MWh | 0 | 0 |
Purchase [Member] | Financial [Member] | Gas Derivative [Member] | ||
Energy Commodity Derivative Volumes [Line Items] | ||
Year one | MMBTU | 28,583 | 61,405 |
Year two | MMBTU | 65,635 | 23,218 |
Year three | MMBTU | 29,135 | 3,413 |
Year four | MMBTU | 2,250 | 0 |
Sales [Member] | Physical [Member] | Electric Derivative [Member] | ||
Energy Commodity Derivative Volumes [Line Items] | ||
Year one | MWh | 76 | 234 |
Year two | MWh | 62 | 0 |
Year three | MWh | 0 | 0 |
Year four | MWh | 0 | 0 |
Sales [Member] | Physical [Member] | Gas Derivative [Member] | ||
Energy Commodity Derivative Volumes [Line Items] | ||
Year one | MMBTU | 1,762 | 3,933 |
Year two | MMBTU | 1,810 | 1,360 |
Year three | MMBTU | 1,370 | 1,370 |
Year four | MMBTU | 1,115 | 1,115 |
Sales [Member] | Financial [Member] | Electric Derivative [Member] | ||
Energy Commodity Derivative Volumes [Line Items] | ||
Year one | MWh | 62 | 452 |
Year two | MWh | 584 | 0 |
Year three | MWh | 0 | 0 |
Year four | MWh | 0 | 0 |
Sales [Member] | Financial [Member] | Gas Derivative [Member] | ||
Energy Commodity Derivative Volumes [Line Items] | ||
Year one | MMBTU | 11,703 | 31,485 |
Year two | MMBTU | 28,330 | 9,323 |
Year three | MMBTU | 8,755 | 228 |
Year four | MMBTU | 450 | 0 |
Derivatives and Risk Manageme_4
Derivatives and Risk Management - Additional Information (Details) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2022 USD ($) MWh MMBTU | Dec. 31, 2021 USD ($) MWh MMBTU | |
Canadian [Member] | ||
Derivative [Line Items] | ||
Number of days Canadian currency prices are settled with U.S. dollars | 60 days | |
Interest Rate Swap [Member] | ||
Derivative [Line Items] | ||
Cash collateral posted | $ | $ 0 | $ 0 |
Letters of credit outstanding | $ | $ 0 | $ 0 |
Purchase [Member] | Physical [Member] | Electric Derivative [Member] | ||
Derivative [Line Items] | ||
Expected deliveries of energy commodity derivatives after five years | MWh | 0 | 0 |
Purchase [Member] | Physical [Member] | Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Expected deliveries of energy commodity derivatives after five years | MMBTU | 0 | 0 |
Purchase [Member] | Financial [Member] | Electric Derivative [Member] | ||
Derivative [Line Items] | ||
Expected deliveries of energy commodity derivatives after five years | MWh | 0 | 0 |
Purchase [Member] | Financial [Member] | Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Expected deliveries of energy commodity derivatives after five years | MMBTU | 0 | 0 |
Sales [Member] | Physical [Member] | Electric Derivative [Member] | ||
Derivative [Line Items] | ||
Expected deliveries of energy commodity derivatives after five years | MWh | 0 | 0 |
Sales [Member] | Physical [Member] | Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Expected deliveries of energy commodity derivatives after five years | MMBTU | 0 | 0 |
Sales [Member] | Financial [Member] | Electric Derivative [Member] | ||
Derivative [Line Items] | ||
Expected deliveries of energy commodity derivatives after five years | MWh | 0 | 0 |
Sales [Member] | Financial [Member] | Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Expected deliveries of energy commodity derivatives after five years | MMBTU | 0 | 0 |
Derivatives and Risk Manageme_5
Derivatives and Risk Management - Summary of Foreign Currency Exchange Derivatives (Details) $ in Thousands, $ in Thousands | Sep. 30, 2022 USD ($) DerivativeContracts | Sep. 30, 2022 CAD ($) DerivativeContracts | Dec. 31, 2021 USD ($) DerivativeContracts | Dec. 31, 2021 CAD ($) DerivativeContracts |
Foreign Currency Fair Value Hedge Derivative [Line Items] | ||||
Number of contracts | DerivativeContracts | 22 | 22 | 25 | 25 |
United States of America, Dollars [Member] | Foreign Exchange Contract [Member] | ||||
Foreign Currency Fair Value Hedge Derivative [Line Items] | ||||
Notional amount | $ 8,647 | $ 8,571 | ||
Canada, Dollars [Member] | Foreign Exchange Contract [Member] | ||||
Foreign Currency Fair Value Hedge Derivative [Line Items] | ||||
Notional amount | $ 11,554 | $ 10,957 |
Derivatives and Risk Manageme_6
Derivatives and Risk Management - Summary of Unsettled Interest Rate Swap Derivatives (Details) - Interest Rate Swap [Member] $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2022 USD ($) Contract | Dec. 31, 2021 USD ($) Contract | |
2022 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Number of Contracts | Contract | 13 | |
Notional Amount | $ | $ 140,000 | |
Mandatory Cash Settlement Date | 2022 | |
2023 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Number of Contracts | Contract | 3 | 2 |
Notional Amount | $ | $ 30,000 | $ 20,000 |
Mandatory Cash Settlement Date | 2023 | 2023 |
2024 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Number of Contracts | Contract | 1 | 1 |
Notional Amount | $ | $ 10,000 | $ 10,000 |
Mandatory Cash Settlement Date | 2024 | 2024 |
Derivatives and Risk Manageme_7
Derivatives and Risk Management - Schedules of Fair Values and Locations of Derivative Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Derivatives, Fair Value [Line Items] | ||
Gross Asset | $ 106,338 | $ 36,581 |
Gross Liability | (108,747) | (74,940) |
Collateral Netted | 12,503 | 9,089 |
Net Asset (Liability) on Balance Sheet | 10,094 | (29,270) |
Commodity Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Collateral Netted | 12,503 | 9,089 |
Other Current Liabilities [Member] | Foreign Exchange Contract [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Gross Liability | (221) | (19) |
Net Asset (Liability) on Balance Sheet | (221) | (19) |
Other Current Liabilities [Member] | Interest Rate Swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Gross Asset | 1,170 | |
Gross Liability | (25,196) | |
Net Asset (Liability) on Balance Sheet | (24,026) | |
Other Current Liabilities [Member] | Commodity Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Gross Asset | 30,473 | 25,771 |
Gross Liability | (43,867) | (39,616) |
Collateral Netted | 10,619 | 9,089 |
Net Asset (Liability) on Balance Sheet | (2,775) | (4,756) |
Other Current Assets [Member] | Commodity Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Gross Asset | 49,379 | 1,506 |
Gross Liability | (44,357) | (107) |
Net Asset (Liability) on Balance Sheet | 5,022 | 1,399 |
Other Property And Investments Net And Other Non-current Assets [Member] | Interest Rate Swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Gross Asset | 10,384 | 1,149 |
Net Asset (Liability) on Balance Sheet | 10,384 | 1,149 |
Other Property And Investments Net And Other Non-current Assets [Member] | Commodity Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Gross Asset | 9,895 | 6,844 |
Gross Liability | (7,538) | (5,335) |
Net Asset (Liability) on Balance Sheet | 2,357 | 1,509 |
Other Noncurrent Liabilities [Member] | Interest Rate Swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Gross Liability | (78) | |
Net Asset (Liability) on Balance Sheet | (78) | |
Other Noncurrent Liabilities [Member] | Commodity Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Gross Asset | 6,207 | 141 |
Gross Liability | (12,764) | (4,589) |
Collateral Netted | 1,884 | |
Net Asset (Liability) on Balance Sheet | $ (4,673) | $ (4,448) |
Derivatives and Risk Manageme_8
Derivatives and Risk Management - Schedule of Collateral Outstanding Related to Derivative Instruments (Details) - USD ($) | Sep. 30, 2022 | Dec. 31, 2021 |
Derivative [Line Items] | ||
Balance sheet offsetting | $ 12,503,000 | $ 9,089,000 |
Commodity Contracts [Member] | ||
Derivative [Line Items] | ||
Cash collateral posted | 59,929,000 | 30,567,000 |
Letters of credit outstanding | 26,000,000 | 34,000,000 |
Balance sheet offsetting | 12,503,000 | 9,089,000 |
Interest Rate Swap [Member] | ||
Derivative [Line Items] | ||
Cash collateral posted | 0 | 0 |
Letters of credit outstanding | 0 | 0 |
Liabilities with credit-risk-related contingent features | 0 | 25,274,000 |
Additional collateral to post | $ 0 | $ 25,274,000 |
Pension Plans and Other Postr_3
Pension Plans and Other Postretirement Benefit Plans - Additional Information (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Payment for pension benefits | $ 42,000,000 | $ 42,000,000 |
Percentage of service related net periodic benefit costs capitalized to utility property | 40% | |
Percentage of service related net periodic benefit costs recorded to operating expenses | 60% | |
Percentage of non-service related net periodic benefit costs capitalized to regulatory assets | 40% | |
Percentage of non-service related net periodic benefit costs recorded to other expense | 60% | |
Pension Plans, Defined Benefit [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Expected contributions to pension plan | $ 0 |
Pension Plans and Other Postr_4
Pension Plans and Other Postretirement Benefit Plans - Components of Net Periodic Benefit Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 5,914 | $ 6,412 | $ 17,914 | $ 18,912 |
Interest cost | 6,578 | 6,528 | 20,005 | 19,638 |
Expected return on plan assets | (10,950) | (9,835) | (32,851) | (29,314) |
Amortization of prior service cost | 75 | 75 | 225 | 225 |
Net loss recognition | 997 | 1,592 | 3,084 | 5,103 |
Net periodic benefit cost | 2,614 | 4,772 | 8,377 | 14,564 |
Other Postretirement Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 1,095 | 1,062 | 3,255 | 2,967 |
Interest cost | 1,343 | 1,305 | 4,167 | 3,990 |
Expected return on plan assets | (700) | (509) | (2,100) | (1,967) |
Amortization of prior service cost | (275) | (275) | (825) | (825) |
Net loss recognition | 826 | 777 | 2,586 | 3,196 |
Net periodic benefit cost | $ 2,289 | $ 2,360 | $ 7,083 | $ 7,361 |
Income Taxes - Summary of Signi
Income Taxes - Summary of Significant Factors Impact on Difference Between Effective Tax Rate and Federal Statutory Rate (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Income Tax Disclosure [Abstract] | ||||
Federal income taxes at statutory rates | $ (1,185) | $ 1,876 | $ 13,764 | $ 22,173 |
Flow through related to deduction of meters and mixed service costs | 1,192 | (5,277) | (18,643) | (5,277) |
Tax effect of regulatory treatment of utility plant differences | 420 | (1,697) | (6,878) | (8,748) |
State income tax expense | (45) | 166 | 856 | 885 |
Settlement of equity awards | (19) | 909 | ||
Settlement of prior year tax returns | (318) | (400) | (318) | (400) |
Other | 93 | (100) | (440) | (412) |
Total income tax expense (benefit) | $ 157 | $ (5,432) | $ (11,678) | $ 9,130 |
Federal income taxes at statutory rates | 21% | 21% | 21% | 21% |
Flow through related to deduction of meters and mixed service costs | (21.10%) | (59.10%) | (28.40%) | (5.00%) |
Tax effect of regulatory treatment of utility plant differences | (7.50%) | (19.00%) | (10.50%) | (8.30%) |
State income tax expense | 0.80% | 1.90% | 1.30% | 0.80% |
Settlement of equity awards | 0.90% | |||
Settlement of prior year tax returns percent | 5.60% | (4.50%) | (0.50%) | (0.40%) |
Other | (1.60%) | (1.10%) | (0.70%) | (0.40%) |
Total income tax expense (benefit) | (2.80%) | (60.80%) | (17.80%) | 8.60% |
Committed Lines of Credit - Add
Committed Lines of Credit - Additional Information (Details) - USD ($) | 1 Months Ended | 9 Months Ended | ||
Jun. 30, 2021 | Sep. 30, 2022 | Dec. 31, 2021 | Apr. 30, 2014 | |
Avista Utilities [Member] | ||||
Short-term Debt [Line Items] | ||||
Line of credit facility, maximum borrowing capacity | $ 400,000,000 | |||
Line of credit facility, expiration date | 2026-06 | |||
Line of credit facility additional expiration period | 1 year | |||
Alaska Electric Light & Power [Member] | ||||
Short-term Debt [Line Items] | ||||
Line of credit facility, maximum borrowing capacity | $ 25,000,000 | |||
Line of credit facility, expiration date | 2024-11 | |||
Line of credit, outstanding | $ 0 | $ 0 |
Committed Lines of Credit - Sch
Committed Lines of Credit - Schedule of Balances Outstanding and Interest Rates of Borrowings (Details) - Avista Utilities [Member] - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Short-term Debt [Line Items] | ||
Balance outstanding at end of period | $ 268,000 | $ 284,000 |
Letters of credit outstanding at end of period | $ 30,288 | $ 34,000 |
Average interest rate at end of period | 3.85% | 1.11% |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Details) $ in Thousands | 1 Months Ended | 9 Months Ended | ||
Mar. 31, 2022 USD ($) Contract | Apr. 30, 2022 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | |
Debt Instrument [Line Items] | ||||
Proceeds from issuance of long-term debt | $ 399,856 | $ 70,000 | ||
Repayment of long-term debt | $ 250,000 | |||
Line of Credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, maximum borrowing capacity | $ 400,000 | |||
4.00% Due in 2052 [Member] | First Mortgage [Member] | ||||
Debt Instrument [Line Items] | ||||
Proceeds from issuance of long-term debt | $ 400,000 | |||
Debt instrument interest rate percentage | 4% | |||
Debt instrument maturity year | 2052 | |||
4.00% Due in 2052 [Member] | Interest Rate Swap [Member] | First Mortgage [Member] | ||||
Debt Instrument [Line Items] | ||||
Number of interest rate swaps settled | Contract | 13 | |||
Notional amount | $ 140,000 | |||
Net payments from settlement of derivatives | $ 17,000 |
Long- Term Debt to Affiliated_3
Long- Term Debt to Affiliated Trusts - Additional Information (Details) - USD ($) $ in Millions | 1 Months Ended | 9 Months Ended | 12 Months Ended |
Jul. 31, 2023 | Sep. 30, 2022 | Dec. 31, 2000 | |
Debt Instrument [Line Items] | |||
Payments for repurchase of trust preferred securities | $ 10 | ||
1997 Floating Rate Junior Subordinated Deferrable Interest Debentures, Series B [Member] | Avista Capital II [Member] | |||
Debt Instrument [Line Items] | |||
Junior subordinated debenture issuance date | 1997 | ||
Principal amount | $ 51.5 | ||
Avista Corp [Member] | |||
Debt Instrument [Line Items] | |||
Noncontrolling interest, ownership percentage by parent | 100% | ||
Trust Preferred Securities Subject to Mandatory Redemption [Member] | 1997 Floating Rate Junior Subordinated Deferrable Interest Debentures, Series B [Member] | Avista Capital II [Member] | |||
Debt Instrument [Line Items] | |||
Principal amount | $ 50 | ||
Debt instrument, description of variable rate basis | LIBOR | ||
Debt instrument, basis spread on variable rate | 0.875% | ||
Trust Preferred Securities Subject to Mandatory Redemption [Member] | 1997 Floating Rate Junior Subordinated Deferrable Interest Debentures, Series B [Member] | SOFR [Member] | Avista Capital II [Member] | Forecast [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, basis spread on variable rate | 0.875% | ||
Common Trust Securities [Member] | 1997 Floating Rate Junior Subordinated Deferrable Interest Debentures, Series B [Member] | Avista Capital II [Member] | |||
Debt Instrument [Line Items] | |||
Principal amount | $ 1.5 |
Long-Term Debt to Affiliated Tr
Long-Term Debt to Affiliated Trusts - Schedule of Distribution Rates Paid (Details) - Trust Preferred Securities Subject to Mandatory Redemption [Member] | Sep. 30, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Interest rate | 3.96% | 1.05% |
Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Interest rate | 1.05% | 0.99% |
Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Interest rate | 3.96% | 1.10% |
Fair Value - Schedule of Carryi
Fair Value - Schedule of Carrying Value and Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Level 2 [Member] | Reported Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Debt, Fair Value | $ 1,113,500 | $ 963,500 |
Level 2 [Member] | Estimate of Fair Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Debt, Fair Value | 967,695 | 1,157,651 |
Level 3 [Member] | Reported Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Debt, Fair Value | 1,200,000 | 1,200,000 |
Level 3 [Member] | Reported Value Measurement [Member] | Alaska Electric Light & Power [Member] | Finance Lease [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Finance Lease Obligation | 46,501 | 48,815 |
Level 3 [Member] | Estimate of Fair Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Debt, Fair Value | 890,658 | 1,366,619 |
Level 3 [Member] | Estimate of Fair Value Measurement [Member] | Alaska Electric Light & Power [Member] | Finance Lease [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Finance Lease Obligation | 41,800 | 54,000 |
Affiliated Entity [Member] | Level 3 [Member] | Reported Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Debt, Fair Value | 51,547 | 51,547 |
Affiliated Entity [Member] | Level 3 [Member] | Estimate of Fair Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Debt, Fair Value | $ 40,908 | $ 43,299 |
Fair Value - Additional Informa
Fair Value - Additional Information (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | Dec. 31, 2021 USD ($) | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Carrying value of equity investments without a readily determinable fair value | $ 43,200 | $ 43,200 | $ 24,200 | ||
Gain (losses) on equity investments without readily determinable fair value | 3,800 | $ 5,000 | 12,700 | $ 5,200 | |
Cash and cash equivalents | 14,363 | 14,363 | 22,168 | ||
Gains on equity investments without readily determinable fair value, cumulative amount | 24,100 | 24,100 | |||
Fixed Income Securities [Member] | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Cash and cash equivalents | $ 100 | $ 100 | $ 100 | ||
Measurement Input, Quoted Price [Member] | Secured and Unsecured Debt [Member] | Estimate of Fair Value Measurement [Member] | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Long-term debt, measurement input | 1 | 1 | |||
Measurement Input, Quoted Price [Member] | Minimum [Member] | Secured and Unsecured Debt [Member] | Estimate of Fair Value Measurement [Member] | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Long-term debt, measurement input | 0.6129 | 0.6129 | |||
Measurement Input, Quoted Price [Member] | Maximum [Member] | Secured and Unsecured Debt [Member] | Estimate of Fair Value Measurement [Member] | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Long-term debt, measurement input | 1.0410 | 1.0410 |
Fair Value - Schedule of Fair V
Fair Value - Schedule of Fair Value of Assets and Liabilities Measured on Recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Gross Asset | $ 106,338 | $ 36,581 |
Liability | 108,747 | 74,940 |
Fair Value, Recurring [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets, Fair Value Disclosure | 25,220 | 13,460 |
Financial Liabilities Fair Value Disclosure | 7,669 | 33,327 |
Counterparty and Cash Collateral Netting, Assets | (88,575) | (32,524) |
Counterparty and Cash Collateral Netting, Liabilities | (101,078) | (41,613) |
Fair Value, Recurring [Member] | Fixed Income Funds [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Deferred compensation assets: | 1,381 | 1,809 |
Fair Value, Recurring [Member] | Equity Funds [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Deferred compensation assets: | 6,076 | 7,594 |
Fair Value, Recurring [Member] | Energy Commodity Derivatives [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Counterparty and Cash Collateral Netting, Assets | 88,200 | (31,211) |
Derivative Asset | 7,379 | 2,908 |
Counterparty and Cash Collateral Netting, Liabilities | (100,703) | (40,300) |
Derivative Liability | 608 | 1,433 |
Fair Value, Recurring [Member] | Interest Rate Swap [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Counterparty and Cash Collateral Netting, Assets | (1,170) | |
Derivative Asset | 10,384 | 1,149 |
Counterparty and Cash Collateral Netting, Liabilities | (1,170) | |
Derivative Liability | 24,104 | |
Fair Value, Recurring [Member] | Natural Gas Exchange Agreements [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Counterparty and Cash Collateral Netting, Assets | (375) | (143) |
Counterparty and Cash Collateral Netting, Liabilities | (375) | (143) |
Derivative Liability | 6,840 | 7,771 |
Fair Value, Recurring [Member] | Foreign Exchange Contract [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative Liability | 221 | 19 |
Fair Value, Recurring [Member] | Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets, Fair Value Disclosure | 7,457 | 9,403 |
Fair Value, Recurring [Member] | Level 1 [Member] | Fixed Income Funds [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Deferred compensation assets: | 1,381 | 1,809 |
Fair Value, Recurring [Member] | Level 1 [Member] | Equity Funds [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Deferred compensation assets: | 6,076 | 7,594 |
Fair Value, Recurring [Member] | Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets, Fair Value Disclosure | 105,963 | 36,438 |
Financial Liabilities Fair Value Disclosure | 101,532 | 67,026 |
Fair Value, Recurring [Member] | Level 2 [Member] | Energy Commodity Derivatives [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Gross Asset | 95,579 | 34,119 |
Liability | 101,311 | 41,733 |
Fair Value, Recurring [Member] | Level 2 [Member] | Interest Rate Swap [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Gross Asset | 10,384 | 2,319 |
Liability | 25,274 | |
Fair Value, Recurring [Member] | Level 2 [Member] | Foreign Exchange Contract [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Liability | 221 | 19 |
Fair Value, Recurring [Member] | Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets, Fair Value Disclosure | 375 | 143 |
Financial Liabilities Fair Value Disclosure | 7,215 | 7,914 |
Fair Value, Recurring [Member] | Level 3 [Member] | Natural Gas Exchange Agreements [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Gross Asset | 375 | 143 |
Liability | $ 7,215 | $ 7,914 |
Fair Value - Schedule of Quanti
Fair Value - Schedule of Quantitative Information (Details) - Natural Gas Exchange Agreements [Member] $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 USD ($) MMBTU $ / MMBTU | Dec. 31, 2021 USD ($) | |
Purchase [Member] | Minimum [Member] | Internally Derived Weighted Average Cost Of Gas [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Derivative, Forward Price | 3.37 | |
Transaction/Delivery Volumes | MMBTU | 130,000 | |
Purchase [Member] | Maximum [Member] | Internally Derived Weighted Average Cost Of Gas [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Derivative, Forward Price | 4.56 | |
Transaction/Delivery Volumes | MMBTU | 310,000 | |
Purchase [Member] | Weighted Average [Member] | Internally Derived Weighted Average Cost Of Gas [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Derivative, Forward Price | 3.92 | |
Sales [Member] | Minimum [Member] | Internally Derived Weighted Average Cost Of Gas [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Derivative, Forward Price | 3.48 | |
Transaction/Delivery Volumes | MMBTU | 75,000 | |
Sales [Member] | Maximum [Member] | Internally Derived Weighted Average Cost Of Gas [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Derivative, Forward Price | 9.06 | |
Transaction/Delivery Volumes | MMBTU | 310,000 | |
Sales [Member] | Weighted Average [Member] | Internally Derived Weighted Average Cost Of Gas [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Derivative, Forward Price | 6.23 | |
Fair Value, Recurring [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Derivative Liability | $ | $ (6,840) | $ (7,771) |
Fair Value - Schedule of Activi
Fair Value - Schedule of Activity For Energy Commodity Derivative Assets (Liabilities) Measured At Fair Value Using Significant Unobservable Inputs (Level 3) (Details) - Natural Gas Exchange Agreements [Member] - Level 3 [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Fair Value Liabilities Measured On Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Beginning Balance | $ (2,289) | $ (6,078) | $ (7,771) | $ (8,410) |
Included in regulatory assets/liabilities | (4,551) | (4,971) | 3,144 | (1,482) |
Settlements | (2,213) | (1,157) | ||
Ending Balance | $ (6,840) | $ (11,049) | $ (6,840) | $ (11,049) |
Common Stock - Additional Infor
Common Stock - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Apr. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Class Of Stock [Line Items] | |||||
Proceeds from issuance of common stock | $ 32,200 | $ 92,966 | $ 61,345 | ||
Number of additional shares authorized to be issued | 4,800,000 | ||||
Common Stock [Member] | |||||
Class Of Stock [Line Items] | |||||
Shares issued under sales agency agreements | 798,722 | 1,100,545 | 2,277,281 | 1,528,311 | |
Sales Agency Agreement [Member] | Common Stock [Member] | |||||
Class Of Stock [Line Items] | |||||
Shares issued under sales agency agreements | 800,000 | 2,100,000 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Schedule of Accumulated Other Comprehensive Loss, Net of Tax (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Accumulated Other Comprehensive Loss [Abstract] | ||
Unfunded benefit obligation for pensions and other postretirement benefit plans - net of taxes of $2,861 and $2,934, respectively | $ 10,218 | $ 11,039 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss - Schedule of Accumulated Other Comprehensive Loss, Net of Tax (Parenthetical) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Accumulated Other Comprehensive Loss [Abstract] | ||
Accumulated other comprehensive income (loss), pension and other postretirement benefit plans net unamortized (gain) loss, tax | $ 2,716 | $ 2,934 |
Accumulated Other Comprehensi_5
Accumulated Other Comprehensive Loss - Reclassification out of Accumulated Other Comprehensive Income (Details) - Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] - Reclassification out of Accumulated Other Comprehensive Income [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Amortization of net prior service cost | $ (200) | $ (200) | $ (600) | $ (600) |
Amortization of net loss | 1,823 | 2,369 | 5,670 | 8,299 |
Adjustment due to effects of regulation | (1,279) | (1,784) | (4,031) | (6,525) |
Other comprehensive (income) loss, defined benefit plan, reclassification adjustment from AOCI, before tax | 344 | 385 | 1,039 | 1,174 |
Other comprehensive (income) loss, defined benefit plan, reclassification adjustment from AOCI, tax | (72) | (81) | (218) | (247) |
Other comprehensive (income) loss, defined benefit plan, reclassification adjustment from AOCI, after tax | $ 272 | $ 304 | $ 821 | $ 927 |
Earnings Per Common Share - Sch
Earnings Per Common Share - Schedule of Computation of Basic and Diluted Earnings Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Numerator: | ||||
Net income (loss) | $ (5,798) | $ 14,366 | $ 77,220 | $ 96,457 |
Denominator: | ||||
Weighted-average number of common shares outstanding-basic | 73,229 | 70,054 | 72,547 | 69,582 |
Effect of dilutive securities: | ||||
Performance and restricted stock awards | 69 | 75 | 82 | 140 |
Weighted-average number of common shares outstanding-diluted | 73,298 | 70,129 | 72,629 | 69,722 |
Earnings (loss) per common share: | ||||
Basic | $ (0.08) | $ 0.21 | $ 1.06 | $ 1.39 |
Diluted | $ (0.08) | $ 0.20 | $ 1.06 | $ 1.38 |
Earnings Per Common Share - Add
Earnings Per Common Share - Additional Information (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Earnings Per Share [Abstract] | ||||
Antidilutive securities excluded from computation of earnings per share, amount | 0 | 0 | 0 | 0 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) | 1 Months Ended | 9 Months Ended | |||||
Apr. 30, 2022 USD ($) a | Jul. 31, 2021 USD ($) | Aug. 31, 2019 USD ($) | Sep. 30, 2022 Lawsuit Plaintiff | Sep. 12, 2022 | May 31, 2021 a Building | Sep. 02, 2020 Building | |
Avista Corp [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Percentage Of Employees, Collective Bargaining Agreement | 40% | ||||||
Majority Of Bargaining Unit Employees, Percentage | 90% | ||||||
Number of collective bargaining agreement term | 4 years | ||||||
Natural and Cultural Damage Claim [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Litigation settlement damages claim amount | $ 2,000,000 | ||||||
Boyds Fire [Member] | Damage from Fire [Member] | Maximum [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Loss contingency, damages sought, value | $ 4,400,000 | ||||||
Labor Day 2020 Windstorm [Member] | Damage from Fire [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Number of residential, commercial and other structures impacted | Building | 230 | ||||||
Road 11 Fire [Member] | Damage from Fire [Member] | Avista Corp [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Loss contingency, damages sought, value | $ 5,000,000 | ||||||
Road fire covered area | a | 10,000 | ||||||
Babb Road Fire [Member] | Damage from Fire [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Number of residential, commercial and other structures impacted | Building | 220 | ||||||
Road fire covered area | a | 15,000 | ||||||
Number of lawsuits filed seeking unspecified damages | Lawsuit | 8 | ||||||
Number of subrogation actions filed | Lawsuit | 5 | ||||||
Number of actions on behalf of individual plaintiffs | Plaintiff | 2 | ||||||
Number of class action lawsuit | Lawsuit | 1 | ||||||
System Unit Resource Protection Act [Member] | Natural and Cultural Damage Claim [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Increased potential claim | $ 6,000,000 | ||||||
Colstrip [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Agreement voting requirement | These business disagreements, in turn, have led to disagreements as to the interpretation of the O&O Agreement, including, but not limited to, whether a 55 percent vote of the Owner’s Committee is sufficient or whether unanimous consent of the owners is required to either remove a Colstrip unit from service or make a determination that the project can no longer be operated consistent with prudent utility practice or the requirements of governmental agencies having jurisdiction. NorthWestern has initiated arbitration pursuant to the O&O Agreement to resolve these business disagreements, and two actions have been initiated to compel arbitration of those disputes: one by Talen in the Montana Thirteenth Judicial District Court for Yellowstone County, and one by the Western Co-Owners, which is pending in Montana Federal District Court. Both the arbitration and these legal proceedings remain pending. | ||||||
Colstrip [Member] | Avista Corp [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Owners percentage interest | 55% | ||||||
Colstrip [Member] | PSE [Member] | Unit 3 [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Owners percentage interest | 25% | ||||||
Colstrip [Member] | PSE [Member] | Unit 4 [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Owners percentage interest | 25% | 25% |
Commitments and Contingencies_2
Commitments and Contingencies - Ownership and Operating Interest Percentage (Details) - Colstrip [Member] | Sep. 30, 2022 | Sep. 12, 2022 |
Avista [Member] | Unit 3 [Member] | ||
Loss Contingencies [Line Items] | ||
Owners percentage interest | 15% | |
Avista [Member] | Unit 4 [Member] | ||
Loss Contingencies [Line Items] | ||
Owners percentage interest | 15% | |
PacifiCorp [Member] | Unit 3 [Member] | ||
Loss Contingencies [Line Items] | ||
Owners percentage interest | 10% | |
PacifiCorp [Member] | Unit 4 [Member] | ||
Loss Contingencies [Line Items] | ||
Owners percentage interest | 10% | |
PGE [Member] | Unit 3 [Member] | ||
Loss Contingencies [Line Items] | ||
Owners percentage interest | 20% | |
PGE [Member] | Unit 4 [Member] | ||
Loss Contingencies [Line Items] | ||
Owners percentage interest | 20% | |
PSE [Member] | Unit 3 [Member] | ||
Loss Contingencies [Line Items] | ||
Owners percentage interest | 25% | |
PSE [Member] | Unit 4 [Member] | ||
Loss Contingencies [Line Items] | ||
Owners percentage interest | 25% | 25% |
NorthWestern [Member] | Unit 4 [Member] | ||
Loss Contingencies [Line Items] | ||
Owners percentage interest | 30% | |
Talen [Member] | Unit 3 [Member] | ||
Loss Contingencies [Line Items] | ||
Owners percentage interest | 30% |
Information by Business Segme_3
Information by Business Segments - Additional Information (Details) | 9 Months Ended |
Sep. 30, 2022 ReportableSegments | |
Segment Reporting [Abstract] | |
Number of reportable segments | 1 |
Information by Business Segme_4
Information by Business Segments - Schedule of Business Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Segment Reporting Information [Line Items] | |||||
Operating revenues | $ 359,446 | $ 296,007 | $ 1,200,058 | $ 1,007,132 | |
Resource costs | 147,784 | 102,133 | 492,049 | 327,390 | |
Other operating expenses | 102,742 | 86,468 | 305,617 | 270,419 | |
Depreciation and amortization | 63,516 | 57,752 | 188,961 | 169,239 | |
Income (loss) from operations | 19,402 | 24,214 | 126,654 | 157,861 | |
Interest expense | 29,835 | 26,649 | 86,714 | 79,299 | |
Income taxes | 157 | (5,432) | (11,678) | 9,130 | |
Net (loss) income | (5,798) | 14,366 | 77,220 | 96,457 | |
Capital expenditures | 120,663 | 109,354 | 332,065 | 323,746 | |
Total Assets | 7,055,799 | 7,055,799 | $ 6,853,583 | ||
Avista Utilities [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Operating revenues | 349,655 | 286,752 | 1,167,042 | 974,172 | |
Alaska Electric Light & Power [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Operating revenues | 9,637 | 9,147 | 32,597 | 32,515 | |
Operating Segments [Member] | Utility Revenue [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Operating revenues | 359,292 | 295,899 | 1,199,639 | 1,006,687 | |
Resource costs | 147,784 | 102,133 | 492,049 | 327,390 | |
Other operating expenses | 101,701 | 85,625 | 300,710 | 267,233 | |
Depreciation and amortization | 63,484 | 57,722 | 188,867 | 169,009 | |
Income (loss) from operations | 20,321 | 24,979 | 131,236 | 160,832 | |
Interest expense | 29,703 | 26,538 | 86,327 | 78,994 | |
Income taxes | 218 | (6,353) | (13,658) | 6,751 | |
Net (loss) income | (5,759) | 9,127 | 69,533 | 85,677 | |
Capital expenditures | 120,663 | 108,981 | 331,309 | 322,808 | |
Total Assets | 6,915,510 | 6,915,510 | 6,723,666 | ||
Operating Segments [Member] | Avista Utilities [Member] | Utility Revenue [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Operating revenues | 349,655 | 286,752 | 1,167,042 | 974,172 | |
Resource costs | 146,384 | 101,109 | 489,029 | 324,464 | |
Other operating expenses | 98,062 | 82,006 | 289,828 | 257,333 | |
Depreciation and amortization | 60,780 | 55,039 | 180,765 | 161,332 | |
Income (loss) from operations | 18,660 | 23,416 | 121,476 | 149,670 | |
Interest expense | 28,214 | 25,015 | 81,864 | 74,423 | |
Income taxes | 197 | (6,371) | (14,728) | 4,932 | |
Net (loss) income | (5,987) | 9,086 | 65,241 | 80,861 | |
Capital expenditures | 116,809 | 107,519 | 324,123 | 318,354 | |
Total Assets | 6,648,603 | 6,648,603 | 6,458,244 | ||
Operating Segments [Member] | Alaska Electric Light & Power [Member] | Utility Revenue [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Operating revenues | 9,637 | 9,147 | 32,597 | 32,515 | |
Resource costs | 1,400 | 1,024 | 3,020 | 2,926 | |
Other operating expenses | 3,639 | 3,619 | 10,882 | 9,900 | |
Depreciation and amortization | 2,704 | 2,683 | 8,102 | 7,677 | |
Income (loss) from operations | 1,661 | 1,563 | 9,760 | 11,162 | |
Interest expense | 1,489 | 1,523 | 4,463 | 4,571 | |
Income taxes | 21 | 18 | 1,070 | 1,819 | |
Net (loss) income | 228 | 41 | 4,292 | 4,816 | |
Capital expenditures | 3,854 | 1,462 | 7,186 | 4,454 | |
Total Assets | 266,907 | 266,907 | 265,422 | ||
Other [Member] | Non-Utility Revenue [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Operating revenues | 154 | 108 | 419 | 445 | |
Resource costs | 0 | 0 | 0 | 0 | |
Other operating expenses | 1,041 | 843 | 4,907 | 3,186 | |
Depreciation and amortization | 32 | 30 | 94 | 230 | |
Income (loss) from operations | (919) | (765) | (4,582) | (2,971) | |
Interest expense | 243 | 132 | 508 | 392 | |
Income taxes | (61) | 921 | 1,980 | 2,379 | |
Net (loss) income | (39) | 5,239 | 7,687 | 10,780 | |
Capital expenditures | 0 | 373 | 756 | 938 | |
Total Assets | 149,077 | 149,077 | 132,158 | ||
Intersegment Eliminations [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Operating revenues | 0 | 0 | 0 | 0 | |
Resource costs | 0 | 0 | 0 | 0 | |
Other operating expenses | 0 | 0 | 0 | 0 | |
Depreciation and amortization | 0 | 0 | 0 | 0 | |
Income (loss) from operations | 0 | 0 | 0 | 0 | |
Interest expense | (111) | (21) | (121) | (87) | |
Income taxes | 0 | 0 | 0 | 0 | |
Net (loss) income | 0 | 0 | 0 | 0 | |
Capital expenditures | 0 | $ 0 | 0 | $ 0 | |
Total Assets | $ (8,788) | $ (8,788) | $ (2,241) |