Cover Page
Cover Page | 3 Months Ended |
Mar. 31, 2022shares | |
Entity Information [Line Items] | |
Document Type | 10-Q |
Document Quarterly Report | true |
Document Period End Date | Mar. 31, 2022 |
Document Transition Report | false |
Entity File Number | 1-15759 |
Entity Registrant Name | CLECO CORPORATE HOLDINGS LLC |
Entity Incorporation, State or Country Code | LA |
Entity Tax Identification Number | 72-1445282 |
Entity Address, Address Line One | 2030 Donahue Ferry Road |
Entity Address, City or Town | Pineville |
Entity Address, State or Province | LA |
Entity Address, Postal Zip Code | 71360-5226 |
City Area Code | 318 |
Local Phone Number | 484-7400 |
Entity Current Reporting Status | No |
Entity Interactive Data Current | Yes |
Entity Filer Category | Non-accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Entity Common Stock, Shares Outstanding | 0 |
Entity Central Index Key | 0001089819 |
Current Fiscal Year End Date | --12-31 |
Document Fiscal Year Focus | 2022 |
Document Fiscal Period Focus | Q1 |
Amendment Flag | false |
CLECO POWER | |
Entity Information [Line Items] | |
Entity File Number | 1-05663 |
Entity Registrant Name | CLECO POWER LLC |
Entity Incorporation, State or Country Code | LA |
Entity Tax Identification Number | 72-0244480 |
Entity Address, Address Line One | 2030 Donahue Ferry Road |
Entity Address, City or Town | Pineville |
Entity Address, State or Province | LA |
Entity Address, Postal Zip Code | 71360-5226 |
City Area Code | 318 |
Local Phone Number | 484-7400 |
Entity Filer Category | Non-accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Common Stock, Shares Outstanding | 0 |
Entity Central Index Key | 0000018672 |
Current Fiscal Year End Date | --12-31 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Operating revenue | ||
Electric operations | $ 397,309 | $ 366,245 |
Other operations | 52,007 | 49,726 |
Affiliate revenue | 0 | 0 |
Gross operating revenue | 449,316 | 415,971 |
Electric customer credits | (136) | (20,976) |
Operating revenue, net | 449,180 | 394,995 |
Operating expenses | ||
Fuel used for electric generation | (2,506) | 55,820 |
Purchased power | 115,828 | 144,702 |
Other operations and maintenance | 68,143 | 72,112 |
Depreciation and amortization | 69,088 | 54,947 |
Taxes other than income taxes | 16,448 | 21,117 |
Total operating expenses | 267,001 | 348,698 |
Operating income | 182,179 | 46,297 |
Interest income | 756 | 647 |
Allowance for equity funds used during construction | 931 | 887 |
Other expense, net | (190) | (3,033) |
Interest charges | ||
Interest charges, net | 33,903 | 34,091 |
Allowance for borrowed funds used during construction | (384) | (200) |
Total interest charges | 33,519 | 33,891 |
Income before income taxes | 150,157 | 10,907 |
Federal and state income tax benefit | (5,587) | (9,420) |
Net income | 155,744 | 20,327 |
CLECO POWER | ||
Operating revenue | ||
Electric operations | 296,097 | 267,158 |
Other operations | 19,084 | 18,626 |
Affiliate revenue | 1,459 | 1,655 |
Gross operating revenue | 316,640 | 287,439 |
Electric customer credits | (136) | (20,976) |
Operating revenue, net | 316,504 | 266,463 |
Operating expenses | ||
Fuel used for electric generation | 100,582 | 45,210 |
Purchased power | 50,410 | 79,033 |
Other operations and maintenance | 48,729 | 53,565 |
Depreciation and amortization | 45,239 | 42,076 |
Taxes other than income taxes | 12,631 | 16,502 |
Total operating expenses | 257,591 | 236,386 |
Operating income | 58,913 | 30,077 |
Interest income | 740 | 642 |
Allowance for equity funds used during construction | 931 | 887 |
Other expense, net | (2,035) | (4,258) |
Interest charges | ||
Interest charges, net | 19,185 | 18,846 |
Allowance for borrowed funds used during construction | (384) | (200) |
Total interest charges | 18,801 | 18,646 |
Income before income taxes | 39,748 | 8,702 |
Federal and state income tax benefit | 724 | (9,723) |
Net income | $ 39,024 | $ 18,425 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Net income | $ 155,744 | $ 20,327 |
Other comprehensive income, net of tax | ||
Postretirement benefits gain (loss), net of tax expense (benefit) | 14 | 628 |
Total other comprehensive income (loss), net of tax | 14 | 628 |
Comprehensive income, net of tax | 155,758 | 20,955 |
CLECO POWER | ||
Net income | 39,024 | 18,425 |
Other comprehensive income, net of tax | ||
Postretirement benefits gain (loss), net of tax expense (benefit) | 306 | 458 |
Amortization of interest rate derivatives to earnings | 63 | 64 |
Total other comprehensive income (loss), net of tax | 369 | 522 |
Comprehensive income, net of tax | $ 39,393 | $ 18,947 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Comprehensive Income (Unaudited) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Tax expense on postretirement benefits gain | $ 5 | $ 222 |
CLECO POWER | ||
Tax expense on postretirement benefits gain | 113 | 162 |
Tax expense on amortization of interest rate derivatives to earnings | $ 23 | $ 22 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Current assets | ||
Cash and cash equivalents | $ 197,774 | $ 148,563 |
Restricted cash and cash equivalents | 1,675 | 1,674 |
Customer accounts receivable (less allowance for credit losses) | 81,558 | 91,869 |
Accounts receivable - affiliate | 3,046 | 3,041 |
Other accounts receivable | 57,567 | 27,818 |
Taxes receivable | 33,597 | 564 |
Unbilled revenue | 34,692 | 37,663 |
Fuel inventory, at average cost | 80,547 | 68,838 |
Materials and supplies, at average cost | 138,250 | 133,666 |
Energy risk management assets | 82,656 | 43,479 |
Accumulated deferred fuel | 49,597 | 56,826 |
Cash surrender value of company-/trust-owned life insurance policies | 84,690 | 98,576 |
Prepayments | 8,562 | 13,283 |
Regulatory assets | 31,724 | 29,261 |
Other current assets | 5,220 | 12,839 |
Total current assets | 891,155 | 767,960 |
Property, plant, and equipment | ||
Property, plant, and equipment | 5,450,092 | 5,416,722 |
Accumulated depreciation | (763,332) | (700,991) |
Net property, plant, and equipment | 4,686,760 | 4,715,731 |
Construction work in progress | 110,129 | 100,163 |
Total property, plant, and equipment, net | 4,796,889 | 4,815,894 |
Equity investment in investee | 2,072 | 2,072 |
Goodwill | 1,490,797 | 1,490,797 |
Prepayments | 24,697 | 21,598 |
Operating lease right of use assets | 23,429 | 24,014 |
Restricted cash and cash equivalents | 745 | 745 |
Note receivable | 13,543 | 13,744 |
Regulatory assets | 801,162 | 810,820 |
Intangible assets | 75,835 | 82,235 |
Energy risk management assets | 84,898 | 50,962 |
Other deferred charges | 45,005 | 44,177 |
Total assets | 8,250,227 | 8,125,018 |
Current liabilities | ||
Long-term debt and finance leases due within one year | 93,474 | 93,455 |
Accounts payable | 138,502 | 167,886 |
Accounts payable - affiliate | 11,295 | 51,297 |
Customer deposits | 61,564 | 60,852 |
Provision for rate refund | 5,845 | 5,682 |
Taxes payable | 23,630 | 6,311 |
Interest accrued | 39,555 | 15,203 |
Energy risk management liabilities | 599 | 834 |
Regulatory liabilities | 44,072 | 44,072 |
Deferred compensation | 13,484 | 14,420 |
Other current liabilities | 38,606 | 53,150 |
Total current liabilities | 470,626 | 513,162 |
Long-term liabilities and deferred credits | ||
Accumulated deferred federal and state income taxes, net | 795,153 | 755,764 |
Postretirement benefit obligations | 291,606 | 291,606 |
Regulatory liabilities - deferred taxes, net | 36,854 | 51,472 |
Deferred lease revenue | 29,150 | 31,451 |
Intangible liabilities | 17,737 | 18,997 |
Asset retirement obligations | 69,695 | 69,667 |
Operating lease liabilities | 20,577 | 21,128 |
Other deferred credits | 30,078 | 27,582 |
Total long-term liabilities and deferred credits | 1,290,850 | 1,267,667 |
Long-term debt and finance leases, net | 3,388,837 | 3,390,033 |
Total liabilities | 5,150,313 | 5,170,862 |
Commitments and contingencies (Note 12) | ||
Member’s equity | ||
Member’s equity | 3,099,914 | 2,954,156 |
Total liabilities and member’s equity | 8,250,227 | 8,125,018 |
CLECO POWER | ||
Current assets | ||
Cash and cash equivalents | 108,241 | 85,667 |
Restricted cash and cash equivalents | 1,675 | 1,674 |
Customer accounts receivable (less allowance for credit losses) | 39,768 | 48,551 |
Accounts receivable - affiliate | 1,728 | 13,612 |
Other accounts receivable | 25,974 | 21,931 |
Taxes receivable | 279 | 0 |
Unbilled revenue | 34,692 | 37,663 |
Fuel inventory, at average cost | 54,197 | 46,121 |
Materials and supplies, at average cost | 106,078 | 101,502 |
Energy risk management assets | 840 | 5,515 |
Accumulated deferred fuel | 49,597 | 56,826 |
Cash surrender value of company-/trust-owned life insurance policies | 16,276 | 16,260 |
Prepayments | 5,364 | 7,784 |
Regulatory assets | 23,989 | 21,526 |
Other current assets | 1,664 | 782 |
Total current assets | 470,362 | 465,414 |
Property, plant, and equipment | ||
Property, plant, and equipment | 5,777,277 | 5,745,489 |
Accumulated depreciation | (1,957,956) | (1,919,766) |
Net property, plant, and equipment | 3,819,321 | 3,825,723 |
Construction work in progress | 104,354 | 94,573 |
Total property, plant, and equipment, net | 3,923,675 | 3,920,296 |
Equity investment in investee | 2,072 | 2,072 |
Prepayments | 1,349 | 1,243 |
Operating lease right of use assets | 23,388 | 23,970 |
Note receivable | 13,543 | 13,744 |
Regulatory assets | 673,672 | 680,813 |
Other deferred charges | 22,716 | 21,949 |
Total assets | 5,130,777 | 5,129,501 |
Current liabilities | ||
Long-term debt and finance leases due within one year | 25,774 | 25,755 |
Accounts payable | 94,473 | 114,493 |
Accounts payable - affiliate | 19,549 | 69,729 |
Customer deposits | 61,564 | 60,852 |
Provision for rate refund | 5,845 | 5,682 |
Taxes payable | 18,738 | 5,494 |
Interest accrued | 21,263 | 5,080 |
Energy risk management liabilities | 273 | 597 |
Regulatory liabilities | 44,072 | 44,072 |
Other current liabilities | 18,764 | 23,467 |
Total current liabilities | 310,315 | 355,221 |
Long-term liabilities and deferred credits | ||
Accumulated deferred federal and state income taxes, net | 722,886 | 707,479 |
Postretirement benefit obligations | 205,651 | 205,214 |
Regulatory liabilities - deferred taxes, net | 36,854 | 51,472 |
Asset retirement obligations | 19,507 | 19,456 |
Operating lease liabilities | 20,552 | 21,100 |
Other deferred credits | 25,922 | 20,168 |
Total long-term liabilities and deferred credits | 1,031,372 | 1,024,889 |
Long-term debt and finance leases, net | 1,801,160 | 1,800,854 |
Total capitalization | 3,789,090 | 3,749,391 |
Commitments and contingencies (Note 12) | ||
Member’s equity | ||
Member’s equity | 1,987,930 | 1,948,537 |
Total liabilities and member’s equity | $ 5,130,777 | $ 5,129,501 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Customer accounts receivable, allowance for credit losses | $ 1,002 | $ 1,302 |
CLECO POWER | ||
Customer accounts receivable, allowance for credit losses | $ 1,002 | $ 1,302 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | ||
Operating activities | |||
Net income | $ 155,744 | $ 20,327 | |
Adjustments to reconcile net income to net cash provided by operating activities | |||
Depreciation and amortization | 77,075 | 62,549 | |
Provision for credit losses | 391 | 1,874 | |
Unearned compensation expense | 1,357 | 2,422 | |
Allowance for equity funds used during construction | (931) | (887) | |
Gain on risk management assets and liabilities, net | (104,919) | (4,697) | |
Deferred lease revenue | (2,301) | (2,301) | |
Deferred income taxes | 24,766 | (6,684) | |
Cash surrender value of company-/trust-owned life insurance | (2,460) | (2,841) | |
Changes in assets and liabilities | |||
Accounts receivable | (10,398) | (19,478) | |
Unbilled revenue | 2,971 | 7,474 | |
Fuel inventory and materials and supplies | (16,794) | (2,838) | |
Prepayments | 2,200 | 263 | |
Accounts payable | (32,448) | (47,838) | |
Accounts payable - affiliate | (40,002) | 0 | |
Customer deposits | 2,726 | 3,236 | |
Postretirement benefit obligations | 20 | 1,446 | |
Regulatory assets and liabilities, net | 4,155 | (19,459) | |
Deferred fuel recoveries | 9,542 | (41,121) | |
Other deferred accounts | 405 | (4,217) | |
Taxes accrued | (16,032) | 12,459 | |
Interest accrued | 24,351 | 24,159 | |
Energy risk management collateral received | 26,300 | 0 | |
Other operating | (6,603) | (5,891) | |
Net cash provided by (used in) operating activities | 99,115 | (22,043) | |
Investing activities | |||
Additions to property, plant, and equipment | (40,199) | (37,771) | |
Return of equity investment in investee | 0 | 1,750 | |
Other investing | 491 | 356 | |
Net cash used in investing activities | (39,708) | (35,665) | |
Financing activities | |||
Draws on revolving credit facility | 0 | 60,000 | |
Distributions to member | (10,000) | 0 | |
Other financing | (195) | (284) | |
Net cash (used in) provided by financing activities | (10,195) | 59,716 | |
Net increase in cash, cash equivalents, restricted cash, and restricted cash equivalents | 49,212 | 2,008 | |
Cash, cash equivalents, restricted cash, and restricted cash equivalents at beginning of period | 150,982 | [1] | 90,265 |
Cash, cash equivalents, restricted cash, and restricted cash equivalents at end of period | 200,194 | [1] | 92,273 |
Supplementary cash flow information | |||
Interest paid, net of amount capitalized | 6,987 | 7,225 | |
Supplementary non-cash investing and financing activities | |||
Accrued additions to property, plant, and equipment | 13,377 | 14,246 | |
CLECO POWER | |||
Operating activities | |||
Net income | 39,024 | 18,425 | |
Adjustments to reconcile net income to net cash provided by operating activities | |||
Depreciation and amortization | 46,726 | 43,458 | |
Provision for credit losses | 391 | 1,874 | |
Allowance for equity funds used during construction | (931) | (887) | |
Deferred income taxes | 651 | (6,975) | |
Changes in assets and liabilities | |||
Accounts receivable | (1,883) | (17,179) | |
Accounts receivable, affiliate | 12,672 | (302) | |
Unbilled revenue | 2,971 | 7,474 | |
Fuel inventory and materials and supplies | (13,153) | (1,167) | |
Prepayments | 3,763 | 2,176 | |
Accounts payable | (24,600) | (24,222) | |
Accounts payable - affiliate | (49,657) | (155) | |
Customer deposits | 2,726 | 3,236 | |
Regulatory assets and liabilities, net | 3,658 | (19,956) | |
Deferred fuel recoveries | 9,542 | (41,121) | |
Other deferred accounts | 4,752 | (1,410) | |
Taxes accrued | 12,649 | 10,893 | |
Interest accrued | 16,183 | 16,010 | |
Other operating | (4,691) | (2,662) | |
Net cash provided by (used in) operating activities | 60,793 | (12,490) | |
Investing activities | |||
Additions to property, plant, and equipment | (38,492) | (36,263) | |
Return of equity investment in investee | 0 | 1,750 | |
Other investing | 469 | 356 | |
Net cash used in investing activities | (38,023) | (34,157) | |
Financing activities | |||
Draws on revolving credit facility | 0 | 60,000 | |
Other financing | (195) | (255) | |
Net cash (used in) provided by financing activities | (195) | 59,745 | |
Net increase in cash, cash equivalents, restricted cash, and restricted cash equivalents | 22,575 | 13,098 | |
Cash, cash equivalents, restricted cash, and restricted cash equivalents at beginning of period | 87,341 | [2] | 29,391 |
Cash, cash equivalents, restricted cash, and restricted cash equivalents at end of period | 109,916 | [2] | 42,489 |
Supplementary cash flow information | |||
Interest paid, net of amount capitalized | 1,039 | 797 | |
Supplementary non-cash investing and financing activities | |||
Accrued additions to property, plant, and equipment | $ 13,286 | $ 12,738 | |
[1] | (1) Includes cash and cash equivalents of $148,563, current restricted cash and cash equivalents of $1,674, and non-current restricted cash and cash equivalents of $745. (2) Includes cash and cash equivalents of $197,774, current restricted cash and cash equivalents of $1,675, and non-current restricted cash and cash equivalents of $745. | ||
[2] | (1) Includes cash and cash equivalents of $85,667 and current restricted cash and cash equivalents of $1,674. (2) Includes cash and cash equivalents of $108,241 and current restricted cash and cash equivalents of $1,675. |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Cash Flows (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Cash and cash equivalents | $ 197,774 | $ 148,563 |
Restricted cash and cash equivalents, current | 1,675 | 1,674 |
Restricted cash and cash equivalents, noncurrent | 745 | 745 |
CLECO POWER | ||
Cash and cash equivalents | 108,241 | 85,667 |
Restricted cash and cash equivalents, current | $ 1,675 | $ 1,674 |
Condensed Consolidated Statem_6
Condensed Consolidated Statements of Changes in Member’s Equity (Unaudited) - USD ($) $ in Thousands | Total | MEMBERSHIP INTEREST | RETAINED EARNINGS | AOCI | CLECO POWER | CLECO POWERMEMBERSHIP INTEREST | CLECO POWERAOCI |
Balances, beginning of period at Dec. 31, 2020 | $ 2,757,023 | $ 2,454,276 | $ 328,543 | $ (25,796) | $ 1,807,879 | $ 1,832,632 | $ (24,753) |
Increase (Decrease) in Equity [Roll Forward] | |||||||
Net income | 20,327 | 20,327 | 18,425 | 18,425 | |||
Other comprehensive income (loss), net of tax | 628 | 628 | 522 | 522 | |||
Balances, end of period at Mar. 31, 2021 | 2,777,978 | 2,454,276 | 348,870 | (25,168) | 1,826,826 | 1,851,057 | (24,231) |
Balances, beginning of period at Dec. 31, 2021 | 2,954,156 | 2,454,276 | 523,509 | (23,629) | 1,948,537 | 1,966,720 | (18,183) |
Increase (Decrease) in Equity [Roll Forward] | |||||||
Distributions to member | (10,000) | (10,000) | |||||
Net income | 155,744 | 155,744 | 39,024 | 39,024 | |||
Other comprehensive income (loss), net of tax | 14 | 14 | 369 | 369 | |||
Balances, end of period at Mar. 31, 2022 | $ 3,099,914 | $ 2,454,276 | $ 669,253 | $ (23,615) | $ 1,987,930 | $ 2,005,744 | $ (17,814) |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 1 — Summary of Significant Accounting Policies COVID-19 Impacts In March 2020, WHO declared the outbreak of COVID-19 to be a global pandemic, and the U.S. declared a national emergency. In response to these declarations and the rapid spread of COVID-19, federal, state and local governments imposed varying degrees of restrictions on business and social activities to contain COVID-19, including quarantine and “stay-at-home” orders and directives in Cleco’s service territory. In response to the COVID-19 pandemic, in March 2020 the LPSC issued an executive order prohibiting the disconnection of utilities for nonpayment. At March 31, 2022, Cleco Power had a regulatory asset of $3.0 million recorded for expenses incurred related to the executive order, as allowed by the LPSC. While most restrictions have now been lifted, Cleco continues to assess the COVID-19 situation and cannot predict the full impact that COVID-19, or the significant disruption and volatility currently being experienced in the markets, will have on its business, cash flows, liquidity, financial condition, and results of operations, due to numerous uncertainties. The ultimate impacts will depend on future developments, including, among others, the ultimate geographic spread of COVID-19, the potential surges in COVID-19 infections, the consequences of governmental and other measures designed to prevent the spread of COVID-19, the availability, timely distribution and acceptance of effective treatments and vaccines, the duration of the pandemic, actions taken by governmental authorities, customers, suppliers and other third parties, and workforce availability. Principles of Consolidation The accompanying condensed consolidated financial statements of Cleco include the accounts of Cleco and its majority-owned subsidiaries after elimination of intercompany accounts and transactions. Basis of Presentation The condensed consolidated financial statements of Cleco and Cleco Power have been prepared in accordance with GAAP for interim financial information and with the instructions to Form 10-Q and Regulation S-X. Accordingly, these condensed consolidated financial statements do not include all of the information and notes required by GAAP for annual financial statements. The year-end condensed consolidated balance sheet data was derived from audited financial statements. Because the interim condensed consolidated financial statements and the accompanying notes do not include all of the information and notes required by GAAP for annual financial statements, the condensed consolidated financial statements and other information included in this Quarterly Report on Form 10-Q should be read in conjunction with the consolidated financial statements and accompanying notes in the Registrants’ Combined Annual Report on Form 10-K for the fiscal year ended December 31, 2021. These condensed consolidated financial statements, in the opinion of management, reflect all normal recurring adjustments that are necessary for a fair statement of the financial position and results of operations of Cleco and Cleco Power. Amounts reported in Cleco and Cleco Power’s interim financial statements are not necessarily indicative of amounts expected for the annual periods due to the effects of seasonal temperature variations on energy consumption, regulatory rulings, the timing of maintenance on electric generating units, changes in mark-to-market valuations, changing commodity prices, discrete income tax items, and other factors. In preparing financial statements that conform to GAAP, management must make estimates and assumptions that affect the reported amounts of assets and liabilities, the reported amounts of revenues and expenses, and the disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates. For information on recent authoritative guidance and its effect on financial results, see Note 2 — “Recent Authoritative Guidance.” Restricted Cash and Cash Equivalents Various agreements to which Cleco is subject contain covenants that restrict its use of cash. As certain provisions under these agreements are met, cash is transferred out of related escrow accounts and becomes available for its intended purposes and/or general corporate purposes. Cleco and Cleco Power’s restricted cash and cash equivalents consisted of the following: Cleco (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Current Cleco Katrina/Rita storm recovery surcharge $ 1,675 $ 1,674 Total current 1,675 1,674 Non-current Diversified Lands’ mitigation escrow 22 22 Cleco Cajun’s defense fund 723 723 Total non-current 745 745 Total restricted cash and cash equivalents $ 2,420 $ 2,419 Cleco Power (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Current Cleco Katrina/Rita storm recovery surcharge $ 1,675 $ 1,674 Total restricted cash and cash equivalents $ 1,675 $ 1,674 In April 2021, after payments for all final administrative and winding up activities of Cleco Katrina/Rita were made, Cleco Katrina/Rita transferred its remaining restricted cash to Cleco Power to be used to benefit retail customers in a manner to be approved by the LPSC. Reserves for Credit Losses Customer accounts receivable are recorded at the invoiced amount and do not bear interest. Customer accounts receivable are generally considered to become past due 20 days after the billing date. Cleco recognizes write-offs within the allowance for credit losses once all recovery methods have been exhausted. It is the policy of management to review accounts receivable and unbilled revenue monthly using a reserve matrix based on historical bad debt write-offs, as well as current and forecasted economic conditions, to establish a credit loss estimate. Management’s historical credit loss analysis included periods of economic recessions, natural disasters, and temporary changes to collection policies. Due to the critical necessity of electricity, none of these past events have significantly impacted Cleco’s credit loss rates. Cleco’s service territory experienced an economic decline during 2021, primarily related to the COVID-19 pandemic and weather-related events. Although inflation is currently at a 40-year historical high, Cleco’s economic outlook at March 31, 2022, was still within range of Cleco’s historical credit loss analysis. The tables below present the changes in the allowance for credit losses by receivable for Cleco and Cleco Power: Cleco (THOUSANDS) ACCOUNTS OTHER* TOTAL Balances, Dec. 31, 2021 $ 1,302 $ 1,638 $ 2,940 Current period provision 391 — 391 Charge-offs (1,089) — (1,089) Recovery 398 — 398 Balances, Mar. 31, 2022 $ 1,002 $ 1,638 $ 2,640 * Loan held at Diversified Lands that was fully reserved for at December 31, 2020. (THOUSANDS) ACCOUNTS OTHER* TOTAL Balances, Dec. 31, 2020 $ 2,758 $ 1,638 $ 4,396 Current period provision 1,874 — 1,874 Charge-offs (2,859) — (2,859) Recovery 267 — 267 Balances, Mar. 31, 2021 $ 2,040 $ 1,638 $ 3,678 * Loan held at Diversified Lands that was fully reserved for at December 31, 2020. Cleco Power (THOUSANDS) ACCOUNTS RECEIVABLE Balance, Dec. 31, 2021 $ 1,302 Current period provision 391 Charge-offs (1,089) Recovery 398 Balance, Mar. 31, 2022 $ 1,002 |
Recent Authoritative Guidance
Recent Authoritative Guidance | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Authoritative Guidance | Note 2 — Recent Authoritative Guidance In March 2020, FASB issued optional guidance, for a limited period of time, that applies to entities meeting certain criteria for the contract modifications or hedging relationships that are referencing LIBOR or another reference rate expected to be discontinued due to reference rate reform. The guidance includes a general principal that permits an entity to consider contract modifications due to reference rate reform to be an event that does not require contract remeasurement at the modification date or reassessment of a previous accounting determination. The optional guidance may be applied from March 12, 2020, through December 31, 2022. Management has identified contracts with reference rates that will be discontinued, primarily related to long-term debt obligations. Certain debt contracts have been amended to include fallback provisions that provide substitute reference rates in the event LIBOR is discontinued or deemed to no longer be representative, or prior to such events, at the option of Cleco and the administrative agent. Management will continue to modify contracts to include similar fallback language and expects to apply this guidance on an ongoing basis. Management does not expect this guidance to have a significant impact on the Registrants’ results of operations, financial condition, or cash flows. In November 2021, FASB issued guidance requiring annual disclosures about government assistance with the objective of increasing transparency and reducing existing |
Leases
Leases | 3 Months Ended |
Mar. 31, 2022 | |
Leases [Abstract] | |
Leases | Note 3 — Leases Cleco maintains operating and finance leases in its ordinary course of business activities. Cottonwood Sale Leaseback Agreement Upon closing the Cleco Cajun Transaction, the Cottonwood Sale Leaseback was executed. Under the terms of the lease, NRG Energy will operate the Cottonwood Plant, incur all costs, and receive all revenues from the operations of the plant. Cottonwood Energy will receive fixed lease payments of $40.0 million per year and variable lease payments for LTSA costs and property taxes paid by NRG Energy on behalf of Cleco. Cleco may terminate the lease contract under specific circumstances stated in the lease contract. The residual value under the Cottonwood Sale Leaseback is expected to be recovered through sales of power generation from the plant. The residual value of the Cottonwood Plant has been determined using the plant’s estimated economic life. Cleco Cajun is Cleco’s only subsidiary with lessor arrangements. Cleco Cajun’s lease income under the Cottonwood Sale Leaseback is included in Other operations within Cleco’s Condensed Consolidated Statement of Income. Cleco Cajun’s lease income under the Cottonwood Sale Leaseback for the three months ended March 31, 2022, and 2021 was as follows: FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Fixed payments $ 10,000 $ 10,000 Variable payments 5,549 5,465 Amortization of deferred lease liability * 2,301 2,301 Total lease income $ 17,850 $ 17,766 * Consists of amortization of the deferred lease revenue resulting from the fair value of the lease between |
Leases | Note 3 — Leases Cleco maintains operating and finance leases in its ordinary course of business activities. Cottonwood Sale Leaseback Agreement Upon closing the Cleco Cajun Transaction, the Cottonwood Sale Leaseback was executed. Under the terms of the lease, NRG Energy will operate the Cottonwood Plant, incur all costs, and receive all revenues from the operations of the plant. Cottonwood Energy will receive fixed lease payments of $40.0 million per year and variable lease payments for LTSA costs and property taxes paid by NRG Energy on behalf of Cleco. Cleco may terminate the lease contract under specific circumstances stated in the lease contract. The residual value under the Cottonwood Sale Leaseback is expected to be recovered through sales of power generation from the plant. The residual value of the Cottonwood Plant has been determined using the plant’s estimated economic life. Cleco Cajun is Cleco’s only subsidiary with lessor arrangements. Cleco Cajun’s lease income under the Cottonwood Sale Leaseback is included in Other operations within Cleco’s Condensed Consolidated Statement of Income. Cleco Cajun’s lease income under the Cottonwood Sale Leaseback for the three months ended March 31, 2022, and 2021 was as follows: FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Fixed payments $ 10,000 $ 10,000 Variable payments 5,549 5,465 Amortization of deferred lease liability * 2,301 2,301 Total lease income $ 17,850 $ 17,766 * Consists of amortization of the deferred lease revenue resulting from the fair value of the lease between |
Leases | Note 3 — Leases Cleco maintains operating and finance leases in its ordinary course of business activities. Cottonwood Sale Leaseback Agreement Upon closing the Cleco Cajun Transaction, the Cottonwood Sale Leaseback was executed. Under the terms of the lease, NRG Energy will operate the Cottonwood Plant, incur all costs, and receive all revenues from the operations of the plant. Cottonwood Energy will receive fixed lease payments of $40.0 million per year and variable lease payments for LTSA costs and property taxes paid by NRG Energy on behalf of Cleco. Cleco may terminate the lease contract under specific circumstances stated in the lease contract. The residual value under the Cottonwood Sale Leaseback is expected to be recovered through sales of power generation from the plant. The residual value of the Cottonwood Plant has been determined using the plant’s estimated economic life. Cleco Cajun is Cleco’s only subsidiary with lessor arrangements. Cleco Cajun’s lease income under the Cottonwood Sale Leaseback is included in Other operations within Cleco’s Condensed Consolidated Statement of Income. Cleco Cajun’s lease income under the Cottonwood Sale Leaseback for the three months ended March 31, 2022, and 2021 was as follows: FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Fixed payments $ 10,000 $ 10,000 Variable payments 5,549 5,465 Amortization of deferred lease liability * 2,301 2,301 Total lease income $ 17,850 $ 17,766 * Consists of amortization of the deferred lease revenue resulting from the fair value of the lease between |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Note 4 — Revenue Recognition Operating revenue, net for the three months ended March 31, 2022, and 2021 was as follows: FOR THE THREE MONTHS ENDED MAR. 31, 2022 (THOUSANDS) CLECO POWER CLECO CAJUN OTHER ELIMINATIONS TOTAL Revenue from contracts with customers Retail revenue Residential (1) $ 112,423 $ — $ — $ — $ 112,423 Commercial (1) 76,534 — — — 76,534 Industrial (1) 46,274 — — — 46,274 Other retail (1) 4,129 — — — 4,129 Electric customer credits (136) — — — (136) Total retail revenue 239,224 — — — 239,224 Wholesale, net 55,364 (1) 103,633 (2) (2,420) (3) — 156,577 Transmission, net 13,892 17,743 — (2,690) 28,945 Other 5,193 — — — 5,193 Affiliate (4) 1,459 — 27,393 (28,852) — Total revenue from contracts with customers 315,132 121,376 24,973 (31,542) 429,939 Revenue unrelated to contracts with customers Other 1,372 (5) 17,869 (6) 1 (1) 19,241 Total revenue unrelated to contracts with customers 1,372 17,869 1 (1) 19,241 Operating revenue, net $ 316,504 $ 139,245 $ 24,974 $ (31,543) $ 449,180 (1) Includes fuel recovery revenue. (2) Includes $(3.6) million of amortization of intangible assets and liabilities related to Cleco Cajun’s wholesale power supply agreements. (3) Amortization of intangible assets related to Cleco Power’s wholesale power supply agreements. (4) Includes interdepartmental rents and support services. This revenue is eliminated upon consolidation. (5) Realized gains associated with FTRs. (6) Includes $15.5 million in lease revenue related to the Cottonwood Sale Leaseback and $2.3 million of deferred lease revenue amortization. FOR THE THREE MONTHS ENDED MAR. 31, 2021 (THOUSANDS) CLECO POWER CLECO CAJUN OTHER ELIMINATIONS TOTAL Revenue from contracts with customers Retail revenue Residential (1) $ 95,081 $ — $ — $ — $ 95,081 Commercial (1) 63,026 — — — 63,026 Industrial (1) 36,666 — — — 36,666 Other retail (1) 3,570 — — — 3,570 Electric customer credits (20,976) — — — (20,976) Total retail revenue 177,367 — — — 177,367 Wholesale, net 61,722 (1) 101,507 (2) (2,420) (3) — 160,809 Transmission, net 13,982 15,257 — (1,940) 27,299 Other 4,642 — — — 4,642 Affiliate (4) 1,655 — 27,156 (28,811) — Total revenue from contracts with customers 259,368 116,764 24,736 (30,751) 370,117 Revenue unrelated to contracts with customers Other 7,095 (5) 17,782 (6) 1 — 24,878 Total revenue unrelated to contracts with customers 7,095 17,782 1 — 24,878 Operating revenue, net $ 266,463 $ 134,546 $ 24,737 $ (30,751) $ 394,995 (1) Includes fuel recovery revenue. (2) Includes $(3.1) million of amortization of intangible assets and liabilities related to Cleco Cajun’s wholesale power supply agreements. (3) Amortization of intangible assets related to Cleco Power’s wholesale power supply agreements. (4) Includes interdepartmental rents and support services. This revenue is eliminated upon consolidation. (5) Realized gains associated with FTRs. (6) Includes $15.5 million in lease revenue related to the Cottonwood Sale Leaseback and $2.3 million of deferred lease revenue amortization. |
Regulatory Assets and Liabiliti
Regulatory Assets and Liabilities | 3 Months Ended |
Mar. 31, 2022 | |
Regulated Operations [Abstract] | |
Regulatory Assets and Liabilities | Note 5 — Regulatory Assets and Liabilities Cleco Power capitalizes or defers certain costs for recovery from customers and recognizes a liability for amounts expected to be returned to customers based on regulatory approval and management’s ongoing assessment that it is probable these items will be recovered or refunded through the ratemaking process. Under the current regulatory environment, Cleco Power believes these regulatory assets will be fully recoverable; however, if in the future, as a result of regulatory changes or competition, Cleco Power’s ability to recover these regulatory assets would no longer be probable, then to the extent that such regulatory assets were determined not to be recoverable, Cleco Power would be required to write-down such assets. In addition, potential deregulation of the industry, or possible future changes in the method of rate regulation of Cleco Power, could require discontinuance of the application of the authoritative guidance on regulated operations. The following table summarizes Cleco Power’s regulatory assets and liabilities: Cleco Power REMAINING RECOVERY PERIOD (YRS.) (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Regulatory assets Acadia Unit 1 acquisition costs $ 1,886 $ 1,913 17.75 Accumulated deferred fuel (1) 49,597 56,826 Various Affordability study 12,749 13,094 9.25 AFUDC equity gross-up 65,799 66,574 Various (2) AMI deferred revenue requirement 1,909 2,045 4 AROs (1)(6) 15,644 15,141 Bayou Vista to Segura transmission project deferred revenue requirement (7) 3,209 1,392 Coughlin transaction costs 838 845 27.25 COVID-19 executive order (7) 2,953 2,953 Deferred storm restoration costs - Hurricane Delta (6) 16,729 17,113 Deferred storm restoration costs - Hurricane Ida (7) 37,841 37,617 Deferred storm restoration costs - Hurricane Laura (6) 53,061 54,282 Deferred storm restoration costs - Hurricane Zeta (6) 3,212 3,296 Deferred storm restoration costs - Winter Storms Uri & Viola (7) 1,912 1,912 Dolet Hills Power Station closure costs (7) 145,978 145,844 Energy efficiency 1,293 1,645 1 Financing costs (1) 6,733 6,826 Various (3) Interest costs 3,397 3,459 Various (2) Lignite Mine closure costs (7) 135,877 136,980 Madison Unit 3 property taxes (7) 10,597 8,362 Non-service cost of postretirement benefits 13,542 12,950 Various (2) Other 9,200 11,224 Various Postretirement costs 114,690 117,773 Various (4) Production operations and maintenance expenses 10,304 11,058 Various (5) Rodemacher Unit 2 deferred costs (7) 8,350 6,931 St. Mary Clean Energy Center 5,654 6,089 3.25 Training costs 5,891 5,929 37.75 Tree trimming costs 8,413 9,092 3 Total regulatory assets 747,258 759,165 Regulatory liabilities Deferred taxes, net (80,926) (95,544) Various Total regulatory liabilities (80,926) (95,544) Total regulatory assets, net $ 666,332 $ 663,621 (1) Represents regulatory assets for past expenditures that were not earning a return on investment at March 31, 2022, and December 31, 2021, respectively. All other assets are earning a return on investment. (2) Amortized over the estimated lives of the respective assets. (3) Amortized over the terms of the related debt issuances. (4) Amortized over the average service life of the remaining plan participants. (5) Deferral is recovered over the following three (6) Currently being recovered through an interim storm rate. For more information, see Note 16 — “Storm Restoration, Securitization, and Cost Recovery — Hurricanes Laura, Delta, and Zeta.” (7) Currently not in a recovery period. The following table summarizes Cleco’s net regulatory assets and liabilities: Cleco (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Total Cleco Power regulatory assets, net $ 666,332 $ 663,621 2016 Merger adjustments * Fair value of long-term debt 110,300 112,150 Postretirement costs 12,927 13,424 Financing costs 7,161 7,248 Debt issuance costs 4,837 4,920 Total Cleco regulatory assets, net $ 801,557 $ 801,363 * Cleco regulatory assets include acquisition accounting adjustments as a result of the 2016 Merger. |
Fair Value Accounting and Finan
Fair Value Accounting and Financial Instruments | 3 Months Ended |
Mar. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Accounting and Financial Instruments | Note 6 — Fair Value Accounting and Financial Instruments The amounts reflected on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets at March 31, 2022, and December 31, 2021, for cash equivalents, restricted cash equivalents, accounts receivable, other accounts receivable, short-term debt, and accounts payable approximate fair value because of their short-term nature. Cleco applies the provisions of the fair value measurement standard to its non-recurring, non-financial measurements including business combinations, as well as impairment related to goodwill and other long-lived assets. The following tables summarize the carrying value and estimated market value of Cleco and Cleco Power’s financial instruments not measured at fair value on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets: Cleco AT MAR. 31, 2022 AT DEC. 31, 2021 (THOUSANDS) CARRYING FAIR VALUE CARRYING FAIR VALUE Long-term debt $ 3,480,631 $ 3,536,846 $ 3,482,405 $ 3,752,220 * The carrying value of long-term debt does not include deferred issuance costs of $12.4 million at Cleco Power AT MAR. 31, 2022 AT DEC. 31, 2021 (THOUSANDS) CARRYING FAIR VALUE CARRYING FAIR VALUE Long-term debt $ 1,820,331 $ 1,969,329 $ 1,820,254 $ 2,085,944 * The carrying value of long-term debt does not include deferred issuance costs of $7.5 million at In order to fund capital requirements, Cleco issues fixed and variable rate long-term debt with various tenors. The fair value of this class fluctuates as the market interest rates for fixed and variable rate debt with similar tenors and credit ratings change. The fair value of the debt could also change from period to period due to changes in the credit rating of the Cleco entity by which the debt was issued. The fair value of long-term debt is classified as Level 2 in the fair value hierarchy. Fair Value Measurements and Disclosures Cleco utilizes a mark-to-market approach recognizing changes in the fair value of FTRs and commodity derivatives at Cleco Cajun in earnings and changes in the fair value of FTRs at Cleco Power as a component of deferred fuel assets and liabilities. Therefore, Cleco elects not to apply hedge accounting, as allowed by accounting guidance, to its commodity-related derivatives. Cleco classifies assets and liabilities that are measured at their fair value according to three different levels depending on the inputs used in determining fair value. Cleco utilizes different valuation techniques for fair value measurements under a fair value hierarchy. Assets and liabilities classified as Level 1 under the hierarchy utilize observable inputs that reflect quotable prices in active markets. Assets and liabilities classified as Level 2 are measured through proxy inputs of similar index or composite pricing. Assets and liabilities classified as Level 3 under the hierarchy are valued based on unobservable inputs, such as internally generated valuation models or valuations obtained in inactive markets where there is no readily available information. Cleco has consistently applied the Level 2 and Level 3 fair value techniques from fiscal period to fiscal period. Significant increases or decreases in any of those inputs in isolation would result in a significantly different fair value measurement. The assets and liabilities reported at fair value are grouped into classes based on the underlying nature and risks associated with the individual asset or liability. During the three months ended March 31, 2022, and the year ended December 31, 2021, Cleco did not experience any transfers into or out of Level 3 of the fair value hierarchy. The following tables disclose for Cleco and Cleco Power the fair value of financial assets and liabilities measured on a recurring basis. These amounts are presented on a gross basis before consideration of amounts netted under master netting agreements and the application of collateral received or paid: Cleco FAIR VALUE MEASUREMENTS AT REPORTING DATE (THOUSANDS) AT MAR. 31, 2022 QUOTED PRICES SIGNIFICANT SIGNIFICANT AT DEC. 31, 2021 QUOTED PRICES SIGNIFICANT SIGNIFICANT Asset description Money market funds $ 192,983 $ 192,983 $ — $ — $ 145,033 $ 145,033 $ — $ — FTRs 1,114 — — 1,114 6,977 — — 6,977 Natural gas derivatives* 166,439 — 166,439 — 87,464 — 87,464 — Total assets $ 360,536 $ 192,983 $ 166,439 $ 1,114 $ 239,474 $ 145,033 $ 87,464 $ 6,977 Liability description FTRs $ 599 $ — $ — $ 599 $ 834 $ — $ — $ 834 Total liabilities $ 599 $ — $ — $ 599 $ 834 $ — $ — $ 834 * Natural gas derivatives include fixed price physical forwards and swap transactions. Cleco Power FAIR VALUE MEASUREMENTS AT REPORTING DATE (THOUSANDS) AT MAR. 31, 2022 QUOTED PRICES IN ACTIVE MARKETS SIGNIFICANT SIGNIFICANT AT DEC. 31, 2021 QUOTED PRICES SIGNIFICANT SIGNIFICANT Asset description Money market funds $ 103,711 $ 103,711 $ — $ — $ 82,411 $ 82,411 $ — $ — FTRs 840 — — 840 5,515 — — 5,515 Total assets $ 104,551 $ 103,711 $ — $ 840 $ 87,926 $ 82,411 $ — $ 5,515 Liability description FTRs $ 273 $ — $ — $ 273 $ 597 $ — $ — $ 597 Total liabilities $ 273 $ — $ — $ 273 $ 597 $ — $ — $ 597 The following tables summarize the net changes in the net fair value of FTR assets and liabilities classified as Level 3 in the fair value hierarchy for Cleco and Cleco Power: Cleco FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Beginning balance $ 6,143 $ 3,180 Unrealized (losses) gains* (620) 16,123 Purchases 292 849 Settlements (5,300) (19,129) Ending balance $ 515 $ 1,023 * Cleco Power’s unrealized gains (losses) are reported through Accumulated deferred fuel on Cleco’s Condensed Consolidated Balance Sheet. Cleco Cajun’s unrealized gains (losses) are reported through Purchased power on Cleco’s Condensed Consolidated Income Statement. Cleco Power FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Beginning balance $ 4,918 $ 3,216 Unrealized losses* (263) (37) Purchases 292 849 Settlements (4,380) (2,940) Ending balance $ 567 $ 1,088 * Unrealized losses are reported through Accumulated deferred fuel on Cleco Power’s Condensed Consolidated Balance Sheet. Cleco Power and Cleco Cajun’s FTRs are valued using MISO’s monthly auction prices. Forward seasonal periods are not included in every monthly auction; therefore, the average of the most recent seasonal auction prices is used for monthly valuation. FTRs are categorized as Level 3 fair value measurements because the only relevant value available comes from MISO auctions, which occur monthly in the Multi-Period Monthly Auction. The following tables quantify the significant unobservable inputs used in developing the fair value of Level 3 positions for Cleco and Cleco Power as of March 31, 2022, and December 31, 2021: Cleco FAIR VALUE VALUATION TECHNIQUE SIGNIFICANT UNOBSERVABLE INPUTS FORWARD PRICE RANGE (THOUSANDS, EXCEPT FORWARD PRICE RANGE) ASSETS LIABILITIES LOW HIGH FTRs at Mar. 31, 2022 $ 1,114 $ 599 RTO auction pricing FTR price - per MWh $ (2.23) $ 11.77 FTRs at Dec. 31, 2021 $ 6,977 $ 834 RTO auction pricing FTR price - per MWh $ (3.94) $ 9.25 Cleco Power FAIR VALUE VALUATION TECHNIQUE SIGNIFICANT UNOBSERVABLE INPUTS FORWARD PRICE RANGE (THOUSANDS, EXCEPT FORWARD PRICE RANGE) ASSETS LIABILITIES LOW HIGH FTRs at Mar. 31, 2022 $ 840 $ 273 RTO auction pricing FTR price - per MWh $ (2.23) $ 11.77 FTRs at Dec. 31, 2021 $ 5,515 $ 597 RTO auction pricing FTR price - per MWh $ (4.91) $ 9.25 Concentrations of Credit Risk At March 31, 2022, Cleco and Cleco Power were exposed to concentrations of credit risk through their short-term investments classified as cash equivalents and restricted cash equivalents. The following tables present the money market funds in cash and cash equivalents and restricted cash and cash equivalents as recorded on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets at March 31, 2022, and December 31, 2021: Cleco (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Cash and cash equivalents $ 192,961 $ 145,011 Non-current restricted cash and cash equivalents $ 22 $ 22 Cleco Power (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Cash and cash equivalents $ 103,711 $ 82,411 Money market fund assets are discounted to the current period using a published U.S. Treasury interest rate as a proxy for a risk-free rate of return. If the money market funds failed to perform under the terms of the investments, Cleco and Cleco Power would be exposed to a loss of the invested amounts. Collateral on these types of investments is not required by either Cleco or Cleco Power. The Level 1 money market funds asset consists of a single class. In order to capture interest income and minimize risk, cash is invested in money market funds that invest primarily in short-term securities issued by the U.S. government to maintain liquidity and achieve the goal of a net asset value of a dollar. The risks associated with this class are counterparty risk of the fund manager and risk of price volatility associated with the underlying securities of the fund. When Cleco enters into commodity derivative or physical commodity transactions directly with market participants, Cleco may be exposed to counterparty credit risk. Cleco is exposed to counterparty credit risk when a counterparty fails to meet their financial obligations causing Cleco to incur replacement cost losses. Cleco may be required to provide credit support or pay liquidated damages with respect to any open trading contracts that Cleco has entered into or may enter into in the future. The amount of credit support that Cleco may be required to provide at any point in the future is dependent on the amount of the initial contract, changes in the market price, changes in open contracts, and changes in the amounts counterparties owe to Cleco. Changes in any of these factors could cause the amount of requested credit support to increase or decrease. Commodity Contracts On Cleco’s Condensed Consolidated Balance Sheets, the fair value of amounts associated with Cleco Cajun’s derivative instruments are offset with related cash collateral balances with the same counterparty. The following tables present the fair values of derivative instruments and their respective line items as recorded on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets at March 31, 2022, and December 31, 2021: Cleco DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS AT MAR. 31, 2022 GROSS AMOUNTS OFFSET ON THE BALANCE SHEET GROSS AMOUNTS NOT OFFSET ON THE BALANCE SHEET (1) (THOUSANDS) BALANCE SHEET LINE ITEM GROSS ASSET (LIABILITY) CASH NET ASSET (LIABILITY) ON THE BALANCE SHEET COLLATERAL NET AMOUNT Commodity-related contracts FTRs Current Energy risk management assets $ 1,114 $ — $ 1,114 $ — $ 1,114 Current Energy risk management liabilities (599) — (599) — (599) Natural gas derivatives Current Energy risk management assets 107,842 (26,300) 81,542 (75,919) 5,623 Non-current Energy risk management assets 84,898 — 84,898 (6,081) 78,817 Commodity-related contracts, net $ 193,255 $ (26,300) $ 166,955 $ (82,000) $ 84,955 (1) Represents letters of credit by counterparties. Cleco DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS AT DEC. 31, 2021 GROSS AMOUNTS OFFSET ON THE BALANCE SHEET GROSS AMOUNTS NOT OFFSET ON THE BALANCE SHEET (1) (THOUSANDS) BALANCE SHEET LINE ITEM GROSS ASSET (LIABILITY) CONTRACT NETTING NET ASSET (LIABILITY) ON THE BALANCE SHEET COLLATERAL NET AMOUNT Commodity-related contracts FTRs Current Energy risk management assets $ 6,977 $ — $ 6,977 $ — $ 6,977 Current Energy risk management liabilities (834) — (834) — (834) Natural gas derivatives Current Energy risk management assets 37,061 (559) 36,502 (15,000) 21,502 Non-current Energy risk management assets 50,962 — 50,962 — 50,962 Current Energy risk management liabilities (559) 559 — — — Commodity-related contracts, net $ 93,607 $ — $ 93,607 $ (15,000) $ 78,607 (1) Represents letters of credit by counterparties. Cleco Power DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS (THOUSANDS) BALANCE SHEET LINE ITEM AT MAR. 31, 2022 AT DEC. 31, 2021 Commodity-related contracts FTRs Current Energy risk management assets $ 840 $ 5,515 Current Energy risk management liabilities (273) (597) Commodity-related contracts, net $ 567 $ 4,918 At March 31, 2022, cash collateral received from counterparties and held by Cleco was $26.3 million, all of which was netted against the current portion of Energy risk management assets on Cleco’s Condensed Consolidated Balance Sheet. At December 31, 2021, there was no cash collateral posted with or received from counterparties that was netted on Cleco’s Condensed Consolidated Balance Sheet. The following tables present the effect of derivatives not designated as hedging instruments on Cleco and Cleco Power’s Condensed Consolidated Statements of Income for the three months ended March 31, 2022, and 2021: Cleco AMOUNT OF GAIN(LOSS) ON DERIVATIVES RECOGNIZED IN INCOME FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) INCOME STATEMENT LINE ITEM 2022 2021 Commodity-related contracts FTRs (1) Electric operations $ 1,583 $ 7,444 FTRs (1) Purchased power 1,722 (8,560) Natural gas derivatives Fuel used for electric generation 128,471 (4,710) Total $ 131,776 $ (5,826) (1) For the three months ended March 31, 2022, unrealized losses associated with FTRs for Cleco Power of $0.3 million were reported through Accumulated deferred fuel on the balance sheet. For the three months ended March 31, 2021, unrealized losses associated with FTRs for Cleco Power of less than $0.1 million were reported through Accumulated deferred fuel on the balance sheet. Cleco Power AMOUNT OF GAIN(LOSS) ON DERIVATIVES RECOGNIZED IN INCOME FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) INCOME STATEMENT LINE ITEM 2022 2021 Commodity-related contracts FTRs (1) Electric operations $ 1,583 $ 7,444 FTRs (1) Purchased power (1,238) (7,182) Total $ 345 $ 262 (1) For the three months ended March 31, 2022, unrealized losses associated with FTRs of $0.3 million were reported through Accumulated deferred fuel on the balance sheet. For the three months ended March 31, 2021, unrealized losses associated with FTRs of less than $0.1 million were reported through Accumulated deferred fuel on the balance sheet. The following table presents the volume of commodity-related derivative contracts outstanding at March 31, 2022, and December 31, 2021, for Cleco and Cleco Power: Cleco TOTAL VOLUME OUTSTANDING (THOUSAND) UNIT OF MEASURE AT MAR. 31, 2022 AT DEC. 31, 2021 Commodity-related contracts FTRs MWh 5,739 14,055 Natural gas derivatives MMBtus 249,118 109,306 Cleco Power TOTAL VOLUME OUTSTANDING (THOUSAND) UNIT OF MEASURE AT MAR. 31, 2022 AT DEC. 31, 2021 Commodity-related contracts FTRs MWh 3,646 8,899 |
Pension Plan and Employee Benef
Pension Plan and Employee Benefits | 3 Months Ended |
Mar. 31, 2022 | |
Retirement Benefits [Abstract] | |
Pension Plan and Employee Benefits | Note 7 — Pension Plan and Employee Benefits Pension Plan and Other Benefits Plan Employees hired before August 1, 2007, are covered by a non-contributory, defined benefit pension plan. Based on the funding assumptions at December 31, 2021, management estimates that no pension contributions will be required through 2026. Cleco has not made, and does not expect to make, any contributions to the pension plan in 2022. Cleco Power is the plan sponsor and Support Group is the plan administrator. Benefits under the plan reflect an employee’s years of service, age at retirement, and accrued benefit at retirement. Cleco’s retirees may be eligible to receive Other Benefits. Dependents of Cleco’s retirees may also be eligible to receive Other Benefits with the exception of life insurance benefits. The non-service components of net periodic pension and Other Benefits cost are included in Other income (expense), net within Cleco and Cleco Power’s Condensed Consolidated Statements of Income. The components of net periodic pension and Other Benefits cost for the three months ended March 31, 2022, and 2021 were as follows: PENSION BENEFITS OTHER BENEFITS FOR THE THREE MONTHS ENDED MAR. 31, FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 2022 2021 Components of periodic benefit costs Service cost $ 2,150 $ 2,528 $ 551 $ 595 Interest cost 4,960 4,615 371 323 Expected return on plan assets (6,177) (5,703) — — Amortizations Net loss 3,085 4,763 303 384 Net periodic benefit cost $ 4,018 $ 6,203 $ 1,225 $ 1,302 Because Cleco Power is the pension plan sponsor and the related trust holds the assets, the net unfunded status of the pension plan is reflected at Cleco Power. The liability of Cleco’s other subsidiaries is transferred with a like amount of assets to Cleco Power monthly. The expense of the pension plan related to Cleco’s other subsidiaries for the three months ended March 31, 2022, and 2021 was $0.8 million and $0.9 million, respectively. Cleco Holdings is the plan sponsor for the other benefit plans. There are no assets set aside in a trust, and the liabilities are reported on the individual subsidiaries’ financial statements. The expense related to other benefits reflected in Cleco Power’s Condensed Consolidated Statements of Income for the three months ended March 31, 2022, and 2021 was $1.1 million and $1.2 million, respectively. The current and non-current portions of the Other Benefits liability for Cleco and Cleco Power at March 31, 2022, and December 31, 2021, were as follows: Cleco (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Current $ 5,181 $ 5,181 Non-current $ 49,605 $ 50,093 Cleco Power (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Current $ 4,432 $ 4,432 Non-current $ 38,943 $ 39,315 SERP Certain Cleco officers are covered by SERP. Cleco does not fund the SERP liability, but instead pays for current benefits out of general funds available. Cleco Power has formed a rabbi trust. The life insurance policies issued on SERP participants designate the rabbi trust as the beneficiary. Market conditions could have a significant impact on the cash surrender value of the life insurance policies. Proceeds from the life insurance policies are expected to be used to pay the SERP participants’ death benefits, as well as future SERP payments. However, because SERP is a non-qualified plan, the assets of the trust could be used to satisfy general creditors of Cleco Power in the event of insolvency. All SERP benefits are paid out of general cash available of the respective companies that employed the officer. Cleco Power is the plan sponsor and Support Group is the plan administrator. The non-service components of net periodic benefit cost related to SERP are included in Other income (expense), net within Cleco and Cleco Power’s Condensed Consolidated Statements of Income. The components of the net periodic benefit cost related to SERP for the three months ended March 31, 2022, and 2021 were as follows: FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Components of periodic benefit costs Service cost $ 57 $ 55 Interest cost 670 625 Amortizations Prior period service credit (54) (53) Net loss 262 1,016 Net periodic benefit cost $ 935 $ 1,643 The expense related to SERP reflected on Cleco Power’s Condensed Consolidated Statements of Income for the three months ended March 31, 2022, and 2021 was $0.1 million and $0.3 million, respectively. Liabilities relating to SERP are reported on the individual subsidiaries’ financial statements. The current and non-current portions of the SERP liability for Cleco and Cleco Power at March 31, 2022, and December 31, 2021, were as follows: Cleco (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Current $ 4,654 $ 4,654 Non-current $ 88,082 $ 88,523 Cleco Power (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Current $ 679 $ 679 Non-current $ 12,788 $ 12,909 401(k) Plan Cleco’s 401(k) Plan is intended to provide active, eligible employees with voluntary, long-term savings and investment opportunities. The 401(k) Plan is a defined contribution plan and is subject to the applicable provisions of the Employee Retirement Income Security Act of 1974. In accordance with the 401(k) Plan, employer contributions are made in the form of cash. Cash contributions are invested in proportion to the participant’s voluntary contribution investment choices. Participation in the Plan is voluntary, and active Cleco employees are eligible to participate. Cleco’s 401(k) Plan expense for the three months ended March 31, 2022, and 2021 was as follows: FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 401(k) Plan expense $ 2,591 $ 2,759 Cleco Power is the plan sponsor for the 401(k) Plan. The expense of the 401(k) Plan related to Cleco’s other subsidiaries for the three months ended March 31, 2022, and 2021 was as follows: FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 401(k) Plan expense $ 1,322 $ 1,380 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 8 — Income Taxes Effective Tax Rates The following tables summarize the effective income tax rates for Cleco and Cleco Power for the three months ended March 31, 2022, and 2021 : Cleco FOR THE THREE MONTHS ENDED MAR. 31, 2022 2021 Effective tax rate (3.7) % (86.4) % Cleco Power FOR THE THREE MONTHS ENDED MAR. 31, 2022 2021 Effective tax rate 1.8 % (111.7) % For Cleco and Cleco Power, the effective income tax rate for the three months ended March 31, 2022, were different than the federal statutory rate primarily due to the adjustment to record tax expense at the projected annual effective tax rate; the amortization of excess ADIT; the flow through of state tax benefits; and state tax expense. For Cleco and Cleco Power, the effective income tax rates for the three months ended March 31, 2021, were different than the federal statutory rate primarily due to the amortization of excess ADIT. Uncertain Tax Positions Cleco classifies all interest related to uncertain tax positions as a component of interest payable and interest expense. For the three months ended March 31, 2022, and 2021, Cleco and Cleco Power had no interest expense related to uncertain tax positions. At March 31, 2022, and December 31, 2021, Cleco and Cleco Power had no liability for uncertain tax positions or interest payable related to uncertain tax positions. Income Tax Audits Cleco participates in the IRS’s Compliance Assurance Process in which tax positions are examined and agreed upon prior to filing the federal tax return. While the statute of limitations remains open for tax years 2018, 2019, and 2020, the IRS has completed its review of years 2018 and 2019, and these tax returns were filed consistent with the IRS’s review. The IRS has placed Cleco in the Bridge phase of the Compliance Assurance Process for the 2020 and 2021 tax years. In this phase, the IRS will not accept any disclosures, conduct any reviews, or provide any assurances. The IRS has accepted Cleco’s application for the Compliance Assurance Process for the 2022 tax year. The state income tax years 2018, 2019, and 2020 remain subject to examination by the Louisiana Department of Revenue. Cleco classifies income tax penalties as a component of other expense. For the three months ended March 31, 2022, and 2021, no penalties were recognized. CARES Act In March 2020, the CARES Act was signed into law. The CARES Act includes tax relief provisions such as an alternative minimum tax credit refund, a five-year net operating loss carryback from years 2018 through 2020, and deferred payments of employer payroll taxes. At March 31, 2022, Cleco had $3.0 million deferred in employer payroll tax payments for the period March 27, 2020, through December 31, 2020, which will be paid by December 31, 2022. At March 31, 2022, Cleco Power had $1.8 million deferred in employer payroll tax payments for the period March 27, 2020, through December 31, 2020, which will be paid by December 31, 2022. |
Disclosures about Segments
Disclosures about Segments | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Disclosures about Segments | Note 9 — Disclosures about Segments Cleco’s reportable segments are based on its method of internal reporting, which disaggregates business units by its first-tier subsidiary. Cleco’s reportable segments are Cleco Power and Cleco Cajun. Each reportable segment engages in business activities from which it earns revenue and incurs expenses. Segment managers report periodically to Cleco’s CEO, who is Cleco’s chief operating decision maker, with discrete financial information and, at least quarterly, present discrete financial information to Cleco Holdings’ and, in the case of Cleco Power, Cleco Power’s Boards of Managers. The reportable segment prepares budgets that are presented to and approved by Cleco Holdings’ and, in the case of Cleco Power, Cleco Power’s Boards of Managers. The column shown as Other in the following tables includes the holding company, a shared services subsidiary, and an investment subsidiary. There were no changes to Cleco’s existing reportable segments. The financial results in the following tables are presented on an accrual basis. EBITDA is a key non-GAAP financial measure used by the CEO to assess the operating performance of Cleco’s segments. Management evaluates the performance of Cleco’s segments and allocates resources to them based on segment profit and the requirements to implement strategic initiatives and projects to meet current business objectives. EBITDA is defined as net income adjusted for interest, income taxes, depreciation, and amortization. Depreciation and amortization in the following tables includes amortization of intangible assets and liabilities recorded for the fair value adjustment of wholesale power supply agreements as a result of the 2016 Merger and the Cleco Cajun Transaction, as well as amortization of deferred lease revenue resulting from the Cleco Cajun Transaction. Material intercompany transactions occur on a regular basis. These intercompany transactions relate primarily to joint and common administrative support services as well as transmission services provided by Cleco Power to Cleco Cajun. Segment Information for the Three Months Ended Mar. 31, 2022 (THOUSANDS) CLECO POWER CLECO CAJUN TOTAL SEGMENTS Revenue Electric operations $ 296,097 $ 103,633 $ 399,730 Other operations 19,084 35,612 54,696 Affiliate revenue 1,459 — 1,459 Electric customer credits (136) — (136) Operating revenue, net $ 316,504 $ 139,245 $ 455,749 Net income $ 39,024 $ 93,381 $ 132,405 Add: Depreciation and amortization 45,239 23,180 (1) 68,419 Less: Interest income 740 13 753 Add: Interest charges 18,801 (8) 18,793 Add: Federal and state income tax expense 724 33,641 34,365 EBITDA $ 103,048 $ 150,181 $ 253,229 Additions to property, plant, and equipment $ 38,492 $ 1,471 $ 39,963 Equity investment in investee $ 2,072 $ — $ 2,072 Goodwill $ 1,490,797 $ — $ 1,490,797 Total segment assets $ 6,621,574 $ 1,194,748 $ 7,816,322 (1) Includes $3.6 million of amortization of intangible assets and liabilities related to wholesale power supply agreements and $(2.3) million of deferred lease revenue amortization as a result of the Cleco Cajun Transaction. 2022 (THOUSANDS) TOTAL SEGMENTS OTHER ELIMINATIONS TOTAL Revenue Electric operations $ 399,730 $ (2,420) $ (1) $ 397,309 Other operations 54,696 1 (2,690) 52,007 Affiliate revenue 1,459 27,393 (28,852) — Electric customer credits (136) — — (136) Operating revenue, net $ 455,749 $ 24,974 $ (31,543) $ 449,180 Depreciation and amortization $ 68,419 $ 4,379 (1) $ — $ 72,798 Interest income $ 753 $ 31 $ (28) $ 756 Interest charges $ 18,793 $ 14,753 $ (27) $ 33,519 Federal and state income tax expense (benefit) $ 34,365 $ (39,952) $ — $ (5,587) Net income (loss) $ 132,405 $ 23,339 $ — $ 155,744 Additions to property, plant, and equipment $ 39,963 $ 236 $ — $ 40,199 Equity investment in investee ( 2) $ 2,072 $ (66,901) $ 66,901 $ 2,072 Goodwill ( 2) $ 1,490,797 $ — $ — $ 1,490,797 Total segment assets ( 2) $ 7,816,322 $ 582,322 $ (148,417) $ 8,250,227 (1) Includes $2.4 million of amortization of intangible assets related to Cleco Power’s wholesale power supply agreements as a result of the 2016 Merger. (2) At March 31, 2022. 2021 (THOUSANDS) CLECO POWER CLECO CAJUN TOTAL SEGMENTS Revenue Electric operations $ 267,158 $ 101,507 $ 368,665 Other operations 18,626 33,039 51,665 Affiliate revenue 1,655 — 1,655 Electric customer credits (20,976) — (20,976) Operating revenue, net $ 266,463 $ 134,546 $ 401,009 Net income $ 18,425 $ 14,481 $ 32,906 Add: Depreciation and amortization 42,076 11,653 (1) 53,729 Less: Interest income 642 3 645 Add: Interest charges 18,646 (152) 18,494 Add: Federal and state income tax (benefit) expense (9,723) 4,610 (5,113) EBITDA $ 68,782 $ 30,589 $ 99,371 Additions to property, plant, and equipment $ 36,263 $ 2,313 $ 38,576 Equity investment in investees (2) $ 2,072 $ — $ 2,072 Goodwill (2) $ 1,490,797 $ — $ 1,490,797 Total segment assets (2) $ 6,620,298 $ 1,104,090 $ 7,724,388 (1) Includes $3.1 million of amortization of intangible assets and liabilities related to wholesale power supply agreements and $(2.3) million of deferred lease revenue amortization as a result of the Cleco Cajun Transaction. (2) At December 31, 2021. 2021 (THOUSANDS) TOTAL SEGMENTS OTHER ELIMINATIONS TOTAL Revenue Electric operations $ 368,665 $ (2,420) $ — $ 366,245 Other operations 51,665 1 (1,940) 49,726 Affiliate revenue 1,655 27,156 (28,811) — Electric customer credits (20,976) — — (20,976) Operating revenue, net $ 401,009 $ 24,737 $ (30,751) $ 394,995 Depreciation and amortization $ 53,729 $ 4,435 (1) $ — $ 58,164 Interest income $ 645 $ 43 $ (41) $ 647 Interest charges $ 18,494 $ 15,440 $ (43) $ 33,891 Federal and state income tax benefit $ (5,113) $ (4,307) $ — $ (9,420) Net income (loss) $ 32,906 $ (12,579) $ — $ 20,327 Additions to property, plant, and equipment $ 38,576 $ (805) $ — $ 37,771 Equity investment in investees (2) $ 2,072 $ (46,901) $ 46,901 $ 2,072 Goodwill (2) $ 1,490,797 $ — $ — $ 1,490,797 Total segment assets (2) $ 7,724,388 $ 619,101 $ (218,471) $ 8,125,018 (1) Includes $2.4 million of amortization of intangible assets related to Cleco Power’s wholesale power supply agreements as a result of the 2016 Merger. (2) At December 31, 2021. FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Net income $ 155,744 $ 20,327 Add: Depreciation and amortization 72,798 58,164 Less: Interest income 756 647 Add: Interest charges 33,519 33,891 Add: Federal and state income tax expense (5,587) (9,420) Add: Other corporate costs and noncash items (1) (2,489) (2,944) Total segment EBITDA $ 253,229 $ 99,371 (1) Adjustments made for Other and Elimination totals not allocated to total segment EBITDA. |
Regulation and Rates
Regulation and Rates | 3 Months Ended |
Mar. 31, 2022 | |
Regulated Operations [Abstract] | |
Regulation and Rates | Note 10 — Regulation and Rates Provision for rate refund on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets consisted primarily of the following: (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Cleco Katrina/Rita storm recovery charges $ 1,611 $ 1,611 FRP $ 1,230 $ 1,229 Site-specific industrial customer $ 995 $ 833 TCJA $ 2,057 $ 2,057 Cleco Katrina/Rita Storm Recovery Charges Prior to the repayment of the Cleco Katrina/Rita storm recovery bonds in March 2020, Cleco Katrina/Rita had the right to bill and collect storm restoration costs from Cleco Power’s customers to pay administrative fees, interest, and principal on the Cleco Katrina/Rita storm recovery bonds. In April 2021, after payments for all final administrative and winding up activities of Cleco Katrina/Rita were made, Cleco Katrina/Rita transferred its remaining restricted cash to Cleco Power. As a result, at March 31, 2022, Cleco Power had $1.6 million accrued for amounts to be used to benefit retail customers in a manner and timing as approved by the LPSC. For more information on Cleco Katrina/Rita’s storm recovery, see Note 1 — “Summary of Significant Accounting Policies — Restricted Cash and Cash Equivalents.” FRP Prior to July 1, 2021, Cleco Power’s annual retail earnings were subject to an FRP established by the LPSC in June 2014. The 2014 FRP allowed Cleco Power to earn a target ROE of 10.0%, while providing the opportunity to earn up to 10.9%. Additionally, 60.0% of retail earnings between 10.9% and 11.75%, and all retail earnings over 11.75%, were required to be refunded to customers. On June 16, 2021, the LPSC approved Cleco Power’s new FRP. Effective July 1, 2021, under the terms of the new FRP, Cleco Power is allowed to earn a target ROE of 9.5%, while providing the opportunity to earn up to 10.0%. Additionally, 60.0% of retail earnings between 10.0% and 10.5%, and all retail earnings over 10.5%, are required to be refunded to customers. The amount of credits due to customers, if any, is determined by Cleco Power and the LPSC annually. Cleco Power’s next base rate case is required to be filed with the LPSC on or before March 31, 2023. A monitoring report for the 12 months ended June 30, 2021, was not required due to the expiration of the 2014 FRP. The next monitoring report will be filed on or before October 31, 2022, for the 12 months ending June 30, 2022. Cleco Power continued to accrue the annual cost of service savings resulting from the 2016 Merger Commitments through June 30, 2021. Beginning July 1, 2021, the annual cost of service savings are included in Cleco Power’s new retail rate plan. At March 31, 2022, Cleco Power had $1.2 million accrued for the period July 1, 2020, through June 30, 2021, which is expected to be refunded to customers in September 2022. TCJA The provisions of the TCJA reduced the top federal statutory corporate income tax rate from 35% to 21%. As a result of the tax rate reduction, on January 1, 2018, Cleco Power began accruing an estimated reserve for the reduction in the federal statutory corporate income tax rate. In February 2018, the LPSC directed utilities, including Cleco Power, to provide considerations of the appropriate manner to flow through to ratepayers the benefits of the reduction in corporate income taxes as a result of the TCJA. In July 2019, the LPSC approved Cleco Power’s rate refund of $79.2 million, plus interest, for the reduction in the statutory federal tax rate for the period from January 2018 to June 2020. The refund was credited to customers over 12 months beginning August 1, 2019. In July 2019, the LPSC approved Cleco Power’s motion to address the rate redesign and the regulatory liability for excess ADIT, resulting from the enactment of the TCJA, in Cleco Power’s base rate case. In 2020 and as a result of the delay in the rate case, the LPSC approved Cleco Power’s extension of the TCJA bill credits at the same rate as determined in the initial TCJA refund of approximately $7.0 million per month. The extension was for the period of August 2020 through June 30, 2021. The $7.0 million monthly refund consisted of approximately $4.4 million, which was to be funded by the unprotected excess ADIT, and approximately $2.6 million, which is the change in the federal statutory corporate income tax rate from 35% to 21%. At March 31, 2022, Cleco Power had $2.1 million accrued for the remaining balance of federal tax-related benefits from the TCJA. On June 16, 2021, the LPSC approved Cleco Power’s new retail rate plan which includes the settlement of the TCJA protected and unprotected excess ADIT. Effective July 1, 2021, all retail customers continued receiving bill credits resulting from the TCJA. The target retail portion of the unprotected excess ADIT is approximately $2.5 million monthly and will be credited over a period of three years concluding on June 30, 2024. The retail portion of the protected excess ADIT will be credited until the full amount of the protected excess ADIT has been returned to Cleco Power’s customers through bill credits. At March 31, 2022, Cleco Power had $291.0 million accrued for the excess ADIT, of which $44.1 million is reflected in current regulatory liabilities. SSR In September 2016, Cleco Power filed an Attachment Y with MISO requesting retirement of Teche Unit 3 effective April 1, 2017. MISO determined the proposed retirement of Teche Unit 3 would result in violations of specific applicable reliability standards for which no mitigation was available. As a result, MISO designated Teche Unit 3 as an SSR unit until such time that an appropriate alternative solution could be implemented to mitigate reliability issues. While operating as an SSR unit, Cleco Power received monthly payments that included recovery of expenses, including capital expenditures, related to the operations of Teche Unit 3. Additionally, MISO allocated SSR costs to the load serving entities that required the operation of the SSR unit, including Cleco Power. These payments and cost allocations were finalized as part of a MISO SSR settlement approved in December 2018. Cleco Power operated Teche Unit 3 as an SSR unit from April 2017 until April 2019. On September 7, 2021, Cleco Power filed an attachment Y with MISO requesting retirement of Teche Unit 3, barring any violations of specific applicable reliability standards. In December 2021, Cleco Power filed notice with the LPSC and MISO to suspend the retirement of Teche Unit 3. On March 15, 2022, Cleco Power paid MISO $4.3 million for capital |
Variable Interest Entities
Variable Interest Entities | 3 Months Ended |
Mar. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entities | Note 11 — Variable Interest Entities Cleco and Cleco Power apply the equity method of accounting to report the investment in Oxbow in the consolidated financial statements. Under the equity method, the assets and liabilities of this entity are reported as Equity investment in investee on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets. The revenue and expenses (excluding income taxes) of this entity are netted and reported as equity income or loss from investees on Cleco and Cleco Power’s Condensed Consolidated Statements of Income. Oxbow is owned 50% by Cleco Power and 50% by SWEPCO. Cleco Power is not the primary beneficiary because it shares the power to control Oxbow’s significant activities with SWEPCO. Cleco Power’s current assessment of its maximum exposure to loss related to Oxbow at March 31, 2022, consisted of its equity investment of $2.1 million . The following table presents the components of Cleco Power’s equity investment in Oxbow: INCEPTION TO DATE (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Purchase price $ 12,873 $ 12,873 Cash contributions 6,399 6,399 Distributions (17,200) (17,200) Total equity investment in investee $ 2,072 $ 2,072 The following table compares the carrying amount of Oxbow’s assets and liabilities with Cleco Power’s maximum exposure to loss related to its investment in Oxbow: (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Oxbow’s net assets/liabilities $ 4,145 $ 4,145 Cleco Power’s 50% equity $ 2,072 $ 2,072 Cleco Power’s maximum exposure to loss $ 2,072 $ 2,072 The following table contains summarized financial information for Oxbow: FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Operating revenue $ 66 $ 1,999 Operating expenses 66 1,999 Income before taxes $ — $ — Prior to June 30, 2020, DHLC mined lignite reserves at Oxbow through the Amended Lignite Mining Agreement. The lignite reserves were intended to be used to provide fuel to the Dolet Hills Power Station. Under the Amended Lignite Mining Agreement, DHLC billed Cleco Power its proportionate share of incurred lignite extraction and associated mining-related costs. Oxbow billed Cleco Power its proportionate share of incurred costs related to mineral rights and land leases. On October 6, 2020, Cleco Power and SWEPCO made a joint filing with the LPSC seeking authorization to close the Oxbow mine. At December 31, 2021, the Dolet Hills Power Station was retired, and all of Cleco Power’s proportionate share of lignite-related costs had been billed by DHLC and Oxbow. For more information on DHLC and the Oxbow mine, see Note 12 — “Litigation, Other Commitments and Contingencies, and Disclosures about Guarantees — Risks and Uncertainties.” Oxbow has no third-party agreements, guarantees, or other third-party commitments that contain obligations affecting Cleco Power’s investment in Oxbow. |
Litigation, Other Commitments a
Litigation, Other Commitments and Contingencies, and Disclosures about Guarantees | 3 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Litigation, Other Commitments and Contingencies, and Disclosures about Guarantees | Note 12 — Litigation, Other Commitments and Contingencies, and Disclosures about Guarantees Litigation 2016 Merger In connection with the 2016 Merger, four actions were filed in the Ninth Judicial District Court for Rapides Parish, Louisiana and three actions were filed in the Civil District Court for Orleans Parish, Louisiana. The petitions in each action generally alleged, among other things, that the members of Cleco Corporation’s Board of Directors breached their fiduciary duties by, among other things, conducting an allegedly inadequate sale process, agreeing to the 2016 Merger at a price that allegedly undervalued Cleco, and failing to disclose material information about the 2016 Merger. The petitions also alleged that Como 1, Cleco Corporation, Merger Sub, and, in some cases, certain of the investors in Como 1 either aided and abetted or entered into a civil conspiracy to advance those supposed breaches of duty. The petitions sought various remedies, including monetary damages, which includes attorneys’ fees and expenses. The four actions filed in the Ninth Judicial District Court for Rapides Parish are captioned as follows: • Braunstein v. Cleco Corporation , No. 251,383B (filed October 27, 2014), • Moore v. Macquarie Infrastructure and Real Assets , No. 251,417C (filed October 30, 2014), • Trahan v. Williamson , No. 251,456C (filed November 5, 2014), and • L’Herisson v. Macquarie Infrastructure and Real Assets , No. 251,515F (filed November 14, 2014). In November 2014, the plaintiff in the Braunstein action moved for a dismissal of the action without prejudice, and that motion was granted in November 2014. In December 2014, the court consolidated the remaining three actions and appointed interim co-lead counsel, and dismissed the investors in Cleco Partners as defendants, per agreement of the parties. Also, in December 2014, the plaintiffs in the consolidated action filed a Consolidated Amended Verified Derivative and Class Action Petition for Damages and Preliminary and Permanent Injunction. The three actions filed in the Civil District Court for Orleans Parish were captioned as follows: • Butler v. Cleco Corporation , No. 2014-10776 (filed November 7, 2014), • Creative Life Services, Inc. v. Cleco Corporation , No. 2014-11098 (filed November 19, 2014), and • Cashen v. Cleco Corporation , No. 2014-11236 (filed November 21, 2014). In December 2014, the directors and Cleco filed declinatory exceptions in each action on the basis that each action was improperly brought in Orleans Parish and should either be transferred to the Ninth Judicial District Court for Rapides Parish or dismissed. Also, in December 2014, the plaintiffs in each action jointly filed a motion to consolidate the three actions pending in Orleans Parish and to appoint interim co-lead plaintiffs and co-lead counsel. In January 2015, the Court in the Creative Life Services case sustained the defendants’ declinatory exceptions and dismissed the case so that it could be transferred to the Ninth Judicial District Court for Rapides Parish. In February 2015, the plaintiffs in Butler and Cashen also consented to the dismissal of their cases from Orleans Parish so they could be transferred to the Ninth Judicial District Court for Rapides Parish. By operation of the December 2014 order of the Ninth Judicial District Court for Rapides Parish, the Butler , Cashen , and Creative Life Services actions were consolidated into the actions pending in Rapides Parish. In February 2015, the Ninth Judicial District Court for Rapides Parish held a hearing on a motion for preliminary injunction filed by plaintiffs in the consolidated action seeking to enjoin the shareholder vote for approval of the Merger Agreement. The District Court heard and denied the plaintiffs’ motion. In June 2015, the plaintiffs filed their Second Consolidated Amended Verified Derivative and Class Action Petition. Cleco filed exceptions seeking dismissal of the second amended petition in July 2015. The LPSC voted to approve the 2016 Merger before the court could consider the plaintiffs’ peremptory exceptions. In March 2016 and May 2016, the plaintiffs filed their Third Consolidated Amended Verified Derivative Petition for Damages and Preliminary and Permanent Injunction and their Fourth Verified Consolidated Amended Class Action Petition, respectively. The fourth amended petition, which remains the operative petition and was filed after the 2016 Merger closed, eliminated the request for preliminary and permanent injunction and named an additional executive officer as a defendant. The defendants filed exceptions seeking dismissal of the fourth amended Petition. In September 2016, the District Court granted the exceptions of no cause of action and no right of action and dismissed all claims asserted by the former shareholders. The plaintiffs appealed the District Court’s ruling to the Louisiana Third Circuit Court of Appeal. In December 2017, the Third Circuit Court of Appeal issued an order reversing and remanding the case to the District Court for further proceedings. In January 2018, Cleco filed a writ with the Louisiana Supreme Court seeking review of the Third Circuit Court of Appeal’s decision. The writ was denied in March 2018 and the parties are engaged in discovery in the District Court. In November 2018, Cleco filed renewed exceptions of no cause of action and res judicata, seeking to dismiss all claims. On December 21, 2018, the court dismissed Cleco Partners and Cleco Holdings as defendants per the agreement of the parties, leaving as the only remaining defendants certain former executive officers and independent directors. The District Court denied the defendants’ exceptions on January 14, 2019. A hearing on the plaintiffs’ motion for certification of a class was scheduled for August 26, 2019; however, prior to the hearing, the parties reached an agreement to certify a limited class. On September 7, 2019, the District Court certified a class limited to shareholders who voted against, abstained from voting, or did not vote on the 2016 Merger. On October 18, 2021, the District Court issued an order consistent with a joint motion by the parties to dismiss all claims against the former independent directors leaving two former executives as the only remaining defendants. Cleco believes that the allegations of the petitions in each action are without merit and that it has substantial meritorious defenses to the claims set forth in each of the petitions. Gulf Coast Spinning In September 2015, a potential customer sued Cleco for failure to fully perform an alleged verbal agreement to lend or otherwise fund its startup costs to the extent of $6.5 million. Gulf Coast Spinning Company, LLC (Gulf Coast), the primary plaintiff, alleges that Cleco promised to assist it in raising approximately $60.0 million, which Gulf Coast needed to construct a cotton spinning facility near Bunkie, Louisiana (the Bunkie Project). According to the petition filed by Gulf Coast in the 12 th Judicial District Court for Avoyelles Parish, Louisiana, Cleco made such promises of funding assistance in order to cultivate a new industrial electric customer which would increase its revenues under a power supply agreement that it executed with Gulf Coast. Gulf Coast seeks unspecified damages arising from its inability to raise sufficient funds to complete the project, including lost profits. Cleco filed an Exception of No Cause of Action arguing that the case should be dismissed. The 12 th Judicial District Court denied Cleco’s exception in December 2015, after considering briefs and arguments. In January 2016, Cleco appealed the 12 th Judicial District Court’s denial of its exception by filing with the Third Circuit Court of Appeal. In June 2016, the Third Circuit Court of Appeal denied the request to have the case dismissed. In July 2016, Cleco filed a writ to the Louisiana Supreme Court seeking a review of 12 th Judicial District Court’s denial of Cleco’s exception. In November 2016, the Louisiana Supreme Court denied Cleco’s writ application. In February 2016, the parties agreed to a stay of all proceedings pending discussions concerning settlement. In May 2016, the 12 th Judicial District Court lifted the stay at the request of Gulf Coast. The parties are currently participating in discovery. Diversified Lands loaned $2.0 million to Gulf Coast for the Bunkie Project. The loan was secured by a mortgage on the Bunkie Project site. Diversified Lands foreclosed on the Bunkie property in February 2020 and has also asserted claims personally against the former owner of Gulf Coast. These claims are based on contracts and credit documents executed by Gulf Coast, the obligations and performance of which were personally guaranteed by the former owner of Gulf Coast. Diversified Lands is seeking recovery of the indebtedness still owed by Gulf Coast to Diversified Lands following the February 2020 foreclosure. Cleco believes the allegations of the petition are contradicted by the written documents executed by Gulf Coast, are otherwise without merit, and that it has substantial meritorious defenses to the claims alleged by Gulf Coast. Dispute with Saulsbury Industries In October 2018, Cleco Power sued Saulsbury Industries, Inc., the former general contractor for the St. Mary Clean Energy Center project, seeking damages for Saulsbury Industries, Inc.’s failure to complete the St. Mary Clean Energy Center project on time and for costs incurred by Cleco Power in hiring a replacement general contractor. The action was filed in the Ninth Judicial District Court for Rapides Parish, No. 263339. Saulsbury Industries, Inc. removed the case to the U.S. District Court for the Western District of Louisiana, on March 1, 2019. On September 14, 2020, Cabot Corporation was allowed to join the case pending in the Ninth Judicial District Court for Rapides Parish. In January 2019, Cleco Power was served with a summons in Saulsbury Industries, Inc. v. Cabot Corporation and Cleco Power LLC , in the U.S. District Court for the Western District of Louisiana. Saulsbury Industries, Inc. alleged that Cleco Power and Cabot Corporation caused delays in the St. Mary Clean Energy Center project, resulting in alleged impacts to Saulsbury Industries, Inc.’s direct and indirect costs. On June 5, 2019, Cleco Power and Cabot Corporation each filed separate motions to dismiss. On October 24, 2019, the District Court denied Cleco’s motion as premature and ruled that Saulsbury Industries, Inc. had six weeks to conduct discovery on specified jurisdictional issues. The Magistrate Judge presiding over the Western District of Louisiana consolidated cases issued a report and recommendation to the District Judge that the case instituted by Saulsbury Industries, Inc. be dismissed without prejudice and the case initiated by Cleco Power be remanded to the Ninth Judicial District Court for Rapides Parish. Saulsbury Industries, Inc. did not oppose the Magistrate Judge’s report and recommendation, and the District Judge issued a ruling that adopted the Magistrate Judge’s report and recommendation, which included reasoning consistent with Cleco Power’s arguments. Thus, the federal consolidated cases are now closed. On October 10, 2019, Cleco Power was served with a summons in Saulsbury Industries, Inc. v. Cabot Corporation and Cleco Power LLC in the 16 th Judicial District Court for St. Mary Parish, No. 133910-A. Saulsbury Industries, Inc. asserted the same claim as the Western District Litigation and further asserts claims for payment on an open account. On December 9, 2019, Cleco moved to stay the case, arguing that the Rapides Parish suit should proceed. On February 14, 2020, the court granted Cleco’s motion, which stay order remains in place until lifted. The 16 th Judicial District Court for the St. Mary Parish case held a hearing on October 16, 2020, and the judge granted Cleco’s declinatory exceptions of lis pendens. Thus, the St. Mary’s Parish case has been dismissed. Saulsbury filed a motion for a new trial. The hearing on this motion was held on February 5, 2021, and the 16 th Judicial District Court judge denied Saulsbury’s motion for a new trial. Saulsbury has appealed this decision. The Rapides Parish case remains stayed during the pendency of Saulsbury’s appeal of the 16 th Judicial District Court decision. LPSC Audits Fuel Audits Generally, Cleco Power’s cost of fuel used for electric generation and the cost of purchased power are recovered through the LPSC-established FAC that enables Cleco Power to pass on to its customers substantially all such charges. Recovery of FAC costs is subject to periodic fuel audits by the LPSC. The LPSC FAC General Order issued in November 1997, in Docket No. U-21497 provides that an audit of FAC filings will be performed at least every other year. In March 2020, Cleco Power received a notice of audit from the LPSC for the period of January 2018 to December 2019. The total amount of fuel expense included in the audit is $565.8 million. Cleco Power has responded to several sets of data requests from the LPSC. Cleco Power has FAC filings for January 2020 and thereafter that remain subject to audit. Management is unable to predict or give a reasonable estimate of the possible range of the disallowance, if any, related to these filings. Historically, the disallowances have not been material. If a disallowance of fuel cost is ordered resulting in a refund, any such refund could have a material adverse effect on the results of operations, financial condition, or cash flows of the Registrants. On March 29, 2021, Cleco Power received approval from the LPSC to recover $50.0 million of incremental fuel and purchased power costs incurred as a result of Winter Storms Uri and Viola over a period of 12 months beginning with the May 2021 bills. On May 11, 2021, Cleco Power received notice of an audit from the LPSC for the fuel costs incurred during the time period required to restore services to Cleco Power’s customers during Winter Storms Uri and Viola. Cleco Power has responded to several data requests. Management is unable to determine the outcome or timing of the audit. For more information on these winter storms, see Note 16 — “Storm Restoration, Securitization, and Cost Recovery — Winter Storms Uri and Viola.” Environmental Audit In 2009, the LPSC issued Docket No. U-29380 Subdocket A, which provides Cleco Power an EAC to recover from its customers certain costs of environmental compliance. The costs eligible for recovery are those for prudently incurred air emissions credits associated with complying with federal, state, and local air emission regulations that apply to the generation of electricity reduced by the sale of such allowances. Also eligible for recovery are variable emission mitigation costs, which are the costs of reagents such as ammonia and limestone that are a part of the fuel mix used to reduce air emissions, among other things. Cleco Power has EAC filings for January 2020 and thereafter that remain subject to audit. Management is unable to predict or give a reasonable estimate of the possible range of the disallowance, if any, related to these filings. Historically, the disallowances have not been material. If a disallowance of environmental cost is ordered resulting in a refund to Cleco Power’s customers, any such refund could have a material adverse effect on the results of operations, financial condition, or cash flows of the Registrants. Cleco Power incurs environmental compliance expenses for reagents associated with the compliance standards of MATS. These expenses are also eligible for recovery through Cleco Power’s EAC and are subject to periodic review by the LPSC. In May 2020, the EPA finalized a rule that concluded that it is not appropriate and necessary to regulate hazardous air pollutants from coal- and oil-fired electric generating units. However, the EPA concluded that coal- and oil-fired electric generating units would not be removed from the list of regulated sources of hazardous air pollutants and would remain subject to MATS. The EPA also determined that the results of its risk and technology review did not require any revisions to the emissions standards. Several petitions for review of the rule’s findings were filed between May and July 2020 in the D.C. Circuit Court of Appeals. On January 20, 2021, the Presidential Administration issued an executive order, which directs federal agency heads to review regulations and other actions over the past four years to determine if they are inconsistent with the policies announced in the executive order. The order specifically directed the EPA to consider issuing a proposed rule to suspend, revise, or rescind the rule. The EPA determined the most environmentally protective course is to implement the rules in the executive order. On February 9, 2022, the EPA published in the Federal Register a proposed rule to revoke the agency’s May 2020 finding with respect to whether it is appropriate and necessary to regulate coal and oil-fired generating units under MATS, but the EPA has not yet acted on a review of the risk and technology determination from the May 2020 rule. Management is unable to determine whether the outcome of the D.C. Circuit Court of Appeals’ review or the EPA’s review of the rule as a result of the executive order will result in changes to the MATS standards. South Central Generating Prior to the Cleco Cajun Transaction, South Central Generating was involved in various litigation matters, including environmental and contract proceedings, before various courts regarding matters arising out of the ordinary course of business. As of March 31, 2022, management estimates potential losses to be $1.5 million with respect to one of these matters. Management is unable to estimate any potential losses Cleco Cajun may be ultimately responsible for with respect to any of the remaining matters. As part of the Cleco Cajun Transaction, NRG Energy indemnified Cleco for losses as of the closing date associated with matters that existed as of the closing date, including pending litigation. Other Cleco is involved in various litigation matters, including regulatory, environmental, and administrative proceedings before various courts, regulatory commissions, arbitrators, and governmental agencies regarding matters arising in the ordinary course of business. The liability Cleco may ultimately incur with respect to any one of these matters may be in excess of amounts currently accrued. Management regularly analyzes current information and, as of March 31, 2022, believes the probable and reasonably estimable liabilities based on the eventual disposition of these matters are $6.7 million and has accrued this amount. Off-Balance Sheet Commitments and Guarantees Cleco Holdings and Cleco Power have entered into various off-balance sheet commitments, in the form of guarantees and standby letters of credit, in order to facilitate their activities and the activities of Cleco Holdings’ subsidiaries and equity investees (affiliates). Cleco Holdings and Cleco Power have also agreed to contractual terms that require the Registrants to pay third parties if certain triggering events occur. These contractual terms generally are defined as guarantees. Cleco Holdings entered into these off-balance sheet commitments in order to entice desired counterparties to contract with its affiliates by providing some measure of credit assurance to the counterparty in the event Cleco’s affiliates do not fulfill certain contractual obligations. If Cleco Holdings had not provided the off-balance sheet commitments, the desired counterparties may not have contracted with Cleco’s affiliates, or may have contracted with them at terms less favorable to its affiliates. The off-balance sheet commitments are not recognized on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets because management has determined that Cleco and Cleco Power’s affiliates are able to perform the obligations under their contracts and that it is not probable that payments by Cleco or Cleco Power will be required. Cleco Holdings provided guarantees and indemnities to Entergy Louisiana and Entergy Gulf States as a result of the sale of the Perryville generation facility in 2005. The remaining indemnifications relate to environmental matters that may have been present prior to closing. These remaining indemnifications have no time limitations. The maximum amount of the potential payment to Entergy Louisiana and Entergy Gulf States is $42.4 million. Management does not expect to be required to pay Entergy Louisiana and Entergy Gulf States under these guarantees. On behalf of Acadia, Cleco Holdings provided guarantees and indemnifications as a result of the sales of Acadia Unit 1 to Cleco Power and Acadia Unit 2 to Entergy Louisiana in 2010 and 2011, respectively. The remaining indemnifications relate to the fundamental organizational structure of Acadia. These remaining indemnifications have no time limitations or maximum potential future payments. Management does not expect to be required to pay Cleco Power or Entergy Louisiana under these guarantees. Cleco Holdings provided indemnifications to Cleco Power as a result of the transfer of Coughlin to Cleco Power in March 2014. Cleco Power also provided indemnifications to Cleco Holdings as a result of the transfer of Coughlin to Cleco Power. The maximum amount of the potential payment to Cleco Power and Cleco Holdings, for their respective indemnifications is $40.0 million, except for indemnifications relating to the fundamental organizational structure of each respective entity, of which the maximum amount is $400.0 million. Management does not expect to be required to make any payments under these indemnifications. As part of the Amended Lignite Mining Agreement, Cleco Power and SWEPCO, joint owners of the Dolet Hills Power Station, have agreed to pay the loan and lease principal obligations of the lignite miner, DHLC, when due if DHLC does not have sufficient funds or credit to pay. Any amounts projected to be paid would be based on the forecasted loan and lease obligations to be incurred by DHLC, primarily for the reclamation of land used in DHLC’s mining operations prior to its termination of such operations or in support of such mining operations, and the fulfillment of DHLC’s mine closing and environmental obligations under its mining plan. As of March 31, 2022, Cleco Power does not expect any payments to be made under this guarantee. Cleco Power has the right to dispute the incurrence of such loan and lease obligations before their incurrence but cannot unreasonably withhold approval thereof. The Amended Lignite Mining Agreement does not affect the amount the Registrants can borrow under their credit facilities. In April 2020, Cleco Power and SWEPCO mutually agreed to not develop additional mining areas for future lignite extraction and subsequently provided notice to the LPSC of the intent to cease mining at the Dolet Hills and Oxbow mines by June 2020. The mine closures are subject to LPSC review and approval. As of June 30, 2020, all lignite reserves intended to be extracted from the mines had been extracted. On October 6, 2020, Cleco Power and SWEPCO made a joint filing with the LPSC seeking authorization to close the Oxbow mine and to include and defer certain accelerated mine costs in fuel and related ratemaking treatment. For more information on the joint filing, see “— Risks and Uncertainties.” Cleco has letters of credit to MISO pursuant to energy market requirements. The letters of credit automatically renew each year and have no impact on Cleco Holdings’ or Cleco Power’s revolving credit facility. Generally, neither Cleco Holdings nor Cleco Power has recourse that would enable them to recover amounts paid under their guarantee or indemnification obligations. There are no assets held as collateral for third parties that either Cleco Holdings or Cleco Power could obtain and liquidate to recover amounts paid pursuant to the guarantees or indemnification obligations. Other Commitments Cleco has accrued for liabilities related to third parties, employee medical benefits, and AROs. In April 2015, the EPA published a final rule in the Federal Register for regulating the disposal and management of CCRs from coal-fired power plants (CCR Rule). The CCR Rule established extensive requirements for existing and new CCR landfills and surface impoundments and all lateral expansions consisting of location restrictions, design and operating criteria, groundwater monitoring and corrective action, closure requirements and post closure care, and recordkeeping, notification, and internet posting requirements. In August 2018, the D.C. Court of Appeals vacated several requirements in the CCR regulation, which included eliminating the previous acce ptability of compacted clay material as a liner for impoundments. As a result, in August 2020, the EPA published a final rule in the Federal Register that would set deadlines for costly modifications including retrofitting of clay-lined impoundments with compliant liners or closure of the impoundments. In November 2020, Cleco submitted demonstrations to the EPA specifying its intended course of action for the ash disposal facilities at Rodemacher Unit 2, Dolet Hills Power Station, and Big Cajun II in order to comply with the final CCR Rule. During 2021, additional information was submitted to the LDEQ to revise and update Cleco Power’s compliance strategy. On January 11, 2022, Cleco Power and Cleco Cajun received communication from the EPA that the demonstrations have been deemed complete. However, the demonstrations are still subject to EPA approval based on pending technical reviews. At March 31, 2022, Cleco and Cleco Power had AROs of $74.4 million and $23.0 million, respectively. At December 31, 2021, Cleco and Cleco Power had AROs of $74.3 million and $23.0 million, respectively. As part of the Cleco Cajun Transaction, NRG agreed to indemnify Cleco for environmental costs up to $25.0 million associated with the CCR rule. At March 31, 2022, Cleco Cajun recognized indemnification assets totaling $22.4 million. The current portion of the indemnification asset of $1.1 million is reflected in Other current assets and the non-current portion of $21.3 million is reflected in Other deferred charges on Cleco’s Condensed Consolidated Balance Sheet. The indemnification asset is expected to be collected as closure costs are incurred. Risks and Uncertainties Cleco could be subject to possible adverse consequences if Cleco’s counterparties fail to perform their obligations or if Cleco or its affiliates are not in compliance with loan agreements or bond indentures. Access to capital markets is a significant source of funding for both short- and long-term capital requirements not satisfied by operating cash flows. Changes in the regulatory environment or market forces could cause Cleco to determine its assets have suffered an other-than-temporary decline in value, whereby an impairment would be required, and Cleco’s financial condition could be materially adversely affected. Cleco Power and Cleco Cajun are participants in the MISO market. Power purchases in the MISO market are made at prevailing market prices, also referred to as LMP. LMP includes a component directly related to congestion on the transmission system and, as a result, can be different based on the location and time of the day the energy is dispatched causing energy costs to fluctuate. Cleco Power and Cleco Cajun use FTRs to mitigate transmission congestion price risks. Recovery of these costs included in Cleco Power’s FAC is subject to, and may be disallowed as part of, a prudency review or a periodic fuel audit conducted by the LPSC. The Dolet Hills Power Station was retired on December 31, 2021. On January 31, 2022, Cleco Power filed an application with the LPSC requesting recovery of stranded and decommissioning costs associated with the retirement of the Dolet Hills Power Station. At March 31, 2022, Cleco Power had $146.0 million deferred as a regulatory asset for stranded costs. On October 6, 2020, Cleco Power and SWEPCO made a joint filing with the LPSC seeking authorization to close the Oxbow mine, and to include and defer certain accelerated mine closing costs in fuel and related rate-making treatment. Cleco Power has responded to several data requests related to the joint filing. The expected early closure of the mines resulted in increased lignite costs. On March 17, 2021, the LPSC approved the establishment of a regulatory asset for certain lignite costs that would otherwise be billed through Cleco Power’s FAC and any reasonable incremental third-party professional costs related to the closure of the mine. At March 31, 2022, Cleco Power had a regulatory asset of $135.9 million for deferred fuel and mine-related incurred costs, which were included in the application filed on January 31, 2022. Management currently believes these costs are recoverable. Management does not believe the early closure of the mines will have an adverse impact on the recovery value of the Dolet Hills Power Station. |
Affiliate Transactions
Affiliate Transactions | 3 Months Ended |
Mar. 31, 2022 | |
Related Party Transactions [Abstract] | |
Affiliate Transactions | Note 13 — Affiliate Transactions At both March 31, 2022, and December 31, 2021, Cleco Holdings had an affiliate receivable of $3.0 million primarily for franchise taxes paid on behalf of Cleco Group. At March 31, 2022, and December 31, 2021, Cleco Holdings had an affiliate payable of $11.3 million and $51.3 million, respectively, to Cleco Group primarily for settlement of taxes payable. Cleco Power has balances that are payable to or due from its affiliates. The following table is a summary of those balances: AT MAR. 31, 2022 AT DEC. 31, 2021 (THOUSANDS) ACCOUNTS ACCOUNTS ACCOUNTS ACCOUNTS Cleco Holdings $ 141 $ 9,335 $ 10,347 $ 59,627 Support Group 666 10,213 2,473 10,038 Cleco Cajun 921 1 792 64 Total $ 1,728 $ 19,549 $ 13,612 $ 69,729 Of the affiliate payable balances at March 31, 2022, and December 31, 2021, Cleco Power had $9.1 million and $59.4 million, respectively, payable to Cleco Holdings for the settlement of income taxes. Oxbow bills Cleco Power its proportionate share of incurred costs related to mineral rights and land leases. These costs are included in fuel inventory and are recoverable from Cleco Power customers through the LPSC-established FAC or related wholesale contract provisions. For more information on Cleco Power’s variable interest in Oxbow, see Note 11 — “Variable Interest Entities.” |
Intangible Assets and Liabiliti
Intangible Assets and Liabilities | 3 Months Ended |
Mar. 31, 2022 | |
Intangible Assets And Liabilities Disclosure [Abstract] | |
Intangible Assets and Liabilities | Note 14 — Intangible Assets and Liabilities As a result of the 2016 Merger, fair value adjustments were recorded on Cleco’s Condensed Consolidated Balance Sheet for the valuation of finite intangible assets relating to long-term wholesale power supply agreements. At the end of their lives, these power supply agreement intangible assets will have no residual value. The intangible assets related to the power supply agreements are amortized over the estimated life of each applicable contract ranging between 7 and 19 years, and the amortization is included in Electric operations on Cleco’s Condensed Consolidated Statements of Income. As a result of the Cleco Cajun Transaction, fair value adjustments were recorded on Cleco’s Condensed Consolidated Balance Sheet for the difference between the contract and market price of acquired long-term wholesale power agreements. At the end of their lives, these intangible assets and liabilities will have no residual value. These intangibles are amortized over the estimated life of each applicable contract ranging between 6 and 8 years. The amortization is included in Electric operations on Cleco’s Condensed Consolidated Statements of Income. As part of the Cleco Cajun Transaction, Cleco assumed an LTSA for maintenance services related to the Cottonwood Plant. This intangible liability is being amortized using the straight-line method over the estimated life of the LTSA of seven years. The amortization is included as a reduction to the LTSA prepayments on Cleco’s Condensed Consolidated Balance Sheet. The following table presents Cleco’s amortization of intangible assets and liabilities for the three months ended March 31, 2022, and 2021: Cleco FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Intangible assets Trade name $ — $ 64 Power supply agreements $ 6,400 $ 6,400 Intangible liabilities LTSA $ 871 $ 871 Power supply agreements $ 389 $ 882 The following table summarizes the balances for intangible assets and liabilities subject to amortization for Cleco at March 31, 2022, and December 31, 2021: Cleco (THOUSANDS) AT MAR. 30, 2022 AT DEC. 31, 2021 Intangible assets Power supply agreements $ 184,004 $ 184,004 Total intangible assets carrying amount 184,004 184,004 Intangible liabilities LTSA 24,100 24,100 Power supply agreements 14,200 14,200 Total intangible liability carrying amount 38,300 38,300 Net intangible assets carrying amount 145,704 145,704 Accumulated amortization (87,606) (82,466) Net intangible assets subject to amortization $ 58,098 $ 63,238 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Note 15 — Accumulated Other Comprehensive Loss The components of accumulated other comprehensive loss are summarized in the following tables for Cleco and Cleco Power. All amounts are reported net of income taxes. Amounts in parentheses indicate debits. Cleco FOR THE THREE (THOUSANDS) POSTRETIREMENT BENEFIT NET LOSS Balance, beginning of period $ (23,629) Amounts reclassified from AOCI Amortization of postretirement benefit net loss 14 Balance, Mar. 31, 2022 $ (23,615) FOR THE THREE MONTHS ENDED (THOUSANDS) POSTRETIREMENT BENEFIT NET LOSS Balance, beginning of period $ (25,796) Amounts reclassified from AOCI Amortization of postretirement benefit net loss 628 Balance, Mar. 31, 2021 $ (25,168) Cleco Power FOR THE THREE MONTHS ENDED MAR. 31, 2022 (THOUSANDS) POSTRETIREMENT NET LOSS TOTAL AOCI Balances, beginning of period $ (12,885) $ (5,298) $ (18,183) Amounts reclassified from AOCI Amortization of postretirement benefit net loss 306 — 306 Reclassification of net loss to interest charges — 63 63 Balances, Mar. 31, 2022 $ (12,579) $ (5,235) $ (17,814) FOR THE THREE MONTHS ENDED MAR. 31, 2021 (THOUSANDS) POSTRETIREMENT NET LOSS TOTAL AOCI Balances, beginning of period $ (19,139) $ (5,614) $ (24,753) Amounts reclassified from AOCI Amortization of postretirement benefit net loss 458 — 458 Reclassification of net loss to interest charges — 64 64 Balances, Mar. 31, 2021 $ (18,681) $ (5,550) $ (24,231) |
Storm Restoration, Securitizati
Storm Restoration, Securitization, and Cost Recovery | 3 Months Ended |
Mar. 31, 2022 | |
Unusual or Infrequent Items, or Both [Abstract] | |
Storm Restoration, Securitization, and Cost Recovery | Note 16 — Storm Restoration, Securitization, and Cost Recovery Hurricanes Laura, Delta, and Zeta In August and October 2020, Cleco Power’s distribution and transmission systems sustained substantial damage from three separate hurricanes. Cleco Power’s total storm restoration costs related to the hurricanes is approximately $239.9 million. The damage to equipment from the hurricanes required replacement, as well as repair of existing assets. Therefore, the balance sheets of Cleco and Cleco Power reflect the capitalization of approximately 63%, or approximately $150.4 million, of the total restoration costs recorded at March 31, 2022. At March 31, 2022, Cleco Power had regulatory assets for non-capital expenses related to Hurricanes Laura, Delta, and Zeta, as allowed by the LPSC, totaling $73.0 million. On May 19, 2021, the LPSC issued an order authorizing Cleco Power to recover $16.0 million annually for interim storm recovery costs. Cleco Power began collecting this amount through rates on June 1, 2021. This order is in effect until such time that the securitization financing closes , which is expected in mid-2022. For more information on the storm securitization, see “ — Storm Securitization and Cost Recovery.” Winter Storms Uri and Viola In February 2021, Winter Storms Uri and Viola caused Cleco’s service territory to experience extreme and unprecedented winter weather that resulted in damage to Cleco Power’s distribution assets and caused electricity generation supply shortages, natural gas supply shortages, and increases in prices of natural gas in the U.S., primarily due to prolonged freezing temperatures. Cleco Power’s total storm restoration costs related to Winter Storms Uri and Viola is $10.1 million. The damage to equipment from the storms required replacement, as well as repair of the existing assets. Therefore, the balance sheets of Cleco and Cleco Power reflect the capitalization of approximately 80%, or approximately $8.1 million, of the estimated total restoration costs recorded at March 31, 2022. At March 31, 2022, Cleco Power had a regulatory asset for non-capital expenses of $1.9 million, as allowed by the LPSC. Cleco Power has requested recovery of these costs through the storm securitization filing that was made with the LPSC on August 5, 2021. For more information on the storm securitization, see “ — Storm Securitization and Cost Recovery.” Cleco Power’s incremental fuel and purchased power costs incurred as a result of Winter Storms Uri and Viola is approximately $55.0 million. On March 29, 2021, Cleco Power received approval from the LPSC to recover $50.0 million of these costs over a period of 12 months beginning with the May 2021 bills. On May 11, 2021, Cleco Power received notice of an audit from the LPSC for the fuel costs incurred during the time period required to restore services to Cleco Power’s customers during Winter Storms Uri and Viola. Cleco Power has responded to several data requests. Management is unable to determine the outcome or timing of the audit. Hurricane Ida In August 2021, Cleco Power’s distribution and transmission systems sustained substantial damage from Hurricane Ida. Cleco Power’s total storm restoration costs related to Hurricane Ida is approximately $92.6 million. The damage to equipment from the hurricane required replacement, as well as repair of existing assets. Therefore, the balance sheets of Cleco and Cleco Power reflect the capitalization of approximately 57%, or approximately $52.5 million, of the total restoration costs recorded at March 31, 2022. At March 31, 2022, Cleco Power had a regulatory asset for non-capital expenses related to Hurricane Ida, as allowed by the LPSC, totaling $37.8 million. On September 28, 2021, Cleco Power made a supplemental filing to its application for storm restoration costs securitization to recover costs related to Hurricane Ida. For more information on the storm securitization, see “ — Storm Securitization and Cost Recovery.” Storm Securitization and Cost Recovery On August 5, 2021, Cleco Power filed testimony with the LPSC relating to securitization of the final storm costs for Hurricanes Laura, Delta, and Zeta, and Winter Storms Uri and Viola, totaling $342.0 million, including the establishment of a newly funded $100.0 million storm reserve to cover future storm costs. On September 28, 2021, Cleco Power filed supplemental testimony with the LPSC relating to storm securitization requesting an additional $100.0 million for a separate storm reserve to cover costs associated with Hurricane Ida. On March 24, 2022, Cleco Power and the LPSC Staff filed a settlement agreement allowing securitization of $424.1 million. This amount includes the balance of storm costs of $220.1 million, after adjustments and collections through rates for interim storm recovery, for Hurricanes Laura, Delta, and Zeta and Winter Storms Uri and Viola; $95.0 million for a reserve for Hurricane Ida storm costs; $100.0 million for a reserve to cover future storm costs; and $9.0 million for estimated upfront securitization costs and ongoing costs. On March 30, 2022, the LPSC approved the settlement agreement. On April 1, 2022, the LPSC issued the financing order authorizing Cleco Power to issue storm recovery bonds in the aggregate principal amount of up to $425.0 million. Cleco Power expects the securitization financing to close by mid-2022. Cleco Power, in line with other impacted utilities, will seek available funds from the U.S. government for customer relief of costs incurred from the storms. Cleco Power cannot predict the likelihood that any funding from the U.S. government ultimately will be approved. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Covid-19 Impacts | In March 2020, WHO declared the outbreak of COVID-19 to be a global pandemic, and the U.S. declared a national emergency. In response to these declarations and the rapid spread of COVID-19, federal, state and local governments imposed varying degrees of restrictions on business and social activities to contain COVID-19, including quarantine and “stay-at-home” orders and directives in Cleco’s service territory. In response to the COVID-19 pandemic, in March 2020 the LPSC issued an executive order prohibiting the disconnection of utilities for nonpayment. At March 31, 2022, Cleco Power had a regulatory asset of $3.0 million recorded for expenses incurred related to the executive order, as allowed by the LPSC. While most restrictions have now been lifted, Cleco continues to assess the COVID-19 situation and cannot predict the full impact that COVID-19, or the significant disruption and volatility currently being experienced in the markets, will have on its business, cash flows, liquidity, financial condition, and results of operations, due to numerous uncertainties. The ultimate impacts will depend on future developments, including, among others, the ultimate geographic spread of COVID-19, the potential surges in COVID-19 infections, the consequences of governmental and other measures designed to prevent the spread of COVID-19, the availability, timely distribution and acceptance of effective treatments and vaccines, the duration of the pandemic, actions taken by governmental authorities, customers, suppliers and other third parties, and workforce availability. |
Principles of Consolidation | The accompanying condensed consolidated financial statements of Cleco include the accounts of Cleco and its majority-owned subsidiaries after elimination of intercompany accounts and transactions. |
Basis of Presentation | The condensed consolidated financial statements of Cleco and Cleco Power have been prepared in accordance with GAAP for interim financial information and with the instructions to Form 10-Q and Regulation S-X. Accordingly, these condensed consolidated financial statements do not include all of the information and notes required by GAAP for annual financial statements. The year-end condensed consolidated balance sheet data was derived from audited financial statements. Because the interim condensed consolidated financial statements and the accompanying notes do not include all of the information and notes required by GAAP for annual financial statements, the condensed consolidated financial statements and other information included in this Quarterly Report on Form 10-Q should be read in conjunction with the consolidated financial statements and accompanying notes in the Registrants’ Combined Annual Report on Form 10-K for the fiscal year ended December 31, 2021. These condensed consolidated financial statements, in the opinion of management, reflect all normal recurring adjustments that are necessary for a fair statement of the financial position and results of operations of Cleco and Cleco Power. Amounts reported in Cleco and Cleco Power’s interim financial statements are not necessarily indicative of amounts expected for the annual periods due to the effects of seasonal temperature variations on energy consumption, regulatory rulings, the timing of maintenance on electric generating units, changes in mark-to-market valuations, changing commodity prices, discrete income tax items, and other factors. |
Restricted Cash and Cash Equivalents | Various agreements to which Cleco is subject contain covenants that restrict its use of cash. As certain provisions under these agreements are met, cash is transferred out of related escrow accounts and becomes available for its intended purposes and/or general corporate purposes. |
Reserves for Credit Losses | Customer accounts receivable are recorded at the invoiced amount and do not bear interest. Customer accounts receivable are generally considered to become past due 20 days after the billing date. Cleco recognizes write-offs within the allowance for credit losses once all recovery methods have been exhausted. It is the policy of management to review accounts receivable and unbilled revenue monthly using a reserve matrix based on historical bad debt write-offs, as well as current and forecasted economic conditions, to establish a credit loss estimate. Management’s historical credit loss analysis included periods of economic recessions, natural disasters, and temporary changes to collection policies. Due to the critical necessity of electricity, none of these past events have significantly impacted Cleco’s credit loss rates. Cleco’s service territory experienced an economic decline during 2021, primarily related to the COVID-19 pandemic and weather-related events. Although inflation is currently at a 40-year historical high, Cleco’s economic outlook at March 31, 2022, was still within range of Cleco’s historical credit loss analysis. |
Recent Authoritative Guidance | In March 2020, FASB issued optional guidance, for a limited period of time, that applies to entities meeting certain criteria for the contract modifications or hedging relationships that are referencing LIBOR or another reference rate expected to be discontinued due to reference rate reform. The guidance includes a general principal that permits an entity to consider contract modifications due to reference rate reform to be an event that does not require contract remeasurement at the modification date or reassessment of a previous accounting determination. The optional guidance may be applied from March 12, 2020, through December 31, 2022. Management has identified contracts with reference rates that will be discontinued, primarily related to long-term debt obligations. Certain debt contracts have been amended to include fallback provisions that provide substitute reference rates in the event LIBOR is discontinued or deemed to no longer be representative, or prior to such events, at the option of Cleco and the administrative agent. Management will continue to modify contracts to include similar fallback language and expects to apply this guidance on an ongoing basis. Management does not expect this guidance to have a significant impact on the Registrants’ results of operations, financial condition, or cash flows. In November 2021, FASB issued guidance requiring annual disclosures about government assistance with the objective of increasing transparency and reducing existing |
Regulatory Assets and Liabilities | Cleco Power capitalizes or defers certain costs for recovery from customers and recognizes a liability for amounts expected to be returned to customers based on regulatory approval and management’s ongoing assessment that it is probable these items will be recovered or refunded through the ratemaking process. Under the current regulatory environment, Cleco Power believes these regulatory assets will be fully recoverable; however, if in the future, as a result of regulatory changes or competition, Cleco Power’s ability to recover these regulatory assets would no longer be probable, then to the extent that such regulatory assets were determined not to be recoverable, Cleco Power would be required to write-down such assets. In addition, potential deregulation of the industry, or possible future changes in the method of rate regulation of Cleco Power, could require discontinuance of the application of the authoritative guidance on regulated operations. |
Pension Plan and Employee Benefits | Employees hired before August 1, 2007, are covered by a non-contributory, defined benefit pension plan. Based on the funding assumptions at December 31, 2021, management estimates that no pension contributions will be required through 2026. Cleco has not made, and does not expect to make, any contributions to the pension plan in 2022. Cleco Power is the plan sponsor and Support Group is the plan administrator. Benefits under the plan reflect an employee’s years of service, age at retirement, and accrued benefit at retirement. Cleco’s retirees may be eligible to receive Other Benefits. Dependents of Cleco’s retirees may also be eligible to receive Other Benefits with the exception of life insurance benefits. |
Income Taxes | Cleco classifies all interest related to uncertain tax positions as a component of interest payable and interest expense.Cleco classifies income tax penalties as a component of other expense. |
Variable Interest Entities | Cleco and Cleco Power apply the equity method of accounting to report the investment in Oxbow in the consolidated financial statements. Under the equity method, the assets and liabilities of this entity are reported as Equity investment in investee on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets. The revenue and expenses (excluding income taxes) of this entity are netted and reported as equity income or loss from investees on Cleco and Cleco Power’s Condensed Consolidated Statements of Income. |
Equity Method Investments | Cleco and Cleco Power apply the equity method of accounting to report the investment in Oxbow in the consolidated financial statements. Under the equity method, the assets and liabilities of this entity are reported as Equity investment in investee on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets. The revenue and expenses (excluding income taxes) of this entity are netted and reported as equity income or loss from investees on Cleco and Cleco Power’s Condensed Consolidated Statements of Income. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Restricted Cash and Cash Equivalents Items [Line Items] | |
Restricted Cash and Cash Equivalents | Cleco and Cleco Power’s restricted cash and cash equivalents consisted of the following: Cleco (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Current Cleco Katrina/Rita storm recovery surcharge $ 1,675 $ 1,674 Total current 1,675 1,674 Non-current Diversified Lands’ mitigation escrow 22 22 Cleco Cajun’s defense fund 723 723 Total non-current 745 745 Total restricted cash and cash equivalents $ 2,420 $ 2,419 |
Changes in Allowance for Credit Losses, Other | The tables below present the changes in the allowance for credit losses by receivable for Cleco and Cleco Power: Cleco (THOUSANDS) ACCOUNTS OTHER* TOTAL Balances, Dec. 31, 2021 $ 1,302 $ 1,638 $ 2,940 Current period provision 391 — 391 Charge-offs (1,089) — (1,089) Recovery 398 — 398 Balances, Mar. 31, 2022 $ 1,002 $ 1,638 $ 2,640 * Loan held at Diversified Lands that was fully reserved for at December 31, 2020. (THOUSANDS) ACCOUNTS OTHER* TOTAL Balances, Dec. 31, 2020 $ 2,758 $ 1,638 $ 4,396 Current period provision 1,874 — 1,874 Charge-offs (2,859) — (2,859) Recovery 267 — 267 Balances, Mar. 31, 2021 $ 2,040 $ 1,638 $ 3,678 * Loan held at Diversified Lands that was fully reserved for at December 31, 2020. |
Changes in Allowance for Credit Losses, Accounts Receivable | The tables below present the changes in the allowance for credit losses by receivable for Cleco and Cleco Power: Cleco (THOUSANDS) ACCOUNTS OTHER* TOTAL Balances, Dec. 31, 2021 $ 1,302 $ 1,638 $ 2,940 Current period provision 391 — 391 Charge-offs (1,089) — (1,089) Recovery 398 — 398 Balances, Mar. 31, 2022 $ 1,002 $ 1,638 $ 2,640 * Loan held at Diversified Lands that was fully reserved for at December 31, 2020. (THOUSANDS) ACCOUNTS OTHER* TOTAL Balances, Dec. 31, 2020 $ 2,758 $ 1,638 $ 4,396 Current period provision 1,874 — 1,874 Charge-offs (2,859) — (2,859) Recovery 267 — 267 Balances, Mar. 31, 2021 $ 2,040 $ 1,638 $ 3,678 * Loan held at Diversified Lands that was fully reserved for at December 31, 2020. |
CLECO POWER | |
Restricted Cash and Cash Equivalents Items [Line Items] | |
Restricted Cash and Cash Equivalents | Cleco Power (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Current Cleco Katrina/Rita storm recovery surcharge $ 1,675 $ 1,674 Total restricted cash and cash equivalents $ 1,675 $ 1,674 |
Changes in Allowance for Credit Losses, Accounts Receivable | Cleco Power (THOUSANDS) ACCOUNTS RECEIVABLE Balance, Dec. 31, 2021 $ 1,302 Current period provision 391 Charge-offs (1,089) Recovery 398 Balance, Mar. 31, 2022 $ 1,002 (THOUSANDS) ACCOUNTS RECEIVABLE Balance, Dec. 31, 2020 $ 2,758 Current period provision 1,874 Charge-offs (2,859) Recovery 267 Balance, Mar. 31, 2021 $ 2,040 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Leases [Abstract] | |
Lease Income Under Cottonwood Sale Leaseback | Cleco Cajun’s lease income under the Cottonwood Sale Leaseback for the three months ended March 31, 2022, and 2021 was as follows: FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Fixed payments $ 10,000 $ 10,000 Variable payments 5,549 5,465 Amortization of deferred lease liability * 2,301 2,301 Total lease income $ 17,850 $ 17,766 * Consists of amortization of the deferred lease revenue resulting from the fair value of the lease between |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | Operating revenue, net for the three months ended March 31, 2022, and 2021 was as follows: FOR THE THREE MONTHS ENDED MAR. 31, 2022 (THOUSANDS) CLECO POWER CLECO CAJUN OTHER ELIMINATIONS TOTAL Revenue from contracts with customers Retail revenue Residential (1) $ 112,423 $ — $ — $ — $ 112,423 Commercial (1) 76,534 — — — 76,534 Industrial (1) 46,274 — — — 46,274 Other retail (1) 4,129 — — — 4,129 Electric customer credits (136) — — — (136) Total retail revenue 239,224 — — — 239,224 Wholesale, net 55,364 (1) 103,633 (2) (2,420) (3) — 156,577 Transmission, net 13,892 17,743 — (2,690) 28,945 Other 5,193 — — — 5,193 Affiliate (4) 1,459 — 27,393 (28,852) — Total revenue from contracts with customers 315,132 121,376 24,973 (31,542) 429,939 Revenue unrelated to contracts with customers Other 1,372 (5) 17,869 (6) 1 (1) 19,241 Total revenue unrelated to contracts with customers 1,372 17,869 1 (1) 19,241 Operating revenue, net $ 316,504 $ 139,245 $ 24,974 $ (31,543) $ 449,180 (1) Includes fuel recovery revenue. (2) Includes $(3.6) million of amortization of intangible assets and liabilities related to Cleco Cajun’s wholesale power supply agreements. (3) Amortization of intangible assets related to Cleco Power’s wholesale power supply agreements. (4) Includes interdepartmental rents and support services. This revenue is eliminated upon consolidation. (5) Realized gains associated with FTRs. (6) Includes $15.5 million in lease revenue related to the Cottonwood Sale Leaseback and $2.3 million of deferred lease revenue amortization. FOR THE THREE MONTHS ENDED MAR. 31, 2021 (THOUSANDS) CLECO POWER CLECO CAJUN OTHER ELIMINATIONS TOTAL Revenue from contracts with customers Retail revenue Residential (1) $ 95,081 $ — $ — $ — $ 95,081 Commercial (1) 63,026 — — — 63,026 Industrial (1) 36,666 — — — 36,666 Other retail (1) 3,570 — — — 3,570 Electric customer credits (20,976) — — — (20,976) Total retail revenue 177,367 — — — 177,367 Wholesale, net 61,722 (1) 101,507 (2) (2,420) (3) — 160,809 Transmission, net 13,982 15,257 — (1,940) 27,299 Other 4,642 — — — 4,642 Affiliate (4) 1,655 — 27,156 (28,811) — Total revenue from contracts with customers 259,368 116,764 24,736 (30,751) 370,117 Revenue unrelated to contracts with customers Other 7,095 (5) 17,782 (6) 1 — 24,878 Total revenue unrelated to contracts with customers 7,095 17,782 1 — 24,878 Operating revenue, net $ 266,463 $ 134,546 $ 24,737 $ (30,751) $ 394,995 (1) Includes fuel recovery revenue. (2) Includes $(3.1) million of amortization of intangible assets and liabilities related to Cleco Cajun’s wholesale power supply agreements. (3) Amortization of intangible assets related to Cleco Power’s wholesale power supply agreements. (4) Includes interdepartmental rents and support services. This revenue is eliminated upon consolidation. (5) Realized gains associated with FTRs. (6) Includes $15.5 million in lease revenue related to the Cottonwood Sale Leaseback and $2.3 million of deferred lease revenue amortization. |
Regulatory Assets and Liabili_2
Regulatory Assets and Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Regulatory Assets [Line Items] | |
Schedule of Regulatory Assets | The following table summarizes Cleco’s net regulatory assets and liabilities: Cleco (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Total Cleco Power regulatory assets, net $ 666,332 $ 663,621 2016 Merger adjustments * Fair value of long-term debt 110,300 112,150 Postretirement costs 12,927 13,424 Financing costs 7,161 7,248 Debt issuance costs 4,837 4,920 Total Cleco regulatory assets, net $ 801,557 $ 801,363 * Cleco regulatory assets include acquisition accounting adjustments as a result of the 2016 Merger. |
CLECO POWER | |
Regulatory Assets [Line Items] | |
Schedule of Regulatory Assets | The following table summarizes Cleco Power’s regulatory assets and liabilities: Cleco Power REMAINING RECOVERY PERIOD (YRS.) (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Regulatory assets Acadia Unit 1 acquisition costs $ 1,886 $ 1,913 17.75 Accumulated deferred fuel (1) 49,597 56,826 Various Affordability study 12,749 13,094 9.25 AFUDC equity gross-up 65,799 66,574 Various (2) AMI deferred revenue requirement 1,909 2,045 4 AROs (1)(6) 15,644 15,141 Bayou Vista to Segura transmission project deferred revenue requirement (7) 3,209 1,392 Coughlin transaction costs 838 845 27.25 COVID-19 executive order (7) 2,953 2,953 Deferred storm restoration costs - Hurricane Delta (6) 16,729 17,113 Deferred storm restoration costs - Hurricane Ida (7) 37,841 37,617 Deferred storm restoration costs - Hurricane Laura (6) 53,061 54,282 Deferred storm restoration costs - Hurricane Zeta (6) 3,212 3,296 Deferred storm restoration costs - Winter Storms Uri & Viola (7) 1,912 1,912 Dolet Hills Power Station closure costs (7) 145,978 145,844 Energy efficiency 1,293 1,645 1 Financing costs (1) 6,733 6,826 Various (3) Interest costs 3,397 3,459 Various (2) Lignite Mine closure costs (7) 135,877 136,980 Madison Unit 3 property taxes (7) 10,597 8,362 Non-service cost of postretirement benefits 13,542 12,950 Various (2) Other 9,200 11,224 Various Postretirement costs 114,690 117,773 Various (4) Production operations and maintenance expenses 10,304 11,058 Various (5) Rodemacher Unit 2 deferred costs (7) 8,350 6,931 St. Mary Clean Energy Center 5,654 6,089 3.25 Training costs 5,891 5,929 37.75 Tree trimming costs 8,413 9,092 3 Total regulatory assets 747,258 759,165 Regulatory liabilities Deferred taxes, net (80,926) (95,544) Various Total regulatory liabilities (80,926) (95,544) Total regulatory assets, net $ 666,332 $ 663,621 (1) Represents regulatory assets for past expenditures that were not earning a return on investment at March 31, 2022, and December 31, 2021, respectively. All other assets are earning a return on investment. (2) Amortized over the estimated lives of the respective assets. (3) Amortized over the terms of the related debt issuances. (4) Amortized over the average service life of the remaining plan participants. (5) Deferral is recovered over the following three (6) Currently being recovered through an interim storm rate. For more information, see Note 16 — “Storm Restoration, Securitization, and Cost Recovery — Hurricanes Laura, Delta, and Zeta.” (7) Currently not in a recovery period. |
Schedule of Regulatory Liabilities | The following table summarizes Cleco Power’s regulatory assets and liabilities: Cleco Power REMAINING RECOVERY PERIOD (YRS.) (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Regulatory assets Acadia Unit 1 acquisition costs $ 1,886 $ 1,913 17.75 Accumulated deferred fuel (1) 49,597 56,826 Various Affordability study 12,749 13,094 9.25 AFUDC equity gross-up 65,799 66,574 Various (2) AMI deferred revenue requirement 1,909 2,045 4 AROs (1)(6) 15,644 15,141 Bayou Vista to Segura transmission project deferred revenue requirement (7) 3,209 1,392 Coughlin transaction costs 838 845 27.25 COVID-19 executive order (7) 2,953 2,953 Deferred storm restoration costs - Hurricane Delta (6) 16,729 17,113 Deferred storm restoration costs - Hurricane Ida (7) 37,841 37,617 Deferred storm restoration costs - Hurricane Laura (6) 53,061 54,282 Deferred storm restoration costs - Hurricane Zeta (6) 3,212 3,296 Deferred storm restoration costs - Winter Storms Uri & Viola (7) 1,912 1,912 Dolet Hills Power Station closure costs (7) 145,978 145,844 Energy efficiency 1,293 1,645 1 Financing costs (1) 6,733 6,826 Various (3) Interest costs 3,397 3,459 Various (2) Lignite Mine closure costs (7) 135,877 136,980 Madison Unit 3 property taxes (7) 10,597 8,362 Non-service cost of postretirement benefits 13,542 12,950 Various (2) Other 9,200 11,224 Various Postretirement costs 114,690 117,773 Various (4) Production operations and maintenance expenses 10,304 11,058 Various (5) Rodemacher Unit 2 deferred costs (7) 8,350 6,931 St. Mary Clean Energy Center 5,654 6,089 3.25 Training costs 5,891 5,929 37.75 Tree trimming costs 8,413 9,092 3 Total regulatory assets 747,258 759,165 Regulatory liabilities Deferred taxes, net (80,926) (95,544) Various Total regulatory liabilities (80,926) (95,544) Total regulatory assets, net $ 666,332 $ 663,621 (1) Represents regulatory assets for past expenditures that were not earning a return on investment at March 31, 2022, and December 31, 2021, respectively. All other assets are earning a return on investment. (2) Amortized over the estimated lives of the respective assets. (3) Amortized over the terms of the related debt issuances. (4) Amortized over the average service life of the remaining plan participants. (5) Deferral is recovered over the following three (6) Currently being recovered through an interim storm rate. For more information, see Note 16 — “Storm Restoration, Securitization, and Cost Recovery — Hurricanes Laura, Delta, and Zeta.” (7) Currently not in a recovery period. |
Fair Value Accounting and Fin_2
Fair Value Accounting and Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Carrying Value and Estimated Fair Value | The following tables summarize the carrying value and estimated market value of Cleco and Cleco Power’s financial instruments not measured at fair value on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets: Cleco AT MAR. 31, 2022 AT DEC. 31, 2021 (THOUSANDS) CARRYING FAIR VALUE CARRYING FAIR VALUE Long-term debt $ 3,480,631 $ 3,536,846 $ 3,482,405 $ 3,752,220 * The carrying value of long-term debt does not include deferred issuance costs of $12.4 million at |
Fair Value of Financial Assets and Liabilities Measured On A Recurring Basis | The following tables disclose for Cleco and Cleco Power the fair value of financial assets and liabilities measured on a recurring basis. These amounts are presented on a gross basis before consideration of amounts netted under master netting agreements and the application of collateral received or paid: Cleco FAIR VALUE MEASUREMENTS AT REPORTING DATE (THOUSANDS) AT MAR. 31, 2022 QUOTED PRICES SIGNIFICANT SIGNIFICANT AT DEC. 31, 2021 QUOTED PRICES SIGNIFICANT SIGNIFICANT Asset description Money market funds $ 192,983 $ 192,983 $ — $ — $ 145,033 $ 145,033 $ — $ — FTRs 1,114 — — 1,114 6,977 — — 6,977 Natural gas derivatives* 166,439 — 166,439 — 87,464 — 87,464 — Total assets $ 360,536 $ 192,983 $ 166,439 $ 1,114 $ 239,474 $ 145,033 $ 87,464 $ 6,977 Liability description FTRs $ 599 $ — $ — $ 599 $ 834 $ — $ — $ 834 Total liabilities $ 599 $ — $ — $ 599 $ 834 $ — $ — $ 834 * Natural gas derivatives include fixed price physical forwards and swap transactions. |
Net Changes in Net Fair Value of FTR Assets and Liabilities Classified as Level 3 | The following tables summarize the net changes in the net fair value of FTR assets and liabilities classified as Level 3 in the fair value hierarchy for Cleco and Cleco Power: Cleco FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Beginning balance $ 6,143 $ 3,180 Unrealized (losses) gains* (620) 16,123 Purchases 292 849 Settlements (5,300) (19,129) Ending balance $ 515 $ 1,023 * Cleco Power’s unrealized gains (losses) are reported through Accumulated deferred fuel on Cleco’s Condensed Consolidated Balance Sheet. Cleco Cajun’s unrealized gains (losses) are reported through Purchased power on Cleco’s Condensed Consolidated Income Statement. |
Significant Unobservable Inputs Used in Developing Fair Value of Level 3 Positions | The following tables quantify the significant unobservable inputs used in developing the fair value of Level 3 positions for Cleco and Cleco Power as of March 31, 2022, and December 31, 2021: Cleco FAIR VALUE VALUATION TECHNIQUE SIGNIFICANT UNOBSERVABLE INPUTS FORWARD PRICE RANGE (THOUSANDS, EXCEPT FORWARD PRICE RANGE) ASSETS LIABILITIES LOW HIGH FTRs at Mar. 31, 2022 $ 1,114 $ 599 RTO auction pricing FTR price - per MWh $ (2.23) $ 11.77 FTRs at Dec. 31, 2021 $ 6,977 $ 834 RTO auction pricing FTR price - per MWh $ (3.94) $ 9.25 |
Institutional Money Market Funds | The following tables present the money market funds in cash and cash equivalents and restricted cash and cash equivalents as recorded on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets at March 31, 2022, and December 31, 2021: Cleco (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Cash and cash equivalents $ 192,961 $ 145,011 Non-current restricted cash and cash equivalents $ 22 $ 22 |
Offsetting Assets | The following tables present the fair values of derivative instruments and their respective line items as recorded on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets at March 31, 2022, and December 31, 2021: Cleco DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS AT MAR. 31, 2022 GROSS AMOUNTS OFFSET ON THE BALANCE SHEET GROSS AMOUNTS NOT OFFSET ON THE BALANCE SHEET (1) (THOUSANDS) BALANCE SHEET LINE ITEM GROSS ASSET (LIABILITY) CASH NET ASSET (LIABILITY) ON THE BALANCE SHEET COLLATERAL NET AMOUNT Commodity-related contracts FTRs Current Energy risk management assets $ 1,114 $ — $ 1,114 $ — $ 1,114 Current Energy risk management liabilities (599) — (599) — (599) Natural gas derivatives Current Energy risk management assets 107,842 (26,300) 81,542 (75,919) 5,623 Non-current Energy risk management assets 84,898 — 84,898 (6,081) 78,817 Commodity-related contracts, net $ 193,255 $ (26,300) $ 166,955 $ (82,000) $ 84,955 (1) Represents letters of credit by counterparties. Cleco DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS AT DEC. 31, 2021 GROSS AMOUNTS OFFSET ON THE BALANCE SHEET GROSS AMOUNTS NOT OFFSET ON THE BALANCE SHEET (1) (THOUSANDS) BALANCE SHEET LINE ITEM GROSS ASSET (LIABILITY) CONTRACT NETTING NET ASSET (LIABILITY) ON THE BALANCE SHEET COLLATERAL NET AMOUNT Commodity-related contracts FTRs Current Energy risk management assets $ 6,977 $ — $ 6,977 $ — $ 6,977 Current Energy risk management liabilities (834) — (834) — (834) Natural gas derivatives Current Energy risk management assets 37,061 (559) 36,502 (15,000) 21,502 Non-current Energy risk management assets 50,962 — 50,962 — 50,962 Current Energy risk management liabilities (559) 559 — — — Commodity-related contracts, net $ 93,607 $ — $ 93,607 $ (15,000) $ 78,607 (1) Represents letters of credit by counterparties. |
Offsetting Liabilities | The following tables present the fair values of derivative instruments and their respective line items as recorded on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets at March 31, 2022, and December 31, 2021: Cleco DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS AT MAR. 31, 2022 GROSS AMOUNTS OFFSET ON THE BALANCE SHEET GROSS AMOUNTS NOT OFFSET ON THE BALANCE SHEET (1) (THOUSANDS) BALANCE SHEET LINE ITEM GROSS ASSET (LIABILITY) CASH NET ASSET (LIABILITY) ON THE BALANCE SHEET COLLATERAL NET AMOUNT Commodity-related contracts FTRs Current Energy risk management assets $ 1,114 $ — $ 1,114 $ — $ 1,114 Current Energy risk management liabilities (599) — (599) — (599) Natural gas derivatives Current Energy risk management assets 107,842 (26,300) 81,542 (75,919) 5,623 Non-current Energy risk management assets 84,898 — 84,898 (6,081) 78,817 Commodity-related contracts, net $ 193,255 $ (26,300) $ 166,955 $ (82,000) $ 84,955 (1) Represents letters of credit by counterparties. Cleco DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS AT DEC. 31, 2021 GROSS AMOUNTS OFFSET ON THE BALANCE SHEET GROSS AMOUNTS NOT OFFSET ON THE BALANCE SHEET (1) (THOUSANDS) BALANCE SHEET LINE ITEM GROSS ASSET (LIABILITY) CONTRACT NETTING NET ASSET (LIABILITY) ON THE BALANCE SHEET COLLATERAL NET AMOUNT Commodity-related contracts FTRs Current Energy risk management assets $ 6,977 $ — $ 6,977 $ — $ 6,977 Current Energy risk management liabilities (834) — (834) — (834) Natural gas derivatives Current Energy risk management assets 37,061 (559) 36,502 (15,000) 21,502 Non-current Energy risk management assets 50,962 — 50,962 — 50,962 Current Energy risk management liabilities (559) 559 — — — Commodity-related contracts, net $ 93,607 $ — $ 93,607 $ (15,000) $ 78,607 (1) Represents letters of credit by counterparties. |
Fair Value of Derivative Instruments as Recorded in Condensed Consolidated Balance Sheets | The following table presents the volume of commodity-related derivative contracts outstanding at March 31, 2022, and December 31, 2021, for Cleco and Cleco Power: Cleco TOTAL VOLUME OUTSTANDING (THOUSAND) UNIT OF MEASURE AT MAR. 31, 2022 AT DEC. 31, 2021 Commodity-related contracts FTRs MWh 5,739 14,055 Natural gas derivatives MMBtus 249,118 109,306 |
Amount of Gain (Loss) Recognized in Income on Derivatives | The following tables present the effect of derivatives not designated as hedging instruments on Cleco and Cleco Power’s Condensed Consolidated Statements of Income for the three months ended March 31, 2022, and 2021: Cleco AMOUNT OF GAIN(LOSS) ON DERIVATIVES RECOGNIZED IN INCOME FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) INCOME STATEMENT LINE ITEM 2022 2021 Commodity-related contracts FTRs (1) Electric operations $ 1,583 $ 7,444 FTRs (1) Purchased power 1,722 (8,560) Natural gas derivatives Fuel used for electric generation 128,471 (4,710) Total $ 131,776 $ (5,826) |
CLECO POWER | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Carrying Value and Estimated Fair Value | Cleco Power AT MAR. 31, 2022 AT DEC. 31, 2021 (THOUSANDS) CARRYING FAIR VALUE CARRYING FAIR VALUE Long-term debt $ 1,820,331 $ 1,969,329 $ 1,820,254 $ 2,085,944 * The carrying value of long-term debt does not include deferred issuance costs of $7.5 million at |
Fair Value of Financial Assets and Liabilities Measured On A Recurring Basis | Cleco Power FAIR VALUE MEASUREMENTS AT REPORTING DATE (THOUSANDS) AT MAR. 31, 2022 QUOTED PRICES IN ACTIVE MARKETS SIGNIFICANT SIGNIFICANT AT DEC. 31, 2021 QUOTED PRICES SIGNIFICANT SIGNIFICANT Asset description Money market funds $ 103,711 $ 103,711 $ — $ — $ 82,411 $ 82,411 $ — $ — FTRs 840 — — 840 5,515 — — 5,515 Total assets $ 104,551 $ 103,711 $ — $ 840 $ 87,926 $ 82,411 $ — $ 5,515 Liability description FTRs $ 273 $ — $ — $ 273 $ 597 $ — $ — $ 597 Total liabilities $ 273 $ — $ — $ 273 $ 597 $ — $ — $ 597 |
Net Changes in Net Fair Value of FTR Assets and Liabilities Classified as Level 3 | Cleco Power FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Beginning balance $ 4,918 $ 3,216 Unrealized losses* (263) (37) Purchases 292 849 Settlements (4,380) (2,940) Ending balance $ 567 $ 1,088 * Unrealized losses are reported through Accumulated deferred fuel on Cleco Power’s Condensed Consolidated Balance Sheet. |
Significant Unobservable Inputs Used in Developing Fair Value of Level 3 Positions | Cleco Power FAIR VALUE VALUATION TECHNIQUE SIGNIFICANT UNOBSERVABLE INPUTS FORWARD PRICE RANGE (THOUSANDS, EXCEPT FORWARD PRICE RANGE) ASSETS LIABILITIES LOW HIGH FTRs at Mar. 31, 2022 $ 840 $ 273 RTO auction pricing FTR price - per MWh $ (2.23) $ 11.77 FTRs at Dec. 31, 2021 $ 5,515 $ 597 RTO auction pricing FTR price - per MWh $ (4.91) $ 9.25 |
Institutional Money Market Funds | Cleco Power (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Cash and cash equivalents $ 103,711 $ 82,411 |
Fair Value of Derivative Instruments as Recorded in Condensed Consolidated Balance Sheets | Cleco Power DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS (THOUSANDS) BALANCE SHEET LINE ITEM AT MAR. 31, 2022 AT DEC. 31, 2021 Commodity-related contracts FTRs Current Energy risk management assets $ 840 $ 5,515 Current Energy risk management liabilities (273) (597) Commodity-related contracts, net $ 567 $ 4,918 Cleco Power TOTAL VOLUME OUTSTANDING (THOUSAND) UNIT OF MEASURE AT MAR. 31, 2022 AT DEC. 31, 2021 Commodity-related contracts FTRs MWh 3,646 8,899 |
Amount of Gain (Loss) Recognized in Income on Derivatives | Cleco Power AMOUNT OF GAIN(LOSS) ON DERIVATIVES RECOGNIZED IN INCOME FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) INCOME STATEMENT LINE ITEM 2022 2021 Commodity-related contracts FTRs (1) Electric operations $ 1,583 $ 7,444 FTRs (1) Purchased power (1,238) (7,182) Total $ 345 $ 262 (1) For the three months ended March 31, 2022, unrealized losses associated with FTRs of $0.3 million were reported through Accumulated deferred fuel on the balance sheet. For the three months ended March 31, 2021, unrealized losses associated with FTRs of less than $0.1 million were reported through Accumulated deferred fuel on the balance sheet. |
Pension Plan and Employee Ben_2
Pension Plan and Employee Benefits (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Net Periodic Pension and Other Benefits Cost | The components of net periodic pension and Other Benefits cost for the three months ended March 31, 2022, and 2021 were as follows: PENSION BENEFITS OTHER BENEFITS FOR THE THREE MONTHS ENDED MAR. 31, FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 2022 2021 Components of periodic benefit costs Service cost $ 2,150 $ 2,528 $ 551 $ 595 Interest cost 4,960 4,615 371 323 Expected return on plan assets (6,177) (5,703) — — Amortizations Net loss 3,085 4,763 303 384 Net periodic benefit cost $ 4,018 $ 6,203 $ 1,225 $ 1,302 FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Components of periodic benefit costs Service cost $ 57 $ 55 Interest cost 670 625 Amortizations Prior period service credit (54) (53) Net loss 262 1,016 Net periodic benefit cost $ 935 $ 1,643 |
Current and Non-Current Portions of Other Benefits Liability | The current and non-current portions of the Other Benefits liability for Cleco and Cleco Power at March 31, 2022, and December 31, 2021, were as follows: Cleco (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Current $ 5,181 $ 5,181 Non-current $ 49,605 $ 50,093 Cleco (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Current $ 4,654 $ 4,654 Non-current $ 88,082 $ 88,523 |
Expense of the 401(k) Plan | Cleco’s 401(k) Plan expense for the three months ended March 31, 2022, and 2021 was as follows: FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 401(k) Plan expense $ 2,591 $ 2,759 FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 401(k) Plan expense $ 1,322 $ 1,380 |
CLECO POWER | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Current and Non-Current Portions of Other Benefits Liability | Cleco Power (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Current $ 4,432 $ 4,432 Non-current $ 38,943 $ 39,315 Cleco Power (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Current $ 679 $ 679 Non-current $ 12,788 $ 12,909 |
Income Taxes (Tables)
Income Taxes (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Effective Income Tax Rate [Line Items] | |
Effective Income Tax Rates | The following tables summarize the effective income tax rates for Cleco and Cleco Power for the three months ended March 31, 2022, and 2021 : Cleco FOR THE THREE MONTHS ENDED MAR. 31, 2022 2021 Effective tax rate (3.7) % (86.4) % |
CLECO POWER | |
Effective Income Tax Rate [Line Items] | |
Effective Income Tax Rates | Cleco Power FOR THE THREE MONTHS ENDED MAR. 31, 2022 2021 Effective tax rate 1.8 % (111.7) % |
Disclosures about Segments (Tab
Disclosures about Segments (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information for the Three Months Ended Mar. 31, 2022 (THOUSANDS) CLECO POWER CLECO CAJUN TOTAL SEGMENTS Revenue Electric operations $ 296,097 $ 103,633 $ 399,730 Other operations 19,084 35,612 54,696 Affiliate revenue 1,459 — 1,459 Electric customer credits (136) — (136) Operating revenue, net $ 316,504 $ 139,245 $ 455,749 Net income $ 39,024 $ 93,381 $ 132,405 Add: Depreciation and amortization 45,239 23,180 (1) 68,419 Less: Interest income 740 13 753 Add: Interest charges 18,801 (8) 18,793 Add: Federal and state income tax expense 724 33,641 34,365 EBITDA $ 103,048 $ 150,181 $ 253,229 Additions to property, plant, and equipment $ 38,492 $ 1,471 $ 39,963 Equity investment in investee $ 2,072 $ — $ 2,072 Goodwill $ 1,490,797 $ — $ 1,490,797 Total segment assets $ 6,621,574 $ 1,194,748 $ 7,816,322 (1) Includes $3.6 million of amortization of intangible assets and liabilities related to wholesale power supply agreements and $(2.3) million of deferred lease revenue amortization as a result of the Cleco Cajun Transaction. 2022 (THOUSANDS) TOTAL SEGMENTS OTHER ELIMINATIONS TOTAL Revenue Electric operations $ 399,730 $ (2,420) $ (1) $ 397,309 Other operations 54,696 1 (2,690) 52,007 Affiliate revenue 1,459 27,393 (28,852) — Electric customer credits (136) — — (136) Operating revenue, net $ 455,749 $ 24,974 $ (31,543) $ 449,180 Depreciation and amortization $ 68,419 $ 4,379 (1) $ — $ 72,798 Interest income $ 753 $ 31 $ (28) $ 756 Interest charges $ 18,793 $ 14,753 $ (27) $ 33,519 Federal and state income tax expense (benefit) $ 34,365 $ (39,952) $ — $ (5,587) Net income (loss) $ 132,405 $ 23,339 $ — $ 155,744 Additions to property, plant, and equipment $ 39,963 $ 236 $ — $ 40,199 Equity investment in investee ( 2) $ 2,072 $ (66,901) $ 66,901 $ 2,072 Goodwill ( 2) $ 1,490,797 $ — $ — $ 1,490,797 Total segment assets ( 2) $ 7,816,322 $ 582,322 $ (148,417) $ 8,250,227 (1) Includes $2.4 million of amortization of intangible assets related to Cleco Power’s wholesale power supply agreements as a result of the 2016 Merger. (2) At March 31, 2022. 2021 (THOUSANDS) CLECO POWER CLECO CAJUN TOTAL SEGMENTS Revenue Electric operations $ 267,158 $ 101,507 $ 368,665 Other operations 18,626 33,039 51,665 Affiliate revenue 1,655 — 1,655 Electric customer credits (20,976) — (20,976) Operating revenue, net $ 266,463 $ 134,546 $ 401,009 Net income $ 18,425 $ 14,481 $ 32,906 Add: Depreciation and amortization 42,076 11,653 (1) 53,729 Less: Interest income 642 3 645 Add: Interest charges 18,646 (152) 18,494 Add: Federal and state income tax (benefit) expense (9,723) 4,610 (5,113) EBITDA $ 68,782 $ 30,589 $ 99,371 Additions to property, plant, and equipment $ 36,263 $ 2,313 $ 38,576 Equity investment in investees (2) $ 2,072 $ — $ 2,072 Goodwill (2) $ 1,490,797 $ — $ 1,490,797 Total segment assets (2) $ 6,620,298 $ 1,104,090 $ 7,724,388 (1) Includes $3.1 million of amortization of intangible assets and liabilities related to wholesale power supply agreements and $(2.3) million of deferred lease revenue amortization as a result of the Cleco Cajun Transaction. (2) At December 31, 2021. 2021 (THOUSANDS) TOTAL SEGMENTS OTHER ELIMINATIONS TOTAL Revenue Electric operations $ 368,665 $ (2,420) $ — $ 366,245 Other operations 51,665 1 (1,940) 49,726 Affiliate revenue 1,655 27,156 (28,811) — Electric customer credits (20,976) — — (20,976) Operating revenue, net $ 401,009 $ 24,737 $ (30,751) $ 394,995 Depreciation and amortization $ 53,729 $ 4,435 (1) $ — $ 58,164 Interest income $ 645 $ 43 $ (41) $ 647 Interest charges $ 18,494 $ 15,440 $ (43) $ 33,891 Federal and state income tax benefit $ (5,113) $ (4,307) $ — $ (9,420) Net income (loss) $ 32,906 $ (12,579) $ — $ 20,327 Additions to property, plant, and equipment $ 38,576 $ (805) $ — $ 37,771 Equity investment in investees (2) $ 2,072 $ (46,901) $ 46,901 $ 2,072 Goodwill (2) $ 1,490,797 $ — $ — $ 1,490,797 Total segment assets (2) $ 7,724,388 $ 619,101 $ (218,471) $ 8,125,018 (1) Includes $2.4 million of amortization of intangible assets related to Cleco Power’s wholesale power supply agreements as a result of the 2016 Merger. (2) At December 31, 2021. FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Net income $ 155,744 $ 20,327 Add: Depreciation and amortization 72,798 58,164 Less: Interest income 756 647 Add: Interest charges 33,519 33,891 Add: Federal and state income tax expense (5,587) (9,420) Add: Other corporate costs and noncash items (1) (2,489) (2,944) Total segment EBITDA $ 253,229 $ 99,371 (1) Adjustments made for Other and Elimination totals not allocated to total segment EBITDA. |
Regulation and Rates (Tables)
Regulation and Rates (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Regulated Operations [Abstract] | |
Schedule of Provision of Rate Refund | Provision for rate refund on Cleco and Cleco Power’s Condensed Consolidated Balance Sheets consisted primarily of the following: (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Cleco Katrina/Rita storm recovery charges $ 1,611 $ 1,611 FRP $ 1,230 $ 1,229 Site-specific industrial customer $ 995 $ 833 TCJA $ 2,057 $ 2,057 |
Variable Interest Entities (Tab
Variable Interest Entities (Tables) - CLECO POWER | 3 Months Ended |
Mar. 31, 2022 | |
Variable Interest Entity [Line Items] | |
Equity Method Investments | The following table presents the components of Cleco Power’s equity investment in Oxbow: INCEPTION TO DATE (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Purchase price $ 12,873 $ 12,873 Cash contributions 6,399 6,399 Distributions (17,200) (17,200) Total equity investment in investee $ 2,072 $ 2,072 The following table contains summarized financial information for Oxbow: FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Operating revenue $ 66 $ 1,999 Operating expenses 66 1,999 Income before taxes $ — $ — |
Carrying Amount of Assets and Liabilities with Maximum Exposure to Loss | The following table compares the carrying amount of Oxbow’s assets and liabilities with Cleco Power’s maximum exposure to loss related to its investment in Oxbow: (THOUSANDS) AT MAR. 31, 2022 AT DEC. 31, 2021 Oxbow’s net assets/liabilities $ 4,145 $ 4,145 Cleco Power’s 50% equity $ 2,072 $ 2,072 Cleco Power’s maximum exposure to loss $ 2,072 $ 2,072 |
Affiliate Transactions (Tables)
Affiliate Transactions (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
CLECO POWER | |
Related Party Transaction [Line Items] | |
Summary of Balances Payable To or Due From Affiliates | The following table is a summary of those balances: AT MAR. 31, 2022 AT DEC. 31, 2021 (THOUSANDS) ACCOUNTS ACCOUNTS ACCOUNTS ACCOUNTS Cleco Holdings $ 141 $ 9,335 $ 10,347 $ 59,627 Support Group 666 10,213 2,473 10,038 Cleco Cajun 921 1 792 64 Total $ 1,728 $ 19,549 $ 13,612 $ 69,729 |
Intangible Assets and Liabili_2
Intangible Assets and Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Finite-Lived Intangible Assets [Line Items] | |
Schedule of Amortization of Intangible Assets and Liabilities | The following table presents Cleco’s amortization of intangible assets and liabilities for the three months ended March 31, 2022, and 2021: Cleco FOR THE THREE MONTHS ENDED MAR. 31, (THOUSANDS) 2022 2021 Intangible assets Trade name $ — $ 64 Power supply agreements $ 6,400 $ 6,400 Intangible liabilities LTSA $ 871 $ 871 Power supply agreements $ 389 $ 882 |
Schedule of Finite-Lived Intangible Assets and Liabilities | The following table summarizes the balances for intangible assets and liabilities subject to amortization for Cleco at March 31, 2022, and December 31, 2021: Cleco (THOUSANDS) AT MAR. 30, 2022 AT DEC. 31, 2021 Intangible assets Power supply agreements $ 184,004 $ 184,004 Total intangible assets carrying amount 184,004 184,004 Intangible liabilities LTSA 24,100 24,100 Power supply agreements 14,200 14,200 Total intangible liability carrying amount 38,300 38,300 Net intangible assets carrying amount 145,704 145,704 Accumulated amortization (87,606) (82,466) Net intangible assets subject to amortization $ 58,098 $ 63,238 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Accumulated Other Comprehensive Loss [Line Items] | |
Schedule of Accumulated Other Comprehensive Income Loss | The components of accumulated other comprehensive loss are summarized in the following tables for Cleco and Cleco Power. All amounts are reported net of income taxes. Amounts in parentheses indicate debits. Cleco FOR THE THREE (THOUSANDS) POSTRETIREMENT BENEFIT NET LOSS Balance, beginning of period $ (23,629) Amounts reclassified from AOCI Amortization of postretirement benefit net loss 14 Balance, Mar. 31, 2022 $ (23,615) FOR THE THREE MONTHS ENDED (THOUSANDS) POSTRETIREMENT BENEFIT NET LOSS Balance, beginning of period $ (25,796) Amounts reclassified from AOCI Amortization of postretirement benefit net loss 628 Balance, Mar. 31, 2021 $ (25,168) |
CLECO POWER | |
Accumulated Other Comprehensive Loss [Line Items] | |
Schedule of Accumulated Other Comprehensive Income Loss | Cleco Power FOR THE THREE MONTHS ENDED MAR. 31, 2022 (THOUSANDS) POSTRETIREMENT NET LOSS TOTAL AOCI Balances, beginning of period $ (12,885) $ (5,298) $ (18,183) Amounts reclassified from AOCI Amortization of postretirement benefit net loss 306 — 306 Reclassification of net loss to interest charges — 63 63 Balances, Mar. 31, 2022 $ (12,579) $ (5,235) $ (17,814) FOR THE THREE MONTHS ENDED MAR. 31, 2021 (THOUSANDS) POSTRETIREMENT NET LOSS TOTAL AOCI Balances, beginning of period $ (19,139) $ (5,614) $ (24,753) Amounts reclassified from AOCI Amortization of postretirement benefit net loss 458 — 458 Reclassification of net loss to interest charges — 64 64 Balances, Mar. 31, 2021 $ (18,681) $ (5,550) $ (24,231) |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Details) - CLECO POWER - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 747,258 | $ 759,165 |
COVID-19 executive order | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 2,953 | $ 2,953 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Restricted Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Current | $ 1,675 | $ 1,674 |
Non-current | 745 | 745 |
Total restricted cash and cash equivalents | 2,420 | 2,419 |
CLECO POWER | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Current | 1,675 | 1,674 |
Total restricted cash and cash equivalents | 1,675 | 1,674 |
Cleco Katrina/Rita storm recovery surcharge | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Current | 1,675 | 1,674 |
Cleco Katrina/Rita storm recovery surcharge | CLECO POWER | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Current | 1,675 | 1,674 |
Diversified Lands’ mitigation escrow | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Non-current | 22 | 22 |
Cleco Cajun’s defense fund | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Non-current | $ 723 | $ 723 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Changes in Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Receivable, threshold period past due | 20 days | |
ACCOUNTS RECEIVABLE | ||
Accounts receivable, beginning balance | $ 1,302 | $ 2,758 |
Current period provision | 391 | 1,874 |
Charge-offs | (1,089) | (2,859) |
Recovery | 398 | 267 |
Accounts receivable, ending balance | 1,002 | 2,040 |
OTHER | ||
Financing receivable, beginning balance | 1,638 | 1,638 |
Current period provision | 0 | 0 |
Charge-offs | 0 | 0 |
Recovery | 0 | 0 |
Financing receivable, ending balance | 1,638 | 1,638 |
TOTAL | ||
Total, beginning balance | 2,940 | 4,396 |
Current period provision | 391 | 1,874 |
Charge-offs | (1,089) | (2,859) |
Recovery | 398 | 267 |
Total, ending balance | 2,640 | 3,678 |
CLECO POWER | ||
ACCOUNTS RECEIVABLE | ||
Accounts receivable, beginning balance | 1,302 | 2,758 |
Current period provision | 391 | 1,874 |
Charge-offs | (1,089) | (2,859) |
Recovery | 398 | 267 |
Accounts receivable, ending balance | $ 1,002 | $ 2,040 |
Leases - Narrative (Details)
Leases - Narrative (Details) $ in Millions | Mar. 31, 2022USD ($) |
Cottonwood Energy | |
Lessor, Lease, Description [Line Items] | |
Fixed lease payments per year | $ 40 |
Leases - Lease Income Under Cot
Leases - Lease Income Under Cottonwood Sale Leaseback (Details) - Cleco Cajun - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Lessor, Lease, Description [Line Items] | ||
Fixed payments | $ 10,000 | $ 10,000 |
Variable payments | 5,549 | 5,465 |
Amortization of deferred lease liability | 2,301 | 2,301 |
Total lease income | $ 17,850 | $ 17,766 |
Revenue Recognition - Disaggreg
Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | $ 429,939 | $ 370,117 |
Revenue unrelated to contracts with customers | ||
Other | 19,241 | 24,878 |
Total revenue unrelated to contracts with customers | 19,241 | 24,878 |
Operating revenue, net | 449,180 | 394,995 |
Deferred lease amortization | 2,301 | 2,301 |
Total retail revenue | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 239,224 | 177,367 |
Residential | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 112,423 | 95,081 |
Commercial | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 76,534 | 63,026 |
Industrial | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 46,274 | 36,666 |
Other retail | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 4,129 | 3,570 |
Electric customer credits | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | (136) | (20,976) |
Wholesale, net | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 156,577 | 160,809 |
Transmission, net | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 28,945 | 27,299 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 5,193 | 4,642 |
Affiliate | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OPERATING SEGMENTS | ||
Revenue unrelated to contracts with customers | ||
Operating revenue, net | 455,749 | 401,009 |
OPERATING SEGMENTS | CLECO POWER | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 315,132 | 259,368 |
Revenue unrelated to contracts with customers | ||
Other | 1,372 | 7,095 |
Total revenue unrelated to contracts with customers | 1,372 | 7,095 |
Operating revenue, net | 316,504 | 266,463 |
OPERATING SEGMENTS | CLECO POWER | Total retail revenue | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 239,224 | 177,367 |
OPERATING SEGMENTS | CLECO POWER | Residential | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 112,423 | 95,081 |
OPERATING SEGMENTS | CLECO POWER | Commercial | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 76,534 | 63,026 |
OPERATING SEGMENTS | CLECO POWER | Industrial | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 46,274 | 36,666 |
OPERATING SEGMENTS | CLECO POWER | Other retail | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 4,129 | 3,570 |
OPERATING SEGMENTS | CLECO POWER | Electric customer credits | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | (136) | (20,976) |
OPERATING SEGMENTS | CLECO POWER | Wholesale, net | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 55,364 | 61,722 |
OPERATING SEGMENTS | CLECO POWER | Transmission, net | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 13,892 | 13,982 |
OPERATING SEGMENTS | CLECO POWER | Other | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 5,193 | 4,642 |
OPERATING SEGMENTS | CLECO POWER | Affiliate | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 1,459 | 1,655 |
OPERATING SEGMENTS | CLECO CAJUN | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 121,376 | 116,764 |
Revenue unrelated to contracts with customers | ||
Other | 17,869 | 17,782 |
Total revenue unrelated to contracts with customers | 17,869 | 17,782 |
Operating revenue, net | 139,245 | 134,546 |
Lease revenue | 15,500 | 15,500 |
Deferred lease amortization | 2,300 | 2,300 |
OPERATING SEGMENTS | CLECO CAJUN | Total retail revenue | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OPERATING SEGMENTS | CLECO CAJUN | Residential | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OPERATING SEGMENTS | CLECO CAJUN | Commercial | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OPERATING SEGMENTS | CLECO CAJUN | Industrial | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OPERATING SEGMENTS | CLECO CAJUN | Other retail | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OPERATING SEGMENTS | CLECO CAJUN | Electric customer credits | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OPERATING SEGMENTS | CLECO CAJUN | Wholesale, net | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 103,633 | 101,507 |
Revenue unrelated to contracts with customers | ||
Contract with customer, amortization | (3,600) | (3,100) |
OPERATING SEGMENTS | CLECO CAJUN | Transmission, net | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 17,743 | 15,257 |
OPERATING SEGMENTS | CLECO CAJUN | Other | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OPERATING SEGMENTS | CLECO CAJUN | Affiliate | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OTHER | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 24,973 | 24,736 |
Revenue unrelated to contracts with customers | ||
Other | 1 | 1 |
Total revenue unrelated to contracts with customers | 1 | 1 |
Operating revenue, net | 24,974 | 24,737 |
OTHER | Total retail revenue | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OTHER | Residential | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OTHER | Commercial | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OTHER | Industrial | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OTHER | Other retail | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OTHER | Electric customer credits | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OTHER | Wholesale, net | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | (2,420) | (2,420) |
OTHER | Transmission, net | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OTHER | Other | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
OTHER | Affiliate | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 27,393 | 27,156 |
ELIMINATIONS | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | (31,542) | (30,751) |
Revenue unrelated to contracts with customers | ||
Other | (1) | 0 |
Total revenue unrelated to contracts with customers | (1) | 0 |
Operating revenue, net | (31,543) | (30,751) |
ELIMINATIONS | Total retail revenue | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
ELIMINATIONS | Residential | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
ELIMINATIONS | Commercial | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
ELIMINATIONS | Industrial | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
ELIMINATIONS | Other retail | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
ELIMINATIONS | Electric customer credits | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
ELIMINATIONS | Wholesale, net | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
ELIMINATIONS | Transmission, net | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | (2,690) | (1,940) |
ELIMINATIONS | Other | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | 0 | 0 |
ELIMINATIONS | Affiliate | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue from contracts with customers | $ (28,852) | $ (28,811) |
Revenue Recognition - Narrative
Revenue Recognition - Narrative (Details) $ in Millions | Mar. 31, 2022USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Unsatisfied performance obligations | $ 64.5 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-04-01 | Minimum | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Unsatisfied performance obligation durations | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-04-01 | Maximum | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Unsatisfied performance obligation durations | 13 years |
Regulatory Assets and Liabili_3
Regulatory Assets and Liabilities - Schedule of Regulatory Assets and Liabilities (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Dec. 31, 2021 | |
Regulatory Assets [Line Items] | ||
Total regulatory assets, net | $ 801,557 | $ 801,363 |
Financing costs | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 7,161 | 7,248 |
Postretirement costs | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 12,927 | 13,424 |
Fair value of long-term debt | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 110,300 | 112,150 |
Debt issuance costs | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 4,837 | 4,920 |
CLECO POWER | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 747,258 | 759,165 |
Regulatory liabilities | (80,926) | (95,544) |
Total regulatory assets, net | 666,332 | 663,621 |
CLECO POWER | Acquisition/ transaction costs | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 1,886 | 1,913 |
Regulatory asset, amortization period | 17 years 9 months | |
CLECO POWER | Acquisition/ transaction costs | Coughlin transaction costs | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 838 | 845 |
Regulatory asset, amortization period | 27 years 3 months | |
CLECO POWER | Accumulated deferred fuel | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 49,597 | 56,826 |
CLECO POWER | Affordability study | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 12,749 | 13,094 |
Regulatory asset, amortization period | 9 years 3 months | |
CLECO POWER | AFUDC equity gross-up | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 65,799 | 66,574 |
CLECO POWER | AMI deferred revenue requirement | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 1,909 | 2,045 |
Regulatory asset, amortization period | 4 years | |
CLECO POWER | AROs | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 15,644 | 15,141 |
CLECO POWER | Bayou Vista to Segura deferred revenue requirement | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 3,209 | 1,392 |
CLECO POWER | COVID-19 executive order | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 2,953 | 2,953 |
CLECO POWER | Deferred storm restoration costs - Hurricane Delta | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 16,729 | 17,113 |
CLECO POWER | Deferred storm restoration costs - Hurricane Ida | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 37,841 | 37,617 |
CLECO POWER | Deferred storm restoration costs - Hurricane Laura | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 53,061 | 54,282 |
CLECO POWER | Deferred storm restoration costs - Hurricane Zeta | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 3,212 | 3,296 |
CLECO POWER | Deferred storm restoration costs - Winter Storms Uri & Viola | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 1,912 | 1,912 |
CLECO POWER | Station closure costs | Dolet Hills | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 145,978 | 145,844 |
CLECO POWER | Energy efficiency | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 1,293 | 1,645 |
Regulatory asset, amortization period | 1 year | |
CLECO POWER | Financing costs | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 6,733 | 6,826 |
CLECO POWER | Interest costs | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 3,397 | 3,459 |
CLECO POWER | Mine closure costs | Lignite Mine | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 135,877 | 136,980 |
CLECO POWER | Madison Unit 3 property taxes | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 10,597 | 8,362 |
CLECO POWER | Non-service cost of postretirement benefits | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 13,542 | 12,950 |
CLECO POWER | Other | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 9,200 | 11,224 |
CLECO POWER | Postretirement costs | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 114,690 | 117,773 |
CLECO POWER | Production operations and maintenance expenses | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 10,304 | 11,058 |
Regulatory asset, amortization period | 3 years | |
CLECO POWER | Rodemacher Unit 2 deferred costs | Rodemacher Unit 2 deferred costs | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 8,350 | 6,931 |
CLECO POWER | St. Mary Clean Energy Center | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 5,654 | 6,089 |
Regulatory asset, amortization period | 3 years 3 months | |
CLECO POWER | Training costs | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 5,891 | 5,929 |
Regulatory asset, amortization period | 37 years 9 months | |
CLECO POWER | Tree trimming costs | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 8,413 | 9,092 |
Regulatory asset, amortization period | 3 years | |
CLECO POWER | Deferred taxes, net | ||
Regulatory Assets [Line Items] | ||
Regulatory liabilities | $ (80,926) | $ (95,544) |
Fair Value Accounting and Fin_3
Fair Value Accounting and Financial Instruments - Carrying Value and Estimated Fair Value (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Deferred debt issuance costs not included in the carrying value of long-term debt | $ 12,400 | $ 13,200 |
CLECO POWER | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Deferred debt issuance costs not included in the carrying value of long-term debt | 7,500 | 7,900 |
CARRYING VALUE | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | 3,480,631 | 3,482,405 |
CARRYING VALUE | CLECO POWER | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | 1,820,331 | 1,820,254 |
FAIR VALUE | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | 3,536,846 | 3,752,220 |
FAIR VALUE | CLECO POWER | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | $ 1,969,329 | $ 2,085,944 |
Fair Value Accounting and Fin_4
Fair Value Accounting and Financial Instruments - Fair Value of Financial Assets and Liabilities Measured On A Recurring Basis (Details) - Measured on a Recurring Basis - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Asset description | ||
Money market funds | $ 192,983 | $ 145,033 |
Total assets | 360,536 | 239,474 |
Liability description | ||
Total liabilities | 599 | 834 |
CLECO POWER | ||
Asset description | ||
Money market funds | 103,711 | 82,411 |
Total assets | 104,551 | 87,926 |
Liability description | ||
Total liabilities | 273 | 597 |
FTRs | ||
Asset description | ||
Derivative assets | 1,114 | 6,977 |
Liability description | ||
Derivative liabilities | 599 | 834 |
FTRs | CLECO POWER | ||
Asset description | ||
Derivative assets | 840 | 5,515 |
Liability description | ||
Derivative liabilities | 273 | 597 |
Natural gas derivatives | ||
Asset description | ||
Derivative assets | 166,439 | 87,464 |
QUOTED PRICES IN ACTIVE MARKETS FOR IDENTICAL ASSETS (LEVEL 1) | ||
Asset description | ||
Money market funds | 192,983 | 145,033 |
Total assets | 192,983 | 145,033 |
Liability description | ||
Total liabilities | 0 | 0 |
QUOTED PRICES IN ACTIVE MARKETS FOR IDENTICAL ASSETS (LEVEL 1) | CLECO POWER | ||
Asset description | ||
Money market funds | 103,711 | 82,411 |
Total assets | 103,711 | 82,411 |
Liability description | ||
Total liabilities | 0 | 0 |
QUOTED PRICES IN ACTIVE MARKETS FOR IDENTICAL ASSETS (LEVEL 1) | FTRs | ||
Asset description | ||
Derivative assets | 0 | 0 |
Liability description | ||
Derivative liabilities | 0 | 0 |
QUOTED PRICES IN ACTIVE MARKETS FOR IDENTICAL ASSETS (LEVEL 1) | FTRs | CLECO POWER | ||
Asset description | ||
Derivative assets | 0 | 0 |
Liability description | ||
Derivative liabilities | 0 | 0 |
QUOTED PRICES IN ACTIVE MARKETS FOR IDENTICAL ASSETS (LEVEL 1) | Natural gas derivatives | ||
Asset description | ||
Derivative assets | 0 | 0 |
SIGNIFICANT OTHER OBSERVABLE INPUTS (LEVEL 2) | ||
Asset description | ||
Money market funds | 0 | 0 |
Total assets | 166,439 | 87,464 |
Liability description | ||
Total liabilities | 0 | 0 |
SIGNIFICANT OTHER OBSERVABLE INPUTS (LEVEL 2) | CLECO POWER | ||
Asset description | ||
Money market funds | 0 | 0 |
Total assets | 0 | 0 |
Liability description | ||
Total liabilities | 0 | 0 |
SIGNIFICANT OTHER OBSERVABLE INPUTS (LEVEL 2) | FTRs | ||
Asset description | ||
Derivative assets | 0 | 0 |
Liability description | ||
Derivative liabilities | 0 | 0 |
SIGNIFICANT OTHER OBSERVABLE INPUTS (LEVEL 2) | FTRs | CLECO POWER | ||
Asset description | ||
Derivative assets | 0 | 0 |
Liability description | ||
Derivative liabilities | 0 | 0 |
SIGNIFICANT OTHER OBSERVABLE INPUTS (LEVEL 2) | Natural gas derivatives | ||
Asset description | ||
Derivative assets | 166,439 | 87,464 |
SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3) | ||
Asset description | ||
Money market funds | 0 | 0 |
Derivative assets | 1,114 | 6,977 |
Total assets | 1,114 | 6,977 |
Liability description | ||
Derivative liabilities | 599 | 834 |
Total liabilities | 599 | 834 |
SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3) | CLECO POWER | ||
Asset description | ||
Money market funds | 0 | 0 |
Derivative assets | 840 | 5,515 |
Total assets | 840 | 5,515 |
Liability description | ||
Derivative liabilities | 273 | 597 |
Total liabilities | 273 | 597 |
SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3) | FTRs | ||
Asset description | ||
Derivative assets | 1,114 | 6,977 |
Liability description | ||
Derivative liabilities | 599 | 834 |
SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3) | FTRs | CLECO POWER | ||
Asset description | ||
Derivative assets | 840 | 5,515 |
Liability description | ||
Derivative liabilities | 273 | 597 |
SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3) | Natural gas derivatives | ||
Asset description | ||
Derivative assets | $ 0 | $ 0 |
Fair Value Accounting and Fin_5
Fair Value Accounting and Financial Instruments - Net Changes in Net Fair Value of FTR Assets and Liabilities Classified as Level 3 (Details) - Price risk derivatives - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||
Beginning balance | $ 6,143 | $ 3,180 |
Unrealized gains (losses) | (620) | 16,123 |
Purchases | 292 | 849 |
Settlements | (5,300) | (19,129) |
Ending balance | 515 | 1,023 |
CLECO POWER | ||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||
Beginning balance | 4,918 | 3,216 |
Unrealized gains (losses) | (263) | (37) |
Purchases | 292 | 849 |
Settlements | (4,380) | (2,940) |
Ending balance | $ 567 | $ 1,088 |
Fair Value Accounting and Fin_6
Fair Value Accounting and Financial Instruments - Significant Unobservable Inputs Used in Developing Fair Value of Level 3 Positions (Details) - Measured on a Recurring Basis - Level 3 $ in Thousands | Mar. 31, 2022USD ($)$ / MW | Dec. 31, 2021USD ($)$ / MW |
FAIR VALUE | ||
ASSETS | $ | $ 1,114 | $ 6,977 |
LIABILITIES | $ | 599 | 834 |
CLECO POWER | ||
FAIR VALUE | ||
ASSETS | $ | 840 | 5,515 |
LIABILITIES | $ | $ 273 | $ 597 |
Minimum | ||
FAIR VALUE | ||
FORWARD PRICE RANGE (usd per mwh) | $ / MW | (2.23) | (3.94) |
Minimum | CLECO POWER | ||
FAIR VALUE | ||
FORWARD PRICE RANGE (usd per mwh) | $ / MW | (2.23) | (4.91) |
Maximum | ||
FAIR VALUE | ||
FORWARD PRICE RANGE (usd per mwh) | $ / MW | 11.77 | 9.25 |
Maximum | CLECO POWER | ||
FAIR VALUE | ||
FORWARD PRICE RANGE (usd per mwh) | $ / MW | 11.77 | 9.25 |
Fair Value Accounting and Fin_7
Fair Value Accounting and Financial Instruments - Institutional Money Market Funds (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | $ 192,961 | $ 145,011 |
CLECO POWER | ||
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 103,711 | 82,411 |
Non-current restricted cash and cash equivalents | ||
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||
Restricted cash and cash equivalents | $ 22 | $ 22 |
Fair Value Accounting and Fin_8
Fair Value Accounting and Financial Instruments - Fair Value of Derivative Instruments as Recorded in Condensed Consolidated Balance Sheets (Details) - DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 |
GROSS ASSET (LIABILITY) | ||
Commodity-related contracts, net | $ 193,255,000 | $ 93,607,000 |
GROSS AMOUNTS OFFSET ON THE BALANCE SHEET | ||
Derivative, collateral | (26,300,000) | 0 |
NET ASSET (LIABILITY) ON THE BALANCE SHEET | ||
Net asset (liability) on the balance sheet | 166,955,000 | 93,607,000 |
GROSS AMOUNTS NOT OFFSET ON THE BALANCE SHEET (1) | ||
Collateral, assets | (82,000,000) | (15,000,000) |
NET AMOUNT | ||
Net amount | 84,955,000 | 78,607,000 |
Price risk derivatives | CLECO POWER | ||
GROSS ASSET (LIABILITY) | ||
Commodity-related contracts, net | 567,000 | 4,918,000 |
Price risk derivatives | Energy risk management assets, current | ||
GROSS ASSET (LIABILITY) | ||
Derivative asset | 1,114,000 | 6,977,000 |
GROSS AMOUNTS OFFSET ON THE BALANCE SHEET | ||
Derivative asset, collateral | 0 | 0 |
NET ASSET (LIABILITY) ON THE BALANCE SHEET | ||
Derivative asset | 1,114,000 | 6,977,000 |
GROSS AMOUNTS NOT OFFSET ON THE BALANCE SHEET (1) | ||
Collateral, assets | 0 | 0 |
NET AMOUNT | ||
Derivative asset, net | 1,114,000 | 6,977,000 |
Price risk derivatives | Energy risk management assets, current | CLECO POWER | ||
GROSS ASSET (LIABILITY) | ||
Derivative asset | 840,000 | 5,515,000 |
Price risk derivatives | Energy risk management liabilities | ||
GROSS ASSET (LIABILITY) | ||
Derivative liability | (599,000) | (834,000) |
GROSS AMOUNTS OFFSET ON THE BALANCE SHEET | ||
Derivative liability, collateral | 0 | 0 |
NET ASSET (LIABILITY) ON THE BALANCE SHEET | ||
Derivative liability | (599,000) | (834,000) |
GROSS AMOUNTS NOT OFFSET ON THE BALANCE SHEET (1) | ||
Collateral, liability | 0 | 0 |
NET AMOUNT | ||
Derivative liability, net | (599,000) | (834,000) |
Price risk derivatives | Energy risk management liabilities | CLECO POWER | ||
GROSS ASSET (LIABILITY) | ||
Derivative liability | (273,000) | (597,000) |
Natural gas derivatives | Energy risk management assets, current | ||
GROSS ASSET (LIABILITY) | ||
Derivative asset | 107,842,000 | 37,061,000 |
GROSS AMOUNTS OFFSET ON THE BALANCE SHEET | ||
Derivative asset, collateral | (26,300,000) | (559,000) |
NET ASSET (LIABILITY) ON THE BALANCE SHEET | ||
Derivative asset | 81,542,000 | 36,502,000 |
GROSS AMOUNTS NOT OFFSET ON THE BALANCE SHEET (1) | ||
Collateral, assets | (75,919,000) | (15,000,000) |
NET AMOUNT | ||
Derivative asset, net | 5,623,000 | 21,502,000 |
Natural gas derivatives | Energy risk management liabilities | ||
GROSS ASSET (LIABILITY) | ||
Derivative liability | (559,000) | |
GROSS AMOUNTS OFFSET ON THE BALANCE SHEET | ||
Derivative liability, collateral | 559,000 | |
NET ASSET (LIABILITY) ON THE BALANCE SHEET | ||
Derivative liability | 0 | |
GROSS AMOUNTS NOT OFFSET ON THE BALANCE SHEET (1) | ||
Collateral, liability | 0 | |
NET AMOUNT | ||
Derivative liability, net | 0 | |
Natural gas derivatives | Energy risk management assets, noncurrent | ||
GROSS ASSET (LIABILITY) | ||
Derivative asset | 84,898,000 | 50,962,000 |
GROSS AMOUNTS OFFSET ON THE BALANCE SHEET | ||
Derivative asset, collateral | 0 | 0 |
NET ASSET (LIABILITY) ON THE BALANCE SHEET | ||
Derivative asset | 84,898,000 | 50,962,000 |
GROSS AMOUNTS NOT OFFSET ON THE BALANCE SHEET (1) | ||
Collateral, assets | (6,081,000) | 0 |
NET AMOUNT | ||
Derivative asset, net | $ 78,817,000 | $ 50,962,000 |
Fair Value Accounting and Fin_9
Fair Value Accounting and Financial Instruments - Narrative (Details) - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 |
DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative, collateral total | $ 26,300,000 | $ 0 |
Fair Value Accounting and Fi_10
Fair Value Accounting and Financial Instruments - Amount of Gain (Loss) Recognized in Income on Derivatives (Details) - DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Commodity-related contracts | ||
Net gain (loss) recognized in income on derivatives | $ 131,776 | $ (5,826) |
Price risk derivatives | Accumulated deferred fuel | ||
Commodity-related contracts | ||
Unrealized gains (losses) associated with FTRs | 300 | 100 |
Price risk derivatives | CLECO POWER | ||
Commodity-related contracts | ||
Net gain (loss) recognized in income on derivatives | 345 | 262 |
Price risk derivatives | CLECO POWER | Accumulated deferred fuel | ||
Commodity-related contracts | ||
Unrealized gains (losses) associated with FTRs | 300 | 100 |
Price risk derivatives | Electric operations | ||
Commodity-related contracts | ||
Net gain (loss) recognized in income on derivatives | 1,583 | 7,444 |
Price risk derivatives | Electric operations | CLECO POWER | ||
Commodity-related contracts | ||
Net gain (loss) recognized in income on derivatives | 1,583 | 7,444 |
Price risk derivatives | Purchased power | ||
Commodity-related contracts | ||
Net gain (loss) recognized in income on derivatives | 1,722 | (8,560) |
Price risk derivatives | Purchased power | CLECO POWER | ||
Commodity-related contracts | ||
Net gain (loss) recognized in income on derivatives | (1,238) | (7,182) |
Natural gas derivatives | Fuel used for electric generation | ||
Commodity-related contracts | ||
Net gain (loss) recognized in income on derivatives | $ 128,471 | $ (4,710) |
Fair Value Accounting and Fi_11
Fair Value Accounting and Financial Instruments - Volume of Commodity-Related Derivative Contracts (Details) MWh in Thousands, MMBTU in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2022MWh | Mar. 31, 2022MMBTU | Dec. 31, 2021MWh | Dec. 31, 2021MMBTU | |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||||
Volume outstanding | 5,739 | 249,118 | 14,055 | 109,306 |
CLECO POWER | ||||
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||||
Volume outstanding | 3,646 | 8,899 |
Pension Plan and Employee Ben_3
Pension Plan and Employee Benefits - Narrative (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Pension Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Pension contributions required through 2025 | $ 0 | |
Defined benefit plan contributions by employer | 4,018,000 | $ 6,203,000 |
Pension Plan | Other Subsidiaries | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan contributions by employer | 800,000 | 900,000 |
Other Benefits Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan contributions by employer | 1,225,000 | 1,302,000 |
Assets held-in-trust, noncurrent | 0 | |
Other Benefits Plan | CLECO POWER | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan contributions by employer | 1,100,000 | 1,200,000 |
SERP | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan contributions by employer | 935,000 | 1,643,000 |
SERP | CLECO POWER | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan contributions by employer | $ 100,000 | $ 300,000 |
Pension Plan and Employee Ben_4
Pension Plan and Employee Benefits - Net Periodic Pension and Benefits Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
PENSION BENEFITS | ||
Components of periodic benefit costs | ||
Service cost | $ 2,150 | $ 2,528 |
Interest cost | 4,960 | 4,615 |
Expected return on plan assets | (6,177) | (5,703) |
Amortizations | ||
Net loss | 3,085 | 4,763 |
Total benefit cost | 4,018 | 6,203 |
OTHER BENEFITS | ||
Components of periodic benefit costs | ||
Service cost | 551 | 595 |
Interest cost | 371 | 323 |
Expected return on plan assets | 0 | 0 |
Amortizations | ||
Net loss | 303 | 384 |
Total benefit cost | 1,225 | 1,302 |
SERP | ||
Components of periodic benefit costs | ||
Service cost | 57 | 55 |
Interest cost | 670 | 625 |
Amortizations | ||
Prior period service credit | (54) | (53) |
Net loss | 262 | 1,016 |
Total benefit cost | $ 935 | $ 1,643 |
Pension Plan and Employee Ben_5
Pension Plan and Employee Benefits - Current and Non-Current Portions of the Other Benefits Liability (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plan Disclosure [Line Items] | ||
Non-current | $ 291,606 | $ 291,606 |
CLECO POWER | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Non-current | 205,651 | 205,214 |
Other Benefits Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Current | 5,181 | 5,181 |
Non-current | 49,605 | 50,093 |
Other Benefits Plan | CLECO POWER | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Current | 4,432 | 4,432 |
Non-current | $ 38,943 | $ 39,315 |
Pension Plan and Employee Ben_6
Pension Plan and Employee Benefits - Current and Non-Current Portions of SERP Liability (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plan Disclosure [Line Items] | ||
Non-current | $ 291,606 | $ 291,606 |
SERP Benefits | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Current | 4,654 | 4,654 |
Non-current | 88,082 | 88,523 |
CLECO POWER | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Non-current | 205,651 | 205,214 |
CLECO POWER | SERP Benefits | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Current | 679 | 679 |
Non-current | $ 12,788 | $ 12,909 |
Pension Plan and Employee Ben_7
Pension Plan and Employee Benefits - 401 (K) Plans (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Defined Contribution Plan Disclosure [Line Items] | ||
401(k) Plan expense | $ 2,591 | $ 2,759 |
Other Subsidiaries | ||
Defined Contribution Plan Disclosure [Line Items] | ||
401(k) Plan expense | $ 1,322 | $ 1,380 |
Income Taxes - Effective Tax Ra
Income Taxes - Effective Tax Rate Reconciliation (Details) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Effective Income Tax Rate [Line Items] | ||
Effective tax rate | (3.70%) | (86.40%) |
CLECO POWER | ||
Effective Income Tax Rate [Line Items] | ||
Effective tax rate | 1.80% | (111.70%) |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Uncertain Tax Positions [Line Items] | |||
Interest expense related to uncertain tax positions | $ 0 | $ 0 | |
Liability for uncertain tax positions | 0 | $ 0 | |
Interest payable related to uncertain tax positions | 0 | 0 | |
Penalties | 0 | 0 | |
Deferred employer payroll tax payments | 3,000,000 | ||
CLECO POWER | |||
Uncertain Tax Positions [Line Items] | |||
Interest expense related to uncertain tax positions | 0 | $ 0 | |
Liability for uncertain tax positions | 0 | 0 | |
Interest payable related to uncertain tax positions | 0 | $ 0 | |
Deferred employer payroll tax payments | $ 1,800,000 |
Disclosures about Segments (Det
Disclosures about Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Revenue | |||
Electric operations | $ 397,309 | $ 366,245 | |
Other operations | 52,007 | 49,726 | |
Affiliate revenue | 0 | 0 | |
Electric customer credits | (136) | (20,976) | |
Operating revenue, net | 449,180 | 394,995 | |
Net income | 155,744 | 20,327 | |
Depreciation and amortization | 72,798 | 58,164 | |
Interest income | 756 | 647 | |
Interest charges | 33,519 | 33,891 | |
Federal and state income tax expense (benefit) | (5,587) | (9,420) | |
Other corporate costs and noncash items | (2,489) | (2,944) | |
EBITDA | 253,229 | 99,371 | |
Additions to property, plant, and equipment | 40,199 | 37,771 | |
Equity investment in investees | 2,072 | $ 2,072 | |
Goodwill | 1,490,797 | 1,490,797 | |
Total assets | 8,250,227 | 8,125,018 | |
CLECO POWER | |||
Revenue | |||
Electric operations | 296,097 | 267,158 | |
Other operations | 19,084 | 18,626 | |
Affiliate revenue | 1,459 | 1,655 | |
Electric customer credits | (136) | (20,976) | |
Operating revenue, net | 316,504 | 266,463 | |
Net income | 39,024 | 18,425 | |
Interest income | 740 | 642 | |
Interest charges | 18,801 | 18,646 | |
Federal and state income tax expense (benefit) | 724 | (9,723) | |
Additions to property, plant, and equipment | 38,492 | 36,263 | |
Equity investment in investees | 2,072 | 2,072 | |
Total assets | 5,130,777 | 5,129,501 | |
Power supply agreements | |||
Revenue | |||
Amortization of intangible assets | 6,400 | 6,400 | |
OPERATING SEGMENTS | |||
Revenue | |||
Electric operations | 399,730 | 368,665 | |
Other operations | 54,696 | 51,665 | |
Affiliate revenue | 1,459 | 1,655 | |
Electric customer credits | (136) | (20,976) | |
Operating revenue, net | 455,749 | 401,009 | |
Net income | 132,405 | 32,906 | |
Depreciation and amortization | 68,419 | 53,729 | |
Interest income | 753 | 645 | |
Interest charges | 18,793 | 18,494 | |
Federal and state income tax expense (benefit) | 34,365 | (5,113) | |
EBITDA | 253,229 | 99,371 | |
Additions to property, plant, and equipment | 39,963 | 38,576 | |
Equity investment in investees | 2,072 | 2,072 | |
Goodwill | 1,490,797 | 1,490,797 | |
Total assets | 7,816,322 | 7,724,388 | |
OPERATING SEGMENTS | CLECO POWER | |||
Revenue | |||
Electric operations | 296,097 | 267,158 | |
Other operations | 19,084 | 18,626 | |
Affiliate revenue | 1,459 | 1,655 | |
Electric customer credits | (136) | (20,976) | |
Operating revenue, net | 316,504 | 266,463 | |
Net income | 39,024 | 18,425 | |
Depreciation and amortization | 45,239 | 42,076 | |
Interest income | 740 | 642 | |
Interest charges | 18,801 | 18,646 | |
Federal and state income tax expense (benefit) | 724 | (9,723) | |
EBITDA | 103,048 | 68,782 | |
Additions to property, plant, and equipment | 38,492 | 36,263 | |
Equity investment in investees | 2,072 | 2,072 | |
Goodwill | 1,490,797 | 1,490,797 | |
Total assets | 6,621,574 | 6,620,298 | |
OPERATING SEGMENTS | CLECO CAJUN | |||
Revenue | |||
Electric operations | 103,633 | 101,507 | |
Other operations | 35,612 | 33,039 | |
Affiliate revenue | 0 | 0 | |
Electric customer credits | 0 | 0 | |
Operating revenue, net | 139,245 | 134,546 | |
Net income | 93,381 | 14,481 | |
Depreciation and amortization | 23,180 | 11,653 | |
Interest income | 13 | 3 | |
Interest charges | (8) | (152) | |
Federal and state income tax expense (benefit) | 33,641 | 4,610 | |
EBITDA | 150,181 | 30,589 | |
Additions to property, plant, and equipment | 1,471 | 2,313 | |
Equity investment in investees | 0 | 0 | |
Goodwill | 0 | 0 | |
Total assets | 1,194,748 | 1,104,090 | |
Amortization of deferred lease income | (2,300) | (2,300) | |
OPERATING SEGMENTS | CLECO CAJUN | Power supply agreements | |||
Revenue | |||
Amortization of intangible assets and liabilities | 3,600 | 3,100 | |
OTHER | |||
Revenue | |||
Electric operations | (2,420) | (2,420) | |
Other operations | 1 | 1 | |
Affiliate revenue | 27,393 | 27,156 | |
Electric customer credits | 0 | 0 | |
Operating revenue, net | 24,974 | 24,737 | |
Net income | 23,339 | (12,579) | |
Depreciation and amortization | 4,379 | 4,435 | |
Interest income | 31 | 43 | |
Interest charges | 14,753 | 15,440 | |
Federal and state income tax expense (benefit) | (39,952) | (4,307) | |
Additions to property, plant, and equipment | 236 | (805) | |
Equity investment in investees | (66,901) | (46,901) | |
Goodwill | 0 | 0 | |
Total assets | 582,322 | 619,101 | |
OTHER | Power supply agreements | CLECO POWER | |||
Revenue | |||
Amortization of intangible assets | 2,400 | 2,400 | |
ELIMINATIONS | |||
Revenue | |||
Electric operations | (1) | 0 | |
Other operations | (2,690) | (1,940) | |
Affiliate revenue | (28,852) | (28,811) | |
Electric customer credits | 0 | 0 | |
Operating revenue, net | (31,543) | (30,751) | |
Net income | 0 | 0 | |
Depreciation and amortization | 0 | 0 | |
Interest income | (28) | (41) | |
Interest charges | (27) | (43) | |
Federal and state income tax expense (benefit) | 0 | 0 | |
Additions to property, plant, and equipment | 0 | $ 0 | |
Equity investment in investees | 66,901 | 46,901 | |
Goodwill | 0 | 0 | |
Total assets | $ (148,417) | $ (218,471) |
Regulation and Rates - Provisio
Regulation and Rates - Provision for Rate Refund (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Jul. 31, 2019 |
Regulation and Rates [Line Items] | |||
Provision for rate refund | $ 5,845 | $ 5,682 | |
Cleco Katrina/Rita storm recovery charges | |||
Regulation and Rates [Line Items] | |||
Provision for rate refund | 1,611 | 1,611 | |
FRP | |||
Regulation and Rates [Line Items] | |||
Provision for rate refund | 1,230 | 1,229 | |
Site-specific industrial customer | |||
Regulation and Rates [Line Items] | |||
Provision for rate refund | 995 | 833 | |
TCJA | |||
Regulation and Rates [Line Items] | |||
Provision for rate refund | 2,057 | 2,057 | |
CLECO POWER | |||
Regulation and Rates [Line Items] | |||
Provision for rate refund | 5,845 | 5,682 | $ 79,200 |
CLECO POWER | Cleco Katrina/Rita storm recovery charges | |||
Regulation and Rates [Line Items] | |||
Provision for rate refund | 1,611 | 1,611 | |
CLECO POWER | FRP | |||
Regulation and Rates [Line Items] | |||
Provision for rate refund | 1,230 | 1,229 | |
CLECO POWER | Site-specific industrial customer | |||
Regulation and Rates [Line Items] | |||
Provision for rate refund | 995 | 833 | |
CLECO POWER | TCJA | |||
Regulation and Rates [Line Items] | |||
Provision for rate refund | $ 2,057 | $ 2,057 |
Regulation and Rates - Narrativ
Regulation and Rates - Narrative (Details) - USD ($) $ in Thousands | Jun. 16, 2021 | Mar. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Jul. 01, 2021 | Aug. 31, 2020 | Jul. 31, 2019 |
Regulation and Rates [Line Items] | |||||||
Refund due to customers | $ 5,845 | $ 5,682 | |||||
Current regulatory liabilities | 44,072 | 44,072 | |||||
FRP | |||||||
Regulation and Rates [Line Items] | |||||||
Refund due to customers | 1,230 | 1,229 | |||||
Cleco Katrina/Rita storm recovery charges | |||||||
Regulation and Rates [Line Items] | |||||||
Refund due to customers | 1,611 | 1,611 | |||||
CLECO POWER | |||||||
Regulation and Rates [Line Items] | |||||||
Refund due to customers | 5,845 | 5,682 | $ 79,200 | ||||
Regulatory liabilities | 80,926 | 95,544 | |||||
Current regulatory liabilities | 44,072 | 44,072 | |||||
CLECO POWER | FRP | |||||||
Regulation and Rates [Line Items] | |||||||
Refund due to customers | 1,230 | 1,229 | |||||
CLECO POWER | Cleco Katrina/Rita storm recovery charges | |||||||
Regulation and Rates [Line Items] | |||||||
Refund due to customers | 1,611 | $ 1,611 | |||||
CLECO POWER | LPSC | |||||||
Regulation and Rates [Line Items] | |||||||
TCJA, bill credit per month | $ 7,000 | ||||||
Bill credit related to unprotected excess ADIT | 4,400 | ||||||
Bill credit per month related to change in federal statutory tax rate | $ 2,600 | ||||||
Estimated refund for the tax-related benefits from the TCJA | 2,100 | ||||||
CLECO POWER | LPSC | Merger Commitments, cost savings | |||||||
Regulation and Rates [Line Items] | |||||||
Regulatory liabilities | $ 4,300 | ||||||
CLECO POWER | LPSC | FRP | |||||||
Regulation and Rates [Line Items] | |||||||
Target ROE allowed by FRP | 9.50% | 9.50% | 10.00% | ||||
Percentage of retail earnings within range to be returned to customers | 60.00% | 60.00% | 60.00% | ||||
ROE for customer credit, low range | 10.00% | 10.00% | 10.90% | ||||
ROE for customer credit, high range | 10.50% | 10.50% | 11.75% | ||||
CLECO POWER | LPSC | FRP | Maximum | |||||||
Regulation and Rates [Line Items] | |||||||
Target ROE allowed by FRP | 10.00% | 10.00% | 10.90% | ||||
CLECO POWER | LPSC | Excess ADIT | |||||||
Regulation and Rates [Line Items] | |||||||
Bill credit related to unprotected excess ADIT | $ 2,500 | ||||||
Regulatory liability, amortization period | 3 years | ||||||
Regulatory liabilities | $ 291,000 | ||||||
Current regulatory liabilities | $ 44,100 |
Variable Interest Entities - Na
Variable Interest Entities - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Dec. 31, 2021 | |
Variable Interest Entity [Line Items] | ||
Equity investment in investee | $ 2,072 | $ 2,072 |
CLECO POWER | ||
Variable Interest Entity [Line Items] | ||
Equity investment in investee | $ 2,072 | $ 2,072 |
CLECO POWER | Oxbow | ||
Variable Interest Entity [Line Items] | ||
Ownership percentage by Cleco Power | 50.00% | |
SWEPCO | Oxbow | ||
Variable Interest Entity [Line Items] | ||
Ownership percentage by other parties | 50.00% |
Variable Interest Entities - Eq
Variable Interest Entities - Equity Method Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Schedule of Equity Method Investments [Line Items] | |||
Total equity investment in investee | $ 2,072 | $ 2,072 | |
Operating revenue, net | 449,180 | $ 394,995 | |
CLECO POWER | |||
Schedule of Equity Method Investments [Line Items] | |||
Purchase price | 12,873 | 12,873 | |
Cash contributions | 6,399 | 6,399 | |
Distributions | (17,200) | (17,200) | |
Total equity investment in investee | 2,072 | $ 2,072 | |
Operating revenue, net | 316,504 | 266,463 | |
CLECO POWER | Equity Method Investment, Nonconsolidated Investee or Group of Investees | |||
Schedule of Equity Method Investments [Line Items] | |||
Operating revenue, net | 66 | 1,999 | |
Operating expenses | 66 | 1,999 | |
Income before taxes | $ 0 | $ 0 |
Variable Interest Entities - Ca
Variable Interest Entities - Carrying Amount of Assets and Liabilities with Maximum Exposure to Loss (Details) - CLECO POWER - Oxbow - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Dec. 31, 2021 | |
Variable Interest Entity [Line Items] | ||
Oxbow’s net assets/liabilities | $ 4,145 | $ 4,145 |
Cleco Power’s 50% equity | 2,072 | 2,072 |
Cleco Power’s maximum exposure to loss | $ 2,072 | $ 2,072 |
Ownership percentage by Cleco Power | 50.00% |
Litigation, Other Commitments_2
Litigation, Other Commitments and Contingencies, and Disclosures about Guarantees - Litigation (Details) $ in Millions | 1 Months Ended | 24 Months Ended | |||||
Sep. 30, 2015USD ($) | Dec. 31, 2014claim | Nov. 30, 2014claim | Dec. 31, 2019USD ($) | Mar. 31, 2022USD ($) | Mar. 29, 2021USD ($) | Feb. 29, 2020USD ($) | |
Loss Contingencies [Line Items] | |||||||
Loss contingency, estimate of possible loss | $ 6.7 | ||||||
South Central Generating | |||||||
Loss Contingencies [Line Items] | |||||||
Loss contingency, estimate of possible loss | 1.5 | ||||||
Gulf Coast Spinning start up costs | |||||||
Loss Contingencies [Line Items] | |||||||
Allegations by plaintiff, failure to perform | $ 6.5 | ||||||
Gulf Coast Spinning construction of cotton spinning facility | |||||||
Loss Contingencies [Line Items] | |||||||
Allegations by plaintiff, failure to perform | $ 60 | ||||||
Actions filed in the 9th Judicial District Court | Alleged Breach of Fiduciary Duties | |||||||
Loss Contingencies [Line Items] | |||||||
Number of actions filed | claim | 4 | ||||||
Actions filed in the Civil District Court | Alleged Breach of Fiduciary Duties | |||||||
Loss Contingencies [Line Items] | |||||||
Number of actions filed | claim | 3 | 3 | |||||
CLECO POWER | Deferred storm restoration costs - Winter Storms Uri & Viola | |||||||
Loss Contingencies [Line Items] | |||||||
Capitalized storm restoration costs | $ 8.1 | $ 50 | |||||
CLECO POWER | LPSC 2018-2019 Fuel Audit | |||||||
Loss Contingencies [Line Items] | |||||||
Fuel expense | $ 565.8 | ||||||
Gulf Coast Spinning Company, LLC | Gulf Coast Spinning construction of cotton spinning facility | Diversified Lands LLC | |||||||
Loss Contingencies [Line Items] | |||||||
Loans payable | $ 2 |
Litigation, Other Commitments_3
Litigation, Other Commitments and Contingencies, and Disclosures about Guarantees - Off-Balance Sheet Commitments and Guarantees (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Dec. 31, 2021 | |
Guarantor Obligations [Line Items] | ||
Guarantor obligations, collateral held directly or by third parties, amount | $ 0 | |
Asset retirement obligations | 74,400,000 | $ 74,300,000 |
Performance Guarantee | ||
Guarantor Obligations [Line Items] | ||
Guarantor obligations, maximum exposure, undiscounted | 42,400,000 | |
Indemnification Agreement | ||
Guarantor Obligations [Line Items] | ||
Guarantor obligations, maximum exposure, undiscounted | 40,000,000 | |
Indemnification Agreement including fundamental organizational structure | ||
Guarantor Obligations [Line Items] | ||
Guarantor obligations, maximum exposure, undiscounted | 400,000,000 | |
CLECO POWER | ||
Guarantor Obligations [Line Items] | ||
Guarantor obligations, collateral held directly or by third parties, amount | 0 | |
Asset retirement obligations | 23,000,000 | $ 23,000,000 |
CLECO POWER | Indemnification Agreement | ||
Guarantor Obligations [Line Items] | ||
Guarantor obligations, maximum exposure, undiscounted | 40,000,000 | |
CLECO POWER | Indemnification Agreement including fundamental organizational structure | ||
Guarantor Obligations [Line Items] | ||
Guarantor obligations, maximum exposure, undiscounted | 400,000,000 | |
Cleco Cajun | ||
Guarantor Obligations [Line Items] | ||
Indemnification assets, maximum environmental costs | 25,000,000 | |
Indemnification assets | 22,400,000 | |
Indemnification assets, current | 1,100,000 | |
Indemnification assets, noncurrent | $ 21,300,000 |
Litigation, Other Commitments_4
Litigation, Other Commitments and Contingencies, and Disclosures about Guarantees - Risks and Uncertainties (Details) - CLECO POWER - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Loss Contingencies [Line Items] | ||
Regulatory assets | $ 747,258 | $ 759,165 |
Dolet Hills | Station closure costs | ||
Loss Contingencies [Line Items] | ||
Regulatory assets | 145,978 | 145,844 |
Lignite Mine | Mine closure costs | ||
Loss Contingencies [Line Items] | ||
Regulatory assets | $ 135,877 | $ 136,980 |
Affiliate Transactions - Narrat
Affiliate Transactions - Narrative (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Related Party Transaction [Line Items] | ||
Accounts receivable - affiliate | $ 3,046 | $ 3,041 |
Accounts payable - affiliate | 11,295 | 51,297 |
CLECO POWER | ||
Related Party Transaction [Line Items] | ||
Accounts receivable - affiliate | 1,728 | 13,612 |
Accounts payable - affiliate | 19,549 | 69,729 |
CLECO POWER | Cleco Holdings | ||
Related Party Transaction [Line Items] | ||
Accounts receivable - affiliate | 141 | 10,347 |
Accounts payable - affiliate | 9,335 | 59,627 |
CLECO POWER | Cleco Holdings | Settlement of taxes payable | ||
Related Party Transaction [Line Items] | ||
Accounts payable - affiliate | 9,100 | 59,400 |
CLECO POWER | Affiliates | ||
Related Party Transaction [Line Items] | ||
Accounts receivable - affiliate | 666 | 2,473 |
Accounts payable - affiliate | $ 10,213 | $ 10,038 |
Affiliate Transactions - Summar
Affiliate Transactions - Summary of Balances Payable To or Due From Affiliates (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Related Party Transaction [Line Items] | ||
ACCOUNTS RECEIVABLE | $ 3,046 | $ 3,041 |
ACCOUNTS PAYABLE | 11,295 | 51,297 |
CLECO POWER | ||
Related Party Transaction [Line Items] | ||
ACCOUNTS RECEIVABLE | 1,728 | 13,612 |
ACCOUNTS PAYABLE | 19,549 | 69,729 |
CLECO POWER | Cleco Holdings | ||
Related Party Transaction [Line Items] | ||
ACCOUNTS RECEIVABLE | 141 | 10,347 |
ACCOUNTS PAYABLE | 9,335 | 59,627 |
CLECO POWER | Support Group | ||
Related Party Transaction [Line Items] | ||
ACCOUNTS RECEIVABLE | 666 | 2,473 |
ACCOUNTS PAYABLE | 10,213 | 10,038 |
CLECO POWER | Cleco Cajun | ||
Related Party Transaction [Line Items] | ||
ACCOUNTS RECEIVABLE | 921 | 792 |
ACCOUNTS PAYABLE | $ 1 | $ 64 |
Intangible Assets and Liabili_3
Intangible Assets and Liabilities - Narrative (Details) | 3 Months Ended |
Mar. 31, 2022USD ($) | |
Trade name | |
Finite-Lived Intangible Assets [Line Items] | |
Intangible assets, residual value | $ 0 |
Power supply agreements | Minimum | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-lived intangible asset, useful life | 7 years |
Power supply agreements | Maximum | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-lived intangible asset, useful life | 19 years |
Cleco Cajun | LTSA | |
Finite-Lived Intangible Assets [Line Items] | |
Intangible liabilities, remaining life | 7 years |
Cleco Cajun | Power supply agreements | |
Finite-Lived Intangible Assets [Line Items] | |
Intangible assets, residual value | $ 0 |
Cleco Cajun | Power supply agreements | Minimum | |
Finite-Lived Intangible Assets [Line Items] | |
Intangible assets, remaining life | 6 years |
Cleco Cajun | Power supply agreements | Maximum | |
Finite-Lived Intangible Assets [Line Items] | |
Intangible assets, remaining life | 8 years |
Intangible Assets and Liabili_4
Intangible Assets and Liabilities - Schedule of Amortization of Intangible Assets and Liabilities (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
LTSA | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization of intangible liabilities | $ 871 | $ 871 |
Power supply agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization of intangible liabilities | 389 | 882 |
Trade name | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization of intangible assets | 0 | 64 |
Power supply agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization of intangible assets | $ 6,400 | $ 6,400 |
Intangible Assets and Liabili_5
Intangible Assets and Liabilities - Schedule of Finite-Lived Intangible Assets and Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Finite-Lived Intangible Assets [Line Items] | ||
Total intangible assets carrying amount | $ 184,004 | $ 184,004 |
Total intangible liability carrying amount | 38,300 | 38,300 |
Net intangible assets carrying amount | 145,704 | 145,704 |
Accumulated amortization | (87,606) | (82,466) |
Net intangible assets subject to amortization | 58,098 | 63,238 |
LTSA | ||
Finite-Lived Intangible Assets [Line Items] | ||
Total intangible liability carrying amount | 24,100 | 24,100 |
Power supply agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Total intangible liability carrying amount | 14,200 | 14,200 |
Power supply agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Total intangible assets carrying amount | $ 184,004 | $ 184,004 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Balances, beginning of period | $ 2,954,156 | $ 2,757,023 |
Balances, end of period | 3,099,914 | 2,777,978 |
TOTAL AOCI | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Balances, beginning of period | (23,629) | (25,796) |
Balances, end of period | (23,615) | (25,168) |
POSTRETIREMENT BENEFIT NET LOSS | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Balances, beginning of period | (23,629) | (25,796) |
Amounts reclassified from AOCI | 14 | 628 |
Balances, end of period | (23,615) | (25,168) |
CLECO POWER | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Balances, beginning of period | 1,948,537 | 1,807,879 |
Balances, end of period | 1,987,930 | 1,826,826 |
CLECO POWER | TOTAL AOCI | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Balances, beginning of period | (18,183) | (24,753) |
Balances, end of period | (17,814) | (24,231) |
CLECO POWER | POSTRETIREMENT BENEFIT NET LOSS | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Balances, beginning of period | (12,885) | (19,139) |
Amounts reclassified from AOCI | 306 | 458 |
Balances, end of period | (12,579) | (18,681) |
CLECO POWER | NET LOSS ON CASH FLOW HEDGES | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Balances, beginning of period | (5,298) | (5,614) |
Amounts reclassified from AOCI | 63 | 64 |
Balances, end of period | $ (5,235) | $ (5,550) |
Storm Restoration, Securitiza_2
Storm Restoration, Securitization, and Cost Recovery (Details) $ in Thousands | May 19, 2021USD ($) | May 31, 2021 | Oct. 28, 2020hurricane | Mar. 31, 2022USD ($) | Jun. 30, 2022USD ($) | Mar. 24, 2022USD ($) | Dec. 31, 2021USD ($) | Sep. 28, 2021USD ($) | Aug. 05, 2021USD ($) | Mar. 29, 2021USD ($) |
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Securitized storm restoration costs | $ 424,100 | $ 342,000 | ||||||||
Securitized storm restoration costs, reserve for future costs | $ 100,000 | |||||||||
Term Loan | Subsequent event | Forecast | LPSC Storm Recovery Bonds | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Debt, face amount | $ 425,000 | |||||||||
Hurricanes | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Capitalization percentage | 63.00% | |||||||||
Capitalized storm restoration costs, interim storm recovery amount | $ 16,000 | |||||||||
Deferred storm restoration costs - Winter Storms Uri & Viola | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Capitalization percentage | 80.00% | |||||||||
Deferred storm restoration costs - Hurricane Ida | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Securitized storm restoration costs | 95,000 | |||||||||
Securitized storm restoration costs, reserve for future costs | $ 100,000 | |||||||||
Storm recovery, hurricanes Laura, Delta, and Zeta and winter storms Uri and Viola | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Securitized storm restoration costs | 220,100 | |||||||||
Storm recovery, reserve for future storm costs | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Securitized storm restoration costs | 100,000 | |||||||||
Storm recover, upfront securitization costs and ongoing costs | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Securitized storm restoration costs | $ 9,000 | |||||||||
CLECO POWER | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Regulatory assets | $ 747,258 | $ 759,165 | ||||||||
CLECO POWER | Hurricane Laura, Delta and Zeta | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Regulatory assets | 73,000 | |||||||||
CLECO POWER | Deferred storm restoration costs - Winter Storms Uri & Viola | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Regulatory assets | 1,912 | 1,912 | ||||||||
CLECO POWER | Deferred storm restoration costs - Hurricane Ida | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Regulatory assets | 37,841 | $ 37,617 | ||||||||
CLECO POWER | Hurricanes | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Number of hurricanes | hurricane | 3 | |||||||||
Estimate of storm restoration costs | 239,900 | |||||||||
Capitalized storm restoration costs | 150,400 | |||||||||
CLECO POWER | Deferred storm restoration costs - Winter Storms Uri & Viola | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Estimate of storm restoration costs | 10,100 | |||||||||
Capitalized storm restoration costs | 8,100 | $ 50,000 | ||||||||
Fuel and purchased power costs | 55,000 | |||||||||
Capitalized storm restoration costs, amortization period | 12 months | |||||||||
CLECO POWER | Deferred storm restoration costs - Hurricane Ida | ||||||||||
Unusual or Infrequent Item, or Both [Line Items] | ||||||||||
Estimate of storm restoration costs | $ 92,600 | |||||||||
Capitalization percentage | 57.00% | |||||||||
Capitalized storm restoration costs | $ 52,500 |