Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2016 | Aug. 01, 2016 | |
Entity Registrant Name | ONCOR ELECTRIC DELIVERY CO LLC | |
Entity Central Index Key | 1,193,311 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2016 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q2 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 0 | |
Oncor's Management and Board of Directors [Member] | ||
Entity Outstanding Membership Interests | 0.22% | |
Oncor Electric Delivery Holdings Company LLC [Member] | ||
Entity Outstanding Membership Interests | 80.03% | |
Texas Transmission [Member] | ||
Entity Outstanding Membership Interests | 19.75% |
Condensed Statements of Consoli
Condensed Statements of Consolidated Income - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Operating revenues: | ||||
Nonaffiliates | $ 732 | $ 714 | $ 1,455 | $ 1,424 |
Affiliates | 216 | 224 | 436 | 460 |
Total operating revenues | 948 | 938 | 1,891 | 1,884 |
Operating expenses: | ||||
Wholesale transmission service | 220 | 199 | 440 | 393 |
Operation and maintenance (Note 10) | 169 | 168 | 351 | 353 |
Depreciation and amortization | 193 | 220 | 403 | 437 |
Provision in lieu of income taxes (Note 10) | 63 | 57 | 112 | 115 |
Taxes other than amounts related to income taxes | 107 | 108 | 220 | 220 |
Total operating expenses | 752 | 752 | 1,526 | 1,518 |
Operating income | 196 | 186 | 365 | 366 |
Other income and (deductions) - net (Note 11) | (3) | (6) | (8) | (7) |
Nonoperating provision in lieu of income taxes | (1) | (2) | (2) | (2) |
Interest expense and related charges (Note 11) | 84 | 84 | 168 | 165 |
Net income | $ 110 | $ 98 | $ 191 | $ 196 |
Condensed Statements of Consol3
Condensed Statements of Consolidated Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Condensed Statements Of Consolidated Comprehensive Income [Abstract] | ||||
Net income | $ 110 | $ 98 | $ 191 | $ 196 |
Other comprehensive income (loss): | ||||
Cash flow hedges – derivative value net loss recognized in net income (net of tax expense of $–, $–, $– and $–) (Note 1) | 1 | 1 | 1 | 1 |
Defined benefit pension plans (net of tax benefit of $–, $–, $– and $–) (Note 9) | 1 | |||
Total other comprehensive income | 1 | 1 | 1 | 2 |
Comprehensive income | $ 111 | $ 99 | $ 192 | $ 198 |
Condensed Statements Of Consol4
Condensed Statements Of Consolidated Comprehensive Income (Parenthetical) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Condensed Statements Of Consolidated Comprehensive Income [Abstract] | ||||
Cash flow hedges - derivative value net loss recognized in net income, tax expense | ||||
Defined benefit pension plans- net tax benefit |
Condensed Statements Of Consol5
Condensed Statements Of Consolidated Cash Flows - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Cash flows - operating activities: | ||
Net income | $ 191 | $ 196 |
Adjustments to reconcile net income to cash provided by operating activities: | ||
Depreciation and amortization | 427 | 459 |
Provision in lieu of deferred income taxes - net | 83 | (46) |
Other - net | (2) | (1) |
Changes in operating assets and liabilities: | ||
Regulatory accounts related to reconcilable tariffs (Note 4) | (103) | (16) |
Other operating assets and liabilities | (124) | (18) |
Cash provided by operating activities | 472 | 574 |
Cash flows - financing activities: | ||
Issuances of long-term debt (Note 6) | 725 | |
Repayments of long-term debt (Note 6) | (41) | (569) |
Net increase in short-term borrowings (Note 5) | 293 | 69 |
Distributions to members (Note 8) | (121) | (165) |
Debt discount, premium, financing and reacquisition expenses - net | (12) | |
Cash provided by financing activities | 131 | 48 |
Cash flows - investing activities: | ||
Capital expenditures (Note 10) | (671) | (625) |
Other - net | 44 | 15 |
Cash used in investing activities | (627) | (610) |
Net change in cash and cash equivalents | (24) | 12 |
Cash and cash equivalents - beginning balance | 25 | 4 |
Cash and cash equivalents - ending balance | $ 1 | $ 16 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 | |
Current assets: | |||
Cash and cash equivalents | $ 1 | $ 25 | |
Restricted cash - Bondco (Note 11) | 0 | 38 | |
Trade accounts receivable from nonaffiliates - net (Note 11) | 407 | 388 | |
Trade accounts and other receivables from affiliates - net (Note 10) | 124 | 118 | |
Amounts receivable from members related to income taxes (Note 10) | 118 | 136 | |
Materials and supplies inventories - at average cost | 95 | 82 | |
Prepayments and other current assets | 98 | 89 | |
Total current assets | 843 | 876 | |
Investments and other property (Note 11) | 99 | 97 | |
Property, plant and equipment - net (Note 11) | 13,439 | 13,024 | |
Goodwill (Notes 11) | 4,064 | 4,064 | |
Regulatory assets - net (Note 4) | 1,184 | 1,194 | |
Other noncurrent assets | 44 | 32 | |
Total assets | 19,673 | 19,287 | |
Current liabilities: | |||
Short-term borrowings (Note 5) | 1,133 | 840 | |
Trade accounts payable (Note 10) | 213 | 150 | |
Amounts payable to members related to income taxes (Note 10) | 11 | 20 | |
Accrued taxes other than amounts related to income | 106 | 181 | |
Accrued interest | 82 | 82 | |
Other current liabilities | 117 | 144 | |
Total current liabilities | 1,662 | 1,458 | |
Long-term debt, less amounts due currently (Note 6) | [1] | 5,650 | 5,646 |
Liability in lieu of deferred income taxes (Note 10) | 2,693 | 2,612 | |
Employee benefit obligations and other (Note 10 and 11) | 2,089 | 2,063 | |
Total liabilities | 12,094 | 11,779 | |
Commitments and contingencies (Note 7) | |||
Membership interests (Note 8): | |||
Capital account — number of interests outstanding 2016 and 2015 - 635,000,000 | 7,691 | 7,621 | |
Accumulated other comprehensive loss | (112) | (113) | |
Total membership interests | 7,579 | 7,508 | |
Total liabilities and membership interests | $ 19,673 | 19,287 | |
Bondco [Member] | |||
Current liabilities: | |||
Long-term debt due currently (Note 6) | [2] | $ 41 | |
[1] | Secured by first priority lien on certain transmission and distribution assets equally and ratably with all of Oncor's other secured indebtedness. See "Deed of Trust" below for additional information. | ||
[2] | The transition bonds were nonrecourse to Oncor and were issued to securitize a regulatory asset. |
Condensed Consolidated Balance7
Condensed Consolidated Balance Sheets (Parenthetical) - shares | Jun. 30, 2016 | Dec. 31, 2015 |
Condensed Consolidated Balance Sheets [Abstract] | ||
Capital account, interests outstanding | 635,000,000 | 635,000,000 |
Business and Significant Accoun
Business and Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2016 | |
Business And Significant Accounting Policies [Abstract] | |
Business And Significant Accounting Policies | 1. BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES Description of Business References in this report to “we,” “our,” “us” and “the company” are to Oncor and/or Bondco, its subsidiary as apparent in the context. See “Glossary” for definition of terms and abbreviations. We are a regulated electricity transmission and distribution company principally engaged in providing delivery services to REPs, including subsidiaries of TCEH, that sell power in the north-central, eastern and western parts of Texas. Revenues from TCEH represented 23% and 24% of our total operating revenues for the six months ended June 30 , 2016 and 2015, respectively. We are a direct, majority-owned subsidiary of Oncor Holdings, which is a direct, wholly-owned subsidiary of EFIH, a direct, wholly-owned subsidiary of EFH Corp. EFH Corp. is a subsidiary of Texas Holdings, which is controlled by the Sponsor Group. Oncor Holdings owns 80.03% of our membership interests, Texas Transmission owns 19.75% of our membership interests and certain members of our management team and board of directors indirectly own the remaining membership interests through Investment LLC. We are managed as an integrated business; consequently, there are no separate reportable business segments. Our consolidated financial statements include our wholly-owned, bankruptcy-remote financing subsidiary, Bondco, a variable interest entity. This financing subsidiary was organized for the limited purpose of issuing certain transition bonds to recover generation-related regulatory asset stranded costs and other qualified costs under an order issued by the PUCT in 2002. Bondco issued an aggregate $1.3 billion principal amount of transition bonds during 2003 and 2004. The 2003 Series transition bonds matured and were paid in full in 2015 and the 2004 Series transition bonds matured and were paid in full in May 2016. Final true-up proceedings for the transition bonds are expected to be conducted by Oncor and the PUCT during 2016 and are expected to have minimal or no net income impact. Various “ring-fencing” measures have been taken to enhance the separateness between the Oncor Ring-Fenced Entities and the Texas Holdings Group and our credit quality. These measures serve to mitigate our and Oncor Holdings’ credit exposure to the Texas Holdings Group and to reduce the risk that our assets and liabilities or those of Oncor Holdings would be substantively consolidated with the assets and liabilities of the Texas Holdings Group in connection with a bankruptcy of one or more of those entities, including the EFH Bankruptcy Proceedings discussed below. Such measures include, among other things: our sale of a 19.75% equity interest to Texas Transmission in November 2008; maintenance of separate books and records for the Oncor Ring-Fenced Entities; our board of directors being comprised of a majority of independent directors; and prohibitions on the Oncor Ring-Fenced Entities providing credit support to, or receiving credit support from, any member of the Texas Holdings Group. The assets and liabilities of the Oncor Ring-Fenced Entities are separate and distinct from those of the Texas Holdings Group, including TXU Energy and Luminant, and none of the assets of the Oncor Ring-Fenced Entities are available to satisfy the debt or contractual obligations of any member of the Texas Holdings Group. We do not bear any liability for debt or contractual obligations of the Texas Holdings Group, and vice versa. Accordingly, our operations are conducted, and our cash flows are managed, independently from the Texas Holdings Group. EFH Corp. Bankruptcy Proceedings On the EFH Petition Date, the EFH Debtors commenced proceedings under Chapter 11 of the US Bankruptcy Code. The Oncor Ring-Fenced Entities are not parties to the EFH Bankruptcy Proceedings. We believe the “ring-fencing” measures discussed above mitigate our potential exposure to the EFH Bankruptcy Proceedings. See Note 2 for a discussion of the potential impacts of the EFH Bankruptcy Proceedings on our financial statements. Basis of Presentation These unaudited condensed financial statements should be read in conjunction with the audited financial statements and related notes included in the 2015 Form 10-K. In the opinion of Oncor management, all adjustments (consisting of normal recurring accruals) necessary for a fair presentation of the results of operations and financial position have been made. All intercompany items and transactions have been eliminated in consolidation. The results of operations for an interim period may not give a true indication of results for a full year due to seasonality. All dollar amounts in the financial statements and tables in the notes are stated in millions of US dollars unless otherwise indicated. Use of Estimates Preparation of our financial statements requires management to make estimates and assumptions about future events that affect the reporting of assets and liabilities at the balance sheet dates and the reported amounts of revenue and expense, including fair value measurements. In the event estimates and/or assumptions prove to be different from actual amounts, adjustments are made in subsequent periods to reflect more current information. Reconcilable Tariffs The PUCT has designated certain tariffs (TCRF, EECRF surcharges, AMS surcharges and charges related to transition bonds) as reconcilable, which means the differences between amounts billed under these tariffs and the related incurred costs are deferred as either regulatory assets or regulatory liabilities. Accordingly, at prescribed intervals, future tariffs are adjusted to either repay regulatory liabilities or collect regulatory assets. Contingencies We evaluate and account for contingencies using the best information available. A loss contingency is accrued and disclosed when it is probable that an asset has been impaired or a liability incurred and the amount of the loss can be reasonably estimated. If a range of probable loss is established, the minimum amount in the range is accrued, unless some other amount within the range appears to be a better estimate. If the probable loss cannot be reasonably estimated, no accrual is recorded, but the loss contingency is disclosed to the effect that the probable loss cannot be reasonably estimated. A loss contingency will be disclosed when it is reasonably possible that an asset has been impaired or a liability incurred. If the likelihood that an impairment or incurrence is remote, the contingency is neither accrued nor disclosed. Gain contingencies are recognized upon realization. Changes in Accounting Standards In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update 2016-2 (ASU 2016-2), Leases . The ASU amends previous US GAAP to require the balance sheet recognition of lease assets and liabilities for operating leases. Oncor will be required to adopt the ASU by January 1, 2019 and does not expect to early adopt. Retrospective application to the 2017 and 2018 comparative periods presented will be required in the year of adoption. We are currently evaluating the impact of this ASU on our financial statements. Since May 2014, the FASB has issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers along with other supplemental guidance (together, Topic 606). Topic 606 introduces new, increased requirements for disclosure of revenue in financial statements and guidance that are intended to eliminate inconsistencies in the recognition of revenue. O n cor will be required to adopt Topic 606 by January 1, 2018 and continues to evaluate the impact on its financial statements. At this time, the adoption is not expected to have a material effect on our reported results of operations, financial condition or cash flows. |
EFH Bankruptcy Proceedings
EFH Bankruptcy Proceedings | 6 Months Ended |
Jun. 30, 2016 | |
EFH Bankruptcy Proceedings [Abstract] | |
EFH BANKRUPTCY PROCEEDINGS | 2. EFH BANKRUPTCY PROCEEDINGS On the EFH Petition Date, EFH Corp. and the substantial majority of its direct and indirect subsidiaries that are members of the Texas Holdings Group, including EFIH, EFCH and TCEH, commenced proceedings under Chapter 11 of the US Bankruptcy Code. The Oncor Ring-Fenced Entities are not parties to the EFH Bankruptcy Proceedings. We believe the “ring-fencing” measures discussed above mitigate our potential exposure to the EFH Bankruptcy Proceedings. See Note 1 and below for further information regarding the EFH Bankruptcy Proceedings and the proposed change in control of our indirect majority owner in connection with such proceedings. The US Bankruptcy Code automatically enjoined, or stayed, us from judicial or administrative proceedings or filing of other actions against our affiliates or their property to recover, collect or secure our claims arising prior to the EFH Petition Date. Following the EFH Petition Date, EFH Corp. received approval from the bankruptcy court to pay or otherwise honor certain prepetition obligations generally designed to stabilize its operations. Included in the approval were the obligations owed to us representing our prepetition electricity delivery fees. As of the EFH Petition Date, we estimated that our receivables from the Texas Holdings Group totaled approximately $129 million. Since that time, we collected $128 million of the prepetition amount. We estimate any potential pre-tax loss resulting from the EFH Bankruptcy Proceedings to be immaterial. A provision for uncollectible accounts from affiliates has not been established as of June 30, 2016. The EFH Bankruptcy Proceedings continue to be a complex litigation matter and the full extent of potential impacts on us remain unknown. We will continue to evaluate our affiliate transactions and contingencies throughout the EFH Bankruptcy Proceedings to determine any risks and resulting impacts on our results of operations, financial statements and cash flows. See Note 10 for details of Oncor’s related-party transactions with members of the Texas Holdings Group. Potential Change in Indirect Ownership of Oncor As part of the EFH Bankruptcy Proceedings, the bankruptcy court confirmed the Debtors’ Sixth Amended Plan of Reorganization by order dated December 9, 2015. In general, among other things, the Sixth Amended Plan of Reorganization provided for a series of transactions to be effected pursuant to a merger and purchase agreement (Hunt Merger and Purchase Agreement) with an investor group consisting of certain unsecured creditors of TCEH and an affiliate of Hunt Consolidated, Inc. (Hunt), as well as certain other investors designated by Hunt (collectively, the Hunt Investor Group), that would have led to a significant change in the indirect equity ownership of Oncor. In addition, and in connection with the contemplated transactions referred to above, at the request of and with the consent of EFIH, Oncor and Oncor Holdings entered into a letter agreement with the Hunt Investor Group. The letter agreement set forth certain rights and obligations of the Oncor entities and the Hunt Investor Group to cooperate in the manner set forth therein with respect to initial steps to be taken in connection with the contemplated transactions. The Debtors and certain creditors entered into a Plan Support Agreement (as amended, Plan Support Agreement) that provided for, among other things, their respective obligations to act and/or support Plans of Reorganization. On May 1, 2016, certain first lien creditors of TCEH delivered a written notice (Plan Support Termination Notice) to the Debtors and the other parties to the Plan Support Agreement notifying such parties of the occurrence of a Plan Support Termination Event (as defined in the Plan Support Agreement). The delivery of the Plan Support Agreement Termination Notice caused the Sixth Amended Plan of Reorganization to become null and void. On May 1, 2016, following receipt of the Plan Support Termination Notice, EFH Corp. and EFIH delivered a written notice (Merger and Purchase Agreement Termination Notice) to the Hunt Investor Group notifying the Hunt Investor Group that EFH Corp. and EFIH terminated the Merger and Purchase Agreement. The termination of the Hunt Merger and Purchase Agreement also caused the automatic termination (without the necessity of further action) of (i) certain agreements defining the investment obligations of certain Hunt Investor Group members, and (ii) the letter agreement between Oncor and the Hunt Investor Group. Following the occurrence of the Plan Support Termination Event as described above, the Debtors filed a new joint Plan of Reorganization (New Plan of Reorganization) pursuant to Chapter 11 of the Bankruptcy Code and a related disclosure statement with the bankruptcy court on May 1, 2016. In connection with the Sixth Amended Plan of Reorganization, EFH Corp. took the position that, unless the Hunt Investor Group had otherwise acquired, or entered into a definitive agreement with Texas Transmission for the acquisition of the equity interest in Oncor held by Texas Transmission at the consummation of the transactions, certain of EFH Corp.’s rights contained in the Investor Rights Agreement (Investor Rights Agreement), dated November 2008 among Oncor and certain of its direct and indirect equity holders, including EFH Corp. and Texas Transmission, would require Texas Transmission to sell its equity interest in Oncor to the Hunt Investor Group. In this regard, in October 2015, EFH Corp. filed a complaint against Texas Transmission alleging breach of Texas Transmission’s obligations under the Investor Rights Agreement for failing to agree to sell its equity interest in Oncor and, if found to be a valid drag right and a valid IPO Conversion (as defined in the Investor Rights Agreement), to cooperate with an IPO Conversion. The Hunt Investor Group intervened in the pending litigation. On May 20, 2016, following the Plan Support Termination Notice, the b ankruptcy c ourt issued an order dismissing the action and related motions and retaining jurisdiction related to the interpretation and implementation of such order. We cannot predict the ultimate outcome of any subsequent litigation relating to the Investor Rights Agreement and the impact of such litigation , particularly in light of the transactions discussed below . The New Plan of Reorganization provides that the confirmation and effective date of the New Plan of Reorganization with respect to the TCEH Debtors may occur separate from, and independent of, the confirmation and effective date of the New Plan of Reorganization with respect to the EFH Debtors. The New Plan of Reorganization, subject to certain conditions and required regulatory approvals, provides for, among other things: · with respect to the TCEH Debtors, either ( a ) a tax-free spin-off from EFH Corp. (the Reorganized TCEH Spin-Off), including a transaction that will result in a partial step-up in the tax basis of certain TCEH assets distributed to a newly formed entity wholly owned by TCEH (Reorganized TCEH), or ( b ) a taxable transaction that results in the assets of the TCEH Debtors being distributed to a Reorganized TCEH (TCEH Transactions) , and · with respect to the EFH Debtors, the reorganization of EFH Corp. and EFIH (Reorganized EFH) either pursuant to (a) an equity investment (which may be from existing creditors or third-party investors) or (b) pursuant to a standalone plan of reorganization, in which creditors receive shares of common stock of Reorganized EFH. Solely as it pertains to the TCEH Debtors (and certain EFH Debtors that will become subsidiaries of Reorganized TCEH upon emergence of the TCEH Debtors from the Chapter 11 Cases (the Contributed EFH Debtors)), the disclosure statement has been approved by the bankruptcy court, and the confirmation hearing for the New Plan of Reorganization is scheduled to commence on August 17, 2016. There can be no assurance that the TCEH Debtors’ stakeholders will vote to accept the New Plan of Reorganization or that the bankruptcy court will confirm the New Plan of Reorganization. With respect to the EFH Debtors, no disclosure statement has been approved by the bankruptcy court and no date to confirm the New Plan of Reorganization has been scheduled . However, on July 29, 2016, (i) the EFH Debtors entered into a Plan Support Agreement (NEE Plan Support Agreement) with NextEra Energy, Inc. (NEE) to effect an agreed upon restructuring of the EFH Debtors pursuant to an amendment to the New Plan of Reorganization (Amended New Plan) and (ii) EFH Corp. and EFIH entered into an Agreement and Plan of Merger (NEE Merger Agreement) with NEE and EFH Merger Co., LLC (Merger Sub), a wholly-owned subsidiary of NEE. Pursuant to the NEE Merger Agreement, at the effective time of the Amended New Plan with respect to the EFH Debtors, EFH Corp. will merge with and into Merger Sub (NEE Merger) with Merger Sub surviving as a wholly owned subsidiary of NEE. The TCEH Transactions are not dependent on the consummation of the transactions contemplated by the NEE Plan Support Agreement and the NEE Merger Agreement and may occur separately from those transactions. We understand that the EFH Debtors will seek bankruptcy court approval of the NEE Plan Support Agreement. The NEE Merger Agreement includes various conditions precedent to consummation of the transactions contemplated thereby, including, among others, a condition that certain approvals and rulings be obtained, including from, among others, the PUCT and the IRS and a condition that the TCEH Transactions have occurred. NEE will not be required to consummate the NEE Merger if, among other items, the PUCT approval is obtained but with conditions, commitments or requirements that impose a Burdensome Condition (as defined in the NEE Merger Agreement). NEE’s and Merger Sub’s obligations under the NEE Merger Agreement are not subject to any financing condition. Prior to approval of the NEE Merger Agreement by the bankruptcy court, EFH and EFIH may continue to solicit acquisition proposals with respect to Reorganized EFH. In addition, following approval of the NEE Merger Agreement by the bankruptcy court and until confirmation of the Amended New Plan by the bankruptcy court, EFH and EFIH may continue or have discussions or negotiations with respect to acquisition proposals for Reorganized EFH (x) with persons that were in active negotiation at the time of approval of the NEE Merger Agreement by the bankruptcy court and (y) with persons that submit an unsolicited acquisition proposal that is, or is reasonably likely to lead to, a Superior Proposal (as defined in the NEE Merger Agreement). The NEE Merger Agreement may be terminated upon certain events, including, among other things: • by either party, if the NEE Merger is not consummated by March 26, 2017, subject to a 90 day extension under certain conditions; or • by EFH Corp. or EFIH, until the entry of the confirmation order of the Amended New Plan with respect to the EFH Debtors, if their respective board of directors or managers determines after consultation with its independent financial advisors and outside legal counsel, and based on advice of such counsel, that the failure to terminate the NEE Merger Agreement is inconsistent with its fiduciary duties; provided that a material breach of EFH Corp.’s or EFIH’s obligations under certain provisions of the NEE Merger Agreement has not provided the basis for such determination. Following approval of the NEE Merger Agreement by the bankruptcy court, if the NEE Merger Agreement is terminated for certain reasons set forth therein and an alternative transaction is consummated by EFH or EFIH in which neither NEE nor any of its affiliates obtains direct or indirect ownership of approximately 80% of Oncor, then EFH and EFIH will pay a termination fee of $275,000,000 to NEE. EFH Corp.’s and EFIH’s respective obligations under the NEE Merger Agreement are subject in all respects to the prior approval of the bankruptcy court. Under the terms of the NEE Plan Support Agreement, the EFH Debtors will seek bankruptcy court approval of the NEE Merger Agreement. The above description of the NEE Merger Agreement is qualified in its entirety by reference to the NEE Merger Agreement, which EFH Corp., EFIH and EFCH filed as Exhibit 10(b) to their Current Report on Form 8-K/A filed with the SEC on July 29, 2016. On July 28, 2016, EFIH requested, pursuant to the NEE Merger Agreement, that Oncor Holdings and Oncor enter into a letter agreement (NEE Letter Agreement) with NEE and Merger Sub. The NEE Letter Agreement would set forth certain rights and obligations of the Oncor Entities, NEE and Merger Sub to cooperate in the manner set forth therein with respect to initial steps to be taken in connection with the acquisition of Reorganized EFH (EFH Acquisition) and the other transactions described in the NEE Merger Agreement. The NEE Letter Agreement would not be intended to give NEE or Merger Sub, directly or indirectly, the right to control or direct the operations of any Oncor Entity prior to the receipt of all approvals required by the bankruptcy court, the PUCT and other governmental entities and the consummation of the EFH Acquisition and related transactions (if and when such transactions are consummated). In addition, Oncor Holdings and Oncor have not endorsed or approved any restructuring involving Oncor Holdings or Oncor or any other transaction proposed by NEE or Merger Sub involving Oncor Holdings or Oncor. Notwithstanding these pending transactions , we cannot predict the ultimate outcome of the EFH Bankruptcy Proceedings, including whether the transactions contemplated by any Plan of Reorganization , including the EFH Acquisition, will (or when they will) close. In this regard, we cannot predict how any reorganization of EFH Corp. and EFIH ultimately will impact Oncor or what form any change in indirect ownership of Oncor may take. Regulatory Matters Related to EFH Bankruptcy Proceedings In September 2015, Oncor and the Hunt Investor Group filed in PUCT Docket No. 45188 a joint application with the PUCT seeking certain regulatory approvals with respect to the transactions contemplated by the Sixth Amended Plan of Reorganization. On March 24, 2016, the PUCT issued an order conditionally approving the joint application. On April 18, 2016, the Hunt Investor Group and certain interveners in PUCT Docket No. 45188 filed motions for rehearing and on May 19, 2016, the PUCT denied such motions and the order became final. The Hunt Investor Group filed a petition with the Travis County District Court on June 17, 2016 seeking review of the order. We cannot predict the results of the review or the ultimate disposition of PUCT Docket No. 45188, particularly in the light of the termination of the Sixth Amended Plan of Reorganization and the other pending transactions discussed above. In connection with PUCT Docket No. 45188, certain cities that have retained original jurisdiction over electric utility rates passed resolutions directing Oncor to file rate review proceedings. For more information, see Note 3 – “City Rate Reviews”. The NEE Merger Agreement contemplates that Oncor, NEE and Merger Sub will file a joint application with the PUCT seeking certain regulatory approvals with respect to the transactions contemplated by the Amended New Plan, but that filing has not been made. Settlement Agreement In connection with the EFH Bankruptcy Proceedings, the EFH Debtors and various creditor parties entered into a settlement agreement (the Settlement Agreement) in August 2015 (as amended in September 2015) to compromise and settle, among other things (a) intercompany claims among the EFH Debtors, (b) claims and causes of actions against holders of first lien claims against TCEH and the agents under the TCEH Senior Secured Facilities, (c) claims and causes of action against holders of interests in EFH Corp. and certain related entities and (d) claims and causes of action against each of the EFH Debtors' current and former directors, the Sponsor Group, managers and officers and other related entities. The Settlement Agreement contemplates a release of such claims upon approval of the Settlement Agreement by the bankruptcy court, which approval was obtained in December 2015. The Settlement Agreement settles substantially all inter-debtor claims through the effective date of the Settlement Agreement. These settled claims include potentially contentious inter-debtor claims, including various potential avoidance actions and claims arising under numerous debt agreements, tax sharing agreements, and contested property transfers. The release provisions of the Settlement Agreement took effect immediately upon the entry of the bankruptcy court order approving the Settlement Agreement. In this regard, substantially all of the potential affiliate claims, derivative claims and other types of disputes among affiliates (including claims against Oncor) have been resolved by bankruptcy court order. Accordingly, we believe the Settlement Agreement resolves all affiliate claims against Oncor and its assets existing as of the effective date of the Settlement Agreement . |
Regulatory Matters
Regulatory Matters | 6 Months Ended |
Jun. 30, 2016 | |
Regulatory Matters [Abstract] | |
REGULATORY MATTERS | 3. REGULATORY MATTERS Change in Control Review In connection with the transactions contemplated by the Sixth Amended Plan of Reorganization filed in the EFH Bankruptcy Proceedings, in September 2015, Oncor and the Hunt Investor Group filed a joint report and application for regulatory approvals pursuant to PURA, which was conditionally approved on March 24, 2016. For additional information regarding the Sixth Amended Plan of Reorganization and application for regulatory approval, see Note 2 to Financial Statements and “City Rate Reviews” below. The NEE Merger Agreement contemplates that Oncor, NEE and Merger Sub will file a joint application with the PUCT seeking certain regulatory approvals pursuant to PURA with respect to the transactions contemplated by the Amended New Plan, but that filing has not been made. For additional information regarding the Amended New Plan and application for regulatory approval, see Note 2 to Financial Statements. City Rate Reviews Oncor has received resolutions passed by approximately 58 cities with original jurisdiction over electric utility rates directing Oncor to file rate review proceedings. The resolutions passed required Oncor to file a rate review with each city by September 1, 2016 based on a January 1, 2015 to December 31, 2015 test year, with the cities’ analysis of such rate review filing due on October 13, 2016, Oncor’s rebuttal due on November 10, 2016, and hearings before city councils to be held between November 15 – December 15, 2016. Final action by each city must be taken within 125 days from the rate review filing date, and Oncor has the right to appeal any city action to the PUCT. However, Oncor has subsequently been notified by counsel representing these cities that these rate review proceedings have been abated indefinitely, pending resolution of Oncor ownership issues. The notice provides that if and when the cities desire to proceed with a rate inquiry, cities will notify Oncor in writing and inform Oncor of a precise date of the rate case, which will be at least 120 days from receipt of the communication that lifts the abatement. 2008 Rate Review In August 2009, the PUCT issued a final order with respect to our June 2008 rate review filing with the PUCT and 204 cities based on a test year ended December 31, 2007 (PUCT Docket No. 35717), and new rates were implemented in September 2009. We and four other parties appealed various portions of the rate review final order to a state district court. In January 2011, the district court signed its judgment reversing the PUCT with respect to two issues: the PUCT’s disallowance of certain franchise fees and the PUCT’s decision that PURA no longer requires imposition of a rate discount for state colleges and universities. We filed an appeal with the Texas Third Court of Appeals (Austin Court of Appeals) in February 2011 with respect to the issues we appealed to the district court and did not prevail upon, as well as the district court’s decision to reverse the PUCT with respect to discounts for state colleges and universities. In early August 2014, the Austin Court of Appeals reversed the district court and affirmed the PUCT with respect to the PUCT’s disallowance of certain franchise fees and the PUCT’s decision that PURA no longer requires imposition of a rate discount for state colleges and universities. The Austin Court of Appeals also reversed the PUCT and district court’s rejection of a proposed consolidated tax savings adjustment arising out of EFH Corp.’s ability to offset our taxable income against losses from other investments and remanded the issue to the PUCT to determine the amount of the consolidated tax savings adjustment. In late August 2014, we filed a motion on rehearing with the Austin Court of Appeals with respect to certain appeal issues on which we were not successful, including the consolidated tax savings adjustment. In December 2014, the Austin Court of Appeals issued its opinion, clarifying that it was rendering judgment on the rate discount for state colleges and universities issue (affirming that PURA no longer requires imposition of the rate discount) rather than remanding it to the PUCT, and dismissing the motions for rehearing regarding the franchise fee issue and the consolidated tax savings adjustment. We filed a petition for review with the Texas Supreme Court in February 2015 . The Texas Supreme Court granted the petition for review and the date of oral arguments has been set for September 13, 2016. There is no deadline for the court to act. If our appeals efforts are unsuccessful and the proposed consolidated tax savings adjustment is implemented, we estimate that on remand, the impact on earnings of the consolidated tax savings adjustment’s value could range from zero , as originally determined by the PUCT in Docket 35717, to a $135 million loss (after tax) including interest. Interest accrues at the PUCT approved rate for over-collections, which is 0.18% for 2016. We do not believe that any of the other issues ruled upon by the Austin Court of Appeals would result in a material impact to our results of operations or financial condition. See Note 3 to Financial Statements in our 2015 Form 10-K for additional information regarding regulatory matters. |
Regulatory Assets and Liabiliti
Regulatory Assets and Liabilities | 6 Months Ended |
Jun. 30, 2016 | |
Regulatory Assets and Liabilities [Abstract] | |
REGULATORY ASSETS AND LIABILITIES | 4. REGULATORY ASSETS AND LIABILITIES Recognition of regulatory assets and liabilities and the amortization periods over which they are expected to be recovered or refunded through rate regulation reflect the decisions of the PUCT. Components of the regulatory assets and liabilities are provided in the table below. Amounts not earning a return through rate regulation are noted. Remaining Rate Recovery/Amortization Period at Carrying Amount At June 30, 2016 June 30, 2016 December 31, 2015 Regulatory assets: Generation-related regulatory assets securitized by transition bonds (a)(e) - $ - $ 31 Employee retirement costs 4 years 31 38 Employee retirement costs to be reviewed (b)(c) To be determined 308 291 Employee retirement liability (a)(c)(d) To be determined 826 853 Self-insurance reserve (primarily storm recovery costs) ― net 4 years 80 95 Self-insurance reserve to be reviewed ― net (b)(c) To be determined 357 332 Securities reacquisition costs (pre-industry restructure) 1 year 9 14 Securities reacquisition costs (post-industry restructure) ― net Lives of related debt 10 9 Recoverable amounts in lieu of deferred income taxes ― net Life of related asset or liability 8 12 Deferred conventional meter and metering facilities depreciation Largely 5 years 89 100 Deferred AMS costs To be determined 185 164 Energy efficiency performance bonus (a) 1 year 5 10 Under-recovered wholesale transmission service expense (a) 1 year 71 - Other regulatory assets Various 7 9 Total regulatory assets 1,986 1,958 Regulatory liabilities: Estimated net removal costs Lives of related assets 760 686 Investment tax credit and protected excess deferred taxes Various 12 14 Over-collection of transition bond charges (a)(e) < 1 year 10 29 Over-recovered wholesale transmission service expense (a) 1 year - 24 Energy efficiency programs (a) Not applicable 20 11 Total regulatory liabilities 802 764 Net regulatory asset $ 1,184 $ 1,194 ____________ (a) Not earning a return in the regulatory rate-setting process. (b) Costs incurred since the period covered under the last rate review. (c) Recovery is specifically authorized by statute or by the PUCT, subject to reasonableness review. (d) Represents unfunded liabilities recorded in accor dance with pension and OPEB accounting standards. (e) Bondco net regulatory liabilities at June 30, 2016 were zero (exclud es $10 million of over-collections related to transition bonds assumed by Oncor for final settlement). Bondco net regulatory assets of $10 million at December 31, 2015 consisted of $31 million included in generation-related regulatory assets net of the regulatory liability for over-collection of transition bond revenues of $21 million (excludes $8 million of over-collections related to transition bonds assumed by Oncor for final settlement). |
Borrowings Under Credit Facilit
Borrowings Under Credit Facilities | 6 Months Ended |
Jun. 30, 2016 | |
Borrowings Under Credit Facilities [Abstract] | |
BORROWINGS UNDER CREDIT FACILITIES | 5. BORROWINGS UNDER CREDIT FACILITIES At June 30, 2016, we had a $2.0 billion secured revolving credit facility to be used for working capital and general corporate purposes, issuances of letters of credit and support for any commercial paper issuances. The revolving credit facility expires in October 2017 . The terms of the revolving credit facility allow us to request an increase in our borrowing capacity of $100 million in the aggregate and/or a one -year extension, provided certain conditions are met, including lender approval. Borrowings under the revolving credit facility are classified as short-term on the balance sheet and are secured equally and ratably with all of our other secured indebtedness by a first priority lien on property we acquired or constructed for the transmission and distribution of electricity. The property is mortgaged under the Deed of Trust. At June 3 0 , 2016, we had outstanding borrowings under the revolving credit facility totaling $1.133 b illion with an interest rate of 1.59% and outstanding letters of credit totaling $7 million. At December 31, 2015, we had outstanding borrowings under the revolving credit facility totaling $840 million with an interest rate of 1.48% and outstanding letters of credit totaling $7 million. Borrowings under the revolving credit facility bear interest at per annum rates equal to, at our option, (i) LIBOR plus a spread ranging from 1.00% to 1.75% depending on credit ratings assigned to our senior secured non-credit enhanced long-term debt or (ii) an alternate base rate (the highest of (1) the prime rate of JPMorgan Chase, (2) the federal funds effective rate plus 0.50% , and (3) daily one-month LIBOR plus 1.00% ) plus a spread ranging from 0.00% to 0.75% depending on credit ratings assigned to our senior secured non-credit enhanced long-term debt. At June 30, 2016 , all outstanding borrowings bore interest at LIBOR plus 1.125% . Amounts borrowed under the revolving credit facility, once repaid, can be borrowed again from time to time. An unused commitment fee is payable quarterly in arrears and upon termination or commitment reduction at a rate equal to 0.100% to 0.275% (such spread depending on certain credit ratings assigned to our senior secured debt) of the daily unused commitments under the revolving credit facility. Letter of credit fees on the stated amount of letters of credit issued under the revolving credit facility are payable to the lenders quarterly in arrears and upon termination at a rate per annum equal to the spread over adjusted LIBOR. Customary fronting and administrative fees are also payable to letter of credit fronting banks. At June 30, 2016 , letters of credit bore interest at 1.325% , and a commitment fee (at a rate of 0.125% per annum) was payable on the unfunded commitments under the revolving credit facility, each based on our current credit ratings. Subject to the limitations describe d below, borrowing capacity available under the revolving credit facility at June 3 0 , 2016 and December 31, 2015 was $860 m illion and $1.153 billion, respectively. Generally, our indentures and revolving credit facility limit the incurrence of other secured indebtedness except for indebtedness secured equally and ratably with the indentures and revolving credit facility and certain permitted exceptions. As described further in Note 6, the Deed of Trust permits us to secure indeb tedness (including borrowings under our revolving credit facility) with the lien of the Deed of Trust. At June 30, 2016 , the available borrowing capacity of the revolving credit facility could be fully drawn. The revolving credit facility contains customary covenants for facilities of this type, restricting, subject to certain exceptions, us and our subsidiaries from, among other things: incurring additional liens; entering into mergers and consolidations; and sales of substantial assets. In addition, the revolving credit facility requires that we maintain a consolidated senior debt-to-capitalization ratio of no greater than 0.65 to 1.00 and observe certain customary reporting requirements and other affirmative covenants. For purposes of the ratio, debt is calculated as indebtedness defined in the revolving credit facility (principally, the sum of long-term debt, any capital leases, short-term debt and debt due currently in accordance with US GAAP). The debt calculation excludes transition bonds issued by Bondco, but includes the unamortized fair value discount related to Bondco. Capitalization is calculated as membership interests determined in accordance with US GAAP plus indebtedness described above. At June 30, 2016 , we were in compliance with this covenant and with all other covenants . |
Long-Term Debt
Long-Term Debt | 6 Months Ended |
Jun. 30, 2016 | |
Long-Term Debt [Abstract] | |
LONG-TERM DEBT | 6. LONG-TERM DEBT At June 30, 2016 and December 31, 2015 , our long-term debt consisted of the following: June 30, December 31, 2016 2015 Oncor (a): 5.000% Fixed Senior Notes due September 30, 2017 $ 324 $ 324 6.800% Fixed Senior Notes due September 1, 2018 550 550 2.150% Fixed Senior Notes due June 1, 2019 250 250 5.750% Fixed Senior Notes due September 30, 2020 126 126 4.100% Fixed Senior Notes due June 1, 2022 400 400 7.000% Fixed Debentures due September 1, 2022 800 800 2.950% Fixed Senior Notes due April 1, 2025 350 350 7.000% Fixed Senior Notes due May 1, 2032 500 500 7.250% Fixed Senior Notes due January 15, 2033 350 350 7.500% Fixed Senior Notes due September 1, 2038 300 300 5.250% Fixed Senior Notes due September 30, 2040 475 475 4.550% Fixed Senior Notes due December 1, 2041 400 400 5.300% Fixed Senior Notes due June 1, 2042 500 500 3.750% Fixed Senior Notes due April 1, 2045 375 375 Unamortized discount and debt issuance costs (50) (54) Less amount due currently - - Long-term debt, less amounts due currently — Oncor 5,650 5,646 Bondco (b): 5.290% Fixed Series 2004 Bonds due May 15, 2016 - 41 Total - 41 Less amount due currently - (41) Long-term debt, less amounts due currently — Bondco - - Total long-term debt, less amounts due currently $ 5,650 $ 5,646 __________ (a) Secured by first priority lien on certain transmission and distribution assets equally and ratably with all of Oncor’s other secured indebtedness. See “Deed of Trust” below for additional information. (b) The transition bonds were nonrecourse to Oncor and were issued to securitize a regulatory asset. Debt-Related Activity in 201 6 Rep ayments of long-term debt in the six months ended June 30, 2016 totaled $41 million, representing the final transition bond principal payment at the scheduled maturity date. Deed of Trust Our secured indebtedness, including the revolving credit facility described in Note 5, is secured equally and ratably by a first priority lien on property we acquired or constructed for the transmission and distribution of electricity. The property is mortgaged under the Deed of Trust. The Deed of Trust permits us to secure indebtedness (including borrowings under our revolving credit facility) with the lien of the Deed of Trust up to the aggregate of (i) the amount of available bond credits, and (ii) 85% of the lower of the fair value or cost of certain property additions that could be certified to the Deed of Trust collateral agent. At June 30, 2016 , the amount of available bond credits was $2.281 billion and the amount of future debt we could secure with property additions, subject to those property additions being certified to the Deed of Trust collateral agent, was $1.570 billion. Fair Value of Long-Term Debt At June 3 0 , 2016 and December 31, 2015, the estimated fair value of our long-term debt (including current maturities, if any) totaled $6.923 billion and $6.287 billion, respectively, and the carrying amount totaled $5.650 billion and $5.687 billion, respectively. The fair value is estimated using observable market data, representing Level 2 valuations under accounting standards related to the determination of fair value. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2016 | |
Commitments and Contingencies [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 7. COMMITMENTS AND CONTINGENCIES EFH Bankruptcy Proceedings On the EFH Petition Date, the EFH Debtors commenced the EFH Bankruptcy Proceedings . T he Oncor Ring-Fenced Entities are not parties to the EFH Bankruptcy Proceedings. See Notes 2 and 10 for a discussion of the potential impacts on us as a result of the EFH Bankruptcy Proceedings and our related-party transactions involving members of the Texas Holdings Group, respectively. Legal/Regulatory Proceedings We are involved in various legal and administrative proceedings in the normal course of business, the ultimate resolution of which, in the opinion of management, should not have a material effect upon our financial position, results of operations or cash flows. See Note 3 in this report and Note 8 to Financial Statements in our 2015 Form 10-K for additional information regarding our legal and regulatory proceedings. |
Membership Interests
Membership Interests | 6 Months Ended |
Jun. 30, 2016 | |
Membership Interests [Abstract] | |
MEMBERSHIP INTERESTS | 8. MEMBERSHIP INTERESTS Cash Distributions Distributions are limited by our required regulatory capital structure to be at or below the assumed debt-to-equity ratio established periodically by the PUCT for ratemaking purposes, which is currently set at 60% debt to 40% equity . At June 30, 2016, $98 million was available for distribution to our members as our regulatory capitalization ratio was 59.4% debt to 40.6% equity. The PUCT has the authority to determine what types of debt and equity are included in a utility’s debt-to-equity ratio. For purposes of this ratio, debt is calculated as long-term debt plus unamortized gains on reacquired debt less unamortized issuance expenses, premiums and losses on reacquired debt. The debt calculation excludes transition bonds issued by Bondco. Equity is calculated as membership interests determined in accordance with US GAAP, excluding the effects of purchase accounting (which included recording the initial goodwill and fair value adjustments and the subsequent related impairments and amortization). On July 27, 2016, our board of directors declared a cash distribution of an amount up to and including $68 million, to be paid to our members in August 2016 , with the exact amount to be determined by management in accordance with the regulatory capital structure limitation described above. During the six months ended June 30, 2016, our board of directors declared, and we paid, the following cash distributions to our members: Declaration Date Payment Date Amount April 27, 2016 May 11, 2016 $ 65 February 24, 2016 February 25, 2016 $ 56 Membership Interests The following table present s the changes to membership interests during the six months ended June 30, 2016 and 2015 : Capital Accounts Accumulated Other Comprehensive Income (Loss) Total Membership Interests Balance at December 31, 2015 $ 7,621 $ (113) $ 7,508 Net income 191 - 191 Distributions (121) - (121) Net effects of cash flow hedges (net of tax) - 1 1 Defined benefit pension plans (net of tax) - - - Balance at June 30, 2016 $ 7,691 $ (112) $ 7,579 Balance at December 31, 2014 $ 7,625 $ (107) $ 7,518 Net income 196 - 196 Distributions (165) - (165) Net effects of cash flow hedges (net of tax) - 1 1 Defined benefit pension plans (net of tax) - 1 1 Balance at June 30, 2015 $ 7,656 $ (105) $ 7,551 Accumulated Other Comprehensive Income (Loss) The following table present s the changes to accumulated other comprehensive income (loss) for the six months ended June 30 , 2016 and 2015: Cash Flow Hedges – Interest Rate Swap Defined Benefit Pension and OPEB Plans Accumulated Other Comprehensive Income (Loss) Balance at December 31, 2015 $ (22) $ (91) $ (113) Defined benefit pension plans (net of tax) - - - Amounts reclassified from accumulated other comprehensive income (loss) and reported in interest expense and related charges 1 - 1 Balance at June 30, 2016 $ (21) $ (91) $ (112) Balance at December 31, 2014 $ (24) $ (83) $ (107) Defined benefit pension plans (net of tax) - 1 1 Amounts reclassified from accumulated other comprehensive income (loss) and reported in interest expense and related charges 1 - 1 Balance at June 30, 2015 $ (23) $ (82) $ (105) |
Pension and Other Postretiremen
Pension and Other Postretirement Employee Benefits Plans | 6 Months Ended |
Jun. 30, 2016 | |
Pension And Other Postretirement Employee Benefits Plans [Abstract] | |
PENSION AND OTHER POSTRETIREMENT EMPLOYEE BENEFITS PLANS | 9. PENSION AND OTHER POSTRETIREMENT EMPLOYEE BENEFITS PLANS Pension Plans We sponsor the Oncor Retirement Plan and also have liabilities under the EFH Retirement Plan, both of which are qualified pension plans under Section 401(a) of the Internal Revenue Code of 1986, as amended, and are subject to the provisions of ERISA. Employees do not contribute to either plan. We also have a supplemental pension plan for certain employees whose retirement benefits cannot be fully earned under the qualified retirement plans. See Note 10 to Financial Statements in our 2015 Form 10-K for additional information regarding pension plans. Oncor OPEB Plan The Oncor OPEB Plan covers our eligible current and future retirees as well as certain eligible retirees of EFH Corp. whose employment included service with both Oncor (or a predecessor regulated electric business) and a non-regulated business of EFH Corp. EFH Corp. retain s its portion of the liability for retiree benefits related to those retirees. As we are not responsible for EFH Corp.’s portion of the Oncor OPEB Plan’s unfunded liability, that amount is not reported on our balance sheet. See Note 10 to Financial Statements in our 2015 Form 10-K for additional information. Pension and OPEB Costs Our net costs related to pension plans and the Oncor OPEB P lan for the three and six months ended June 30, 2016 and 2015 were comprised of the following: Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Components of net allocated pension costs: Service cost $ 6 $ 6 $ 12 $ 12 Interest cost 34 33 68 66 Expected return on assets (31) (29) (62) (58) Amortization of net loss 10 16 20 32 Net pension costs 19 26 38 52 Components of net OPEB costs: Service cost 2 2 4 4 Interest cost 12 11 24 22 Expected return on assets (2) (3) (4) (6) Amortization of prior service cost (5) (5) (10) (10) Amortization of net loss 8 8 17 16 Net OPEB costs 15 13 31 26 Total net pension and OPEB costs 34 39 69 78 Less amounts deferred principally as property or a regulatory asset (25) (28) (50) (56) Net amounts recognized as expense $ 9 $ 11 $ 19 $ 22 The discount rates reflected in net pension and OPEB costs in 201 6 are 4.28% , 4.57% and 4.60% for the Oncor Retirement Plan, the EFH Retirement Plan and the Oncor OPEB P lan, respectively. The expected return on pension and OPEB p lan assets reflected in the 201 6 cost amounts are 5.53% , 5.64% and 6.30% for the Oncor Retirement Plan, the EFH Retirement Plan and the Oncor OPEB P lan, respectively. Pension and OPEB Plans Cash Contributions We made cash contribution s to the pension plans and Oncor OPEB P lan of $2 million and $14 million, respectively, during the six months ended June 3 0 , 2016 . We expect to make additional cash contributions to the pension plans and Oncor OPEB Plan of $2 million and $17 million, respectively, during the remainder of 2016 . Our aggregate pension plans and Oncor OPEB Plan funding is expected to total approximately $479 million and $153 million, respectively, in the 2016 to 2020 period based on the latest actuarial projections. |
Related-Party Transactions
Related-Party Transactions | 6 Months Ended |
Jun. 30, 2016 | |
Related-Party Transactions [Abstract] | |
RELATED-PARTY TRANSACTIONS | 10. RELATED-PARTY TRANSACTIONS The following represent our significant related-party transactions. See Note 2 for additional information regarding related-party contingencies resulting from the EFH Bankruptcy Proceedings. · We record revenue from TCEH, principally for electricity delivery fees, which totaled $216 million and $224 million for the three months ended June 30, 2016 and 2015 , respectively , and $436 million and $460 million for the six months ended June 30, 2016 and 2015, respectively. The fees are based on rates regulated by the PUCT that apply to all REPs. These revenues included less than $1 million for each of the three- and six- month periods ended June 30, 2016 and 2015 pursuant to a transformer maintenance agreement with TCEH. Trade accounts and other receivables from EFH Corp. affiliates – net reported on our balance sheet, primarily consisting of trade receivables from TCEH related to these electricity delivery fees, are as follows: At June 30, At December 31, 2016 2015 Trade accounts and other receivables from affiliates $ 126 $ 120 Trade accounts and other payables to affiliates (2) (2) Trade accounts and other receivables from affiliates – net $ 124 $ 118 · EFH Corp. subsidiaries charge us for certain administrative services at cost. Our payments to EFH Corp. subsidiaries for administrative services, which are primarily reported in operation and maintenance expenses, tota led less than $1 m illion and $4 million for the three months ended June 30, 2016 and 2015 , respectively , an d less than $1 million and $9 million for the six months ended June 30, 2016 and 2015, respectively. We also charge each other for shared facilities at cost. Our payments to EFH Corp. for shared facilities totaled $1 mi llion for each of the three - month periods ended June 30, 2016 and 2015 and $2 million for each of the six-month periods ended June 30, 2016 and 2015 . Payments we received from EFH Corp. subsidiaries related to shared facilities totaled less than $1 m illion for each of the three - month periods ended June 30, 2016 and 2015 an d less than $1 million for each of the six-month periods ended June 30, 2016 and 2015. · We are not a member of EFH Corp.’s consolidated tax group, but EFH Corp.’s consolidated federal income tax return includes EFH Corp.’s portion of our results due to EFH Corp.’s equity ownership in us. Under the terms of a tax sharing agreement among us, Oncor Holdings, Texas Transmission, Investment LLC and EFH Corp., we are generally obligated to make payments to Texas Transmission, Investment LLC and EFH Corp., pro rata in accordance with their respective membership interests, in an aggregate amount that is substantially equal to the amount of federal income taxes that we would have been required to pay if we were filing our own corporate income tax return. For periods prior to the tax sharing agreement (entered into in October 2007 and amended and restated in November 2008), we are responsible for our share, if any, of redetermined tax liability for the EFH Corp. consolidated tax group. EFH Corp. also includes our results in its consolidated Texas margin tax payments, which are accounted for as income taxes and calculated as if we were filing our own return. See discussion in Note 1 to Financial Statements in our 2015 Form 10-K under “Income Taxes.” Under the “in lieu of” tax concept, all in lieu of tax assets and tax liabilities represent amounts that will eventually be settled with our members. In the unlikely event such amounts are not paid under the tax sharing agreement, it is probable that this regulatory liability will continue to be included in Oncor’s rate setting processes. Amounts payable to (receivable from) members related to income taxes under the tax sharing agreement and reported on our balance sheet consisted of the following: At June 30, 2016 At December 31, 2015 EFH Corp. Texas Transmission Total EFH Corp. Texas Transmission Total Federal income taxes receivable $ (95) $ (23) $ (118) $ (109) $ (27) $ (136) Texas margin taxes payable 11 - 11 20 - 20 Net payable (receivable) $ (84) $ (23) $ (107) $ (89) $ (27) $ (116) Cash payments made to members related to income taxes consisted of the following: Six Months Ended June 30, 2016 Six Months Ended June 30, 2015 EFH Corp. Texas Transmission Total EFH Corp. Texas Transmission Total Federal income taxes $ - $ - $ - $ - $ - $ - Texas margin taxes 18 - 18 22 - 22 Total payments (receipts) $ 18 $ - $ 18 $ 22 $ - $ 22 · Our PUCT-approved tariffs include requirements to assure adequate creditworthiness of any REP to support the REP’s obligation to collect transition bond-related charges on behalf of Bondco. Under these tariffs, as a result of TCEH’s credit rating being below investment grade, TCEH is required to post collateral support in an amount equal to estimated transition charges over specified time periods. Accordingly, TCEH had posted security in the amount of zero and $6 million for our benefit at June 30, 2016 and December 31, 2015 , respectively. · At June 30, 2016, Bondco had over-collected approximately $10 million of transition charges, which will be refunded to REPs upon PUC approval. An estimated $2 million of the over-collection will be refunded to TCEH. · Under Texas regulatory provisions, the trust fund for decommissioning TCEH’s Comanche Peak nuclear generation facility is funded by a delivery fee surcharge we collect from REPs and remit monthly to TCEH. Delivery fee surcharges total ed $4 million for each of the three - month period s ended June 3 0 , 2016 and 2015 and $8 million for each of the six-month periods ended June 30, 2016 and 2015. Our sole obligation with regard to nuclear decommissioning is as the collection agent of funds charged to ratepayers for nuclear decommissioning activities. If, at the time of decommissioning, actual decommissioning costs exceed available trust funds, we would not be obligated to pay any shortfalls but would be required to collect any rates approved by the PUCT to recover any additional decommissioning costs. Further, if there were to be a surplus when decommissioning is complete, such surplus would be returned to ratepayers under terms prescribed by the PUCT. · Related parties of the Sponsor Group have (1) sold, acquired or participated in the offerings of our debt or debt securities in open market transactions or through loan syndications, and (2) performed various financial advisory, dealer, commercial banking and investment banking services for us and certain of our affiliates for which they have received or will receive customary fees and expenses, and may from time to time in the future participate in any of the items in (1) and (2) above. Also, as of June 30, 2016, 16.6% of the equity in an existing vendor of the company is held by a member of the Sponsor Group. During 2016 and 2015, this vendor performed transmission and distribution system construction and maintenance services for us. Cash payments were made for such services to this vendor totaling $84 million dollars for the six months ended June 30, 2016 of which approximately $79 million was capitalized and $5 million recor ded to operation and maintenance expense. At June 30, 2016 we had outstanding trade payables to this vendor of $9 million. See Note 8 for information regarding distributions to members and Note 9 for information regarding our participation in the EFH Corp. pension plan and transactions with EFH Corp. involving employee benefit matters. |
Supplementary Financial Informa
Supplementary Financial Information | 6 Months Ended |
Jun. 30, 2016 | |
Supplementary Financial Information [Abstract] | |
SUPPLEMENTARY FINANCIAL INFORMATION | 11. SUPPLEMENTARY FINANCIAL INFORMATION Major Customers Revenues from TCEH represente d 23% and 24% of our total operating revenues for the three months ended June 30, 2016 and 2015 , respectively and 23% and 24% for the six months ended June 30, 2016 and 2015, respectively. Revenues from REP subsidiaries of NRG Energy, Inc., a nonaffiliated entity, collectively represented 14% and 15% of our total operating revenues for the three months ended June 30, 2016 and 2015 , respectively , and 15% and 16% of our total operating revenues for the six months ended June 30, 2016 and 2015, respectively. No other customer represented 10 % or more of our total operating revenues. Other Income and ( Deductions ) Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Accretion of fair value adjustment (discount) to regulatory assets due to purchase accounting $ - $ 1 $ 1 $ 4 Professional fees (4) (5) (8) (7) Non-recoverable pension and OPEB (Note 9) - (2) (1) (4) Other 1 - - - Total other income and (deductions) - net $ (3) $ (6) $ (8) $ (7) Interest Expense and Related Charges Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Interest expense $ 85 $ 85 $ 170 $ 167 Amortization of debt issuance costs and discounts 1 1 1 1 Allowance for funds used during construction – capitalized interest portion (2) (2) (3) (3) Total interest expense and related charges $ 84 $ 84 $ 168 $ 165 Restricted Cash Restricted cash at June 30, 2016 was zero as a result of the maturity and payment in full of the 2004 Series transition bonds in May 2016. Restricted cash reported on our balance sheet at December 31, 2015 relates to the transition bonds. Trade Accounts and Other Receivables Trade accounts and other receivables reported on our balance sheet consisted of the following: At June 30, At December 31, 2016 2015 Gross trade accounts and other receivables - net $ 534 $ 509 Trade accounts and other receivables from affiliates - net (124) (118) Allowance for uncollectible accounts (3) (3) Trade accounts receivable from nonaffiliates – net $ 407 $ 388 At June 30, 2016 and December 31, 2015 , REP subsidiaries of NRG Energy, Inc., a nonaffiliated entity, collectively represented approximately 14% and 13% of the nonaffiliated trade accounts receivable amount, respectively. Under a PUCT rule relating to the Certification of Retail Electric Providers, write-offs of uncollectible amounts owed by REPs are deferred as a regulatory asset. Due to commitments made to the PUCT in 2007, we are not allowed to recover bad debt expense, or certain other costs and expenses, from ratepayers in the event of a default or bankruptcy by an affiliate REP. Investments and Other Property Investments and other property reported on our balance sheet consisted of the following: At June 30, At December 31, 2016 2015 Assets related to employee benefit plans, including employee savings programs $ 96 $ 94 Land and other investments 3 3 Total investments and other property $ 99 $ 97 Property, Plant and Equipment Property, plant and equipment reported on our balance sheet consisted of the following: At June 30, At December 31, 2016 2015 Total assets in service $ 19,600 $ 19,072 Less accumulated depreciation 6,661 6,479 Net of accumulated depreciation 12,939 12,593 Construction work in progress 485 416 Held for future use 15 15 Property, plant and equipment – net $ 13,439 $ 13,024 Intangible Assets Intangible assets (other than goodwill) reported on our balance sheet consisted of the following: At June 30, 2016 At December 31, 2015 Gross Gross Carrying Accumulated Carrying Accumulated Amount Amortization Net Amount Amortization Net Identifiable intangible assets subject to amortization included in property, plant and equipment: Land easements $ 479 $ 93 $ 386 $ 467 $ 91 $ 376 Capitalized software 446 299 147 435 269 166 Total $ 925 $ 392 $ 533 $ 902 $ 360 $ 542 A ggregate amortization expense for intangible assets totaled $16 million for each of the three-month periods ended June 30, 2016 and 2015 and $32 million for each of the six-month periods ended June 30, 2016 and 2015. The estimated aggregate amortization expense for each of the next five fiscal years is as follows: Year Amortization Expense 2016 $ 61 2017 53 2018 47 2019 44 2020 43 At both June 30, 2016 and December 31, 2015 , goodwill totaling $ 4.1 billion was reported on our balance sheet. None of this goodwill is being deducted for tax purposes. Employee Benefit Obligations and Other Employee benefit obligations and other reported on our balance sheet consisted of the following: At June 30, At December 31, 2016 2015 Retirement plans and other employee benefits $ 2,003 $ 1,985 Uncertain tax positions (including accrued interest) 3 3 Investment tax credits 13 15 Other 70 60 Total employee benefit obligations and other $ 2,089 $ 2,063 Supplemental Cash Flow Information Six Months Ended June 30, 2016 2015 Cash payments (receipts) related to: Interest $ 167 $ 177 Capitalized interest (3) (3) Interest (net of amounts capitalized) $ 164 $ 174 Amount in lieu of income taxes (a): State 18 22 Total amount in lieu of income taxes $ 18 $ 22 Noncash construction expenditures (b) $ 99 $ 61 _____________ (a) See Note 10 for income tax related detail. (b) Represents end-of-period accruals. |
Business and Significant Acco19
Business and Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2016 | |
Business And Significant Accounting Policies [Abstract] | |
Description Of Business | Description of Business References in this report to “we,” “our,” “us” and “the company” are to Oncor and/or Bondco, its subsidiary as apparent in the context. See “Glossary” for definition of terms and abbreviations. We are a regulated electricity transmission and distribution company principally engaged in providing delivery services to REPs, including subsidiaries of TCEH, that sell power in the north-central, eastern and western parts of Texas. Revenues from TCEH represented 23% and 24% of our total operating revenues for the six months ended June 30 , 2016 and 2015, respectively. We are a direct, majority-owned subsidiary of Oncor Holdings, which is a direct, wholly-owned subsidiary of EFIH, a direct, wholly-owned subsidiary of EFH Corp. EFH Corp. is a subsidiary of Texas Holdings, which is controlled by the Sponsor Group. Oncor Holdings owns 80.03% of our membership interests, Texas Transmission owns 19.75% of our membership interests and certain members of our management team and board of directors indirectly own the remaining membership interests through Investment LLC. We are managed as an integrated business; consequently, there are no separate reportable business segments. Our consolidated financial statements include our wholly-owned, bankruptcy-remote financing subsidiary, Bondco, a variable interest entity. This financing subsidiary was organized for the limited purpose of issuing certain transition bonds to recover generation-related regulatory asset stranded costs and other qualified costs under an order issued by the PUCT in 2002. Bondco issued an aggregate $1.3 billion principal amount of transition bonds during 2003 and 2004. The 2003 Series transition bonds matured and were paid in full in 2015 and the 2004 Series transition bonds matured and were paid in full in May 2016. Final true-up proceedings for the transition bonds are expected to be conducted by Oncor and the PUCT during 2016 and are expected to have minimal or no net income impact. Various “ring-fencing” measures have been taken to enhance the separateness between the Oncor Ring-Fenced Entities and the Texas Holdings Group and our credit quality. These measures serve to mitigate our and Oncor Holdings’ credit exposure to the Texas Holdings Group and to reduce the risk that our assets and liabilities or those of Oncor Holdings would be substantively consolidated with the assets and liabilities of the Texas Holdings Group in connection with a bankruptcy of one or more of those entities, including the EFH Bankruptcy Proceedings discussed below. Such measures include, among other things: our sale of a 19.75% equity interest to Texas Transmission in November 2008; maintenance of separate books and records for the Oncor Ring-Fenced Entities; our board of directors being comprised of a majority of independent directors; and prohibitions on the Oncor Ring-Fenced Entities providing credit support to, or receiving credit support from, any member of the Texas Holdings Group. The assets and liabilities of the Oncor Ring-Fenced Entities are separate and distinct from those of the Texas Holdings Group, including TXU Energy and Luminant, and none of the assets of the Oncor Ring-Fenced Entities are available to satisfy the debt or contractual obligations of any member of the Texas Holdings Group. We do not bear any liability for debt or contractual obligations of the Texas Holdings Group, and vice versa. Accordingly, our operations are conducted, and our cash flows are managed, independently from the Texas Holdings Group. |
EFH Corp. Bankruptcy Proceedings | EFH Corp. Bankruptcy Proceedings On the EFH Petition Date, the EFH Debtors commenced proceedings under Chapter 11 of the US Bankruptcy Code. The Oncor Ring-Fenced Entities are not parties to the EFH Bankruptcy Proceedings. We believe the “ring-fencing” measures discussed above mitigate our potential exposure to the EFH Bankruptcy Proceedings. See Note 2 for a discussion of the potential impacts of the EFH Bankruptcy Proceedings on our financial statements. |
Basis Of Presentation | Basis of Presentation These unaudited condensed financial statements should be read in conjunction with the audited financial statements and related notes included in the 2015 Form 10-K. In the opinion of Oncor management, all adjustments (consisting of normal recurring accruals) necessary for a fair presentation of the results of operations and financial position have been made. All intercompany items and transactions have been eliminated in consolidation. The results of operations for an interim period may not give a true indication of results for a full year due to seasonality. All dollar amounts in the financial statements and tables in the notes are stated in millions of US dollars unless otherwise indicated. |
Use Of Estimates | Use of Estimates Preparation of our financial statements requires management to make estimates and assumptions about future events that affect the reporting of assets and liabilities at the balance sheet dates and the reported amounts of revenue and expense, including fair value measurements. In the event estimates and/or assumptions prove to be different from actual amounts, adjustments are made in subsequent periods to reflect more current information. |
Reconcilable Tariffs | Reconcilable Tariffs The PUCT has designated certain tariffs (TCRF, EECRF surcharges, AMS surcharges and charges related to transition bonds) as reconcilable, which means the differences between amounts billed under these tariffs and the related incurred costs are deferred as either regulatory assets or regulatory liabilities. Accordingly, at prescribed intervals, future tariffs are adjusted to either repay regulatory liabilities or collect regulatory assets. |
Contingencies | Contingencies We evaluate and account for contingencies using the best information available. A loss contingency is accrued and disclosed when it is probable that an asset has been impaired or a liability incurred and the amount of the loss can be reasonably estimated. If a range of probable loss is established, the minimum amount in the range is accrued, unless some other amount within the range appears to be a better estimate. If the probable loss cannot be reasonably estimated, no accrual is recorded, but the loss contingency is disclosed to the effect that the probable loss cannot be reasonably estimated. A loss contingency will be disclosed when it is reasonably possible that an asset has been impaired or a liability incurred. If the likelihood that an impairment or incurrence is remote, the contingency is neither accrued nor disclosed. Gain contingencies are recognized upon realization. |
Changes In Accounting Standards | Changes in Accounting Standards In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update 2016-2 (ASU 2016-2), Leases . The ASU amends previous US GAAP to require the balance sheet recognition of lease assets and liabilities for operating leases. Oncor will be required to adopt the ASU by January 1, 2019 and does not expect to early adopt. Retrospective application to the 2017 and 2018 comparative periods presented will be required in the year of adoption. We are currently evaluating the impact of this ASU on our financial statements. Since May 2014, the FASB has issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers along with other supplemental guidance (together, Topic 606). Topic 606 introduces new, increased requirements for disclosure of revenue in financial statements and guidance that are intended to eliminate inconsistencies in the recognition of revenue. O n cor will be required to adopt Topic 606 by January 1, 2018 and continues to evaluate the impact on its financial statements. At this time, the adoption is not expected to have a material effect on our reported results of operations, financial condition or cash flows. |
Regulatory Assets and Liabili20
Regulatory Assets and Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Regulatory Assets and Liabilities [Abstract] | |
Components Of Regulatory Assets And Liabilities | Remaining Rate Recovery/Amortization Period at Carrying Amount At June 30, 2016 June 30, 2016 December 31, 2015 Regulatory assets: Generation-related regulatory assets securitized by transition bonds (a)(e) - $ - $ 31 Employee retirement costs 4 years 31 38 Employee retirement costs to be reviewed (b)(c) To be determined 308 291 Employee retirement liability (a)(c)(d) To be determined 826 853 Self-insurance reserve (primarily storm recovery costs) ― net 4 years 80 95 Self-insurance reserve to be reviewed ― net (b)(c) To be determined 357 332 Securities reacquisition costs (pre-industry restructure) 1 year 9 14 Securities reacquisition costs (post-industry restructure) ― net Lives of related debt 10 9 Recoverable amounts in lieu of deferred income taxes ― net Life of related asset or liability 8 12 Deferred conventional meter and metering facilities depreciation Largely 5 years 89 100 Deferred AMS costs To be determined 185 164 Energy efficiency performance bonus (a) 1 year 5 10 Under-recovered wholesale transmission service expense (a) 1 year 71 - Other regulatory assets Various 7 9 Total regulatory assets 1,986 1,958 Regulatory liabilities: Estimated net removal costs Lives of related assets 760 686 Investment tax credit and protected excess deferred taxes Various 12 14 Over-collection of transition bond charges (a)(e) < 1 year 10 29 Over-recovered wholesale transmission service expense (a) 1 year - 24 Energy efficiency programs (a) Not applicable 20 11 Total regulatory liabilities 802 764 Net regulatory asset $ 1,184 $ 1,194 ____________ (a) Not earning a return in the regulatory rate-setting process. (b) Costs incurred since the period covered under the last rate review. (c) Recovery is specifically authorized by statute or by the PUCT, subject to reasonableness review. (d) Represents unfunded liabilities recorded in accor dance with pension and OPEB accounting standards. (e) Bondco net regulatory liabilities at June 30, 2016 were zero (exclud es $10 million of over-collections related to transition bonds assumed by Oncor for final settlement). Bondco net regulatory assets of $10 million at December 31, 2015 consisted of $31 million included in generation-related regulatory assets net of the regulatory liability for over-collection of transition bond revenues of $21 million (excludes $8 million of over-collections related to transition bonds assumed by Oncor for final settlement). |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Long-Term Debt [Abstract] | |
Schedule Of Long-Term Debt | June 30, December 31, 2016 2015 Oncor (a): 5.000% Fixed Senior Notes due September 30, 2017 $ 324 $ 324 6.800% Fixed Senior Notes due September 1, 2018 550 550 2.150% Fixed Senior Notes due June 1, 2019 250 250 5.750% Fixed Senior Notes due September 30, 2020 126 126 4.100% Fixed Senior Notes due June 1, 2022 400 400 7.000% Fixed Debentures due September 1, 2022 800 800 2.950% Fixed Senior Notes due April 1, 2025 350 350 7.000% Fixed Senior Notes due May 1, 2032 500 500 7.250% Fixed Senior Notes due January 15, 2033 350 350 7.500% Fixed Senior Notes due September 1, 2038 300 300 5.250% Fixed Senior Notes due September 30, 2040 475 475 4.550% Fixed Senior Notes due December 1, 2041 400 400 5.300% Fixed Senior Notes due June 1, 2042 500 500 3.750% Fixed Senior Notes due April 1, 2045 375 375 Unamortized discount and debt issuance costs (50) (54) Less amount due currently - - Long-term debt, less amounts due currently — Oncor 5,650 5,646 Bondco (b): 5.290% Fixed Series 2004 Bonds due May 15, 2016 - 41 Total - 41 Less amount due currently - (41) Long-term debt, less amounts due currently — Bondco - - Total long-term debt, less amounts due currently $ 5,650 $ 5,646 __________ (a) Secured by first priority lien on certain transmission and distribution assets equally and ratably with all of Oncor’s other secured indebtedness. See “Deed of Trust” below for additional information. (b) The transition bonds were nonrecourse to Oncor and were issued to securitize a regulatory asset. |
Membership Interests (Tables)
Membership Interests (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Membership Interests [Abstract] | |
Schedule Of Distributions Paid | Declaration Date Payment Date Amount April 27, 2016 May 11, 2016 $ 65 February 24, 2016 February 25, 2016 $ 56 |
Schedule Of Changes To Membership Interests | Capital Accounts Accumulated Other Comprehensive Income (Loss) Total Membership Interests Balance at December 31, 2015 $ 7,621 $ (113) $ 7,508 Net income 191 - 191 Distributions (121) - (121) Net effects of cash flow hedges (net of tax) - 1 1 Defined benefit pension plans (net of tax) - - - Balance at June 30, 2016 $ 7,691 $ (112) $ 7,579 Balance at December 31, 2014 $ 7,625 $ (107) $ 7,518 Net income 196 - 196 Distributions (165) - (165) Net effects of cash flow hedges (net of tax) - 1 1 Defined benefit pension plans (net of tax) - 1 1 Balance at June 30, 2015 $ 7,656 $ (105) $ 7,551 |
Schedule Of Changes To Accumulated Other Comprehensive Income (Loss) | Cash Flow Hedges – Interest Rate Swap Defined Benefit Pension and OPEB Plans Accumulated Other Comprehensive Income (Loss) Balance at December 31, 2015 $ (22) $ (91) $ (113) Defined benefit pension plans (net of tax) - - - Amounts reclassified from accumulated other comprehensive income (loss) and reported in interest expense and related charges 1 - 1 Balance at June 30, 2016 $ (21) $ (91) $ (112) Balance at December 31, 2014 $ (24) $ (83) $ (107) Defined benefit pension plans (net of tax) - 1 1 Amounts reclassified from accumulated other comprehensive income (loss) and reported in interest expense and related charges 1 - 1 Balance at June 30, 2015 $ (23) $ (82) $ (105) |
Pension and Other Postretirem23
Pension and Other Postretirement Employee Benefits Plans (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Pension And Other Postretirement Employee Benefits Plans [Abstract] | |
Schedule Of Pension And OPEB Plan Costs | Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Components of net allocated pension costs: Service cost $ 6 $ 6 $ 12 $ 12 Interest cost 34 33 68 66 Expected return on assets (31) (29) (62) (58) Amortization of net loss 10 16 20 32 Net pension costs 19 26 38 52 Components of net OPEB costs: Service cost 2 2 4 4 Interest cost 12 11 24 22 Expected return on assets (2) (3) (4) (6) Amortization of prior service cost (5) (5) (10) (10) Amortization of net loss 8 8 17 16 Net OPEB costs 15 13 31 26 Total net pension and OPEB costs 34 39 69 78 Less amounts deferred principally as property or a regulatory asset (25) (28) (50) (56) Net amounts recognized as expense $ 9 $ 11 $ 19 $ 22 |
Related-Party Transactions (Tab
Related-Party Transactions (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Related-Party Transactions [Abstract] | |
Schedule Of Trade Accounts And Other Receivables From Related Parties | At June 30, At December 31, 2016 2015 Trade accounts and other receivables from affiliates $ 126 $ 120 Trade accounts and other payables to affiliates (2) (2) Trade accounts and other receivables from affiliates – net $ 124 $ 118 |
Schedule Of Related Party Transactions | Amounts payable to (receivable from) members related to income taxes under the tax sharing agreement and reported on our balance sheet consisted of the following: At June 30, 2016 At December 31, 2015 EFH Corp. Texas Transmission Total EFH Corp. Texas Transmission Total Federal income taxes receivable $ (95) $ (23) $ (118) $ (109) $ (27) $ (136) Texas margin taxes payable 11 - 11 20 - 20 Net payable (receivable) $ (84) $ (23) $ (107) $ (89) $ (27) $ (116) Cash payments made to members related to income taxes consisted of the following: Six Months Ended June 30, 2016 Six Months Ended June 30, 2015 EFH Corp. Texas Transmission Total EFH Corp. Texas Transmission Total Federal income taxes $ - $ - $ - $ - $ - $ - Texas margin taxes 18 - 18 22 - 22 Total payments (receipts) $ 18 $ - $ 18 $ 22 $ - $ 22 |
Supplementary Financial Infor25
Supplementary Financial Information (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Supplementary Financial Information [Abstract] | |
Schedule Of Other Income And (Deductions) | Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Accretion of fair value adjustment (discount) to regulatory assets due to purchase accounting $ - $ 1 $ 1 $ 4 Professional fees (4) (5) (8) (7) Non-recoverable pension and OPEB (Note 9) - (2) (1) (4) Other 1 - - - Total other income and (deductions) - net $ (3) $ (6) $ (8) $ (7) |
Schedule Of Interest Expense And Related Charges | Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Interest expense $ 85 $ 85 $ 170 $ 167 Amortization of debt issuance costs and discounts 1 1 1 1 Allowance for funds used during construction – capitalized interest portion (2) (2) (3) (3) Total interest expense and related charges $ 84 $ 84 $ 168 $ 165 |
Schedule Of Trade Accounts And Other Receivables | At June 30, At December 31, 2016 2015 Gross trade accounts and other receivables - net $ 534 $ 509 Trade accounts and other receivables from affiliates - net (124) (118) Allowance for uncollectible accounts (3) (3) Trade accounts receivable from nonaffiliates – net $ 407 $ 388 |
Summary of Investments And Other Property | At June 30, At December 31, 2016 2015 Assets related to employee benefit plans, including employee savings programs $ 96 $ 94 Land and other investments 3 3 Total investments and other property $ 99 $ 97 |
Schedule Of Property, Plant And Equipment | At June 30, At December 31, 2016 2015 Total assets in service $ 19,600 $ 19,072 Less accumulated depreciation 6,661 6,479 Net of accumulated depreciation 12,939 12,593 Construction work in progress 485 416 Held for future use 15 15 Property, plant and equipment – net $ 13,439 $ 13,024 |
Schedule Of Intangible Assets | At June 30, 2016 At December 31, 2015 Gross Gross Carrying Accumulated Carrying Accumulated Amount Amortization Net Amount Amortization Net Identifiable intangible assets subject to amortization included in property, plant and equipment: Land easements $ 479 $ 93 $ 386 $ 467 $ 91 $ 376 Capitalized software 446 299 147 435 269 166 Total $ 925 $ 392 $ 533 $ 902 $ 360 $ 542 |
Schedule Of Estimated Aggregate Amortization Expenses | Year Amortization Expense 2016 $ 61 2017 53 2018 47 2019 44 2020 43 |
Schedule Of Employee Benefit Obligations And Other | At June 30, At December 31, 2016 2015 Retirement plans and other employee benefits $ 2,003 $ 1,985 Uncertain tax positions (including accrued interest) 3 3 Investment tax credits 13 15 Other 70 60 Total employee benefit obligations and other $ 2,089 $ 2,063 |
Schedule Of Supplemental Cash Flow Information | Six Months Ended June 30, 2016 2015 Cash payments (receipts) related to: Interest $ 167 $ 177 Capitalized interest (3) (3) Interest (net of amounts capitalized) $ 164 $ 174 Amount in lieu of income taxes (a): State 18 22 Total amount in lieu of income taxes $ 18 $ 22 Noncash construction expenditures (b) $ 99 $ 61 _____________ (a) See Note 10 for income tax related detail. (b) Represents end-of-period accruals. |
Business And Significant Acco26
Business And Significant Accounting Policies (Details) $ in Billions | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||
Nov. 30, 2008 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016entity | Jun. 30, 2015 | Dec. 31, 2004USD ($) | Dec. 31, 2003USD ($) | |
Business And Significant Accounting Polices [Line Items] | |||||||
Number of entities that would possibly be bankrupt | entity | 1 | ||||||
Principal amount of transition bonds issued | $ | $ 1.3 | $ 1.3 | |||||
Percentage of equity interest sold in the event of bankruptcy | 19.75% | ||||||
Oncor Holdings [Member] | |||||||
Business And Significant Accounting Polices [Line Items] | |||||||
Ownership | 80.03% | 80.03% | |||||
Texas Transmission [Member] | |||||||
Business And Significant Accounting Polices [Line Items] | |||||||
Percentage of membership interest owned by non-controlling owners | 19.75% | 19.75% | |||||
Sales [Member] | TCEH [Member] | |||||||
Business And Significant Accounting Polices [Line Items] | |||||||
Concentration Risk Percentage | 23.00% | 24.00% | 23.00% | 24.00% |
EFH Bankruptcy Proceedings (Det
EFH Bankruptcy Proceedings (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2016 | Apr. 28, 2014 | |
Bankruptcy [Line Items] | ||
Amount receivable from related party | $ 129 | |
Amount collected from related party | $ 128 | |
EFH Corp [Member] | NEE Merger Agreement [Member] | ||
Bankruptcy [Line Items] | ||
Agreement extension period | 90 days | |
Percent of outstanding equity interests required | 80.00% | |
Termination fee | $ 275 |
Regulatory Matters (Details)
Regulatory Matters (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2016USD ($)item | |
Number of original jurisdiction cities | 204 |
Number of other parties appealed various portions of rate review final order to state district court | 4 |
Number of issues revised judgment | 2 |
Rate at which interest accrues for over-collections | 0.18% |
Maximum [Member] | |
Estimated impact on earnings | $ | $ 135 |
Minimum [Member] | |
Estimated impact on earnings | $ | $ 0 |
Regulatory Assets And Liabili29
Regulatory Assets And Liabilities (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2016 | Dec. 31, 2015 | ||
Regulatory Assets And Liabilities [Line Items] | |||
Carrying Amount, Regulatory Assets | $ 1,986 | $ 1,958 | |
Carrying Amount, Regulatory Liabilities | 802 | 764 | |
Net regulatory asset | 1,184 | 1,194 | |
Bondco [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Carrying Amount, Regulatory Liabilities | $ 0 | ||
Net regulatory asset | 10 | ||
Estimated Net Removal Costs [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | Lives of related assets | ||
Carrying Amount, Regulatory Liabilities | $ 760 | 686 | |
Investment Tax Credit and Protected Excess Deferred Taxes [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | Various | ||
Carrying Amount, Regulatory Liabilities | $ 12 | 14 | |
Over-Collection Of Transition Bond Charges [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | [1],[2] | < 1 year | |
Carrying Amount, Regulatory Liabilities | [1],[2] | $ 10 | 29 |
Over-Collection Of Transition Bond Charges [Member] | Bondco [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Carrying Amount, Regulatory Liabilities | $ 10 | 21 | |
Over-Recovered Wholesale Transmission Service Expense - Net [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | [2] | 1 year | |
Carrying Amount, Regulatory Liabilities | [2] | 24 | |
Energy Efficiency Programs [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | [2] | Not applicable | |
Carrying Amount, Regulatory Liabilities | [2] | $ 20 | 11 |
Excluded Over-Collected Series 2003-1 Transition Bond Revenues [Member] | Bondco [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Net regulatory asset | 8 | ||
Generation Related Regulatory Assets Securitized by Transition Bonds [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | [1],[2] | - | |
Carrying Amount, Regulatory Assets | [1],[2] | 31 | |
Generation Related Regulatory Assets Securitized by Transition Bonds [Member] | Bondco [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Carrying Amount, Regulatory Assets | 31 | ||
Employee Retirement Costs [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | 4 years | ||
Carrying Amount, Regulatory Assets | $ 31 | 38 | |
Employee Retirement Costs To Be Reviewed [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | [3],[4] | To be determined | |
Carrying Amount, Regulatory Assets | [3],[4] | $ 308 | 291 |
Employee Retirement Liability [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | [2],[4],[5] | To be determined | |
Carrying Amount, Regulatory Assets | [2],[4],[5] | $ 826 | 853 |
Self Insurance Reserve (Primarily Storm Recovery Costs) - Net [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | 4 years | ||
Carrying Amount, Regulatory Assets | $ 80 | 95 | |
Self Insurance Reserve to be Reviewed [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | [3],[4] | To be determined | |
Carrying Amount, Regulatory Assets | [3],[4] | $ 357 | 332 |
Securities Reacquisition Costs (Pre-Industry Restructure) [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | 1 year | ||
Carrying Amount, Regulatory Assets | $ 9 | 14 | |
Securities Reacquisition Costs (Post-Industry Restructure) - Net [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | Lives of related debt | ||
Carrying Amount, Regulatory Assets | $ 10 | 9 | |
Recoverable Amounts In Lieu Of Deferred Income Taxes - Net [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | Life of related asset or liability | ||
Carrying Amount, Regulatory Assets | $ 8 | 12 | |
Deferred Conventional Meter And Metering Facilities Depreciation [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | Largely 5 years | ||
Carrying Amount, Regulatory Assets | $ 89 | 100 | |
Deferred AMS Costs [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | To be determined | ||
Carrying Amount, Regulatory Assets | $ 185 | 164 | |
Energy Efficiency Performance Bonus [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | [2] | 1 year | |
Carrying Amount, Regulatory Assets | [2] | $ 5 | 10 |
Under-Recovered Wholesale Transmission Service Expense - Net [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | [2] | 1 year | |
Carrying Amount, Regulatory Assets | [2] | $ 71 | |
Other Regulatory Assets [Member] | |||
Regulatory Assets And Liabilities [Line Items] | |||
Remaining Rate Recovery/Amortization Period | Various | ||
Carrying Amount, Regulatory Assets | $ 7 | $ 9 | |
[1] | Bondco net regulatory liabilities at June 30, 2016 were zero (excludes $10 million of over-collections related to transition bonds assumed by Oncor for final settlement). Bondco net regulatory assets of $10 million at December 31, 2015 consisted of $31 million included in generation-related regulatory assets net of the regulatory liability for over-collection of transition bond revenues of $21 million (excludes $8 million of over-collections related to transition bonds assumed by Oncor for final settlement). | ||
[2] | Not earning a return in the regulatory rate-setting process. | ||
[3] | Costs incurred since the period covered under the last rate review. | ||
[4] | Recovery is specifically authorized by statute or by the PUCT, subject to reasonableness review. | ||
[5] | Represents unfunded liabilities recorded in accordance with pension and OPEB accounting standards. |
Borrowings Under Credit Facil30
Borrowings Under Credit Facilities (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2016 | Dec. 31, 2015 | |
Line of Credit Facility [Line Items] | ||
Outstanding borrowing under the revolving credit facility | $ 1,133 | $ 840 |
Outstanding borrowing, interest rate | 1.59% | 1.48% |
Letters of credit | $ 7 | $ 7 |
Commitment fee | 0.125% | |
Borrowing capacity available under the credit facility | $ 860 | $ 1,153 |
Maximum [Member] | ||
Line of Credit Facility [Line Items] | ||
Commitment rate reduction under the revolving credit facility | 0.275% | |
Debt-to-capitalization ratio | 1 | |
Minimum [Member] | ||
Line of Credit Facility [Line Items] | ||
Commitment rate reduction under the revolving credit facility | 0.10% | |
Debt-to-capitalization ratio | 0.65 | |
Letter of Credit [Member] | ||
Line of Credit Facility [Line Items] | ||
Outstanding borrowing, interest rate | 1.325% | |
Revolving Credit Facility [Member] | ||
Line of Credit Facility [Line Items] | ||
Maximum borrowing capacity | $ 2,000 | |
Expiration of revolving credit facility | Oct. 1, 2017 | |
Extension period for revolving line of credit | 1 year | |
Additional increase in borrowing capacity amount | $ 100 | |
London Interbank Offered Rate (LIBOR) [Member] | ||
Line of Credit Facility [Line Items] | ||
Spread over variable rate | 1.125% | |
London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | ||
Line of Credit Facility [Line Items] | ||
Spread over variable rate | 1.75% | |
London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | ||
Line of Credit Facility [Line Items] | ||
Spread over variable rate | 1.00% | |
Federal Funds Effective Rate [Member] | ||
Line of Credit Facility [Line Items] | ||
Spread over variable rate | 0.50% | |
One-Month London Interbank Offered Rate [Member] | ||
Line of Credit Facility [Line Items] | ||
Spread over variable rate | 1.00% | |
One-Month London Interbank Offered Rate [Member] | Maximum [Member] | ||
Line of Credit Facility [Line Items] | ||
Spread over variable rate | 0.75% | |
One-Month London Interbank Offered Rate [Member] | Minimum [Member] | ||
Line of Credit Facility [Line Items] | ||
Spread over variable rate | 0.00% |
Long-Term Debt (Narrative) (Det
Long-Term Debt (Narrative) (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Long-Term Debt [Line Items] | |||
Repayments of long-term debt | $ 41 | $ 569 | |
Percentage of fair value of cost of property additions certified to the Deed of Trust collateral agent | 85.00% | ||
Available bond credits | $ 2,281 | ||
Future debt subject to property additions to the Deed of Trust | 1,570 | ||
Estimated fair value of our long-term debt including current maturities | 6,923 | $ 6,287 | |
Carrying amount | 5,650 | $ 5,687 | |
Transition Bond [Member] | |||
Long-Term Debt [Line Items] | |||
Repayments of long-term debt | $ 41 |
Long-Term Debt (Schedule Of Lon
Long-Term Debt (Schedule Of Long-Term Debt) (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2016 | Dec. 31, 2015 | ||
Debt Instrument [Line Items] | |||
Unamortized discount and debt issuance costs | [1] | $ (50) | $ (54) |
Total long-term debt, less amounts due currently | [1] | 5,650 | 5,646 |
5.000% Fixed Senior Notes Due September 30, 2017 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 324 | $ 324 |
Interest percentage | 5.00% | 5.00% | |
Due date | Sep. 30, 2017 | Sep. 30, 2017 | |
6.800% Fixed Senior Notes Due September 1, 2018 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 550 | $ 550 |
Interest percentage | 6.80% | 6.80% | |
Due date | Sep. 1, 2018 | Sep. 1, 2018 | |
2.150% Fixed Senior Notes Due June 1, 2019 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 250 | $ 250 |
Interest percentage | 2.15% | 2.15% | |
Due date | Jun. 1, 2019 | Jun. 1, 2019 | |
5.750% Fixed Senior Notes Due September 30, 2020 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 126 | $ 126 |
Interest percentage | 5.75% | 5.75% | |
Due date | Sep. 30, 2020 | Sep. 30, 2020 | |
4.100% Fixed Senior Notes Due June 1, 2022 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 400 | $ 400 |
Interest percentage | 4.10% | 4.10% | |
Due date | Jun. 1, 2022 | Jun. 1, 2022 | |
7.000% Fixed Debentures Due September 1, 2022 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 800 | $ 800 |
Interest percentage | 7.00% | 7.00% | |
Due date | Sep. 1, 2022 | Sep. 1, 2022 | |
2.950% Fixed Senior Notes due April 1, 2025 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 350 | $ 350 |
Interest percentage | 2.95% | 2.95% | |
Due date | Apr. 1, 2025 | Apr. 1, 2025 | |
7.000% Fixed Senior Notes Due May 1, 2032 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 500 | $ 500 |
Interest percentage | 7.00% | 7.00% | |
Due date | May 1, 2032 | May 1, 2032 | |
7.250% Fixed Senior Notes Due January 15, 2033 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 350 | $ 350 |
Interest percentage | 7.25% | 7.25% | |
Due date | Jan. 15, 2033 | Jan. 15, 2033 | |
7.500% Fixed Senior Notes Due September 1, 2038 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 300 | $ 300 |
Interest percentage | 7.50% | 7.50% | |
Due date | Sep. 1, 2038 | Sep. 1, 2038 | |
5.250% Fixed Senior Notes Due September 30, 2040 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 475 | $ 475 |
Interest percentage | 5.25% | 5.25% | |
Due date | Sep. 30, 2040 | Sep. 30, 2040 | |
4.550% Fixed Senior Notes Due December 1, 2041 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 400 | $ 400 |
Interest percentage | 4.55% | 4.55% | |
Due date | Dec. 1, 2041 | Dec. 1, 2041 | |
5.300% Fixed Senior Notes Due June 1, 2042 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 500 | $ 500 |
Interest percentage | 5.30% | 5.30% | |
Due date | Jun. 1, 2042 | Jun. 1, 2042 | |
3.750% Fixed Senior Notes due April 1, 2045 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [1] | $ 375 | $ 375 |
Interest percentage | 3.75% | 3.75% | |
Due date | Apr. 1, 2045 | Apr. 1, 2045 | |
Bondco [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [2] | $ 41 | |
Less amount due currently | [2] | (41) | |
Bondco [Member] | 5.290% Fixed Series 2004 Bonds Due May 15, 2016 [Member] | |||
Debt Instrument [Line Items] | |||
Fixed Senior Note | [2] | $ 41 | |
Interest percentage | 5.29% | 5.29% | |
Due date | May 15, 2016 | May 15, 2016 | |
[1] | Secured by first priority lien on certain transmission and distribution assets equally and ratably with all of Oncor's other secured indebtedness. See "Deed of Trust" below for additional information. | ||
[2] | The transition bonds were nonrecourse to Oncor and were issued to securitize a regulatory asset. |
Membership Interests (Narrative
Membership Interests (Narrative) (Details) - USD ($) $ in Millions | Jul. 27, 2016 | Jun. 30, 2016 | Jun. 30, 2015 |
Subsequent Event [Line Items] | |||
Cash distribution to members | $ 121 | $ 165 | |
Assumed debt to equity ratio, debt | 60.00% | ||
Assumed debt to equity ratio, equity | 40.00% | ||
Regulatory capitalization ratio, debt | 59.40% | ||
Regulatory capitalization ratio, equity | 40.60% | ||
Cash available for distribution under the capital structure restriction | $ 98 | ||
Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Cash distribution to members | $ 68 |
Membership Interests (Schedule
Membership Interests (Schedule Of Distributions Paid) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Dividends Payable [Line Items] | ||
Amount | $ 121 | $ 165 |
Payment One FY 2016 [Member] | ||
Dividends Payable [Line Items] | ||
Declaration Date | Apr. 27, 2016 | |
Payment Date | May 11, 2016 | |
Amount | $ 65 | |
Payment Two FY 2016 [Member] | ||
Dividends Payable [Line Items] | ||
Declaration Date | Feb. 24, 2016 | |
Payment Date | Feb. 25, 2016 | |
Amount | $ 56 |
Membership Interests (Schedul35
Membership Interests (Schedule Of Changes To Membership Interests) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||||
Balance | $ 7,508 | $ 7,518 | ||
Net income | $ 110 | $ 98 | 191 | 196 |
Distributions | (121) | (165) | ||
Net effects of cash flow hedges (net of tax) | 1 | 1 | 1 | 1 |
Defined benefit pension plans (net of tax) | 1 | |||
Balance | 7,579 | 7,551 | 7,579 | 7,551 |
Capital Accounts [Member] | ||||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||||
Balance | 7,621 | 7,625 | ||
Net income | 191 | 196 | ||
Distributions | (121) | (165) | ||
Net effects of cash flow hedges (net of tax) | ||||
Defined benefit pension plans (net of tax) | ||||
Balance | 7,691 | 7,656 | 7,691 | 7,656 |
Accumulated Other Comprehensive Income (Loss) [Member] | ||||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||||
Balance | (113) | (107) | ||
Net income | ||||
Distributions | ||||
Net effects of cash flow hedges (net of tax) | 1 | 1 | ||
Defined benefit pension plans (net of tax) | 1 | |||
Balance | $ (112) | $ (105) | $ (112) | $ (105) |
Membership Interests (Schedul36
Membership Interests (Schedule Of Changes To Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Balance at beginning of period | $ (113) | |
Balance at end of period | (112) | |
Cash Flow Hedges - Interest Rate Swap [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Balance at beginning of period | (22) | $ (24) |
Defined benefit pension plans (net of tax) | ||
Amounts reclassified from accumulated other comprehensive income (loss) and reported in interest expense and related charges | 1 | 1 |
Balance at end of period | (21) | (23) |
Defined Benefit Pension and OPEB Plans [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Balance at beginning of period | (91) | (83) |
Defined benefit pension plans (net of tax) | 1 | |
Amounts reclassified from accumulated other comprehensive income (loss) and reported in interest expense and related charges | ||
Balance at end of period | (91) | (82) |
Accumulated Other Comprehensive Income (Loss) [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Balance at beginning of period | (113) | (107) |
Defined benefit pension plans (net of tax) | 1 | |
Amounts reclassified from accumulated other comprehensive income (loss) and reported in interest expense and related charges | 1 | 1 |
Balance at end of period | $ (112) | $ (105) |
Pension And Other Postretirem37
Pension And Other Postretirement Employee Benefits Plans (Narrative) (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2016USD ($) | |
Oncor Retirement Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Discount rate | 4.28% |
Expected return on plan assets | 5.53% |
EFH Retirement Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Discount rate | 4.57% |
Expected return on plan assets | 5.64% |
Pension Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Cash contributions | $ 2 |
Additional cash contributions | 2 |
Additional cash contributions, next five years | $ 479 |
OPEB Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Discount rate | 4.60% |
Expected return on plan assets | 6.30% |
Cash contributions | $ 14 |
Additional cash contributions | 17 |
Additional cash contributions, next five years | $ 153 |
Pension And Other Postretirem38
Pension And Other Postretirement Employee Benefits Plans (Schedule Of Pension And OPEB Plan Costs) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Net costs | $ 34 | $ 39 | $ 69 | $ 78 |
Less amounts deferred principally as property or a regulatory asset | (25) | (28) | (50) | (56) |
Net amounts recognized as expense | 9 | 11 | 19 | 22 |
Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 6 | 6 | 12 | 12 |
Interest cost | 34 | 33 | 68 | 66 |
Expected return on assets | (31) | (29) | (62) | (58) |
Amortization of net loss | 10 | 16 | 20 | 32 |
Net costs | 19 | 26 | 38 | 52 |
OPEB [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 2 | 2 | 4 | 4 |
Interest cost | 12 | 11 | 24 | 22 |
Expected return on assets | (2) | (3) | (4) | (6) |
Amortization of prior service cost | (5) | (5) | (10) | (10) |
Amortization of net loss | 8 | 8 | 17 | 16 |
Net costs | $ 15 | $ 13 | $ 31 | $ 26 |
Related-Party Transactions (Nar
Related-Party Transactions (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Related Party Transaction [Line Items] | |||||
Revenues from electricity delivery fees | $ 216 | $ 224 | $ 436 | $ 460 | |
Bondco [Member] | |||||
Related Party Transaction [Line Items] | |||||
Over-collection of transition charges to be refunded | 10 | 10 | |||
TCEH [Member] | |||||
Related Party Transaction [Line Items] | |||||
Revenues from electricity delivery fees | 216 | 224 | 436 | 460 | |
Posted security amount | 0 | 0 | $ 6 | ||
Over-collection of transition charges to be refunded | 2 | 2 | |||
Delivery fee surcharges | 4 | 4 | 8 | 8 | |
EFH Corp [Member] | |||||
Related Party Transaction [Line Items] | |||||
Administrative and services costs | 4 | 9 | |||
Shared facilities expense | 1 | 1 | 2 | 2 | |
Over-collection of transition charges to be refunded | $ 2 | $ 2 | $ 2 | ||
Sponsor Group [Member] | |||||
Related Party Transaction [Line Items] | |||||
Equity in existing vendor | 16.60% | 16.60% | |||
Cash payments to vendors | $ 84 | ||||
Trade payables related parties | $ 9 | 9 | |||
Sponsor Group [Member] | Capitalized [Member] | |||||
Related Party Transaction [Line Items] | |||||
Cash payments to vendors | 79 | ||||
Sponsor Group [Member] | Operation And Maintenance Expense [Member] | |||||
Related Party Transaction [Line Items] | |||||
Cash payments to vendors | 5 | ||||
Maximum [Member] | TCEH [Member] | |||||
Related Party Transaction [Line Items] | |||||
Transformer maintenance revenue | 1 | 1 | 1 | 1 | |
Maximum [Member] | EFH Corp [Member] | |||||
Related Party Transaction [Line Items] | |||||
Administrative and services costs | 1 | 1 | |||
Shared facilities payments received | $ 1 | $ 1 | $ 1 | $ 1 |
Related-Party Transactions (Sch
Related-Party Transactions (Schedule Of Trade Accounts And Other Receivables From Related Parties) (Details) - EFH Corp [Member] - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 |
Related Party Transaction [Line Items] | ||
Trade accounts and other receivables from affiliates | $ 126 | $ 120 |
Trade accounts and other payables to affiliates | (2) | (2) |
Trade accounts and other receivables from affiliates - net | $ 124 | $ 118 |
Related-Party Transactions (S41
Related-Party Transactions (Schedule Of Amounts Payable To (Receivable From) Members In Lieu Of Income Taxes) (Details) - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 |
Related Party Transaction [Line Items] | ||
Federal income taxes receivable | $ (118) | $ (136) |
Texas margin taxes payable | 11 | 20 |
Net payable (receivable) | (107) | (116) |
EFH Corp [Member] | ||
Related Party Transaction [Line Items] | ||
Federal income taxes receivable | (95) | (109) |
Texas margin taxes payable | 11 | 20 |
Net payable (receivable) | (84) | (89) |
Texas Transmission [Member] | ||
Related Party Transaction [Line Items] | ||
Federal income taxes receivable | (23) | (27) |
Net payable (receivable) | $ (23) | $ (27) |
Related-Party Transactions (Cas
Related-Party Transactions (Cash Payments Made To (Received From) Members In Lieu Of Income Taxes) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Related Party Transaction [Line Items] | ||
Texas margin taxes | $ 18 | $ 22 |
Total payments (receipts) | 18 | 22 |
EFH Corp [Member] | ||
Related Party Transaction [Line Items] | ||
Texas margin taxes | 18 | 22 |
Total payments (receipts) | $ 18 | $ 22 |
Supplementary Financial Infor43
Supplementary Financial Information (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Supplemental Financial Information [Line Items] | |||||
Restricted cash | $ 0 | $ 0 | $ 38 | ||
Aggregate amortization expenses | 16 | $ 16 | 32 | $ 32 | |
Goodwill | $ 4,064 | $ 4,064 | $ 4,064 | ||
Sales [Member] | TCEH [Member] | |||||
Supplemental Financial Information [Line Items] | |||||
Concentration Risk Percentage | 23.00% | 24.00% | 23.00% | 24.00% | |
Sales [Member] | Nonaffiliated REP [Member] | |||||
Supplemental Financial Information [Line Items] | |||||
Concentration Risk Percentage | 14.00% | 15.00% | 15.00% | 16.00% | |
Nonaffiliated Trade Accounts Receivable [Member] | Nonaffiliated REP [Member] | |||||
Supplemental Financial Information [Line Items] | |||||
Concentration Risk Percentage | 14.00% | 13.00% |
Supplementary Financial Infor44
Supplementary Financial Information (Schedule Of Other Income And (Deductions)) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Supplementary Financial Information [Abstract] | ||||
Accretion of fair value adjustment (discount) to regulatory assets due to purchase accounting | $ 1 | $ 1 | $ 4 | |
Professional fees | (4) | (5) | (8) | (7) |
Non-recoverable pension and OPEB (Note 9) | (2) | (1) | (4) | |
Other | 1 | |||
Total other income and (deductions) - net | $ (3) | $ (6) | $ (8) | $ (7) |
Supplementary Financial Infor45
Supplementary Financial Information (Schedule Of Interest Expense And Related Charges) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Supplementary Financial Information [Abstract] | ||||
Interest expense | $ 85 | $ 85 | $ 170 | $ 167 |
Amortization of debt issuance costs and discounts | 1 | 1 | 1 | 1 |
Allowance for funds used during construction — capitalized interest portion | (2) | (2) | (3) | (3) |
Total interest expense and related charges | $ 84 | $ 84 | $ 168 | $ 165 |
Supplementary Financial Infor46
Supplementary Financial Information (Schedule Of Trade Accounts And Other Receivables) (Details) - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 |
Supplementary Financial Information [Abstract] | ||
Gross trade accounts and other receivables - net | $ 534 | $ 509 |
Trade accounts and other receivables from affiliates - net | (124) | (118) |
Allowance for uncollectible accounts | (3) | (3) |
Trade accounts receivable from nonaffiliates - net | $ 407 | $ 388 |
Supplementary Financial Infor47
Supplementary Financial Information (Summary of Investments And Other Property) (Details) - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 |
Supplementary Financial Information [Abstract] | ||
Assets related to employee benefit plans, including employee savings programs | $ 96 | $ 94 |
Land and other investments | 3 | 3 |
Total investments and other property | $ 99 | $ 97 |
Supplementary Financial Infor48
Supplementary Financial Information (Schedule Of Property, Plant And Equipment) (Details) - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 |
Supplementary Financial Information [Abstract] | ||
Total assets in service | $ 19,600 | $ 19,072 |
Less accumulated depreciation | 6,661 | 6,479 |
Net of accumulated depreciation | 12,939 | 12,593 |
Construction work in progress | 485 | 416 |
Held for future use | 15 | 15 |
Property, plant and equipment - net | $ 13,439 | $ 13,024 |
Supplementary Financial Infor49
Supplementary Financial Information (Schedule Of Intangible Assets) (Details) - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 925 | $ 902 |
Accumulated Amortization | 392 | 360 |
Net | 533 | 542 |
Land Easements [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 479 | 467 |
Accumulated Amortization | 93 | 91 |
Net | 386 | 376 |
Capitalized Software [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 446 | 435 |
Accumulated Amortization | 299 | 269 |
Net | $ 147 | $ 166 |
Supplementary Financial Infor50
Supplementary Financial Information (Schedule Of Estimated Aggregate Amortization Expenses) (Details) $ in Millions | Jun. 30, 2016USD ($) |
Supplementary Financial Information [Abstract] | |
2,016 | $ 61 |
2,017 | 53 |
2,018 | 47 |
2,019 | 44 |
2,020 | $ 43 |
Supplementary Financial Infor51
Supplementary Financial Information (Schedule Of Employee Benefit Obligations And Other) (Details) - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 |
Supplementary Financial Information [Abstract] | ||
Retirement plans and other employee benefits | $ 2,003 | $ 1,985 |
Uncertain tax positions (including accrued interest) | 3 | 3 |
Investment tax credits | 13 | 15 |
Other | 70 | 60 |
Total employee benefit obligations and other | $ 2,089 | $ 2,063 |
Supplementary Financial Infor52
Supplementary Financial Information (Schedule Of Supplemental Cash Flow Information) (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | ||
Supplementary Financial Information [Abstract] | |||
Interest | $ 167 | $ 177 | |
Capitalized interest | (3) | (3) | |
Interest (net of amounts capitalized) | 164 | 174 | |
State | [1] | 18 | 22 |
Total amount is lieu of income taxes | [1] | 18 | 22 |
Noncash construction expenditures | [2] | $ 99 | $ 61 |
[1] | See Note 10 for income tax related detail. | ||
[2] | Represents end-of-period accruals. |