Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2023 | Apr. 28, 2023 | |
Entity Registrant Name | ENTERGY CORPORATION | |
City Area Code | 504 | |
Local Phone Number | 576-4000 | |
Entity Tax Identification Number | 72-1229752 | |
Entity File Number | 1-11299 | |
Entity Central Index Key | 0000065984 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2023 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, State or Province | 639 Loyola Avenue | |
Entity Address, City or Town | New Orleans | |
Entity Address, State or Province | LA | |
Entity Address, Postal Zip Code | 70113 | |
Entity Common Stock, Shares Outstanding | 211,446,651 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Document Quarterly Report | true | |
Document Transition Report | false | |
NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | ETR | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Common Stock, $0.01 Par Value | |
CHICAGO STOCK EXCHANGE, INC [Member] | ||
Trading Symbol | ETR | |
Security Exchange Name | CHX | |
Title of 12(b) Security | Common Stock, $0.01 Par Value | |
Entergy Arkansas [Member] | ||
Entity Registrant Name | ENTERGY ARKANSAS, LLC | |
City Area Code | 501 | |
Local Phone Number | 377-4000 | |
Entity Tax Identification Number | 83-1918668 | |
Entity File Number | 1-10764 | |
Entity Central Index Key | 0000007323 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Incorporation, State or Country Code | TX | |
Entity Address, State or Province | 425 West Capitol Avenue | |
Entity Address, City or Town | Little Rock | |
Entity Address, State or Province | AR | |
Entity Address, Postal Zip Code | 72201 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Entergy Louisiana [Member] | ||
Entity Registrant Name | ENTERGY LOUISIANA, LLC | |
City Area Code | 504 | |
Local Phone Number | 576-4000 | |
Entity Tax Identification Number | 47-4469646 | |
Entity File Number | 1-32718 | |
Entity Central Index Key | 0001348952 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Incorporation, State or Country Code | TX | |
Entity Address, State or Province | 4809 Jefferson Highway | |
Entity Address, City or Town | Jefferson | |
Entity Address, State or Province | LA | |
Entity Address, Postal Zip Code | 70121 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Entergy Mississippi [Member] | ||
Entity Registrant Name | ENTERGY MISSISSIPPI, LLC | |
City Area Code | 601 | |
Local Phone Number | 368-5000 | |
Entity Tax Identification Number | 83-1950019 | |
Entity File Number | 1-31508 | |
Entity Central Index Key | 0000066901 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Incorporation, State or Country Code | TX | |
Entity Address, State or Province | 308 East Pearl Street | |
Entity Address, City or Town | Jackson | |
Entity Address, State or Province | MS | |
Entity Address, Postal Zip Code | 39201 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Entergy New Orleans [Member] | ||
Entity Registrant Name | ENTERGY NEW ORLEANS, LLC | |
City Area Code | 504 | |
Local Phone Number | 670-3700 | |
Entity Tax Identification Number | 82-2212934 | |
Entity File Number | 1-35747 | |
Entity Central Index Key | 0000071508 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Incorporation, State or Country Code | TX | |
Entity Address, State or Province | 1600 Perdido Street | |
Entity Address, City or Town | New Orleans | |
Entity Address, State or Province | LA | |
Entity Address, Postal Zip Code | 70112 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Entergy Texas [Member] | ||
Entity Registrant Name | ENTERGY TEXAS, INC. | |
City Area Code | 409 | |
Local Phone Number | 981-2000 | |
Entity Tax Identification Number | 61-1435798 | |
Entity File Number | 1-34360 | |
Entity Central Index Key | 0001427437 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Incorporation, State or Country Code | TX | |
Entity Address, State or Province | 2107 Research Forest Drive | |
Entity Address, City or Town | The Woodlands | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 77380 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
System Energy [Member] | ||
Entity Registrant Name | SYSTEM ENERGY RESOURCES, INC. | |
City Area Code | 601 | |
Local Phone Number | 368-5000 | |
Entity Tax Identification Number | 72-0752777 | |
Entity File Number | 1-09067 | |
Entity Central Index Key | 0000202584 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Incorporation, State or Country Code | AR | |
Entity Address, State or Province | 1340 Echelon Parkway | |
Entity Address, City or Town | Jackson | |
Entity Address, State or Province | MS | |
Entity Address, Postal Zip Code | 39213 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Mortgage Bonds, Five Point Five Percent Series, Due April Two Thousand Sixty Six [Member] | Entergy New Orleans [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | ENO | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 5.50% Series due April 2066 | |
Mortgage Bonds 5.0 Series Due December Two Thousand Fifty Two [Member] | Entergy New Orleans [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | ENJ | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 5.0% Series due December 2052 | |
Mortgage Bonds, Four Point Nine Zero Percent Series, Due October Two Thousand Sixty Six [Member] | Entergy Mississippi [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | EMP | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 4.90% Series due October 2066 | |
Four Point Eight Seven Five Percent Series First Mortgage Bonds Due September Two Thousand Sixty Six [Member] | Entergy Arkansas [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | EAI | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 4.875% Series due September 2066 | |
Four Point Eight Seven Five Percent Series First Mortgage Bonds Due September Two Thousand Sixty Six [Member] | Entergy Louisiana [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | ELC | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 4.875% Series due September 2066 | |
5.375% Series A Preferred Stock, Cumulative, No Par Value [Domain] | Entergy Texas [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | ETI/PR | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | 5.375% Series A Preferred Stock, Cumulative, No Par Value (Liquidation Value $25 Per Share) |
Consolidated Statements Of Inco
Consolidated Statements Of Income - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 2,981,059 | $ 2,877,925 |
Operation and Maintenance: | ||
Fuel, fuel-related expenses, and gas purchased for resale | 898,384 | 666,938 |
Utilities Operating Expense, Purchased Power | 238,288 | 269,626 |
Nuclear refueling outage expenses | 37,233 | 43,002 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 631,526 | 678,812 |
Asset Impairment Charges | 0 | 744 |
Decommissioning | 50,493 | 62,048 |
Taxes, Other | 185,437 | 180,148 |
Other Depreciation and Amortization | 453,916 | 438,972 |
Other regulatory charges (credits) - net | 23,673 | (28,425) |
Costs and Expenses | 2,518,950 | 2,311,865 |
OPERATING INCOME | 462,109 | 566,060 |
OTHER INCOME | ||
Allowance for equity funds used during construction | 23,146 | 15,871 |
Investment Income, Net | 48,259 | (21,918) |
Miscellaneous - net | (54,452) | 7,603 |
TOTAL | 16,953 | 1,556 |
INTEREST EXPENSE | ||
Interest Expense, Debt | 255,329 | 227,622 |
Allowance for borrowed funds used during construction | (9,591) | (6,096) |
TOTAL | 245,738 | 221,526 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 233,324 | 346,090 |
Income taxes | (78,975) | 66,497 |
Consolidated net income | 312,299 | 279,593 |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | $ 1,364 | $ 3,193 |
Earnings per average common share: | ||
Basic (in dollars per share) | $ 1.47 | $ 1.36 |
Diluted (in dollars per share) | $ 1.47 | $ 1.36 |
Basic average number of common shares outstanding (in shares) | 211,350,705 | 202,943,628 |
Diluted average number of common shares outstanding (in shares) | 212,146,507 | 203,888,483 |
Net Income (Loss) Available to Common Stockholders, Basic | $ 310,935 | $ 276,400 |
Electricity [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,883,411 | 2,655,776 |
Natural Gas, US Regulated [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 64,581 | 72,361 |
Competitive Businesses [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 33,067 | 149,788 |
Entergy Mississippi [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 412,428 | 349,029 |
Operation and Maintenance: | ||
Fuel, fuel-related expenses, and gas purchased for resale | 161,285 | 67,277 |
Utilities Operating Expense, Purchased Power | 63,814 | 61,212 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 69,818 | 65,811 |
Taxes, Other | 35,734 | 32,730 |
Other Depreciation and Amortization | 64,029 | 60,084 |
Other regulatory charges (credits) - net | (32,843) | 3,907 |
Costs and Expenses | 361,837 | 291,021 |
OPERATING INCOME | 50,591 | 58,008 |
OTHER INCOME | ||
Allowance for equity funds used during construction | 1,884 | 1,078 |
Investment Income, Net | 464 | 64 |
Miscellaneous - net | (2,083) | (1,153) |
TOTAL | 265 | (11) |
INTEREST EXPENSE | ||
Interest Expense, Debt | 23,944 | 20,434 |
Allowance for borrowed funds used during construction | (783) | (465) |
TOTAL | 23,161 | 19,969 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 27,695 | 38,028 |
Income taxes | 6,755 | 7,673 |
Consolidated net income | 20,940 | 30,355 |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | (2,141) | 0 |
Earnings per average common share: | ||
Net Income (Loss) Available to Common Stockholders, Basic | 23,081 | 30,355 |
Entergy Mississippi [Member] | Electricity [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 412,428 | 349,029 |
Entergy Mississippi [Member] | Natural Gas, US Regulated [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 |
Entergy Arkansas [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 582,749 | 558,956 |
Operation and Maintenance: | ||
Fuel, fuel-related expenses, and gas purchased for resale | 113,509 | 86,225 |
Utilities Operating Expense, Purchased Power | 64,751 | 57,471 |
Nuclear refueling outage expenses | 15,341 | 14,070 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 156,819 | 157,257 |
Decommissioning | 21,350 | 20,129 |
Taxes, Other | 32,351 | 33,202 |
Other Depreciation and Amortization | 96,441 | 95,610 |
Other regulatory charges (credits) - net | (20,844) | (20,542) |
Costs and Expenses | 479,718 | 443,422 |
OPERATING INCOME | 103,031 | 115,534 |
OTHER INCOME | ||
Allowance for equity funds used during construction | 4,843 | 3,055 |
Investment Income, Net | 7,479 | 6,320 |
Miscellaneous - net | (2,100) | (5,392) |
TOTAL | 10,222 | 3,983 |
INTEREST EXPENSE | ||
Interest Expense, Debt | 45,367 | 36,047 |
Allowance for borrowed funds used during construction | (1,945) | (1,214) |
TOTAL | 43,422 | 34,833 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 69,831 | 84,684 |
Income taxes | 10,434 | 19,117 |
Consolidated net income | 59,397 | 65,567 |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | (1,629) | (1,387) |
Earnings per average common share: | ||
Net Income (Loss) Available to Common Stockholders, Basic | 61,026 | 66,954 |
Entergy Arkansas [Member] | Electricity [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 582,749 | 558,956 |
Entergy Arkansas [Member] | Natural Gas, US Regulated [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 |
Entergy Louisiana [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,345,208 | 1,265,972 |
Operation and Maintenance: | ||
Fuel, fuel-related expenses, and gas purchased for resale | 375,270 | 362,074 |
Utilities Operating Expense, Purchased Power | 194,934 | 176,197 |
Nuclear refueling outage expenses | 15,273 | 11,947 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 246,371 | 254,001 |
Decommissioning | 18,586 | 17,688 |
Taxes, Other | 63,955 | 61,615 |
Other Depreciation and Amortization | 176,095 | 169,083 |
Other regulatory charges (credits) - net | 73,996 | (20,897) |
Costs and Expenses | 1,164,480 | 1,031,708 |
OPERATING INCOME | 180,728 | 234,264 |
OTHER INCOME | ||
Allowance for equity funds used during construction | 9,061 | 6,726 |
Investment Income, Net | 28,843 | (15,998) |
Investments in and Advances to Affiliates, Dividends or Interest | 55,426 | 31,898 |
Miscellaneous - net | (48,085) | 15,517 |
TOTAL | 45,245 | 38,143 |
INTEREST EXPENSE | ||
Interest Expense, Debt | 97,171 | 93,784 |
Allowance for borrowed funds used during construction | (4,393) | (3,026) |
TOTAL | 92,778 | 90,758 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 133,195 | 181,649 |
Income taxes | (110,829) | 30,789 |
Consolidated net income | 244,024 | 150,860 |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 554 | 0 |
Earnings per average common share: | ||
Net Income (Loss) Available to Common Stockholders, Basic | 243,470 | 150,860 |
Entergy Louisiana [Member] | Electricity [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,319,752 | 1,237,237 |
Entergy Louisiana [Member] | Natural Gas, US Regulated [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 25,456 | 28,735 |
Entergy New Orleans [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 208,820 | 198,272 |
Operation and Maintenance: | ||
Fuel, fuel-related expenses, and gas purchased for resale | 52,024 | 43,397 |
Utilities Operating Expense, Purchased Power | 66,620 | 56,470 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 33,227 | 33,652 |
Taxes, Other | 16,424 | 13,989 |
Other Depreciation and Amortization | 19,575 | 19,815 |
Other regulatory charges (credits) - net | (1,101) | 4,185 |
Costs and Expenses | 186,769 | 171,508 |
OPERATING INCOME | 22,051 | 26,764 |
OTHER INCOME | ||
Allowance for equity funds used during construction | 450 | 369 |
Investment Income, Net | 2,051 | 24 |
Miscellaneous - net | (227) | (271) |
TOTAL | 2,274 | 122 |
INTEREST EXPENSE | ||
Interest Expense, Debt | 9,619 | 8,694 |
Allowance for borrowed funds used during construction | (219) | (199) |
TOTAL | 9,400 | 8,495 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 14,925 | 18,391 |
Income taxes | 4,783 | 3,265 |
Consolidated net income | 10,142 | 15,126 |
Entergy New Orleans [Member] | Electricity [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 169,695 | 154,646 |
Entergy New Orleans [Member] | Natural Gas, US Regulated [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 39,125 | 43,626 |
Entergy Texas [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 507,506 | 472,482 |
Operation and Maintenance: | ||
Fuel, fuel-related expenses, and gas purchased for resale | 167,530 | 73,920 |
Utilities Operating Expense, Purchased Power | 107,758 | 161,090 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 64,430 | 74,977 |
Taxes, Other | 27,996 | 20,449 |
Other Depreciation and Amortization | 59,391 | 56,061 |
Other regulatory charges (credits) - net | 10,924 | 13,446 |
Costs and Expenses | 438,029 | 399,943 |
OPERATING INCOME | 69,477 | 72,539 |
OTHER INCOME | ||
Allowance for equity funds used during construction | 5,089 | 2,596 |
Investment Income, Net | 1,417 | 188 |
Miscellaneous - net | 439 | 307 |
TOTAL | 6,945 | 3,091 |
INTEREST EXPENSE | ||
Interest Expense, Debt | 26,962 | 20,912 |
Allowance for borrowed funds used during construction | (1,896) | (865) |
TOTAL | 25,066 | 20,047 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 51,356 | 55,583 |
Income taxes | 9,683 | 5,180 |
Consolidated net income | 41,673 | 50,403 |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 518 | 518 |
Earnings per average common share: | ||
Net Income (Loss) Available to Common Stockholders, Basic | 41,155 | 49,885 |
Entergy Texas [Member] | Electricity [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 507,506 | 472,482 |
Entergy Texas [Member] | Natural Gas, US Regulated [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 |
System Energy [Member] | ||
Operation and Maintenance: | ||
Fuel, fuel-related expenses, and gas purchased for resale | 18,847 | 7,923 |
Nuclear refueling outage expenses | 6,619 | 5,927 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 50,200 | 43,904 |
Decommissioning | 10,287 | 9,917 |
Taxes, Other | 7,282 | 7,851 |
Other Depreciation and Amortization | 37,137 | 29,923 |
Other regulatory charges (credits) - net | (6,459) | (8,524) |
Costs and Expenses | 123,913 | 96,921 |
OPERATING INCOME | 47,659 | 44,455 |
OTHER INCOME | ||
Allowance for equity funds used during construction | 1,818 | 2,047 |
Investment Income, Net | 5,764 | 5,232 |
Miscellaneous - net | (9,078) | (1,639) |
TOTAL | (1,496) | 5,640 |
INTEREST EXPENSE | ||
Interest Expense, Debt | 10,491 | 9,481 |
Allowance for borrowed funds used during construction | (355) | (327) |
TOTAL | 10,136 | 9,154 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 36,027 | 40,941 |
Income taxes | 8,482 | 9,509 |
Consolidated net income | 27,545 | 31,432 |
Earnings per average common share: | ||
Net Income (Loss) Available to Common Stockholders, Basic | 27,545 | 31,432 |
System Energy [Member] | Electricity [Member] | ||
REVENUES | ||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 171,572 | $ 141,376 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
OPERATING ACTIVITIES | ||
Consolidated net income | $ 312,299 | $ 279,593 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 553,224 | 561,731 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | (98,244) | 70,780 |
Impairment of Long-Lived Assets Held-for-use | 0 | 744 |
Changes in working capital: | ||
Receivables | 272,533 | 122,987 |
Fuel inventory | (29,484) | 14,795 |
Accounts payable | (339,963) | (283,175) |
Taxes accrued | (66,717) | (79,941) |
Interest accrued | 30,627 | 32,862 |
Deferred fuel costs | 442,598 | (58,932) |
Other working capital accounts | (67,971) | (95,033) |
Changes in provisions for estimated losses | 25 | 8,206 |
Changes in other regulatory assets | 542,694 | (1,424,270) |
Increase (Decrease) in Regulatory Liabilities | 136,685 | (250,358) |
Storm restoration costs approved for securitization recognized as regulatory asset | (491,150) | 1,491,942 |
Changes in pension and other postretirement liabilities | (64,088) | (101,641) |
Other Operating Activities, Cash Flow Statement | (173,525) | 247,676 |
Net cash flow provided by operating activities | 959,543 | 537,966 |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (1,175,657) | (1,501,578) |
Allowance for equity funds used during construction | 23,146 | 15,871 |
Nuclear fuel purchases | (90,809) | (83,326) |
Payments for Nuclear Fuel | (90,809) | (83,326) |
Proceeds from insurance | 0 | 9,829 |
Payments to storm reserve escrow account | (4,196) | 0 |
Increase in other investments | (3,462) | (11,862) |
Litigation proceeds for reimbursement of spent nuclear fuel storage costs | 0 | 32,367 |
Proceeds from nuclear decommissioning trust fund sales | 204,128 | 479,937 |
Investment in nuclear decommissioning trust funds | (232,837) | (505,989) |
Changes in securitization account | (3,904) | 13,532 |
Net cash flow used in investing activities | (1,283,591) | (1,551,219) |
Payments for (Proceeds from) Other Investing Activities | 3,462 | 11,862 |
Proceeds from the issuance of: | ||
Proceeds from the issuance of long-term debt | 1,614,522 | 2,553,369 |
Proceeds from Sale of Treasury Stock | 4,017 | 9,629 |
Retirement of long-term debt | (834,530) | (1,224,091) |
Proceeds from securitization | 1,457,676 | 0 |
Dividends paid: | ||
Common stock | (226,194) | (205,058) |
Payments of Ordinary Dividends, Preferred Stock and Preference Stock | 4,580 | 4,580 |
Other | 21,490 | 1,382 |
Net cash flow provided by financing activities | 2,070,396 | 1,272,285 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 1,746,348 | 259,032 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 1,970,512 | 701,591 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | 215,082 | 186,269 |
Income taxes | (5,352) | (11,505) |
Proceeds from (Repayments of) Short-Term Debt | 37,995 | 141,634 |
Entergy Arkansas [Member] | ||
OPERATING ACTIVITIES | ||
Consolidated net income | 59,397 | 65,567 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 134,779 | 133,634 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | 15,495 | 11,776 |
Changes in working capital: | ||
Receivables | 57,003 | 23,583 |
Fuel inventory | (15,255) | 7,199 |
Accounts payable | (58,227) | (33,409) |
Taxes accrued | 10,647 | 27,209 |
Interest accrued | 35,905 | 32,233 |
Deferred fuel costs | 87,581 | (16,954) |
Other working capital accounts | (3,948) | 3,794 |
Changes in provisions for estimated losses | (6,600) | (309) |
Changes in other regulatory assets | (27,001) | (7,198) |
Increase (Decrease) in Regulatory Liabilities | 45,201 | (91,068) |
Changes in pension and other postretirement liabilities | (7,998) | (19,852) |
Other Operating Activities, Cash Flow Statement | (52,942) | 111,221 |
Net cash flow provided by operating activities | 274,037 | 247,426 |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (255,248) | (162,108) |
Allowance for equity funds used during construction | 4,843 | 3,055 |
Nuclear fuel purchases | (55,974) | (27,258) |
Payments for Nuclear Fuel | (55,974) | (27,258) |
Proceeds from sale of nuclear fuel | 17,549 | 37,157 |
Change in money pool receivable - net | (11,035) | (59,981) |
Increase in other investments | (17) | 0 |
Proceeds from nuclear decommissioning trust fund sales | 32,798 | 64,608 |
Investment in nuclear decommissioning trust funds | (38,948) | (69,950) |
Net cash flow used in investing activities | (306,032) | (214,477) |
Payments for (Proceeds from) Other Investing Activities | 17 | 0 |
Proceeds from the issuance of: | ||
Proceeds from the issuance of long-term debt | 514,206 | 212,060 |
Retirement of long-term debt | (62,505) | (7,506) |
Change in money pool payable - net | (180,795) | (139,904) |
Dividends paid: | ||
Common stock | (80,000) | 0 |
Other | (4,604) | (483) |
Net cash flow provided by financing activities | 186,302 | 64,167 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 154,307 | 97,116 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 159,585 | 110,031 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | 8,823 | 3,227 |
Entergy Louisiana [Member] | ||
OPERATING ACTIVITIES | ||
Consolidated net income | 244,024 | 150,860 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 210,138 | 213,022 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | (70,518) | 95,785 |
Changes in working capital: | ||
Receivables | 119,726 | 71,237 |
Fuel inventory | (4,489) | (46) |
Accounts payable | (127,171) | (262,042) |
Taxes accrued | 11,627 | (42,950) |
Interest accrued | (12,730) | (857) |
Deferred fuel costs | 173,809 | 498 |
Other working capital accounts | (99,650) | (24,241) |
Changes in provisions for estimated losses | 2,050 | 2,694 |
Changes in other regulatory assets | 492,055 | (1,336,616) |
Increase (Decrease) in Regulatory Liabilities | 155,296 | (67,164) |
Storm restoration costs approved for securitization recognized as regulatory asset | (491,150) | 1,338,559 |
Changes in pension and other postretirement liabilities | (3,556) | (11,608) |
Other Operating Activities, Cash Flow Statement | (59,700) | 55,995 |
Net cash flow provided by operating activities | 539,761 | 183,126 |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (484,581) | (935,692) |
Allowance for equity funds used during construction | 9,061 | 6,726 |
Nuclear fuel purchases | (72,003) | (55,913) |
Payments for Nuclear Fuel | (72,003) | (55,913) |
Proceeds from sale of nuclear fuel | 16,637 | 26,681 |
Change in money pool receivable - net | (77,354) | (66,621) |
Proceeds from insurance | 0 | 5,695 |
Payments to storm reserve escrow account | (3,037) | 0 |
Payments to Acquire Interest in Subsidiaries and Affiliates | 1,457,676 | 0 |
Increase in other investments | (18) | 17 |
Proceeds from nuclear decommissioning trust fund sales | 111,263 | 155,269 |
Investment in nuclear decommissioning trust funds | (127,338) | (168,283) |
Net cash flow used in investing activities | (2,038,403) | (1,032,121) |
Payments for (Proceeds from) Other Investing Activities | 18 | (17) |
Proceeds from (Repurchase of) Equity | 46,643 | 0 |
Proceeds from the issuance of: | ||
Proceeds from the issuance of long-term debt | 526,764 | 1,506,637 |
Retirement of long-term debt | (540,008) | (401,411) |
Proceeds from securitization | 1,457,676 | 0 |
Proceeds from Contributed Capital | 1,457,676 | 0 |
Change in money pool payable - net | (226,114) | 0 |
Dividends paid: | ||
Common stock | (160,250) | (125,000) |
Other | 6,137 | 6,843 |
Net cash flow provided by financing activities | 2,521,881 | 987,069 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 1,023,239 | 138,074 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 1,079,852 | 156,647 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | 107,408 | 91,441 |
Income taxes | (6,037) | 0 |
Entergy Mississippi [Member] | ||
OPERATING ACTIVITIES | ||
Consolidated net income | 20,940 | 30,355 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 64,029 | 60,084 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | 8,142 | 3,979 |
Changes in working capital: | ||
Receivables | 36,802 | (6,379) |
Fuel inventory | (3,014) | 23 |
Accounts payable | (33,508) | 989 |
Taxes accrued | (80,166) | (63,785) |
Interest accrued | 11,078 | 10,613 |
Deferred fuel costs | 67,005 | (24,076) |
Other working capital accounts | (9,515) | (46,494) |
Changes in provisions for estimated losses | 1,900 | (179) |
Changes in other regulatory assets | 1,020 | 16,301 |
Increase (Decrease) in Regulatory Liabilities | (44,487) | 21,689 |
Changes in pension and other postretirement liabilities | (4,062) | (3,906) |
Other Operating Activities, Cash Flow Statement | 697 | (3,554) |
Net cash flow provided by operating activities | 36,861 | (4,340) |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (138,760) | (102,686) |
Allowance for equity funds used during construction | 1,884 | 1,078 |
Change in money pool receivable - net | 25,381 | 40,456 |
Increase in other investments | (347) | (2) |
Net cash flow used in investing activities | (111,842) | (61,154) |
Payments for (Proceeds from) Other Investing Activities | 347 | 2 |
Proceeds from the issuance of: | ||
Proceeds from the issuance of long-term debt | 99,916 | 0 |
Change in money pool payable - net | 0 | 22,386 |
Dividends paid: | ||
Common stock | (12,500) | 0 |
Other | 6,738 | (4,491) |
Net cash flow provided by financing activities | 94,154 | 17,895 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 19,173 | (47,599) |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 36,152 | 28 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | 12,211 | 9,160 |
Entergy New Orleans [Member] | ||
OPERATING ACTIVITIES | ||
Consolidated net income | 10,142 | 15,126 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 19,575 | 19,815 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | 5,147 | 9,558 |
Changes in working capital: | ||
Receivables | 26,040 | 39,328 |
Fuel inventory | 2,920 | 446 |
Accounts payable | (14,313) | (14,168) |
Taxes accrued | 1,687 | (2,803) |
Interest accrued | (361) | (613) |
Deferred fuel costs | 6,965 | (9,959) |
Other working capital accounts | (12,303) | (10,876) |
Changes in provisions for estimated losses | 1,645 | 6,224 |
Changes in other regulatory assets | 2,267 | 25,499 |
Increase (Decrease) in Regulatory Liabilities | 31,170 | (16,667) |
Changes in pension and other postretirement liabilities | (1,113) | (2,782) |
Other Operating Activities, Cash Flow Statement | (7,890) | (16,317) |
Net cash flow provided by operating activities | 71,578 | 41,811 |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (46,098) | (68,959) |
Allowance for equity funds used during construction | 450 | 369 |
Change in money pool receivable - net | 134,670 | 18,288 |
Payments to storm reserve escrow account | (811) | 0 |
Changes in securitization account | (3,055) | (3,099) |
Net cash flow used in investing activities | 85,156 | (53,401) |
Dividends paid: | ||
Other | (312) | (107) |
Net cash flow provided by financing activities | 14,688 | (107) |
Proceeds from Contribution in Aid of Construction | 15,000 | 0 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 171,422 | (11,697) |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 175,886 | 31,165 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | 9,630 | 8,957 |
Entergy Texas [Member] | ||
OPERATING ACTIVITIES | ||
Consolidated net income | 41,673 | 50,403 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 59,391 | 56,061 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | (6,536) | (1,175) |
Changes in working capital: | ||
Receivables | 63,210 | (1,674) |
Fuel inventory | (8,445) | 8,039 |
Accounts payable | (44,804) | 4,492 |
Taxes accrued | (21,586) | (15,188) |
Interest accrued | (12,656) | (11,195) |
Deferred fuel costs | 107,238 | (8,440) |
Other working capital accounts | 9,245 | 4,832 |
Changes in provisions for estimated losses | 522 | 54 |
Changes in other regulatory assets | 21,535 | (135,079) |
Increase (Decrease) in Regulatory Liabilities | (3,283) | (11,491) |
Storm restoration costs approved for securitization recognized as regulatory asset | 0 | 153,383 |
Changes in pension and other postretirement liabilities | (1,960) | (4,146) |
Other Operating Activities, Cash Flow Statement | (5,442) | (6,538) |
Net cash flow provided by operating activities | 198,102 | 82,338 |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (205,191) | (155,948) |
Allowance for equity funds used during construction | 5,089 | 2,596 |
Change in money pool receivable - net | 92,932 | 0 |
Proceeds from insurance | 0 | 4,134 |
Increase in other investments | 0 | (11,949) |
Changes in securitization account | (849) | 16,631 |
Net cash flow used in investing activities | (108,019) | (144,536) |
Payments for (Proceeds from) Other Investing Activities | 0 | 11,949 |
Proceeds from the issuance of: | ||
Retirement of long-term debt | 0 | (29,064) |
Change in money pool payable - net | 0 | 91,799 |
Dividends paid: | ||
Other | (898) | (34) |
Net cash flow provided by financing activities | (1,416) | 62,196 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 88,667 | (2) |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 92,164 | 26 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | 38,923 | 31,513 |
Income taxes | 0 | (1,913) |
Dividends Paid, Preferred Stock | (518) | (505) |
System Energy [Member] | ||
OPERATING ACTIVITIES | ||
Consolidated net income | 27,545 | 31,432 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 63,793 | 46,566 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | 10,801 | (8,690) |
Changes in working capital: | ||
Receivables | (8,198) | (3,845) |
Accounts payable | (21,866) | (15,017) |
Taxes accrued | (15,836) | 5,939 |
Interest accrued | (58) | (475) |
Other working capital accounts | 2,837 | (20,646) |
Changes in other regulatory assets | (3,247) | (2,331) |
Increase (Decrease) in Regulatory Liabilities | (47,212) | (85,655) |
Changes in pension and other postretirement liabilities | (1,652) | (4,542) |
Other Operating Activities, Cash Flow Statement | (39,746) | 97,275 |
Net cash flow provided by operating activities | (32,839) | 40,011 |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (26,472) | (46,509) |
Allowance for equity funds used during construction | 1,818 | 2,047 |
Nuclear fuel purchases | (21,994) | (75,251) |
Payments for Nuclear Fuel | (21,994) | (75,251) |
Proceeds from sale of nuclear fuel | 24,976 | 11,257 |
Change in money pool receivable - net | 76,391 | 18,606 |
Increase in other investments | (4) | 0 |
Proceeds from nuclear decommissioning trust fund sales | 60,067 | 62,717 |
Investment in nuclear decommissioning trust funds | (66,551) | (67,669) |
Net cash flow used in investing activities | 48,231 | (94,802) |
Payments for (Proceeds from) Other Investing Activities | 4 | 0 |
Proceeds from the issuance of: | ||
Proceeds from the issuance of long-term debt | 473,687 | 225,956 |
Retirement of long-term debt | (232,016) | (162,111) |
Dividends paid: | ||
Net cash flow provided by financing activities | 241,671 | 63,845 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 257,063 | 9,054 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 260,003 | 98,255 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | $ 11,304 | $ 9,749 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Cash and cash equivalents: | ||
Cash | $ 62,724 | $ 115,290 |
Temporary cash investments | 1,907,788 | 108,874 |
Total cash and cash equivalents | 1,970,512 | 224,164 |
Accounts receivable: | ||
Customer | 629,700 | 788,552 |
Allowance for doubtful accounts | (23,338) | (30,856) |
Other | 197,554 | 241,702 |
Accrued unbilled revenues | 436,741 | 495,859 |
Total accounts receivable | 1,240,657 | 1,495,257 |
Deferred Fuel Cost | 282,429 | 710,401 |
Fuel inventory - at average cost | 177,116 | 147,632 |
Public Utilities, Inventory | 1,233,487 | 1,183,308 |
Deferred nuclear refueling outage costs | 155,688 | 143,653 |
Prepaid Expense and Other Assets | 206,353 | 190,611 |
TOTAL | 5,266,242 | 4,095,026 |
OTHER PROPERTY AND INVESTMENTS | ||
Decommissioning trust funds | 4,349,892 | 4,121,864 |
Non-utility property - at cost (less accumulated depreciation) | 400,579 | 366,405 |
Storm Reserve Escrow Account | 406,150 | 401,955 |
Other | 101,498 | 102,259 |
TOTAL | 5,258,119 | 4,992,483 |
PROPERTY, PLANT, AND EQUIPMENT | ||
Electric | 64,249,378 | 64,646,911 |
Natural gas | 697,771 | 691,970 |
Construction work in progress | 2,157,341 | 1,844,171 |
Nuclear fuel | 587,956 | 582,119 |
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 67,692,446 | 67,765,171 |
Less - accumulated depreciation and amortization | 25,570,360 | 25,288,047 |
PROPERTY, PLANT, AND EQUIPMENT - NET | 42,122,086 | 42,477,124 |
Regulatory assets: | ||
Regulatory Assets, Noncurrent | 5,493,703 | 6,036,397 |
Deferred Fuel Cost Non Current | 241,085 | 241,085 |
Goodwill | 377,172 | 377,172 |
Deferred Income Tax Assets, Net | 82,529 | 84,100 |
Other | 362,340 | 291,804 |
Deferred Costs and Other Assets | 6,556,829 | 7,030,558 |
TOTAL ASSETS | 59,203,276 | 58,595,191 |
CURRENT LIABILITIES | ||
Currently maturing long-term debt | 2,259,046 | 2,309,037 |
Short-term borrowings | 865,616 | 827,621 |
Accounts payable | 1,385,949 | 1,777,590 |
Contract with Customer, Liability, Current | 429,211 | 424,723 |
Taxes Payable, Current | 357,374 | 424,091 |
Interest accrued | 225,891 | 195,264 |
Deferred fuel costs | 14,626 | 0 |
Pension and other postretirement liabilities | 87,588 | 104,845 |
Sale-leaseback/depreciation regulatory liability | 0 | 103,497 |
Other | 200,028 | 202,779 |
TOTAL | 5,825,329 | 6,369,447 |
NON-CURRENT LIABILITIES | ||
Deferred Income Tax Liabilities, Net | 4,738,377 | 4,818,837 |
Accumulated deferred investment tax credits | 209,128 | 211,220 |
Regulatory liability for income taxes - net | 1,234,992 | 1,258,276 |
Other regulatory liabilities | 2,588,056 | 2,324,590 |
Decommissioning and asset retirement cost liabilities | 4,325,106 | 4,271,531 |
Loss Contingency Accrual | 531,226 | 531,201 |
Pension and other postretirement liabilities | 1,166,724 | 1,213,555 |
Long-term debt | 24,464,263 | 23,623,512 |
Deferred Credits and Other Liabilities | 733,737 | 688,720 |
TOTAL | 39,991,609 | 38,941,442 |
Subsidiaries' preferred stock without sinking fund | 219,410 | 219,410 |
Proceeds from Issuance of Preferred Stock and Preference Stock | 0 | 0 |
Common Shareholders' Equity: | ||
Common Stock, Value, Issued | 2,797 | 2,797 |
Additional Paid in Capital, Common Stock | 7,617,777 | 7,632,895 |
Accumulated other comprehensive loss | (189,727) | (191,754) |
Less - treasury stock, at cost | 4,959,395 | 4,978,994 |
TOTAL | 13,058,234 | 12,966,985 |
Stockholders' Equity Attributable to Noncontrolling Interest | 108,694 | 97,907 |
Retained Earnings (Accumulated Deficit) | 10,586,782 | 10,502,041 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 13,166,928 | 13,064,892 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 59,203,276 | 58,595,191 |
Entergy Arkansas [Member] | ||
Cash and cash equivalents: | ||
Cash | 2,871 | 1,911 |
Temporary cash investments | 156,714 | 3,367 |
Total cash and cash equivalents | 159,585 | 5,278 |
Accounts receivable: | ||
Customer | 129,852 | 140,513 |
Allowance for doubtful accounts | (5,255) | (6,528) |
Accounts Receivable, Related Parties, Current | 51,962 | 45,336 |
Other | 94,252 | 101,096 |
Accrued unbilled revenues | 98,387 | 116,816 |
Total accounts receivable | 369,198 | 397,233 |
Deferred Fuel Cost | 52,158 | 139,739 |
Fuel inventory - at average cost | 66,399 | 51,144 |
Public Utilities, Inventory | 304,342 | 288,260 |
Deferred nuclear refueling outage costs | 47,143 | 56,443 |
Prepaid Expense and Other Assets | 26,120 | 26,576 |
TOTAL | 1,024,945 | 964,673 |
OTHER PROPERTY AND INVESTMENTS | ||
Decommissioning trust funds | 1,265,519 | 1,199,860 |
Other | 2,430 | 2,414 |
TOTAL | 1,267,949 | 1,202,274 |
PROPERTY, PLANT, AND EQUIPMENT | ||
Electric | 14,226,705 | 14,077,844 |
Construction work in progress | 448,820 | 417,244 |
Nuclear fuel | 185,531 | 176,174 |
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 14,861,056 | 14,671,262 |
Less - accumulated depreciation and amortization | 5,804,506 | 5,729,304 |
PROPERTY, PLANT, AND EQUIPMENT - NET | 9,056,550 | 8,941,958 |
Regulatory assets: | ||
Regulatory Assets, Noncurrent | 1,837,282 | 1,810,281 |
Deferred Fuel Cost Non Current | 68,883 | 68,883 |
Other | 24,821 | 18,507 |
Deferred Costs and Other Assets | 1,930,986 | 1,897,671 |
TOTAL ASSETS | 13,280,430 | 13,006,576 |
CURRENT LIABILITIES | ||
Currently maturing long-term debt | 290,000 | 290,000 |
Associated companies accounts payable | 65,002 | 276,362 |
Accounts payable | 241,282 | 310,339 |
Contract with Customer, Liability, Current | 103,891 | 102,799 |
Taxes Payable, Current | 111,173 | 100,526 |
Interest accrued | 54,721 | 18,816 |
Other | 44,772 | 43,394 |
TOTAL | 910,841 | 1,142,236 |
NON-CURRENT LIABILITIES | ||
Deferred Income Tax Liabilities, Net | 1,522,328 | 1,498,234 |
Accumulated deferred investment tax credits | 28,171 | 28,472 |
Regulatory liability for income taxes - net | 422,376 | 435,157 |
Other regulatory liabilities | 533,740 | 475,758 |
Decommissioning and asset retirement cost liabilities | 1,494,086 | 1,472,736 |
Loss Contingency Accrual | 73,398 | 79,998 |
Pension and other postretirement liabilities | 109,991 | 118,020 |
Long-term debt | 4,330,604 | 3,876,500 |
Deferred Credits and Other Liabilities | 93,787 | 97,650 |
TOTAL | 8,608,481 | 8,082,525 |
Common Shareholders' Equity: | ||
Members' Equity | 3,735,016 | 3,753,990 |
Members' Equity Attributable to Noncontrolling Interest | 26,092 | 27,825 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 3,761,108 | 3,781,815 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 13,280,430 | 13,006,576 |
Entergy Louisiana [Member] | ||
Cash and cash equivalents: | ||
Cash | 503 | 50,318 |
Temporary cash investments | 1,079,349 | 6,295 |
Total cash and cash equivalents | 1,079,852 | 56,613 |
Accounts receivable: | ||
Customer | 252,121 | 339,291 |
Allowance for doubtful accounts | (5,667) | (7,595) |
Accounts Receivable, Related Parties, Current | 166,204 | 88,896 |
Other | 34,003 | 53,241 |
Accrued unbilled revenues | 183,877 | 199,077 |
Total accounts receivable | 630,538 | 672,910 |
Deferred Fuel Cost | 0 | 159,183 |
Fuel inventory - at average cost | 46,348 | 41,859 |
Public Utilities, Inventory | 582,975 | 555,860 |
Deferred nuclear refueling outage costs | 82,201 | 53,833 |
Prepaid Expense and Other Assets | 122,373 | 76,646 |
TOTAL | 2,544,287 | 1,616,904 |
Investments in and Advances to Affiliates, at Fair Value | 4,574,605 | 3,163,572 |
OTHER PROPERTY AND INVESTMENTS | ||
Decommissioning trust funds | 1,879,612 | 1,779,090 |
Non-utility property - at cost (less accumulated depreciation) | 384,988 | 350,723 |
Storm Reserve Escrow Account | 296,443 | 293,406 |
Other | 15,681 | 19,679 |
TOTAL | 7,151,329 | 5,606,470 |
PROPERTY, PLANT, AND EQUIPMENT | ||
Electric | 26,752,076 | 27,498,136 |
Natural gas | 304,956 | 301,719 |
Construction work in progress | 822,944 | 736,969 |
Nuclear fuel | 240,301 | 212,941 |
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 28,120,277 | 28,749,765 |
Less - accumulated depreciation and amortization | 10,144,497 | 10,087,942 |
PROPERTY, PLANT, AND EQUIPMENT - NET | 17,975,780 | 18,661,823 |
Regulatory assets: | ||
Regulatory Assets, Noncurrent | 1,564,124 | 2,056,179 |
Deferred Fuel Cost Non Current | 168,122 | 168,122 |
Other | 45,231 | 35,057 |
Deferred Costs and Other Assets | 1,777,477 | 2,259,358 |
TOTAL ASSETS | 29,448,873 | 28,144,555 |
CURRENT LIABILITIES | ||
Currently maturing long-term debt | 1,010,000 | 1,010,000 |
Associated companies accounts payable | 99,730 | 356,688 |
Accounts payable | 447,572 | 589,355 |
Contract with Customer, Liability, Current | 164,075 | 161,666 |
Taxes Payable, Current | 47,631 | 36,004 |
Interest accrued | 88,606 | 101,336 |
Deferred fuel costs | 14,626 | 0 |
Other | 68,663 | 72,525 |
TOTAL | 1,940,903 | 2,327,574 |
NON-CURRENT LIABILITIES | ||
Deferred Income Tax Liabilities, Net | 2,296,882 | 2,374,878 |
Accumulated deferred investment tax credits | 96,711 | 97,868 |
Regulatory liability for income taxes - net | 332,896 | 337,836 |
Other regulatory liabilities | 1,198,198 | 1,037,962 |
Decommissioning and asset retirement cost liabilities | 1,758,469 | 1,736,801 |
Loss Contingency Accrual | 318,364 | 316,314 |
Pension and other postretirement liabilities | 386,209 | 389,631 |
Long-term debt | 9,680,832 | 9,688,922 |
Deferred Credits and Other Liabilities | 391,218 | 343,321 |
TOTAL | 16,459,779 | 16,323,533 |
Common Shareholders' Equity: | ||
Accumulated other comprehensive loss | 54,584 | 55,370 |
Members' Equity | 10,947,211 | 9,406,343 |
Members' Equity Attributable to Noncontrolling Interest | 46,396 | 31,735 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 11,048,191 | 9,493,448 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 29,448,873 | 28,144,555 |
Entergy Mississippi [Member] | ||
Cash and cash equivalents: | ||
Cash | 888 | 26 |
Temporary cash investments | 35,264 | 16,953 |
Total cash and cash equivalents | 36,152 | 16,979 |
Accounts receivable: | ||
Customer | 100,813 | 99,504 |
Allowance for doubtful accounts | (2,235) | (2,472) |
Accounts Receivable, Related Parties, Current | 4,226 | 37,673 |
Other | 17,245 | 34,564 |
Accrued unbilled revenues | 60,510 | 73,473 |
Total accounts receivable | 180,559 | 242,742 |
Deferred Fuel Cost | 76,206 | 143,211 |
Fuel inventory - at average cost | 18,562 | 15,548 |
Public Utilities, Inventory | 91,576 | 84,346 |
Prepaid Expense and Other Assets | 10,409 | 9,603 |
TOTAL | 413,464 | 512,429 |
OTHER PROPERTY AND INVESTMENTS | ||
Non-utility property - at cost (less accumulated depreciation) | 4,508 | 4,512 |
Storm Reserve Escrow Account | 33,896 | 33,549 |
Other | 911 | 910 |
TOTAL | 39,315 | 38,971 |
PROPERTY, PLANT, AND EQUIPMENT | ||
Electric | 7,143,328 | 7,079,849 |
Construction work in progress | 218,611 | 170,191 |
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 7,361,939 | 7,250,040 |
Less - accumulated depreciation and amortization | 2,309,803 | 2,264,786 |
PROPERTY, PLANT, AND EQUIPMENT - NET | 5,052,136 | 4,985,254 |
Regulatory assets: | ||
Regulatory Assets, Noncurrent | 518,440 | 519,460 |
Other | 26,109 | 22,650 |
Deferred Costs and Other Assets | 544,549 | 542,110 |
TOTAL ASSETS | 6,049,464 | 6,078,764 |
CURRENT LIABILITIES | ||
Currently maturing long-term debt | 400,000 | 400,000 |
Associated companies accounts payable | 61,557 | 60,532 |
Accounts payable | 139,804 | 176,162 |
Contract with Customer, Liability, Current | 90,130 | 89,668 |
Taxes Payable, Current | 44,739 | 124,905 |
Interest accrued | 29,287 | 18,208 |
Other | 36,741 | 38,908 |
TOTAL | 802,258 | 908,383 |
NON-CURRENT LIABILITIES | ||
Deferred Income Tax Liabilities, Net | 788,820 | 780,030 |
Accumulated deferred investment tax credits | 14,492 | 14,591 |
Regulatory liability for income taxes - net | 199,383 | 202,058 |
Other regulatory liabilities | 38,052 | 79,865 |
Decommissioning and asset retirement cost liabilities | 7,903 | 7,797 |
Loss Contingency Accrual | 39,409 | 37,509 |
Pension and other postretirement liabilities | 19,573 | 23,742 |
Long-term debt | 2,031,365 | 1,931,096 |
Deferred Credits and Other Liabilities | 59,232 | 53,156 |
TOTAL | 3,198,229 | 3,129,844 |
Common Shareholders' Equity: | ||
Stockholders' Equity Attributable to Noncontrolling Interest | 1,206 | 3,347 |
Members' Equity | 2,047,771 | 2,037,190 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 2,048,977 | 2,040,537 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 6,049,464 | 6,078,764 |
Entergy New Orleans [Member] | ||
Cash and cash equivalents: | ||
Cash | 367 | 27 |
Temporary cash investments | 175,519 | 4,437 |
Total cash and cash equivalents | 175,886 | 4,464 |
Securitization recovery trust account | 5,290 | 2,235 |
Accounts receivable: | ||
Customer | 67,827 | 93,288 |
Allowance for doubtful accounts | (8,334) | (11,909) |
Accounts Receivable, Related Parties, Current | 14,502 | 149,927 |
Other | 7,258 | 6,110 |
Accrued unbilled revenues | 32,737 | 37,284 |
Total accounts receivable | 113,990 | 274,700 |
Deferred Fuel Cost | 3,188 | 10,153 |
Fuel inventory - at average cost | 2,952 | 5,872 |
Public Utilities, Inventory | 23,868 | 22,498 |
Prepaid Expense and Other Assets | 18,567 | 6,312 |
TOTAL | 343,741 | 326,234 |
OTHER PROPERTY AND INVESTMENTS | ||
Non-utility property - at cost (less accumulated depreciation) | 1,050 | 1,050 |
Storm Reserve Escrow Account | 75,811 | 75,000 |
Other | 675 | 675 |
TOTAL | 77,536 | 76,725 |
PROPERTY, PLANT, AND EQUIPMENT | ||
Electric | 1,963,198 | 1,934,837 |
Natural gas | 392,815 | 390,252 |
Construction work in progress | 23,011 | 39,607 |
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 2,379,024 | 2,364,696 |
Less - accumulated depreciation and amortization | 817,324 | 808,224 |
PROPERTY, PLANT, AND EQUIPMENT - NET | 1,561,700 | 1,556,472 |
Regulatory assets: | ||
Regulatory Assets, Noncurrent | 199,845 | 202,112 |
Deferred Fuel Cost Non Current | 4,080 | 4,080 |
Other | 50,425 | 46,778 |
Deferred Costs and Other Assets | 254,350 | 252,970 |
TOTAL ASSETS | 2,237,327 | 2,212,401 |
CURRENT LIABILITIES | ||
Currently maturing long-term debt | 170,000 | 170,000 |
Notes Payable, Related Parties, Current | 1,306 | 1,306 |
Associated companies accounts payable | 47,327 | 53,258 |
Accounts payable | 43,464 | 57,291 |
Contract with Customer, Liability, Current | 32,161 | 31,826 |
Taxes Payable, Current | 11,995 | 10,308 |
Interest accrued | 7,719 | 8,080 |
Other | 7,547 | 6,560 |
TOTAL | 321,519 | 338,629 |
NON-CURRENT LIABILITIES | ||
Deferred Income Tax Liabilities, Net | 386,218 | 385,259 |
Accumulated deferred investment tax credits | 16,475 | 16,481 |
Regulatory liability for income taxes - net | 42,398 | 39,738 |
Loss Contingency Accrual | 88,693 | 87,048 |
Long-term debt | 596,242 | 596,047 |
Notes Payable, Related Parties, Noncurrent | 8,279 | 8,279 |
Deferred Credits and Other Liabilities | 64,545 | 38,104 |
TOTAL | 1,202,850 | 1,170,956 |
Common Shareholders' Equity: | ||
Members' Equity | 712,958 | 702,816 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 712,958 | 702,816 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 2,237,327 | 2,212,401 |
Entergy Texas [Member] | ||
Cash and cash equivalents: | ||
Cash | 1,004 | 500 |
Temporary cash investments | 91,160 | 2,997 |
Total cash and cash equivalents | 92,164 | 3,497 |
Securitization recovery trust account | 11,728 | 10,879 |
Accounts receivable: | ||
Customer | 79,086 | 115,955 |
Allowance for doubtful accounts | (1,847) | (2,352) |
Accounts Receivable, Related Parties, Current | 13,824 | 115,549 |
Other | 11,512 | 21,587 |
Accrued unbilled revenues | 61,230 | 69,208 |
Total accounts receivable | 163,805 | 319,947 |
Deferred Fuel Cost | 150,877 | 258,115 |
Fuel inventory - at average cost | 35,195 | 26,750 |
Public Utilities, Inventory | 88,560 | 93,031 |
Prepaid Expense and Other Assets | 14,622 | 20,568 |
TOTAL | 556,951 | 732,787 |
OTHER PROPERTY AND INVESTMENTS | ||
Investment in affiliates - at equity | 222 | 250 |
Non-utility property - at cost (less accumulated depreciation) | 376 | 376 |
Other | 19,129 | 18,975 |
TOTAL | 19,727 | 19,601 |
PROPERTY, PLANT, AND EQUIPMENT | ||
Electric | 7,497,285 | 7,409,461 |
Construction work in progress | 486,164 | 339,139 |
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 7,983,449 | 7,748,600 |
Less - accumulated depreciation and amortization | 2,180,743 | 2,135,400 |
PROPERTY, PLANT, AND EQUIPMENT - NET | 5,802,706 | 5,613,200 |
Regulatory assets: | ||
Regulatory Assets, Noncurrent | 557,147 | 578,682 |
Other | 97,837 | 99,694 |
Deferred Costs and Other Assets | 654,984 | 678,376 |
TOTAL ASSETS | 7,034,368 | 7,043,964 |
CURRENT LIABILITIES | ||
Associated companies accounts payable | 59,669 | 70,321 |
Accounts payable | 203,742 | 201,982 |
Contract with Customer, Liability, Current | 38,953 | 38,764 |
Taxes Payable, Current | 71,447 | 93,033 |
Interest accrued | 11,272 | 23,928 |
Other | 15,745 | 16,963 |
TOTAL | 400,828 | 444,991 |
NON-CURRENT LIABILITIES | ||
Deferred Income Tax Liabilities, Net | 740,360 | 744,227 |
Accumulated deferred investment tax credits | 8,559 | 8,711 |
Regulatory liability for income taxes - net | 127,872 | 132,647 |
Other regulatory liabilities | 46,739 | 45,247 |
Decommissioning and asset retirement cost liabilities | 11,274 | 11,121 |
Loss Contingency Accrual | 8,115 | 7,593 |
Long-term debt | 2,896,522 | 2,895,913 |
Deferred Credits and Other Liabilities | 73,483 | 74,053 |
TOTAL | $ 3,912,924 | $ 3,919,512 |
Common Stock, Shares, Outstanding | 46,525,000 | 46,525,000 |
Common Shareholders' Equity: | ||
Common Stock, Value, Issued | $ 49,452 | $ 49,452 |
Additional Paid in Capital, Common Stock | 1,050,125 | 1,050,125 |
TOTAL | 2,681,866 | 2,640,711 |
Stockholders' Equity Attributable to Noncontrolling Interest | 38,750 | 38,750 |
Retained Earnings (Accumulated Deficit) | 1,582,289 | 1,541,134 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 2,720,616 | 2,679,461 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 7,034,368 | 7,043,964 |
System Energy [Member] | ||
Cash and cash equivalents: | ||
Cash | 723 | 78 |
Temporary cash investments | 259,280 | 2,862 |
Total cash and cash equivalents | 260,003 | 2,940 |
Accounts receivable: | ||
Accounts Receivable, Related Parties, Current | 89,804 | 158,601 |
Other | 6,749 | 6,145 |
Total accounts receivable | 96,553 | 164,746 |
Public Utilities, Inventory | 138,039 | 135,346 |
Deferred nuclear refueling outage costs | 26,344 | 33,377 |
Prepaid Expense and Other Assets | 10,600 | 9,097 |
TOTAL | 539,778 | 345,506 |
OTHER PROPERTY AND INVESTMENTS | ||
Decommissioning trust funds | 1,204,762 | 1,142,914 |
TOTAL | 1,204,762 | 1,142,914 |
PROPERTY, PLANT, AND EQUIPMENT | ||
Electric | 5,434,346 | 5,425,449 |
Construction work in progress | 122,510 | 102,987 |
Nuclear fuel | 162,124 | 193,004 |
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 5,718,980 | 5,721,440 |
Less - accumulated depreciation and amortization | 3,446,204 | 3,412,257 |
PROPERTY, PLANT, AND EQUIPMENT - NET | 2,272,776 | 2,309,183 |
Regulatory assets: | ||
Regulatory Assets, Noncurrent | 418,368 | 415,121 |
Other | 848 | 1,422 |
Deferred Costs and Other Assets | 419,216 | 416,543 |
TOTAL ASSETS | 4,436,532 | 4,214,146 |
CURRENT LIABILITIES | ||
Currently maturing long-term debt | 250,046 | 300,037 |
Associated companies accounts payable | 12,901 | 21,701 |
Accounts payable | 55,406 | 58,178 |
Taxes Payable, Current | 0 | 7,597 |
Interest accrued | 11,533 | 11,591 |
Sale-leaseback/depreciation regulatory liability | 0 | 103,497 |
Other | 4,067 | 4,071 |
TOTAL | 333,953 | 506,672 |
NON-CURRENT LIABILITIES | ||
Deferred Income Tax Liabilities, Net | 386,757 | 376,070 |
Accumulated deferred investment tax credits | 44,348 | 44,692 |
Regulatory liability for income taxes - net | 110,068 | 110,840 |
Other regulatory liabilities | 722,081 | 665,024 |
Decommissioning and asset retirement cost liabilities | 1,052,748 | 1,042,461 |
Pension and other postretirement liabilities | 39,098 | 40,750 |
Long-term debt | 770,165 | 477,868 |
Deferred Credits and Other Liabilities | 2 | 2 |
TOTAL | $ 3,125,267 | $ 2,757,707 |
Common Stock, Shares, Outstanding | 789,350 | 789,350 |
Common Shareholders' Equity: | ||
Common Stock, Value, Issued | $ 1,086,850 | $ 1,086,850 |
Retained Earnings (Accumulated Deficit) | (109,538) | (137,083) |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 977,312 | 949,767 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 4,436,532 | 4,214,146 |
Prepaid Taxes | $ 8,239 | $ 0 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Net income | $ 312,299 | $ 279,593 |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, after Tax | 0 | 24 |
Other comprehensive income (loss) | ||
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss), Reclassification Adjustment from AOCI, after Tax | 2,027 | 8,328 |
Net unrealized investment gains | 0 | (12,402) |
Other comprehensive income (loss) | 2,027 | (4,050) |
Total comprehensive income | 314,326 | 275,543 |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 1,364 | 3,193 |
Comprehensive Income Attributable to Entergy Corporation | 312,962 | 272,350 |
Entergy Louisiana [Member] | ||
Net income | 244,024 | 150,860 |
Other comprehensive income (loss) | ||
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss), Reclassification Adjustment from AOCI, after Tax | (786) | (613) |
Other comprehensive income (loss) | (786) | (613) |
Total comprehensive income | 243,238 | 150,247 |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 554 | 0 |
Comprehensive Income Attributable to Entergy Corporation | 242,684 | 150,247 |
Entergy Arkansas [Member] | ||
Net income | 59,397 | 65,567 |
Other comprehensive income (loss) | ||
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | (1,629) | (1,387) |
System Energy [Member] | ||
Net income | $ 27,545 | $ 31,432 |
Consolidated Statements Of Chan
Consolidated Statements Of Changes In Equity - USD ($) $ in Thousands | Total | Subsidiaries Preferred Stock [Member] | Paid In Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income [Member] | Common Stock [Member] | Treasury Stock, Common | Entergy Texas [Member] | Entergy Texas [Member] Subsidiaries Preferred Stock [Member] | Entergy Texas [Member] Paid In Capital [Member] | Entergy Texas [Member] Retained Earnings [Member] | Entergy Texas [Member] Common Stock [Member] | Entergy Mississippi [Member] | Entergy Mississippi [Member] Member's Equity [Member] | Entergy Mississippi [Member] Noncontrolling Interest | Entergy Arkansas [Member] | Entergy Arkansas [Member] Member's Equity [Member] | Entergy Arkansas [Member] Noncontrolling Interest | Entergy Louisiana [Member] | Entergy Louisiana [Member] Member's Equity [Member] | Entergy Louisiana [Member] Accumulated Other Comprehensive Income [Member] | Entergy Louisiana [Member] Noncontrolling Interest | Entergy New Orleans [Member] | System Energy [Member] | System Energy [Member] Retained Earnings [Member] | System Energy [Member] Common Stock [Member] | Entergy Corporation [Member] |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ 11,705,394 | $ 68,110 | $ 6,766,239 | $ 10,240,552 | $ (332,528) | $ 2,720 | $ (5,039,699) | $ 2,483,206 | $ 38,750 | $ 1,050,125 | $ 1,344,879 | $ 49,452 | $ 1,839,568 | $ 1,839,568 | $ 0 | $ 3,575,855 | $ 3,542,745 | $ 33,110 | $ 8,180,572 | $ 8,172,294 | $ 8,278 | $ 0 | $ 638,715 | $ 1,091,360 | $ 139,510 | $ 951,850 | |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 3,193 | 518 | 0 | (1,387) | 0 | ||||||||||||||||||||||
Dividends, Preferred Stock, Cash | 4,580 | 4,580 | 0 | 0 | 0 | 0 | 0 | 518 | 0 | 0 | 518 | 0 | $ 4,000 | ||||||||||||||
Consolidated net income | 279,593 | 3,193 | 0 | 276,400 | 0 | 0 | 0 | 50,403 | 0 | 0 | 50,403 | 0 | 30,355 | 30,355 | 0 | 65,567 | 66,954 | (1,387) | 150,860 | 150,860 | 0 | 0 | 15,126 | 31,432 | 31,432 | 0 | |
Dividends, Common Stock, Cash | $ (205,058) | 0 | 0 | (205,058) | 0 | 0 | 0 | (125,000) | (125,000) | 0 | 0 | ||||||||||||||||
Common stock dividend (in dollars per share) | $ 1.01 | ||||||||||||||||||||||||||
Payments of Ordinary Dividends, Preferred Stock and Preference Stock | $ (4,580) | ||||||||||||||||||||||||||
Other comprehensive income (loss) | (4,050) | 0 | 0 | 0 | (4,050) | 0 | 0 | (613) | 0 | (613) | 0 | ||||||||||||||||
Common stock issuances related to stock plans | (5,527) | 0 | 31,085 | 0 | 0 | 0 | (36,612) | ||||||||||||||||||||
Other | (13) | (13) | 0 | 0 | |||||||||||||||||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 11,776,826 | 66,723 | 6,735,154 | 10,311,894 | (336,578) | 2,720 | (5,003,087) | 2,533,091 | 38,750 | 1,050,125 | 1,394,764 | 49,452 | 1,869,923 | 1,869,923 | 0 | 3,641,422 | 3,609,699 | 31,723 | 8,205,806 | 8,198,141 | 7,665 | 0 | 653,841 | 1,122,792 | 170,942 | 951,850 | |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 13,064,892 | 97,907 | 7,632,895 | 10,502,041 | (191,754) | 2,797 | (4,978,994) | 2,679,461 | 38,750 | 1,050,125 | 1,541,134 | 49,452 | 2,040,537 | 2,037,190 | 3,347 | 3,781,815 | 3,753,990 | 27,825 | 9,493,448 | 9,406,343 | 55,370 | 31,735 | 702,816 | 949,767 | (137,083) | 1,086,850 | |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 1,364 | 518 | (2,141) | (1,629) | 554 | ||||||||||||||||||||||
Dividends, Preferred Stock, Cash | 4,580 | 4,580 | 0 | 0 | 0 | 0 | 0 | 518 | 0 | 0 | 518 | 0 | $ 4,000 | ||||||||||||||
Consolidated net income | 312,299 | 1,364 | 0 | 310,935 | 0 | 0 | 0 | 41,673 | 0 | 0 | 41,673 | 0 | 20,940 | 23,081 | (2,141) | 59,397 | 61,026 | (1,629) | 244,024 | 243,470 | 0 | 554 | 10,142 | 27,545 | 27,545 | 0 | |
Dividends, Common Stock, Cash | (226,194) | 0 | 0 | (226,194) | 0 | 0 | 0 | (12,500) | (12,500) | 0 | (80,000) | (80,000) | 0 | (160,250) | (160,250) | 0 | 0 | ||||||||||
Noncontrolling Interest, Increase from Subsidiary Equity Issuance | 14,577 | 14,577 | 0 | 0 | 0 | 0 | 0 | 14,577 | 0 | 0 | 14,577 | ||||||||||||||||
Noncontrolling Interest, Decrease from Distributions to Noncontrolling Interest Holders | $ (574) | (574) | 0 | 0 | 0 | 0 | 0 | (104) | 0 | (104) | (470) | 0 | 0 | (470) | |||||||||||||
Common stock dividend (in dollars per share) | $ 1.07 | ||||||||||||||||||||||||||
Payments of Ordinary Dividends, Preferred Stock and Preference Stock | $ (4,580) | ||||||||||||||||||||||||||
Other comprehensive income (loss) | 2,027 | 0 | 0 | 0 | 2,027 | 0 | 0 | (786) | 0 | (786) | 0 | ||||||||||||||||
Proceeds from Contributions from Parent | 1,457,676 | 1,457,676 | 0 | 0 | |||||||||||||||||||||||
Common stock issuances related to stock plans | (4,481) | 0 | 15,118 | 0 | 0 | 0 | (19,599) | ||||||||||||||||||||
Other | (28) | (28) | 0 | 0 | |||||||||||||||||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ 13,166,928 | $ 108,694 | $ 7,617,777 | $ 10,586,782 | $ (189,727) | $ 2,797 | $ (4,959,395) | $ 2,720,616 | $ 38,750 | $ 1,050,125 | $ 1,582,289 | $ 49,452 | $ 2,048,977 | $ 2,047,771 | $ 1,206 | $ 3,761,108 | $ 3,735,016 | $ 26,092 | $ 11,048,191 | $ 10,947,211 | $ 54,584 | $ 46,396 | $ 712,958 | $ 977,312 | $ (109,538) | $ 1,086,850 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Securitized Regulatory Transition Assets, Noncurrent | $ 273,181 | $ 282,886 |
Long-term Transition Bond, Noncurrent | $ 292,912 | $ 292,760 |
Common Stock, Shares Authorized | 499,000,000 | 499,000,000 |
Common Stock, Shares, Issued | 279,653,929 | 279,653,929 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Authorized | 1,000,000 | 1,000,000 |
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Treasury Stock, Shares | 68,207,883 | 68,477,429 |
Property, Plant and Equipment, Net | $ 400,579 | $ 366,405 |
Storm Reserve Escrow Account | 406,150 | 401,955 |
Liability, Defined Benefit Plan, Current | 87,588 | 104,845 |
Sale-leaseback/depreciation regulatory liability | 0 | 103,497 |
Regulatory Assets, Noncurrent | 5,493,703 | 6,036,397 |
Other Long-term Investments | 101,498 | 102,259 |
Interest Payable, Current | 225,891 | 195,264 |
Entergy New Orleans [Member] | ||
Securitized Regulatory Transition Assets, Noncurrent | 10,700 | 13,363 |
Long-term Transition Bond, Noncurrent | 17,757 | 17,697 |
Property, Plant and Equipment, Net | 1,050 | 1,050 |
Storm Reserve Escrow Account | 75,811 | 75,000 |
Regulatory Assets, Noncurrent | 199,845 | 202,112 |
Other Long-term Investments | 675 | 675 |
Interest Payable, Current | 7,719 | 8,080 |
Accounts Receivable, Related Parties, Current | 14,502 | 149,927 |
Entergy Texas [Member] | ||
Securitized Regulatory Transition Assets, Noncurrent | 262,481 | 269,523 |
Long-term Transition Bond, Noncurrent | $ 275,154 | $ 275,064 |
Common Stock, Shares Authorized | 200,000,000 | 200,000,000 |
Common Stock, Shares, Issued | 46,525,000 | 46,525,000 |
Common Stock, Shares, Outstanding | 46,525,000 | 46,525,000 |
Property, Plant and Equipment, Net | $ 376 | $ 376 |
Regulatory Assets, Noncurrent | 557,147 | 578,682 |
Other Long-term Investments | 19,129 | 18,975 |
Interest Payable, Current | 11,272 | 23,928 |
Accounts Receivable, Related Parties, Current | $ 13,824 | $ 115,549 |
System Energy [Member] | ||
Common Stock, Shares Authorized | 1,000,000 | 1,000,000 |
Common Stock, Shares, Issued | 789,350 | 789,350 |
Common Stock, Shares, Outstanding | 789,350 | 789,350 |
Sale-leaseback/depreciation regulatory liability | $ 0 | $ 103,497 |
Regulatory Assets, Noncurrent | 418,368 | 415,121 |
Interest Payable, Current | 11,533 | 11,591 |
Accounts Receivable, Related Parties, Current | 89,804 | 158,601 |
Entergy Arkansas [Member] | ||
Regulatory Assets, Noncurrent | 1,837,282 | 1,810,281 |
Other Long-term Investments | 2,430 | 2,414 |
Interest Payable, Current | 54,721 | 18,816 |
Accounts Receivable, Related Parties, Current | $ 51,962 | $ 45,336 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parentheticals) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | $ 731 | $ 2,542 |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, Tax | 0 | 0 |
Other Comprehensive Income (Loss), Securities, Available-for-sale, Tax | 0 | 7,221 |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 1,364 | 3,193 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 312,962 | 272,350 |
Entergy Louisiana [Member] | ||
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | 290 | 226 |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 554 | 0 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ 242,684 | $ 150,247 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2023 | |
Commitments And Contingencies | COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory authorities, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. In March 2023 the DOE submitted an offer of judgment to resolve claims in the fourth round ANO damages case. The $41 million offer was accepted by Entergy Arkansas, and the U.S. Court of Federal Claims issued a judgment in that amount in favor of Entergy Arkansas and against the DOE. Entergy Arkansas received payment from the U.S. Treasury in April 2023. The effects of recording the judgment were reductions to plant, nuclear fuel expense, other operation and maintenance expense, materials and supplies, and taxes other than income taxes. The ANO damages awarded included $18 million related to costs previously capitalized, $10 million related to costs previously recorded as other operation and maintenance expense, $8 million related to costs previously recorded as nuclear fuel expense, $3 million related to costs previously recorded as materials and supplies, and $2 million related to costs previously recorded as taxes other than income taxes. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf - Related Agreements See Note 8 to the financial statements in the Form 10-K for information regarding Grand Gulf-related agreements. Nelson Industrial Steam Company Entergy Louisiana is a partner in the Nelson Industrial Steam Company (NISCO) partnership which owns two petroleum coke generating units. In April 2023 these generating units suspended operations in the MISO market, and Entergy Louisiana currently is working with the partners to wind up the NISCO partnership, which will ultimately result in ownership of the generating units transferring to Entergy Louisiana. Entergy Louisiana is evaluating the effect of this on its financial condition, results of operations, and cash flows but at this time does not expect the effects to be material. |
Entergy Arkansas [Member] | |
Commitments And Contingencies | COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory authorities, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. In March 2023 the DOE submitted an offer of judgment to resolve claims in the fourth round ANO damages case. The $41 million offer was accepted by Entergy Arkansas, and the U.S. Court of Federal Claims issued a judgment in that amount in favor of Entergy Arkansas and against the DOE. Entergy Arkansas received payment from the U.S. Treasury in April 2023. The effects of recording the judgment were reductions to plant, nuclear fuel expense, other operation and maintenance expense, materials and supplies, and taxes other than income taxes. The ANO damages awarded included $18 million related to costs previously capitalized, $10 million related to costs previously recorded as other operation and maintenance expense, $8 million related to costs previously recorded as nuclear fuel expense, $3 million related to costs previously recorded as materials and supplies, and $2 million related to costs previously recorded as taxes other than income taxes. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf - Related Agreements See Note 8 to the financial statements in the Form 10-K for information regarding Grand Gulf-related agreements. Nelson Industrial Steam Company Entergy Louisiana is a partner in the Nelson Industrial Steam Company (NISCO) partnership which owns two petroleum coke generating units. In April 2023 these generating units suspended operations in the MISO market, and Entergy Louisiana currently is working with the partners to wind up the NISCO partnership, which will ultimately result in ownership of the generating units transferring to Entergy Louisiana. Entergy Louisiana is evaluating the effect of this on its financial condition, results of operations, and cash flows but at this time does not expect the effects to be material. |
Entergy Louisiana [Member] | |
Commitments And Contingencies | COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory authorities, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. In March 2023 the DOE submitted an offer of judgment to resolve claims in the fourth round ANO damages case. The $41 million offer was accepted by Entergy Arkansas, and the U.S. Court of Federal Claims issued a judgment in that amount in favor of Entergy Arkansas and against the DOE. Entergy Arkansas received payment from the U.S. Treasury in April 2023. The effects of recording the judgment were reductions to plant, nuclear fuel expense, other operation and maintenance expense, materials and supplies, and taxes other than income taxes. The ANO damages awarded included $18 million related to costs previously capitalized, $10 million related to costs previously recorded as other operation and maintenance expense, $8 million related to costs previously recorded as nuclear fuel expense, $3 million related to costs previously recorded as materials and supplies, and $2 million related to costs previously recorded as taxes other than income taxes. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf - Related Agreements See Note 8 to the financial statements in the Form 10-K for information regarding Grand Gulf-related agreements. Nelson Industrial Steam Company Entergy Louisiana is a partner in the Nelson Industrial Steam Company (NISCO) partnership which owns two petroleum coke generating units. In April 2023 these generating units suspended operations in the MISO market, and Entergy Louisiana currently is working with the partners to wind up the NISCO partnership, which will ultimately result in ownership of the generating units transferring to Entergy Louisiana. Entergy Louisiana is evaluating the effect of this on its financial condition, results of operations, and cash flows but at this time does not expect the effects to be material. |
Entergy Mississippi [Member] | |
Commitments And Contingencies | COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory authorities, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. In March 2023 the DOE submitted an offer of judgment to resolve claims in the fourth round ANO damages case. The $41 million offer was accepted by Entergy Arkansas, and the U.S. Court of Federal Claims issued a judgment in that amount in favor of Entergy Arkansas and against the DOE. Entergy Arkansas received payment from the U.S. Treasury in April 2023. The effects of recording the judgment were reductions to plant, nuclear fuel expense, other operation and maintenance expense, materials and supplies, and taxes other than income taxes. The ANO damages awarded included $18 million related to costs previously capitalized, $10 million related to costs previously recorded as other operation and maintenance expense, $8 million related to costs previously recorded as nuclear fuel expense, $3 million related to costs previously recorded as materials and supplies, and $2 million related to costs previously recorded as taxes other than income taxes. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf - Related Agreements See Note 8 to the financial statements in the Form 10-K for information regarding Grand Gulf-related agreements. Nelson Industrial Steam Company Entergy Louisiana is a partner in the Nelson Industrial Steam Company (NISCO) partnership which owns two petroleum coke generating units. In April 2023 these generating units suspended operations in the MISO market, and Entergy Louisiana currently is working with the partners to wind up the NISCO partnership, which will ultimately result in ownership of the generating units transferring to Entergy Louisiana. Entergy Louisiana is evaluating the effect of this on its financial condition, results of operations, and cash flows but at this time does not expect the effects to be material. |
Entergy New Orleans [Member] | |
Commitments And Contingencies | COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory authorities, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. In March 2023 the DOE submitted an offer of judgment to resolve claims in the fourth round ANO damages case. The $41 million offer was accepted by Entergy Arkansas, and the U.S. Court of Federal Claims issued a judgment in that amount in favor of Entergy Arkansas and against the DOE. Entergy Arkansas received payment from the U.S. Treasury in April 2023. The effects of recording the judgment were reductions to plant, nuclear fuel expense, other operation and maintenance expense, materials and supplies, and taxes other than income taxes. The ANO damages awarded included $18 million related to costs previously capitalized, $10 million related to costs previously recorded as other operation and maintenance expense, $8 million related to costs previously recorded as nuclear fuel expense, $3 million related to costs previously recorded as materials and supplies, and $2 million related to costs previously recorded as taxes other than income taxes. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf - Related Agreements See Note 8 to the financial statements in the Form 10-K for information regarding Grand Gulf-related agreements. Nelson Industrial Steam Company Entergy Louisiana is a partner in the Nelson Industrial Steam Company (NISCO) partnership which owns two petroleum coke generating units. In April 2023 these generating units suspended operations in the MISO market, and Entergy Louisiana currently is working with the partners to wind up the NISCO partnership, which will ultimately result in ownership of the generating units transferring to Entergy Louisiana. Entergy Louisiana is evaluating the effect of this on its financial condition, results of operations, and cash flows but at this time does not expect the effects to be material. |
Entergy Texas [Member] | |
Commitments And Contingencies | COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory authorities, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. In March 2023 the DOE submitted an offer of judgment to resolve claims in the fourth round ANO damages case. The $41 million offer was accepted by Entergy Arkansas, and the U.S. Court of Federal Claims issued a judgment in that amount in favor of Entergy Arkansas and against the DOE. Entergy Arkansas received payment from the U.S. Treasury in April 2023. The effects of recording the judgment were reductions to plant, nuclear fuel expense, other operation and maintenance expense, materials and supplies, and taxes other than income taxes. The ANO damages awarded included $18 million related to costs previously capitalized, $10 million related to costs previously recorded as other operation and maintenance expense, $8 million related to costs previously recorded as nuclear fuel expense, $3 million related to costs previously recorded as materials and supplies, and $2 million related to costs previously recorded as taxes other than income taxes. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf - Related Agreements See Note 8 to the financial statements in the Form 10-K for information regarding Grand Gulf-related agreements. Nelson Industrial Steam Company Entergy Louisiana is a partner in the Nelson Industrial Steam Company (NISCO) partnership which owns two petroleum coke generating units. In April 2023 these generating units suspended operations in the MISO market, and Entergy Louisiana currently is working with the partners to wind up the NISCO partnership, which will ultimately result in ownership of the generating units transferring to Entergy Louisiana. Entergy Louisiana is evaluating the effect of this on its financial condition, results of operations, and cash flows but at this time does not expect the effects to be material. |
System Energy [Member] | |
Commitments And Contingencies | COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory authorities, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. In March 2023 the DOE submitted an offer of judgment to resolve claims in the fourth round ANO damages case. The $41 million offer was accepted by Entergy Arkansas, and the U.S. Court of Federal Claims issued a judgment in that amount in favor of Entergy Arkansas and against the DOE. Entergy Arkansas received payment from the U.S. Treasury in April 2023. The effects of recording the judgment were reductions to plant, nuclear fuel expense, other operation and maintenance expense, materials and supplies, and taxes other than income taxes. The ANO damages awarded included $18 million related to costs previously capitalized, $10 million related to costs previously recorded as other operation and maintenance expense, $8 million related to costs previously recorded as nuclear fuel expense, $3 million related to costs previously recorded as materials and supplies, and $2 million related to costs previously recorded as taxes other than income taxes. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf - Related Agreements See Note 8 to the financial statements in the Form 10-K for information regarding Grand Gulf-related agreements. Nelson Industrial Steam Company Entergy Louisiana is a partner in the Nelson Industrial Steam Company (NISCO) partnership which owns two petroleum coke generating units. In April 2023 these generating units suspended operations in the MISO market, and Entergy Louisiana currently is working with the partners to wind up the NISCO partnership, which will ultimately result in ownership of the generating units transferring to Entergy Louisiana. Entergy Louisiana is evaluating the effect of this on its financial condition, results of operations, and cash flows but at this time does not expect the effects to be material. |
Rate And Regulatory Matters
Rate And Regulatory Matters | 3 Months Ended |
Mar. 31, 2023 | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2023, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected an increase from $0.01639 per kWh to $0.01883 per kWh. The primary reason for the rate increase is a large under-recovered balance as a result of higher natural gas prices in 2022 and a $32 million deferral related to the 2021 February winter storms consistent with APSC general staff’s request in 2022. The under-recovered balance included in the filing was partially offset by the proceeds of the $41.7 million refund that System Energy made to Entergy Arkansas in January 2023 related to the sale-leaseback renewal costs and depreciation litigation as calculated in System Energy’s January 2023 compliance report filed with the FERC. The redetermined rate of $0.01883 per kWh became effective with the first billing cycle in April 2023 through the normal operation of the tariff. See Note 2 to the financial statements in the Form 10-K for information on the 2021 February winter storm investigation proceeding. Entergy Texas As discussed in the Form 10-K, in September 2022, Entergy Texas filed an application with the PUCT to reconcile its fuel and purchased power costs for the period from April 2019 through March 2022. During the reconciliation period, Entergy Texas incurred approximately $1.7 billion in eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. As of the end of the reconciliation period, Entergy Texas’s cumulative under-recovery balance was approximately $103.1 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2022, pending future surcharges or refunds as approved by the PUCT. In November 2022 the PUCT referred the proceeding to the State Office of Administrative Hearings. In March 2023 municipal intervenors filed testimony proposing a $5.2 million disallowance for fuel purchased during Winter Storm Uri. PUCT staff proposed no disallowance. Entergy Texas filed rebuttal testimony in April 2023 and a hearing on the merits is set for May 2023. A PUCT decision is expected in September 2023. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) COVID-19 Orders See Note 2 to the financial statements in the Form 10-K for discussion of APSC orders issued in light of the COVID-19 pandemic. As of March 31, 2023, Entergy Arkansas had a regulatory asset of $39 million for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) COVID-19 Orders As discussed in the Form 10-K, in April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In April 2023, Entergy Louisiana filed an application proposing to utilize approximately $1.6 billion in certain low interest debt to generate earnings to apply toward the reduction of the COVID-19 regulatory asset. In that filing, Entergy Louisiana proposed to delay repayment of certain shorter-term first mortgage bonds that were issued to finance storm restoration costs until the costs could be securitized, and to invest the funds that otherwise would be used to repay those bonds in the money pool to take advantage of the spread between prevailing interest rates on investments in the money pool and the interest rates on the bonds. In the event the LPSC approves Entergy Louisiana’s requested relief, subsequent filings will be required to permit the LPSC to review the COVID-19 regulatory asset. As of March 31, 2023, Entergy Louisiana had a regulatory asset of $47.8 million for costs associated with the COVID -19 pandemic. Filings with the MPSC (Entergy Mississippi) Retail Rates 2023 Formula Rate Plan Filing In March 2023, Entergy Mississippi submitted its formula rate plan 2023 test year filing and 2022 look-back filing showing Entergy Mississippi’s earned return on rate base for the historical 2022 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2023 calendar year to be below the formula rate plan bandwidth. The 2023 test year filing shows a $39.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on rate base to the specified point of adjustment of 6.67%, within the formula rate plan bandwidth. The 2022 look-back filing compares actual 2022 results to the approved benchmark return on rate base and reflects the need for a $19.8 million temporary increase in formula rate plan revenues, including the refund of a $1.3 million over-recovery resulting from the demand-side management costs true-up for 2022. In fourth quarter 2022, Entergy Mississippi recorded a regulatory asset of $18.2 million in connection with the look-back feature of the formula rate plan to reflect that the 2022 estimated earned return was below the formula rate plan bandwidth. In accordance with the provisions of the formula rate plan, Entergy Mississippi implemented a $27.9 million interim rate increase, reflecting a cap equal to 2% of 2022 retail revenues, effective in April 2023. Filings with the City Council (Entergy New Orleans) Retail Rates 2023 Formula Rate Plan Filing In April 2023, Entergy New Orleans submitted to the City Council its formula rate plan 2022 test year filing. The 2022 test year evaluation report produced an electric earned return on equity of 7.34% and a gas earned return on equity of 3.52% compared to the authorized return on equity for each of 9.35%. Entergy New Orleans seeks approval of a $25.6 million rate increase based on the formula set by the City Council in the 2018 rate case. The formula results in an increase in authorized electric revenues of $17.4 million and an increase in authorized gas revenues of $8.2 million. Entergy New Orleans also seeks to commence collecting $3.4 million in electric revenues that were previously approved by the City Council for collection through the formula rate plan. The filing is subject to review by the City Council and other parties over a 75-day review period, followed by a 25-day period to resolve any disputes among the parties. Resulting rates will be effective with the first billing cycle of September 2023 pursuant to the formula rate plan tariff. For any disputed rate adjustments, however, the City Council would set a procedural schedule that would extend the process for City Council approval of disputed rate adjustments. Filings with the PUCT and Texas Cities (Entergy Texas) Retail Rates Generation Cost Recovery Rider As discussed in the Form 10-K, in August 2022 the PUCT approved a unanimous settlement agreement adjusting Entergy Texas’s generation cost recovery rider to recover an annual revenue requirement of approximately $92.8 million related to Entergy Texas’s actual investment in the acquisition of the Hardin County Peaking Facility, and rates became effective. In September 2022, Entergy Texas filed a relate-back rider designed to collect over three months an additional approximately $5.7 million, which is the revenue requirement, plus carrying costs, associated with Entergy Texas’s acquisition of Hardin County Peaking Facility from June 2021 through August 2022 when the updated revenue requirement took effect. In April 2023 the PUCT approved Entergy Texas’s as-filed request. COVID-19 Orders As discussed in the Form 10-K, in March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of the COVID-19 pandemic. In future proceedings, the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. As part of its 2022 base rate case filing, Entergy Texas requested recovery of its regulatory asset over a three-year period beginning December 2022. As of March 31, 2023, Entergy Texas had a regulatory asset of $10.4 million for costs associated with the COVID-19 pandemic. Entergy Arkansas Opportunity Sales Proceeding See Note 2 to the financial statements in the Form 10-K for discussion of the Entergy Arkansas opportunity sales proceeding. As discussed in the Form 10-K, in January 2023, Arkansas Electric Energy Consumers, Inc., an industrial customer association, filed a notice of appeal of the U.S. District Court for the Eastern District of Arkansas’s order denying its motion to intervene to the United States Court of Appeals for the Eighth Circuit and a motion with the district court to stay the proceedings pending the appeal, which was denied. In February 2023, Arkansas Electric Energy Consumers, Inc. filed a motion with the United States Court of Appeals for the Eighth District to stay the proceedings pending the appeal, which also was denied. The trial was held in February 2023. Following the trial, Entergy Arkansas filed a motion with the United States Court of Appeals for the Eighth District to expedite the appeal filed by Arkansas Electric Energy Consumers, Inc. The court granted Entergy Arkansas’s request and oral arguments are scheduled for June 2023. Complaints Against System Energy See Note 2 to the financial statements in the Form 10-K for information regarding pending complaints against System Energy. The following are updates to that discussion. Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in March 2021 the FERC ALJ issued an initial decision in the proceeding initiated by the LPSC, the MPSC, the APSC, and the City Council against System Energy regarding the return on equity component of the Unit Power Sales Agreement. With regard to System Energy’s authorized return on equity, the ALJ determined that the existing return on equity of 10.94% is no longer just and reasonable, and that the replacement authorized return on equity, based on application of the Opinion No. 569-A methodology, should be 9.32%. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (January 2017-April 2018) based on the difference between the current return on equity and the replacement authorized return on equity. The ALJ determined that the April 2018 complaint concerning the authorized return on equity should be dismissed, and that no refunds for a second fifteen-month refund period should be due. With regard to System Energy’s capital structure, the ALJ determined that System Energy’s actual equity ratio is excessive and that the just and reasonable equity ratio is 48.15% equity, based on the average equity ratio of the proxy group used to evaluate the return on equity for the second complaint. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (September 2018-December 2019) based on the difference between the actual equity ratio and the 48.15% equity ratio. If the ALJ’s initial decision is upheld, the estimated refund for this proceeding is approximately $38 million, which includes interest through March 31, 2023, and the estimated resulting annual rate reduction would be approximately $31 million. As a result of the 2022 settlement agreement with the MPSC, both the estimated refund and rate reduction exclude Entergy Mississippi's portion. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. The estimated refund will continue to accrue interest until a final FERC decision is issued. The ALJ initial decision is an interim step in the FERC litigation process , and an ALJ’s determinations made in an initial decision are not controlling on the FERC . In April 2021, System Energy filed its brief on exceptions, in which it challenged the initial decision’s findings on both the return on equity and capital structure issues. Also in April 2021 the LPSC, APSC, MPSC, City Council, and the FERC trial staff filed briefs on exceptions. Reply briefs opposing exceptions were filed in May 2021 by System Energy, the FERC trial staff, the LPSC, APSC, MPSC, and the City Council. Refunds, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Grand Gulf Sale-leaseback Renewal Complaint and Uncertain Tax Position Rate Base Issue As discussed in the Form 10-K, in May 2018 the LPSC filed a complaint against System Energy and Entergy Services related to System Energy’s renewal of a sale-leaseback transaction originally entered into in December 1988 for an 11.5% undivided interest in Grand Gulf Unit 1. The APSC, the MPSC, and the City Council subsequently intervened in the proceeding. A hearing was held before a FERC ALJ in November 2019. In April 2020 the ALJ issued the initial decision, and in December 2022 the FERC issued an order on the ALJ’s initial decision, which affirmed it in part and modified it in part. The FERC’s order directed System Energy to calculate refunds on three issues, and to provide a compliance report detailing the calculations. The FERC’s order also disallows the future recovery of sale-leaseback renewal costs, which is estimated at approximately $11.5 million annually for purchases from Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans through July 2036. The three refund issues are rental expenses related to the renewal of the sale-leaseback arrangements; refunds, if any, for the revenue requirement impact of including accumulated deferred income taxes resulting from the decommissioning uncertain tax positions from 2004 through the present; and refunds for the net effect of correcting the depreciation inputs for capital additions attributable to the portion of plant subject to the sale-leaseback. In January 2023, System Energy filed its compliance report with the FERC. With respect to the sale-leaseback renewal costs, System Energy calculated a refund of $89.8 million, which represented all of the sale-leaseback renewal rental costs that System Energy recovered in rates, with interest. With respect to the decommissioning uncertain tax position issue, System Energy calculated that no additional refunds are owed because it had already provided a one-time historical credit (for the period January 2016 through September 2020) of $25.2 million based on the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position, and because it has been providing an ongoing rate base credit for the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position since October 2020. With respect to the depreciation refund, System Energy calculated a refund of $13.7 million, which is the net total of a refund to customers for excess depreciation expense previously collected, plus interest, offset by the additional return on rate base that System Energy previously did not collect, without interest. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the regulatory charge and corresponding regulatory liability recorded in June 2022 related to these proceedings. In January 2023, System Energy paid the refunds of $103.5 million, which included refunds of $41.7 million to Entergy Arkansas, $27.8 million to Entergy Louisiana, and $34 million to Entergy New Orleans. Based on the December 2022 FERC order and analysis of the remaining litigation, management determined that System Energy’s regulatory liability related to complaints against System Energy as of March 31, 2023 is adequate. In January 2023, System Energy filed a request for rehearing of the FERC’s determinations in the December 2022 order on sale-leaseback refund issues and future lease cost disallowances, the FERC’s prospective policy on uncertain tax positions, and the proper accounting of System Energy’s accumulated deferred income taxes adjustment for the Tax Cuts and Jobs Act of 2017; and a motion for confirmation of its interpretation of the December 2022 order’s remedy concerning the decommissioning tax position. In January 2023 the retail regulators filed a motion for confirmation of their interpretation of the refund requirement in the December 2022 FERC order and a provisional request for rehearing. In February 2023 the FERC issued a notice that the rehearing requests have been deemed denied by operation of law. The deemed denial of the rehearing request initiates the sixty-day period in which aggrieved parties may petition for federal appellate court review of the underlying FERC orders; however the FERC may issue a substantive order on rehearing as long as it continues to have jurisdiction over the case. In March 2023, System Energy filed in the United States Court of Appeals for the Fifth Circuit a petition for review of the December 2022 order. In March 2023, System Energy also filed an unopposed motion to stay the proceeding in the Fifth Circuit pending the FERC’s disposition of the pending motions, and the court granted the motion to stay. In February 2023, System Energy submitted a tariff compliance filing with the FERC to clarify that, consistent with the releases provided in the MPSC settlement, Entergy Mississippi will continue to be charged for its allocation of the sale-leaseback renewal costs under the Unit Power Sales Agreement. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. In March 2023, the MPSC filed a protest to System Energy’s tariff compliance filing. The MPSC argues that the settlement did not specifically address post-settlement sale-leaseback renewal costs and that the sale-leaseback renewal costs may not be recovered under the Unit Power Sales Agreement. Entergy Mississippi’s allocated sale-leaseback renewal costs are estimated at $5.7 million annually for the remaining term of the sale-leaseback renewal. LPSC Additional Complaints As discussed in the Form 10-K, in May 2020 the LPSC authorized its staff to file additional complaints at the FERC related to the rates charged by System Energy for Grand Gulf energy and capacity supplied to Entergy Louisiana under the Unit Power Sales Agreement. The following are updates to that discussion. Unit Power Sales Agreement Complaint As discussed in the Form 10-K, the first of the additional complaints was filed by the LPSC, the APSC, the MPSC, and the City Council in September 2020. The first complaint raises two sets of rate allegations: violations of the filed rate and a corresponding request for refunds for prior periods; and elements of the Unit Power Sales Agreement are unjust and unreasonable and a corresponding request for refunds for the 15-month refund period and changes to the Unit Power Sales Agreement prospectively. In May 2021 the FERC issued an order addressing the complaint, establishing a refund effective date of September 21, 2020, establishing hearing procedures, and holding those procedures in abeyance pending the FERC’s review of the initial decision in the Grand Gulf sale-leaseback renewal complaint discussed above. In November 2021 the LPSC, the APSC, and the City Council filed direct testimony and requested the FERC to order refunds for prior periods and prospective amendments to the Unit Power Sales Agreement. System Energy filed answering testimony in January 2022. In March 2022, the FERC trial staff filed direct and answering testimony recommending refunds and prospective modifications to the Unit Power Sales Agreement. In April 2022, System Energy filed cross-answering testimony in response to the FERC trial staff’s recommendations. In June 2022, the FERC trial staff submitted revised answering testimony, in which it recommended additional refunds associated with the accumulated deferred income tax balances in account 190. Also in June 2022, System Energy filed revised and supplemental cross -answering testimony to respond to the FERC trial staff’s testimony and to oppose its revised recommendation. In May 2022, the LPSC, the APSC, and the City Council filed rebuttal testimony and asserted new claims. In June 2022 a new procedural schedule was adopted, providing for additional rounds of testimony and for the hearing to begin in September 2022. The hearing concluded in December 2022. Also in December 2022, a motion to extend the briefing schedule and the deadline for the initial decision was granted. The initial decision is due in May 2023. In November 2022, System Energy filed a partial settlement agreement with the APSC, the City Council, and the LPSC that resolves the following issues raised in the Unit Power Sales Agreement complaint: advance collection of lease payments, aircraft costs, executive incentive compensation, money pool borrowings, advertising expenses, deferred nuclear refueling outage costs, industry association dues, and termination of the capital funds agreement. The settlement provides that System Energy will provide a black-box refund of $18 million (inclusive of interest), plus additional refund amounts with interest to be calculated for certain issues to be distributed to Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans as the Utility operating companies other than Entergy Mississippi purchasing under the Unit Power Sales Agreement. The settlement further provides that if the APSC, the City Council, or the LPSC agrees to the global settlement System Energy entered into with the MPSC (see “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement), and such global settlement includes a black-box refund amount, then the black-box refund for this settlement agreement shall not be incremental or in addition to the global black-box refund amount. The settlement agreement addresses other matters as well, including adjustments to rate base beginning in October 2022, exclusion of certain other costs, and inclusion of money pool borrowings, if any, in short-term debt within the cost of capital calculation used in the Unit Power Sales Agreement. In April 2023, the FERC approved the settlement agreement. The refund provided for in the settlement agreement will be included in the May 2023 service month bills under the Unit Power Sales Agreement. System Energy Formula Rate Annual Protocols Formal Challenge Concerning 2021 Calendar Year Bills In March 2023, pursuant to the protocols procedures discussed in Note 2 to the financial statements in the Form 10-K, the LPSC, the APSC, and the City Council filed with the FERC a formal challenge to System Energy’s implementation of the formula rate during calendar year 2021. The formal challenge alleges: (1) that it was imprudent for System Energy to accept the IRS’s partial acceptance of a previously uncertain tax position; (2) that System Energy used incorrect inputs for retained earnings that are used to determine the capital structure; (3) that the equity ratio charged in rates was excessive; and (4) that all issues in the ongoing Unit Power Sales Agreement complaint proceeding should also be reflected in calendar year 2021 bills. The first, third, and fourth allegations are identical to issues that were raised in the formal challenge to the calendar year 2020 bills. The formal challenge to the calendar year 2021 bills states that the impact of the first allegation is “tens of millions of dollars,” but it does not provide an estimate of the financial impact of the remaining allegations. In May 2023, System Energy filed an answer to the formal challenge in which it requested that the FERC deny the formal challenge as a matter of law, or else hold the proceeding in abeyance pending the resolution of related dockets. Storm Cost Recovery Filings with Retail Regulators See Note 2 to the financial statements in the Form 10-K for discussion regarding storm cost recovery filings. The following is an update to that discussion. Entergy Louisiana Hurricane Laura, Hurricane Delta, Hurricane Zeta, Winter Storm Uri, and Hurricane Ida As discussed in the Form 10-K, i n August 2020 and October 2020, Hurricane Laura, Hurricane Delta, and Hurricane Zeta caused significant damage to portions of Entergy Louisiana’s service area. The storms resulted in widespread outages, significant damage to distribution and transmission infrastructure, and the loss of sales during the outages. Additionally, as a result of Hurricane Laura’s extensive damage to the grid infrastructure serving the impacted area, large portions of the underlying transmission system required nearly a complete rebuild. In February 2021 two winter storms (collectively, Winter Storm Uri) brought freezing rain and ice to Louisiana. Ice accumulation sagged or downed trees, limbs, and power lines, causing damage to Entergy Louisiana’s transmission and distribution systems. The additional weight of ice caused trees and limbs to fall into power lines and other electric equipment. When the ice melted, it affected vegetation and electrical equipment, causing additional outages. In August 2021, Hurricane Ida caused extensive damage to Entergy Louisiana’s distribution and, to a lesser extent, transmission systems resulting in widespread power outages. In April 2022, Entergy Louisiana filed an application with the LPSC relating to Hurricane Ida restoration costs. Total restoration costs for the repair and/or replacement of Entergy Louisiana’s electric facilities damaged by Hurricane Ida were estimated to be approximately $2.54 billion, including approximately $1.96 billion in capital costs and approximately $586 million in non-capital costs. Including carrying costs of $57 million through December 2022, Entergy Louisiana was seeking an LPSC determination that $2.60 billion was prudently incurred and, therefore, eligible for recovery from customers. As part of this filing, Entergy Louisiana also was seeking an LPSC determination that an additional $32 million in costs associated with the restoration of Entergy Louisiana’s electric facilities damaged by Hurricane Laura, Hurricane Delta, and Hurricane Zeta as well as Winter Storm Uri was prudently incurred. This amount was exclusive of the requested $3 million in carrying costs through December 2022. In total, Entergy Louisiana was requesting an LPSC determination that $2.64 billion was prudently incurred and, therefore, eligible for recovery from customers. As discussed in the Form 10-K, in March 2022 the LPSC approved financing of a $1 billion storm escrow account from which funds were withdrawn to finance costs associated with Hurricane Ida restoration. In June 2022, Entergy Louisiana supplemented the application with a request regarding the financing and recovery of the recoverable storm restoration costs. Specifically, Entergy Louisiana requested approval to securitize its restoration costs pursuant to Louisiana Act 55 financing, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. In October 2022 the LPSC staff recommended a finding that the requested storm restoration costs of $2.64 billion, including associated carrying costs of $59.1 million, were prudently incurred and are eligible for recovery from customers. The LPSC staff further recommended approval of Entergy Louisiana’s plans to securitize these costs, net of the $1 billion in funds withdrawn from the storm escrow account described above. The parties negotiated and executed an uncontested stipulated settlement which was filed with the LPSC in December 2022. The settlement agreement contains the following key terms: $2.57 billion of restoration costs from Hurricane Ida, Hurricane Laura, Hurricane Delta, Hurricane Zeta, and Winter Storm Uri were prudently incurred and were eligible for recovery; carrying costs of $59.2 million were recoverable; and Entergy Louisiana was authorized to finance $1.657 billion utilizing the securitization process authorized by Act 55, as supplemented by Act 293. In January 2023 the LPSC approved the stipulated settlement subject to certain modifications. These modifications include the recognition of accumulated deferred income tax benefits related to damaged assets and system restoration costs as a reduction of the amount authorized to be financed utilizing the securitization process authorized by Act 55, as supplemented by Act 293, from $1.657 billion to $1.491 billion. These modifications did not affect the LPSC’s conclusion that all system restoration costs sought by Entergy Louisiana were reasonable and prudent. In February 2023 the Louisiana Bond Commission voted to authorize the Louisiana Local Government Environmental Facilities and Community Development Authority (LCDA), a political subdivision of the State of Louisiana, to issue the bonds authorized in the LPSC’s financing order. In March 2023 the Hurricane Ida securitization financing closed, resulting in the issuance of approximately $1.491 billion principal amount of bonds by the LCDA and a remaining regulatory asset of $180 million to be recovered through the exclusion of the accumulated deferred income taxes related to damaged assets and system restoration costs from the determination of future rates. The securitization was authorized pursuant to the Louisiana Utilities Restoration Corporation Act, Part VIII of Chapter 9 of Title 45 of the Louisiana Revised Statutes, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. The LCDA loaned the proceeds to the LURC. Pursuant to Act 293, the LURC contributed the net bond proceeds to a State legislatively authorized and LURC-sponsored trust, Restoration Law Trust II (the storm trust II). Pursuant to Act 293, the net proceeds of the bonds were used by the storm trust II to purchase 14,576,757.48 Class B preferred, non-voting membership interest units (the preferred membership interests) issued by Entergy Finance Company, LLC, a majority-owned indirect subsidiary of Entergy. Entergy Finance Company is required to make annual distributions (dividends) commencing on December 15, 2023 on the preferred membership interests issued to the storm trust II. These annual dividends received by the storm trust II will be distributed to Entergy Louisiana and the LURC, as beneficiaries of the storm trust II. Specifically, 1% of the annual dividends received by the storm trust II will be distributed to the LURC for the benefit of customers, and 99% will be distributed to Entergy Louisiana, net of storm trust expenses. The preferred membership interests have a stated annual cumulative cash dividend rate of 7.5% and a liquidation price of $100 per unit. The terms of the preferred membership interests include certain financial covenants to which Entergy Finance Company is subject. Semi-annual redemptions of the preferred membership interests, subject to certain conditions, are expected to occur over the next 15 years. Entergy and Entergy Louisiana do not report the bonds issued by the LCDA on their balance sheets because the bonds are the obligation of the LCDA. The bonds are secured by system restoration property, which is the right granted by law to the LURC to collect a system restoration charge from customers. The system restoration charge is adjusted at least semi-annually to ensure that it is sufficient to service the bonds. Entergy Louisiana collects the system restoration charge on behalf of the LURC and remits the collections to the bond indenture trustee. Entergy Louisiana began collecting the system restoration charge effective with the first billing cycle of April 2023 and the system restoration charge is expected to remain in place up to 15 years. Entergy and Entergy Louisiana do not report the collections as revenue because Entergy Louisiana is merely acting as a billing and collection agent for the LCDA and the LURC. In the remote possibility that the system restoration charge, as well as any funds in the excess subaccount and funds in th |
Entergy Arkansas [Member] | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2023, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected an increase from $0.01639 per kWh to $0.01883 per kWh. The primary reason for the rate increase is a large under-recovered balance as a result of higher natural gas prices in 2022 and a $32 million deferral related to the 2021 February winter storms consistent with APSC general staff’s request in 2022. The under-recovered balance included in the filing was partially offset by the proceeds of the $41.7 million refund that System Energy made to Entergy Arkansas in January 2023 related to the sale-leaseback renewal costs and depreciation litigation as calculated in System Energy’s January 2023 compliance report filed with the FERC. The redetermined rate of $0.01883 per kWh became effective with the first billing cycle in April 2023 through the normal operation of the tariff. See Note 2 to the financial statements in the Form 10-K for information on the 2021 February winter storm investigation proceeding. Entergy Texas As discussed in the Form 10-K, in September 2022, Entergy Texas filed an application with the PUCT to reconcile its fuel and purchased power costs for the period from April 2019 through March 2022. During the reconciliation period, Entergy Texas incurred approximately $1.7 billion in eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. As of the end of the reconciliation period, Entergy Texas’s cumulative under-recovery balance was approximately $103.1 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2022, pending future surcharges or refunds as approved by the PUCT. In November 2022 the PUCT referred the proceeding to the State Office of Administrative Hearings. In March 2023 municipal intervenors filed testimony proposing a $5.2 million disallowance for fuel purchased during Winter Storm Uri. PUCT staff proposed no disallowance. Entergy Texas filed rebuttal testimony in April 2023 and a hearing on the merits is set for May 2023. A PUCT decision is expected in September 2023. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) COVID-19 Orders See Note 2 to the financial statements in the Form 10-K for discussion of APSC orders issued in light of the COVID-19 pandemic. As of March 31, 2023, Entergy Arkansas had a regulatory asset of $39 million for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) COVID-19 Orders As discussed in the Form 10-K, in April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In April 2023, Entergy Louisiana filed an application proposing to utilize approximately $1.6 billion in certain low interest debt to generate earnings to apply toward the reduction of the COVID-19 regulatory asset. In that filing, Entergy Louisiana proposed to delay repayment of certain shorter-term first mortgage bonds that were issued to finance storm restoration costs until the costs could be securitized, and to invest the funds that otherwise would be used to repay those bonds in the money pool to take advantage of the spread between prevailing interest rates on investments in the money pool and the interest rates on the bonds. In the event the LPSC approves Entergy Louisiana’s requested relief, subsequent filings will be required to permit the LPSC to review the COVID-19 regulatory asset. As of March 31, 2023, Entergy Louisiana had a regulatory asset of $47.8 million for costs associated with the COVID -19 pandemic. Filings with the MPSC (Entergy Mississippi) Retail Rates 2023 Formula Rate Plan Filing In March 2023, Entergy Mississippi submitted its formula rate plan 2023 test year filing and 2022 look-back filing showing Entergy Mississippi’s earned return on rate base for the historical 2022 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2023 calendar year to be below the formula rate plan bandwidth. The 2023 test year filing shows a $39.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on rate base to the specified point of adjustment of 6.67%, within the formula rate plan bandwidth. The 2022 look-back filing compares actual 2022 results to the approved benchmark return on rate base and reflects the need for a $19.8 million temporary increase in formula rate plan revenues, including the refund of a $1.3 million over-recovery resulting from the demand-side management costs true-up for 2022. In fourth quarter 2022, Entergy Mississippi recorded a regulatory asset of $18.2 million in connection with the look-back feature of the formula rate plan to reflect that the 2022 estimated earned return was below the formula rate plan bandwidth. In accordance with the provisions of the formula rate plan, Entergy Mississippi implemented a $27.9 million interim rate increase, reflecting a cap equal to 2% of 2022 retail revenues, effective in April 2023. Filings with the City Council (Entergy New Orleans) Retail Rates 2023 Formula Rate Plan Filing In April 2023, Entergy New Orleans submitted to the City Council its formula rate plan 2022 test year filing. The 2022 test year evaluation report produced an electric earned return on equity of 7.34% and a gas earned return on equity of 3.52% compared to the authorized return on equity for each of 9.35%. Entergy New Orleans seeks approval of a $25.6 million rate increase based on the formula set by the City Council in the 2018 rate case. The formula results in an increase in authorized electric revenues of $17.4 million and an increase in authorized gas revenues of $8.2 million. Entergy New Orleans also seeks to commence collecting $3.4 million in electric revenues that were previously approved by the City Council for collection through the formula rate plan. The filing is subject to review by the City Council and other parties over a 75-day review period, followed by a 25-day period to resolve any disputes among the parties. Resulting rates will be effective with the first billing cycle of September 2023 pursuant to the formula rate plan tariff. For any disputed rate adjustments, however, the City Council would set a procedural schedule that would extend the process for City Council approval of disputed rate adjustments. Filings with the PUCT and Texas Cities (Entergy Texas) Retail Rates Generation Cost Recovery Rider As discussed in the Form 10-K, in August 2022 the PUCT approved a unanimous settlement agreement adjusting Entergy Texas’s generation cost recovery rider to recover an annual revenue requirement of approximately $92.8 million related to Entergy Texas’s actual investment in the acquisition of the Hardin County Peaking Facility, and rates became effective. In September 2022, Entergy Texas filed a relate-back rider designed to collect over three months an additional approximately $5.7 million, which is the revenue requirement, plus carrying costs, associated with Entergy Texas’s acquisition of Hardin County Peaking Facility from June 2021 through August 2022 when the updated revenue requirement took effect. In April 2023 the PUCT approved Entergy Texas’s as-filed request. COVID-19 Orders As discussed in the Form 10-K, in March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of the COVID-19 pandemic. In future proceedings, the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. As part of its 2022 base rate case filing, Entergy Texas requested recovery of its regulatory asset over a three-year period beginning December 2022. As of March 31, 2023, Entergy Texas had a regulatory asset of $10.4 million for costs associated with the COVID-19 pandemic. Entergy Arkansas Opportunity Sales Proceeding See Note 2 to the financial statements in the Form 10-K for discussion of the Entergy Arkansas opportunity sales proceeding. As discussed in the Form 10-K, in January 2023, Arkansas Electric Energy Consumers, Inc., an industrial customer association, filed a notice of appeal of the U.S. District Court for the Eastern District of Arkansas’s order denying its motion to intervene to the United States Court of Appeals for the Eighth Circuit and a motion with the district court to stay the proceedings pending the appeal, which was denied. In February 2023, Arkansas Electric Energy Consumers, Inc. filed a motion with the United States Court of Appeals for the Eighth District to stay the proceedings pending the appeal, which also was denied. The trial was held in February 2023. Following the trial, Entergy Arkansas filed a motion with the United States Court of Appeals for the Eighth District to expedite the appeal filed by Arkansas Electric Energy Consumers, Inc. The court granted Entergy Arkansas’s request and oral arguments are scheduled for June 2023. Complaints Against System Energy See Note 2 to the financial statements in the Form 10-K for information regarding pending complaints against System Energy. The following are updates to that discussion. Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in March 2021 the FERC ALJ issued an initial decision in the proceeding initiated by the LPSC, the MPSC, the APSC, and the City Council against System Energy regarding the return on equity component of the Unit Power Sales Agreement. With regard to System Energy’s authorized return on equity, the ALJ determined that the existing return on equity of 10.94% is no longer just and reasonable, and that the replacement authorized return on equity, based on application of the Opinion No. 569-A methodology, should be 9.32%. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (January 2017-April 2018) based on the difference between the current return on equity and the replacement authorized return on equity. The ALJ determined that the April 2018 complaint concerning the authorized return on equity should be dismissed, and that no refunds for a second fifteen-month refund period should be due. With regard to System Energy’s capital structure, the ALJ determined that System Energy’s actual equity ratio is excessive and that the just and reasonable equity ratio is 48.15% equity, based on the average equity ratio of the proxy group used to evaluate the return on equity for the second complaint. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (September 2018-December 2019) based on the difference between the actual equity ratio and the 48.15% equity ratio. If the ALJ’s initial decision is upheld, the estimated refund for this proceeding is approximately $38 million, which includes interest through March 31, 2023, and the estimated resulting annual rate reduction would be approximately $31 million. As a result of the 2022 settlement agreement with the MPSC, both the estimated refund and rate reduction exclude Entergy Mississippi's portion. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. The estimated refund will continue to accrue interest until a final FERC decision is issued. The ALJ initial decision is an interim step in the FERC litigation process , and an ALJ’s determinations made in an initial decision are not controlling on the FERC . In April 2021, System Energy filed its brief on exceptions, in which it challenged the initial decision’s findings on both the return on equity and capital structure issues. Also in April 2021 the LPSC, APSC, MPSC, City Council, and the FERC trial staff filed briefs on exceptions. Reply briefs opposing exceptions were filed in May 2021 by System Energy, the FERC trial staff, the LPSC, APSC, MPSC, and the City Council. Refunds, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Grand Gulf Sale-leaseback Renewal Complaint and Uncertain Tax Position Rate Base Issue As discussed in the Form 10-K, in May 2018 the LPSC filed a complaint against System Energy and Entergy Services related to System Energy’s renewal of a sale-leaseback transaction originally entered into in December 1988 for an 11.5% undivided interest in Grand Gulf Unit 1. The APSC, the MPSC, and the City Council subsequently intervened in the proceeding. A hearing was held before a FERC ALJ in November 2019. In April 2020 the ALJ issued the initial decision, and in December 2022 the FERC issued an order on the ALJ’s initial decision, which affirmed it in part and modified it in part. The FERC’s order directed System Energy to calculate refunds on three issues, and to provide a compliance report detailing the calculations. The FERC’s order also disallows the future recovery of sale-leaseback renewal costs, which is estimated at approximately $11.5 million annually for purchases from Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans through July 2036. The three refund issues are rental expenses related to the renewal of the sale-leaseback arrangements; refunds, if any, for the revenue requirement impact of including accumulated deferred income taxes resulting from the decommissioning uncertain tax positions from 2004 through the present; and refunds for the net effect of correcting the depreciation inputs for capital additions attributable to the portion of plant subject to the sale-leaseback. In January 2023, System Energy filed its compliance report with the FERC. With respect to the sale-leaseback renewal costs, System Energy calculated a refund of $89.8 million, which represented all of the sale-leaseback renewal rental costs that System Energy recovered in rates, with interest. With respect to the decommissioning uncertain tax position issue, System Energy calculated that no additional refunds are owed because it had already provided a one-time historical credit (for the period January 2016 through September 2020) of $25.2 million based on the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position, and because it has been providing an ongoing rate base credit for the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position since October 2020. With respect to the depreciation refund, System Energy calculated a refund of $13.7 million, which is the net total of a refund to customers for excess depreciation expense previously collected, plus interest, offset by the additional return on rate base that System Energy previously did not collect, without interest. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the regulatory charge and corresponding regulatory liability recorded in June 2022 related to these proceedings. In January 2023, System Energy paid the refunds of $103.5 million, which included refunds of $41.7 million to Entergy Arkansas, $27.8 million to Entergy Louisiana, and $34 million to Entergy New Orleans. Based on the December 2022 FERC order and analysis of the remaining litigation, management determined that System Energy’s regulatory liability related to complaints against System Energy as of March 31, 2023 is adequate. In January 2023, System Energy filed a request for rehearing of the FERC’s determinations in the December 2022 order on sale-leaseback refund issues and future lease cost disallowances, the FERC’s prospective policy on uncertain tax positions, and the proper accounting of System Energy’s accumulated deferred income taxes adjustment for the Tax Cuts and Jobs Act of 2017; and a motion for confirmation of its interpretation of the December 2022 order’s remedy concerning the decommissioning tax position. In January 2023 the retail regulators filed a motion for confirmation of their interpretation of the refund requirement in the December 2022 FERC order and a provisional request for rehearing. In February 2023 the FERC issued a notice that the rehearing requests have been deemed denied by operation of law. The deemed denial of the rehearing request initiates the sixty-day period in which aggrieved parties may petition for federal appellate court review of the underlying FERC orders; however the FERC may issue a substantive order on rehearing as long as it continues to have jurisdiction over the case. In March 2023, System Energy filed in the United States Court of Appeals for the Fifth Circuit a petition for review of the December 2022 order. In March 2023, System Energy also filed an unopposed motion to stay the proceeding in the Fifth Circuit pending the FERC’s disposition of the pending motions, and the court granted the motion to stay. In February 2023, System Energy submitted a tariff compliance filing with the FERC to clarify that, consistent with the releases provided in the MPSC settlement, Entergy Mississippi will continue to be charged for its allocation of the sale-leaseback renewal costs under the Unit Power Sales Agreement. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. In March 2023, the MPSC filed a protest to System Energy’s tariff compliance filing. The MPSC argues that the settlement did not specifically address post-settlement sale-leaseback renewal costs and that the sale-leaseback renewal costs may not be recovered under the Unit Power Sales Agreement. Entergy Mississippi’s allocated sale-leaseback renewal costs are estimated at $5.7 million annually for the remaining term of the sale-leaseback renewal. LPSC Additional Complaints As discussed in the Form 10-K, in May 2020 the LPSC authorized its staff to file additional complaints at the FERC related to the rates charged by System Energy for Grand Gulf energy and capacity supplied to Entergy Louisiana under the Unit Power Sales Agreement. The following are updates to that discussion. Unit Power Sales Agreement Complaint As discussed in the Form 10-K, the first of the additional complaints was filed by the LPSC, the APSC, the MPSC, and the City Council in September 2020. The first complaint raises two sets of rate allegations: violations of the filed rate and a corresponding request for refunds for prior periods; and elements of the Unit Power Sales Agreement are unjust and unreasonable and a corresponding request for refunds for the 15-month refund period and changes to the Unit Power Sales Agreement prospectively. In May 2021 the FERC issued an order addressing the complaint, establishing a refund effective date of September 21, 2020, establishing hearing procedures, and holding those procedures in abeyance pending the FERC’s review of the initial decision in the Grand Gulf sale-leaseback renewal complaint discussed above. In November 2021 the LPSC, the APSC, and the City Council filed direct testimony and requested the FERC to order refunds for prior periods and prospective amendments to the Unit Power Sales Agreement. System Energy filed answering testimony in January 2022. In March 2022, the FERC trial staff filed direct and answering testimony recommending refunds and prospective modifications to the Unit Power Sales Agreement. In April 2022, System Energy filed cross-answering testimony in response to the FERC trial staff’s recommendations. In June 2022, the FERC trial staff submitted revised answering testimony, in which it recommended additional refunds associated with the accumulated deferred income tax balances in account 190. Also in June 2022, System Energy filed revised and supplemental cross -answering testimony to respond to the FERC trial staff’s testimony and to oppose its revised recommendation. In May 2022, the LPSC, the APSC, and the City Council filed rebuttal testimony and asserted new claims. In June 2022 a new procedural schedule was adopted, providing for additional rounds of testimony and for the hearing to begin in September 2022. The hearing concluded in December 2022. Also in December 2022, a motion to extend the briefing schedule and the deadline for the initial decision was granted. The initial decision is due in May 2023. In November 2022, System Energy filed a partial settlement agreement with the APSC, the City Council, and the LPSC that resolves the following issues raised in the Unit Power Sales Agreement complaint: advance collection of lease payments, aircraft costs, executive incentive compensation, money pool borrowings, advertising expenses, deferred nuclear refueling outage costs, industry association dues, and termination of the capital funds agreement. The settlement provides that System Energy will provide a black-box refund of $18 million (inclusive of interest), plus additional refund amounts with interest to be calculated for certain issues to be distributed to Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans as the Utility operating companies other than Entergy Mississippi purchasing under the Unit Power Sales Agreement. The settlement further provides that if the APSC, the City Council, or the LPSC agrees to the global settlement System Energy entered into with the MPSC (see “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement), and such global settlement includes a black-box refund amount, then the black-box refund for this settlement agreement shall not be incremental or in addition to the global black-box refund amount. The settlement agreement addresses other matters as well, including adjustments to rate base beginning in October 2022, exclusion of certain other costs, and inclusion of money pool borrowings, if any, in short-term debt within the cost of capital calculation used in the Unit Power Sales Agreement. In April 2023, the FERC approved the settlement agreement. The refund provided for in the settlement agreement will be included in the May 2023 service month bills under the Unit Power Sales Agreement. System Energy Formula Rate Annual Protocols Formal Challenge Concerning 2021 Calendar Year Bills In March 2023, pursuant to the protocols procedures discussed in Note 2 to the financial statements in the Form 10-K, the LPSC, the APSC, and the City Council filed with the FERC a formal challenge to System Energy’s implementation of the formula rate during calendar year 2021. The formal challenge alleges: (1) that it was imprudent for System Energy to accept the IRS’s partial acceptance of a previously uncertain tax position; (2) that System Energy used incorrect inputs for retained earnings that are used to determine the capital structure; (3) that the equity ratio charged in rates was excessive; and (4) that all issues in the ongoing Unit Power Sales Agreement complaint proceeding should also be reflected in calendar year 2021 bills. The first, third, and fourth allegations are identical to issues that were raised in the formal challenge to the calendar year 2020 bills. The formal challenge to the calendar year 2021 bills states that the impact of the first allegation is “tens of millions of dollars,” but it does not provide an estimate of the financial impact of the remaining allegations. In May 2023, System Energy filed an answer to the formal challenge in which it requested that the FERC deny the formal challenge as a matter of law, or else hold the proceeding in abeyance pending the resolution of related dockets. Storm Cost Recovery Filings with Retail Regulators See Note 2 to the financial statements in the Form 10-K for discussion regarding storm cost recovery filings. The following is an update to that discussion. Entergy Louisiana Hurricane Laura, Hurricane Delta, Hurricane Zeta, Winter Storm Uri, and Hurricane Ida As discussed in the Form 10-K, i n August 2020 and October 2020, Hurricane Laura, Hurricane Delta, and Hurricane Zeta caused significant damage to portions of Entergy Louisiana’s service area. The storms resulted in widespread outages, significant damage to distribution and transmission infrastructure, and the loss of sales during the outages. Additionally, as a result of Hurricane Laura’s extensive damage to the grid infrastructure serving the impacted area, large portions of the underlying transmission system required nearly a complete rebuild. In February 2021 two winter storms (collectively, Winter Storm Uri) brought freezing rain and ice to Louisiana. Ice accumulation sagged or downed trees, limbs, and power lines, causing damage to Entergy Louisiana’s transmission and distribution systems. The additional weight of ice caused trees and limbs to fall into power lines and other electric equipment. When the ice melted, it affected vegetation and electrical equipment, causing additional outages. In August 2021, Hurricane Ida caused extensive damage to Entergy Louisiana’s distribution and, to a lesser extent, transmission systems resulting in widespread power outages. In April 2022, Entergy Louisiana filed an application with the LPSC relating to Hurricane Ida restoration costs. Total restoration costs for the repair and/or replacement of Entergy Louisiana’s electric facilities damaged by Hurricane Ida were estimated to be approximately $2.54 billion, including approximately $1.96 billion in capital costs and approximately $586 million in non-capital costs. Including carrying costs of $57 million through December 2022, Entergy Louisiana was seeking an LPSC determination that $2.60 billion was prudently incurred and, therefore, eligible for recovery from customers. As part of this filing, Entergy Louisiana also was seeking an LPSC determination that an additional $32 million in costs associated with the restoration of Entergy Louisiana’s electric facilities damaged by Hurricane Laura, Hurricane Delta, and Hurricane Zeta as well as Winter Storm Uri was prudently incurred. This amount was exclusive of the requested $3 million in carrying costs through December 2022. In total, Entergy Louisiana was requesting an LPSC determination that $2.64 billion was prudently incurred and, therefore, eligible for recovery from customers. As discussed in the Form 10-K, in March 2022 the LPSC approved financing of a $1 billion storm escrow account from which funds were withdrawn to finance costs associated with Hurricane Ida restoration. In June 2022, Entergy Louisiana supplemented the application with a request regarding the financing and recovery of the recoverable storm restoration costs. Specifically, Entergy Louisiana requested approval to securitize its restoration costs pursuant to Louisiana Act 55 financing, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. In October 2022 the LPSC staff recommended a finding that the requested storm restoration costs of $2.64 billion, including associated carrying costs of $59.1 million, were prudently incurred and are eligible for recovery from customers. The LPSC staff further recommended approval of Entergy Louisiana’s plans to securitize these costs, net of the $1 billion in funds withdrawn from the storm escrow account described above. The parties negotiated and executed an uncontested stipulated settlement which was filed with the LPSC in December 2022. The settlement agreement contains the following key terms: $2.57 billion of restoration costs from Hurricane Ida, Hurricane Laura, Hurricane Delta, Hurricane Zeta, and Winter Storm Uri were prudently incurred and were eligible for recovery; carrying costs of $59.2 million were recoverable; and Entergy Louisiana was authorized to finance $1.657 billion utilizing the securitization process authorized by Act 55, as supplemented by Act 293. In January 2023 the LPSC approved the stipulated settlement subject to certain modifications. These modifications include the recognition of accumulated deferred income tax benefits related to damaged assets and system restoration costs as a reduction of the amount authorized to be financed utilizing the securitization process authorized by Act 55, as supplemented by Act 293, from $1.657 billion to $1.491 billion. These modifications did not affect the LPSC’s conclusion that all system restoration costs sought by Entergy Louisiana were reasonable and prudent. In February 2023 the Louisiana Bond Commission voted to authorize the Louisiana Local Government Environmental Facilities and Community Development Authority (LCDA), a political subdivision of the State of Louisiana, to issue the bonds authorized in the LPSC’s financing order. In March 2023 the Hurricane Ida securitization financing closed, resulting in the issuance of approximately $1.491 billion principal amount of bonds by the LCDA and a remaining regulatory asset of $180 million to be recovered through the exclusion of the accumulated deferred income taxes related to damaged assets and system restoration costs from the determination of future rates. The securitization was authorized pursuant to the Louisiana Utilities Restoration Corporation Act, Part VIII of Chapter 9 of Title 45 of the Louisiana Revised Statutes, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. The LCDA loaned the proceeds to the LURC. Pursuant to Act 293, the LURC contributed the net bond proceeds to a State legislatively authorized and LURC-sponsored trust, Restoration Law Trust II (the storm trust II). Pursuant to Act 293, the net proceeds of the bonds were used by the storm trust II to purchase 14,576,757.48 Class B preferred, non-voting membership interest units (the preferred membership interests) issued by Entergy Finance Company, LLC, a majority-owned indirect subsidiary of Entergy. Entergy Finance Company is required to make annual distributions (dividends) commencing on December 15, 2023 on the preferred membership interests issued to the storm trust II. These annual dividends received by the storm trust II will be distributed to Entergy Louisiana and the LURC, as beneficiaries of the storm trust II. Specifically, 1% of the annual dividends received by the storm trust II will be distributed to the LURC for the benefit of customers, and 99% will be distributed to Entergy Louisiana, net of storm trust expenses. The preferred membership interests have a stated annual cumulative cash dividend rate of 7.5% and a liquidation price of $100 per unit. The terms of the preferred membership interests include certain financial covenants to which Entergy Finance Company is subject. Semi-annual redemptions of the preferred membership interests, subject to certain conditions, are expected to occur over the next 15 years. Entergy and Entergy Louisiana do not report the bonds issued by the LCDA on their balance sheets because the bonds are the obligation of the LCDA. The bonds are secured by system restoration property, which is the right granted by law to the LURC to collect a system restoration charge from customers. The system restoration charge is adjusted at least semi-annually to ensure that it is sufficient to service the bonds. Entergy Louisiana collects the system restoration charge on behalf of the LURC and remits the collections to the bond indenture trustee. Entergy Louisiana began collecting the system restoration charge effective with the first billing cycle of April 2023 and the system restoration charge is expected to remain in place up to 15 years. Entergy and Entergy Louisiana do not report the collections as revenue because Entergy Louisiana is merely acting as a billing and collection agent for the LCDA and the LURC. In the remote possibility that the system restoration charge, as well as any funds in the excess subaccount and funds in th |
Entergy Louisiana [Member] | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2023, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected an increase from $0.01639 per kWh to $0.01883 per kWh. The primary reason for the rate increase is a large under-recovered balance as a result of higher natural gas prices in 2022 and a $32 million deferral related to the 2021 February winter storms consistent with APSC general staff’s request in 2022. The under-recovered balance included in the filing was partially offset by the proceeds of the $41.7 million refund that System Energy made to Entergy Arkansas in January 2023 related to the sale-leaseback renewal costs and depreciation litigation as calculated in System Energy’s January 2023 compliance report filed with the FERC. The redetermined rate of $0.01883 per kWh became effective with the first billing cycle in April 2023 through the normal operation of the tariff. See Note 2 to the financial statements in the Form 10-K for information on the 2021 February winter storm investigation proceeding. Entergy Texas As discussed in the Form 10-K, in September 2022, Entergy Texas filed an application with the PUCT to reconcile its fuel and purchased power costs for the period from April 2019 through March 2022. During the reconciliation period, Entergy Texas incurred approximately $1.7 billion in eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. As of the end of the reconciliation period, Entergy Texas’s cumulative under-recovery balance was approximately $103.1 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2022, pending future surcharges or refunds as approved by the PUCT. In November 2022 the PUCT referred the proceeding to the State Office of Administrative Hearings. In March 2023 municipal intervenors filed testimony proposing a $5.2 million disallowance for fuel purchased during Winter Storm Uri. PUCT staff proposed no disallowance. Entergy Texas filed rebuttal testimony in April 2023 and a hearing on the merits is set for May 2023. A PUCT decision is expected in September 2023. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) COVID-19 Orders See Note 2 to the financial statements in the Form 10-K for discussion of APSC orders issued in light of the COVID-19 pandemic. As of March 31, 2023, Entergy Arkansas had a regulatory asset of $39 million for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) COVID-19 Orders As discussed in the Form 10-K, in April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In April 2023, Entergy Louisiana filed an application proposing to utilize approximately $1.6 billion in certain low interest debt to generate earnings to apply toward the reduction of the COVID-19 regulatory asset. In that filing, Entergy Louisiana proposed to delay repayment of certain shorter-term first mortgage bonds that were issued to finance storm restoration costs until the costs could be securitized, and to invest the funds that otherwise would be used to repay those bonds in the money pool to take advantage of the spread between prevailing interest rates on investments in the money pool and the interest rates on the bonds. In the event the LPSC approves Entergy Louisiana’s requested relief, subsequent filings will be required to permit the LPSC to review the COVID-19 regulatory asset. As of March 31, 2023, Entergy Louisiana had a regulatory asset of $47.8 million for costs associated with the COVID -19 pandemic. Filings with the MPSC (Entergy Mississippi) Retail Rates 2023 Formula Rate Plan Filing In March 2023, Entergy Mississippi submitted its formula rate plan 2023 test year filing and 2022 look-back filing showing Entergy Mississippi’s earned return on rate base for the historical 2022 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2023 calendar year to be below the formula rate plan bandwidth. The 2023 test year filing shows a $39.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on rate base to the specified point of adjustment of 6.67%, within the formula rate plan bandwidth. The 2022 look-back filing compares actual 2022 results to the approved benchmark return on rate base and reflects the need for a $19.8 million temporary increase in formula rate plan revenues, including the refund of a $1.3 million over-recovery resulting from the demand-side management costs true-up for 2022. In fourth quarter 2022, Entergy Mississippi recorded a regulatory asset of $18.2 million in connection with the look-back feature of the formula rate plan to reflect that the 2022 estimated earned return was below the formula rate plan bandwidth. In accordance with the provisions of the formula rate plan, Entergy Mississippi implemented a $27.9 million interim rate increase, reflecting a cap equal to 2% of 2022 retail revenues, effective in April 2023. Filings with the City Council (Entergy New Orleans) Retail Rates 2023 Formula Rate Plan Filing In April 2023, Entergy New Orleans submitted to the City Council its formula rate plan 2022 test year filing. The 2022 test year evaluation report produced an electric earned return on equity of 7.34% and a gas earned return on equity of 3.52% compared to the authorized return on equity for each of 9.35%. Entergy New Orleans seeks approval of a $25.6 million rate increase based on the formula set by the City Council in the 2018 rate case. The formula results in an increase in authorized electric revenues of $17.4 million and an increase in authorized gas revenues of $8.2 million. Entergy New Orleans also seeks to commence collecting $3.4 million in electric revenues that were previously approved by the City Council for collection through the formula rate plan. The filing is subject to review by the City Council and other parties over a 75-day review period, followed by a 25-day period to resolve any disputes among the parties. Resulting rates will be effective with the first billing cycle of September 2023 pursuant to the formula rate plan tariff. For any disputed rate adjustments, however, the City Council would set a procedural schedule that would extend the process for City Council approval of disputed rate adjustments. Filings with the PUCT and Texas Cities (Entergy Texas) Retail Rates Generation Cost Recovery Rider As discussed in the Form 10-K, in August 2022 the PUCT approved a unanimous settlement agreement adjusting Entergy Texas’s generation cost recovery rider to recover an annual revenue requirement of approximately $92.8 million related to Entergy Texas’s actual investment in the acquisition of the Hardin County Peaking Facility, and rates became effective. In September 2022, Entergy Texas filed a relate-back rider designed to collect over three months an additional approximately $5.7 million, which is the revenue requirement, plus carrying costs, associated with Entergy Texas’s acquisition of Hardin County Peaking Facility from June 2021 through August 2022 when the updated revenue requirement took effect. In April 2023 the PUCT approved Entergy Texas’s as-filed request. COVID-19 Orders As discussed in the Form 10-K, in March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of the COVID-19 pandemic. In future proceedings, the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. As part of its 2022 base rate case filing, Entergy Texas requested recovery of its regulatory asset over a three-year period beginning December 2022. As of March 31, 2023, Entergy Texas had a regulatory asset of $10.4 million for costs associated with the COVID-19 pandemic. Entergy Arkansas Opportunity Sales Proceeding See Note 2 to the financial statements in the Form 10-K for discussion of the Entergy Arkansas opportunity sales proceeding. As discussed in the Form 10-K, in January 2023, Arkansas Electric Energy Consumers, Inc., an industrial customer association, filed a notice of appeal of the U.S. District Court for the Eastern District of Arkansas’s order denying its motion to intervene to the United States Court of Appeals for the Eighth Circuit and a motion with the district court to stay the proceedings pending the appeal, which was denied. In February 2023, Arkansas Electric Energy Consumers, Inc. filed a motion with the United States Court of Appeals for the Eighth District to stay the proceedings pending the appeal, which also was denied. The trial was held in February 2023. Following the trial, Entergy Arkansas filed a motion with the United States Court of Appeals for the Eighth District to expedite the appeal filed by Arkansas Electric Energy Consumers, Inc. The court granted Entergy Arkansas’s request and oral arguments are scheduled for June 2023. Complaints Against System Energy See Note 2 to the financial statements in the Form 10-K for information regarding pending complaints against System Energy. The following are updates to that discussion. Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in March 2021 the FERC ALJ issued an initial decision in the proceeding initiated by the LPSC, the MPSC, the APSC, and the City Council against System Energy regarding the return on equity component of the Unit Power Sales Agreement. With regard to System Energy’s authorized return on equity, the ALJ determined that the existing return on equity of 10.94% is no longer just and reasonable, and that the replacement authorized return on equity, based on application of the Opinion No. 569-A methodology, should be 9.32%. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (January 2017-April 2018) based on the difference between the current return on equity and the replacement authorized return on equity. The ALJ determined that the April 2018 complaint concerning the authorized return on equity should be dismissed, and that no refunds for a second fifteen-month refund period should be due. With regard to System Energy’s capital structure, the ALJ determined that System Energy’s actual equity ratio is excessive and that the just and reasonable equity ratio is 48.15% equity, based on the average equity ratio of the proxy group used to evaluate the return on equity for the second complaint. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (September 2018-December 2019) based on the difference between the actual equity ratio and the 48.15% equity ratio. If the ALJ’s initial decision is upheld, the estimated refund for this proceeding is approximately $38 million, which includes interest through March 31, 2023, and the estimated resulting annual rate reduction would be approximately $31 million. As a result of the 2022 settlement agreement with the MPSC, both the estimated refund and rate reduction exclude Entergy Mississippi's portion. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. The estimated refund will continue to accrue interest until a final FERC decision is issued. The ALJ initial decision is an interim step in the FERC litigation process , and an ALJ’s determinations made in an initial decision are not controlling on the FERC . In April 2021, System Energy filed its brief on exceptions, in which it challenged the initial decision’s findings on both the return on equity and capital structure issues. Also in April 2021 the LPSC, APSC, MPSC, City Council, and the FERC trial staff filed briefs on exceptions. Reply briefs opposing exceptions were filed in May 2021 by System Energy, the FERC trial staff, the LPSC, APSC, MPSC, and the City Council. Refunds, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Grand Gulf Sale-leaseback Renewal Complaint and Uncertain Tax Position Rate Base Issue As discussed in the Form 10-K, in May 2018 the LPSC filed a complaint against System Energy and Entergy Services related to System Energy’s renewal of a sale-leaseback transaction originally entered into in December 1988 for an 11.5% undivided interest in Grand Gulf Unit 1. The APSC, the MPSC, and the City Council subsequently intervened in the proceeding. A hearing was held before a FERC ALJ in November 2019. In April 2020 the ALJ issued the initial decision, and in December 2022 the FERC issued an order on the ALJ’s initial decision, which affirmed it in part and modified it in part. The FERC’s order directed System Energy to calculate refunds on three issues, and to provide a compliance report detailing the calculations. The FERC’s order also disallows the future recovery of sale-leaseback renewal costs, which is estimated at approximately $11.5 million annually for purchases from Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans through July 2036. The three refund issues are rental expenses related to the renewal of the sale-leaseback arrangements; refunds, if any, for the revenue requirement impact of including accumulated deferred income taxes resulting from the decommissioning uncertain tax positions from 2004 through the present; and refunds for the net effect of correcting the depreciation inputs for capital additions attributable to the portion of plant subject to the sale-leaseback. In January 2023, System Energy filed its compliance report with the FERC. With respect to the sale-leaseback renewal costs, System Energy calculated a refund of $89.8 million, which represented all of the sale-leaseback renewal rental costs that System Energy recovered in rates, with interest. With respect to the decommissioning uncertain tax position issue, System Energy calculated that no additional refunds are owed because it had already provided a one-time historical credit (for the period January 2016 through September 2020) of $25.2 million based on the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position, and because it has been providing an ongoing rate base credit for the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position since October 2020. With respect to the depreciation refund, System Energy calculated a refund of $13.7 million, which is the net total of a refund to customers for excess depreciation expense previously collected, plus interest, offset by the additional return on rate base that System Energy previously did not collect, without interest. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the regulatory charge and corresponding regulatory liability recorded in June 2022 related to these proceedings. In January 2023, System Energy paid the refunds of $103.5 million, which included refunds of $41.7 million to Entergy Arkansas, $27.8 million to Entergy Louisiana, and $34 million to Entergy New Orleans. Based on the December 2022 FERC order and analysis of the remaining litigation, management determined that System Energy’s regulatory liability related to complaints against System Energy as of March 31, 2023 is adequate. In January 2023, System Energy filed a request for rehearing of the FERC’s determinations in the December 2022 order on sale-leaseback refund issues and future lease cost disallowances, the FERC’s prospective policy on uncertain tax positions, and the proper accounting of System Energy’s accumulated deferred income taxes adjustment for the Tax Cuts and Jobs Act of 2017; and a motion for confirmation of its interpretation of the December 2022 order’s remedy concerning the decommissioning tax position. In January 2023 the retail regulators filed a motion for confirmation of their interpretation of the refund requirement in the December 2022 FERC order and a provisional request for rehearing. In February 2023 the FERC issued a notice that the rehearing requests have been deemed denied by operation of law. The deemed denial of the rehearing request initiates the sixty-day period in which aggrieved parties may petition for federal appellate court review of the underlying FERC orders; however the FERC may issue a substantive order on rehearing as long as it continues to have jurisdiction over the case. In March 2023, System Energy filed in the United States Court of Appeals for the Fifth Circuit a petition for review of the December 2022 order. In March 2023, System Energy also filed an unopposed motion to stay the proceeding in the Fifth Circuit pending the FERC’s disposition of the pending motions, and the court granted the motion to stay. In February 2023, System Energy submitted a tariff compliance filing with the FERC to clarify that, consistent with the releases provided in the MPSC settlement, Entergy Mississippi will continue to be charged for its allocation of the sale-leaseback renewal costs under the Unit Power Sales Agreement. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. In March 2023, the MPSC filed a protest to System Energy’s tariff compliance filing. The MPSC argues that the settlement did not specifically address post-settlement sale-leaseback renewal costs and that the sale-leaseback renewal costs may not be recovered under the Unit Power Sales Agreement. Entergy Mississippi’s allocated sale-leaseback renewal costs are estimated at $5.7 million annually for the remaining term of the sale-leaseback renewal. LPSC Additional Complaints As discussed in the Form 10-K, in May 2020 the LPSC authorized its staff to file additional complaints at the FERC related to the rates charged by System Energy for Grand Gulf energy and capacity supplied to Entergy Louisiana under the Unit Power Sales Agreement. The following are updates to that discussion. Unit Power Sales Agreement Complaint As discussed in the Form 10-K, the first of the additional complaints was filed by the LPSC, the APSC, the MPSC, and the City Council in September 2020. The first complaint raises two sets of rate allegations: violations of the filed rate and a corresponding request for refunds for prior periods; and elements of the Unit Power Sales Agreement are unjust and unreasonable and a corresponding request for refunds for the 15-month refund period and changes to the Unit Power Sales Agreement prospectively. In May 2021 the FERC issued an order addressing the complaint, establishing a refund effective date of September 21, 2020, establishing hearing procedures, and holding those procedures in abeyance pending the FERC’s review of the initial decision in the Grand Gulf sale-leaseback renewal complaint discussed above. In November 2021 the LPSC, the APSC, and the City Council filed direct testimony and requested the FERC to order refunds for prior periods and prospective amendments to the Unit Power Sales Agreement. System Energy filed answering testimony in January 2022. In March 2022, the FERC trial staff filed direct and answering testimony recommending refunds and prospective modifications to the Unit Power Sales Agreement. In April 2022, System Energy filed cross-answering testimony in response to the FERC trial staff’s recommendations. In June 2022, the FERC trial staff submitted revised answering testimony, in which it recommended additional refunds associated with the accumulated deferred income tax balances in account 190. Also in June 2022, System Energy filed revised and supplemental cross -answering testimony to respond to the FERC trial staff’s testimony and to oppose its revised recommendation. In May 2022, the LPSC, the APSC, and the City Council filed rebuttal testimony and asserted new claims. In June 2022 a new procedural schedule was adopted, providing for additional rounds of testimony and for the hearing to begin in September 2022. The hearing concluded in December 2022. Also in December 2022, a motion to extend the briefing schedule and the deadline for the initial decision was granted. The initial decision is due in May 2023. In November 2022, System Energy filed a partial settlement agreement with the APSC, the City Council, and the LPSC that resolves the following issues raised in the Unit Power Sales Agreement complaint: advance collection of lease payments, aircraft costs, executive incentive compensation, money pool borrowings, advertising expenses, deferred nuclear refueling outage costs, industry association dues, and termination of the capital funds agreement. The settlement provides that System Energy will provide a black-box refund of $18 million (inclusive of interest), plus additional refund amounts with interest to be calculated for certain issues to be distributed to Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans as the Utility operating companies other than Entergy Mississippi purchasing under the Unit Power Sales Agreement. The settlement further provides that if the APSC, the City Council, or the LPSC agrees to the global settlement System Energy entered into with the MPSC (see “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement), and such global settlement includes a black-box refund amount, then the black-box refund for this settlement agreement shall not be incremental or in addition to the global black-box refund amount. The settlement agreement addresses other matters as well, including adjustments to rate base beginning in October 2022, exclusion of certain other costs, and inclusion of money pool borrowings, if any, in short-term debt within the cost of capital calculation used in the Unit Power Sales Agreement. In April 2023, the FERC approved the settlement agreement. The refund provided for in the settlement agreement will be included in the May 2023 service month bills under the Unit Power Sales Agreement. System Energy Formula Rate Annual Protocols Formal Challenge Concerning 2021 Calendar Year Bills In March 2023, pursuant to the protocols procedures discussed in Note 2 to the financial statements in the Form 10-K, the LPSC, the APSC, and the City Council filed with the FERC a formal challenge to System Energy’s implementation of the formula rate during calendar year 2021. The formal challenge alleges: (1) that it was imprudent for System Energy to accept the IRS’s partial acceptance of a previously uncertain tax position; (2) that System Energy used incorrect inputs for retained earnings that are used to determine the capital structure; (3) that the equity ratio charged in rates was excessive; and (4) that all issues in the ongoing Unit Power Sales Agreement complaint proceeding should also be reflected in calendar year 2021 bills. The first, third, and fourth allegations are identical to issues that were raised in the formal challenge to the calendar year 2020 bills. The formal challenge to the calendar year 2021 bills states that the impact of the first allegation is “tens of millions of dollars,” but it does not provide an estimate of the financial impact of the remaining allegations. In May 2023, System Energy filed an answer to the formal challenge in which it requested that the FERC deny the formal challenge as a matter of law, or else hold the proceeding in abeyance pending the resolution of related dockets. Storm Cost Recovery Filings with Retail Regulators See Note 2 to the financial statements in the Form 10-K for discussion regarding storm cost recovery filings. The following is an update to that discussion. Entergy Louisiana Hurricane Laura, Hurricane Delta, Hurricane Zeta, Winter Storm Uri, and Hurricane Ida As discussed in the Form 10-K, i n August 2020 and October 2020, Hurricane Laura, Hurricane Delta, and Hurricane Zeta caused significant damage to portions of Entergy Louisiana’s service area. The storms resulted in widespread outages, significant damage to distribution and transmission infrastructure, and the loss of sales during the outages. Additionally, as a result of Hurricane Laura’s extensive damage to the grid infrastructure serving the impacted area, large portions of the underlying transmission system required nearly a complete rebuild. In February 2021 two winter storms (collectively, Winter Storm Uri) brought freezing rain and ice to Louisiana. Ice accumulation sagged or downed trees, limbs, and power lines, causing damage to Entergy Louisiana’s transmission and distribution systems. The additional weight of ice caused trees and limbs to fall into power lines and other electric equipment. When the ice melted, it affected vegetation and electrical equipment, causing additional outages. In August 2021, Hurricane Ida caused extensive damage to Entergy Louisiana’s distribution and, to a lesser extent, transmission systems resulting in widespread power outages. In April 2022, Entergy Louisiana filed an application with the LPSC relating to Hurricane Ida restoration costs. Total restoration costs for the repair and/or replacement of Entergy Louisiana’s electric facilities damaged by Hurricane Ida were estimated to be approximately $2.54 billion, including approximately $1.96 billion in capital costs and approximately $586 million in non-capital costs. Including carrying costs of $57 million through December 2022, Entergy Louisiana was seeking an LPSC determination that $2.60 billion was prudently incurred and, therefore, eligible for recovery from customers. As part of this filing, Entergy Louisiana also was seeking an LPSC determination that an additional $32 million in costs associated with the restoration of Entergy Louisiana’s electric facilities damaged by Hurricane Laura, Hurricane Delta, and Hurricane Zeta as well as Winter Storm Uri was prudently incurred. This amount was exclusive of the requested $3 million in carrying costs through December 2022. In total, Entergy Louisiana was requesting an LPSC determination that $2.64 billion was prudently incurred and, therefore, eligible for recovery from customers. As discussed in the Form 10-K, in March 2022 the LPSC approved financing of a $1 billion storm escrow account from which funds were withdrawn to finance costs associated with Hurricane Ida restoration. In June 2022, Entergy Louisiana supplemented the application with a request regarding the financing and recovery of the recoverable storm restoration costs. Specifically, Entergy Louisiana requested approval to securitize its restoration costs pursuant to Louisiana Act 55 financing, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. In October 2022 the LPSC staff recommended a finding that the requested storm restoration costs of $2.64 billion, including associated carrying costs of $59.1 million, were prudently incurred and are eligible for recovery from customers. The LPSC staff further recommended approval of Entergy Louisiana’s plans to securitize these costs, net of the $1 billion in funds withdrawn from the storm escrow account described above. The parties negotiated and executed an uncontested stipulated settlement which was filed with the LPSC in December 2022. The settlement agreement contains the following key terms: $2.57 billion of restoration costs from Hurricane Ida, Hurricane Laura, Hurricane Delta, Hurricane Zeta, and Winter Storm Uri were prudently incurred and were eligible for recovery; carrying costs of $59.2 million were recoverable; and Entergy Louisiana was authorized to finance $1.657 billion utilizing the securitization process authorized by Act 55, as supplemented by Act 293. In January 2023 the LPSC approved the stipulated settlement subject to certain modifications. These modifications include the recognition of accumulated deferred income tax benefits related to damaged assets and system restoration costs as a reduction of the amount authorized to be financed utilizing the securitization process authorized by Act 55, as supplemented by Act 293, from $1.657 billion to $1.491 billion. These modifications did not affect the LPSC’s conclusion that all system restoration costs sought by Entergy Louisiana were reasonable and prudent. In February 2023 the Louisiana Bond Commission voted to authorize the Louisiana Local Government Environmental Facilities and Community Development Authority (LCDA), a political subdivision of the State of Louisiana, to issue the bonds authorized in the LPSC’s financing order. In March 2023 the Hurricane Ida securitization financing closed, resulting in the issuance of approximately $1.491 billion principal amount of bonds by the LCDA and a remaining regulatory asset of $180 million to be recovered through the exclusion of the accumulated deferred income taxes related to damaged assets and system restoration costs from the determination of future rates. The securitization was authorized pursuant to the Louisiana Utilities Restoration Corporation Act, Part VIII of Chapter 9 of Title 45 of the Louisiana Revised Statutes, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. The LCDA loaned the proceeds to the LURC. Pursuant to Act 293, the LURC contributed the net bond proceeds to a State legislatively authorized and LURC-sponsored trust, Restoration Law Trust II (the storm trust II). Pursuant to Act 293, the net proceeds of the bonds were used by the storm trust II to purchase 14,576,757.48 Class B preferred, non-voting membership interest units (the preferred membership interests) issued by Entergy Finance Company, LLC, a majority-owned indirect subsidiary of Entergy. Entergy Finance Company is required to make annual distributions (dividends) commencing on December 15, 2023 on the preferred membership interests issued to the storm trust II. These annual dividends received by the storm trust II will be distributed to Entergy Louisiana and the LURC, as beneficiaries of the storm trust II. Specifically, 1% of the annual dividends received by the storm trust II will be distributed to the LURC for the benefit of customers, and 99% will be distributed to Entergy Louisiana, net of storm trust expenses. The preferred membership interests have a stated annual cumulative cash dividend rate of 7.5% and a liquidation price of $100 per unit. The terms of the preferred membership interests include certain financial covenants to which Entergy Finance Company is subject. Semi-annual redemptions of the preferred membership interests, subject to certain conditions, are expected to occur over the next 15 years. Entergy and Entergy Louisiana do not report the bonds issued by the LCDA on their balance sheets because the bonds are the obligation of the LCDA. The bonds are secured by system restoration property, which is the right granted by law to the LURC to collect a system restoration charge from customers. The system restoration charge is adjusted at least semi-annually to ensure that it is sufficient to service the bonds. Entergy Louisiana collects the system restoration charge on behalf of the LURC and remits the collections to the bond indenture trustee. Entergy Louisiana began collecting the system restoration charge effective with the first billing cycle of April 2023 and the system restoration charge is expected to remain in place up to 15 years. Entergy and Entergy Louisiana do not report the collections as revenue because Entergy Louisiana is merely acting as a billing and collection agent for the LCDA and the LURC. In the remote possibility that the system restoration charge, as well as any funds in the excess subaccount and funds in th |
Entergy Mississippi [Member] | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2023, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected an increase from $0.01639 per kWh to $0.01883 per kWh. The primary reason for the rate increase is a large under-recovered balance as a result of higher natural gas prices in 2022 and a $32 million deferral related to the 2021 February winter storms consistent with APSC general staff’s request in 2022. The under-recovered balance included in the filing was partially offset by the proceeds of the $41.7 million refund that System Energy made to Entergy Arkansas in January 2023 related to the sale-leaseback renewal costs and depreciation litigation as calculated in System Energy’s January 2023 compliance report filed with the FERC. The redetermined rate of $0.01883 per kWh became effective with the first billing cycle in April 2023 through the normal operation of the tariff. See Note 2 to the financial statements in the Form 10-K for information on the 2021 February winter storm investigation proceeding. Entergy Texas As discussed in the Form 10-K, in September 2022, Entergy Texas filed an application with the PUCT to reconcile its fuel and purchased power costs for the period from April 2019 through March 2022. During the reconciliation period, Entergy Texas incurred approximately $1.7 billion in eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. As of the end of the reconciliation period, Entergy Texas’s cumulative under-recovery balance was approximately $103.1 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2022, pending future surcharges or refunds as approved by the PUCT. In November 2022 the PUCT referred the proceeding to the State Office of Administrative Hearings. In March 2023 municipal intervenors filed testimony proposing a $5.2 million disallowance for fuel purchased during Winter Storm Uri. PUCT staff proposed no disallowance. Entergy Texas filed rebuttal testimony in April 2023 and a hearing on the merits is set for May 2023. A PUCT decision is expected in September 2023. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) COVID-19 Orders See Note 2 to the financial statements in the Form 10-K for discussion of APSC orders issued in light of the COVID-19 pandemic. As of March 31, 2023, Entergy Arkansas had a regulatory asset of $39 million for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) COVID-19 Orders As discussed in the Form 10-K, in April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In April 2023, Entergy Louisiana filed an application proposing to utilize approximately $1.6 billion in certain low interest debt to generate earnings to apply toward the reduction of the COVID-19 regulatory asset. In that filing, Entergy Louisiana proposed to delay repayment of certain shorter-term first mortgage bonds that were issued to finance storm restoration costs until the costs could be securitized, and to invest the funds that otherwise would be used to repay those bonds in the money pool to take advantage of the spread between prevailing interest rates on investments in the money pool and the interest rates on the bonds. In the event the LPSC approves Entergy Louisiana’s requested relief, subsequent filings will be required to permit the LPSC to review the COVID-19 regulatory asset. As of March 31, 2023, Entergy Louisiana had a regulatory asset of $47.8 million for costs associated with the COVID -19 pandemic. Filings with the MPSC (Entergy Mississippi) Retail Rates 2023 Formula Rate Plan Filing In March 2023, Entergy Mississippi submitted its formula rate plan 2023 test year filing and 2022 look-back filing showing Entergy Mississippi’s earned return on rate base for the historical 2022 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2023 calendar year to be below the formula rate plan bandwidth. The 2023 test year filing shows a $39.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on rate base to the specified point of adjustment of 6.67%, within the formula rate plan bandwidth. The 2022 look-back filing compares actual 2022 results to the approved benchmark return on rate base and reflects the need for a $19.8 million temporary increase in formula rate plan revenues, including the refund of a $1.3 million over-recovery resulting from the demand-side management costs true-up for 2022. In fourth quarter 2022, Entergy Mississippi recorded a regulatory asset of $18.2 million in connection with the look-back feature of the formula rate plan to reflect that the 2022 estimated earned return was below the formula rate plan bandwidth. In accordance with the provisions of the formula rate plan, Entergy Mississippi implemented a $27.9 million interim rate increase, reflecting a cap equal to 2% of 2022 retail revenues, effective in April 2023. Filings with the City Council (Entergy New Orleans) Retail Rates 2023 Formula Rate Plan Filing In April 2023, Entergy New Orleans submitted to the City Council its formula rate plan 2022 test year filing. The 2022 test year evaluation report produced an electric earned return on equity of 7.34% and a gas earned return on equity of 3.52% compared to the authorized return on equity for each of 9.35%. Entergy New Orleans seeks approval of a $25.6 million rate increase based on the formula set by the City Council in the 2018 rate case. The formula results in an increase in authorized electric revenues of $17.4 million and an increase in authorized gas revenues of $8.2 million. Entergy New Orleans also seeks to commence collecting $3.4 million in electric revenues that were previously approved by the City Council for collection through the formula rate plan. The filing is subject to review by the City Council and other parties over a 75-day review period, followed by a 25-day period to resolve any disputes among the parties. Resulting rates will be effective with the first billing cycle of September 2023 pursuant to the formula rate plan tariff. For any disputed rate adjustments, however, the City Council would set a procedural schedule that would extend the process for City Council approval of disputed rate adjustments. Filings with the PUCT and Texas Cities (Entergy Texas) Retail Rates Generation Cost Recovery Rider As discussed in the Form 10-K, in August 2022 the PUCT approved a unanimous settlement agreement adjusting Entergy Texas’s generation cost recovery rider to recover an annual revenue requirement of approximately $92.8 million related to Entergy Texas’s actual investment in the acquisition of the Hardin County Peaking Facility, and rates became effective. In September 2022, Entergy Texas filed a relate-back rider designed to collect over three months an additional approximately $5.7 million, which is the revenue requirement, plus carrying costs, associated with Entergy Texas’s acquisition of Hardin County Peaking Facility from June 2021 through August 2022 when the updated revenue requirement took effect. In April 2023 the PUCT approved Entergy Texas’s as-filed request. COVID-19 Orders As discussed in the Form 10-K, in March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of the COVID-19 pandemic. In future proceedings, the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. As part of its 2022 base rate case filing, Entergy Texas requested recovery of its regulatory asset over a three-year period beginning December 2022. As of March 31, 2023, Entergy Texas had a regulatory asset of $10.4 million for costs associated with the COVID-19 pandemic. Entergy Arkansas Opportunity Sales Proceeding See Note 2 to the financial statements in the Form 10-K for discussion of the Entergy Arkansas opportunity sales proceeding. As discussed in the Form 10-K, in January 2023, Arkansas Electric Energy Consumers, Inc., an industrial customer association, filed a notice of appeal of the U.S. District Court for the Eastern District of Arkansas’s order denying its motion to intervene to the United States Court of Appeals for the Eighth Circuit and a motion with the district court to stay the proceedings pending the appeal, which was denied. In February 2023, Arkansas Electric Energy Consumers, Inc. filed a motion with the United States Court of Appeals for the Eighth District to stay the proceedings pending the appeal, which also was denied. The trial was held in February 2023. Following the trial, Entergy Arkansas filed a motion with the United States Court of Appeals for the Eighth District to expedite the appeal filed by Arkansas Electric Energy Consumers, Inc. The court granted Entergy Arkansas’s request and oral arguments are scheduled for June 2023. Complaints Against System Energy See Note 2 to the financial statements in the Form 10-K for information regarding pending complaints against System Energy. The following are updates to that discussion. Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in March 2021 the FERC ALJ issued an initial decision in the proceeding initiated by the LPSC, the MPSC, the APSC, and the City Council against System Energy regarding the return on equity component of the Unit Power Sales Agreement. With regard to System Energy’s authorized return on equity, the ALJ determined that the existing return on equity of 10.94% is no longer just and reasonable, and that the replacement authorized return on equity, based on application of the Opinion No. 569-A methodology, should be 9.32%. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (January 2017-April 2018) based on the difference between the current return on equity and the replacement authorized return on equity. The ALJ determined that the April 2018 complaint concerning the authorized return on equity should be dismissed, and that no refunds for a second fifteen-month refund period should be due. With regard to System Energy’s capital structure, the ALJ determined that System Energy’s actual equity ratio is excessive and that the just and reasonable equity ratio is 48.15% equity, based on the average equity ratio of the proxy group used to evaluate the return on equity for the second complaint. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (September 2018-December 2019) based on the difference between the actual equity ratio and the 48.15% equity ratio. If the ALJ’s initial decision is upheld, the estimated refund for this proceeding is approximately $38 million, which includes interest through March 31, 2023, and the estimated resulting annual rate reduction would be approximately $31 million. As a result of the 2022 settlement agreement with the MPSC, both the estimated refund and rate reduction exclude Entergy Mississippi's portion. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. The estimated refund will continue to accrue interest until a final FERC decision is issued. The ALJ initial decision is an interim step in the FERC litigation process , and an ALJ’s determinations made in an initial decision are not controlling on the FERC . In April 2021, System Energy filed its brief on exceptions, in which it challenged the initial decision’s findings on both the return on equity and capital structure issues. Also in April 2021 the LPSC, APSC, MPSC, City Council, and the FERC trial staff filed briefs on exceptions. Reply briefs opposing exceptions were filed in May 2021 by System Energy, the FERC trial staff, the LPSC, APSC, MPSC, and the City Council. Refunds, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Grand Gulf Sale-leaseback Renewal Complaint and Uncertain Tax Position Rate Base Issue As discussed in the Form 10-K, in May 2018 the LPSC filed a complaint against System Energy and Entergy Services related to System Energy’s renewal of a sale-leaseback transaction originally entered into in December 1988 for an 11.5% undivided interest in Grand Gulf Unit 1. The APSC, the MPSC, and the City Council subsequently intervened in the proceeding. A hearing was held before a FERC ALJ in November 2019. In April 2020 the ALJ issued the initial decision, and in December 2022 the FERC issued an order on the ALJ’s initial decision, which affirmed it in part and modified it in part. The FERC’s order directed System Energy to calculate refunds on three issues, and to provide a compliance report detailing the calculations. The FERC’s order also disallows the future recovery of sale-leaseback renewal costs, which is estimated at approximately $11.5 million annually for purchases from Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans through July 2036. The three refund issues are rental expenses related to the renewal of the sale-leaseback arrangements; refunds, if any, for the revenue requirement impact of including accumulated deferred income taxes resulting from the decommissioning uncertain tax positions from 2004 through the present; and refunds for the net effect of correcting the depreciation inputs for capital additions attributable to the portion of plant subject to the sale-leaseback. In January 2023, System Energy filed its compliance report with the FERC. With respect to the sale-leaseback renewal costs, System Energy calculated a refund of $89.8 million, which represented all of the sale-leaseback renewal rental costs that System Energy recovered in rates, with interest. With respect to the decommissioning uncertain tax position issue, System Energy calculated that no additional refunds are owed because it had already provided a one-time historical credit (for the period January 2016 through September 2020) of $25.2 million based on the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position, and because it has been providing an ongoing rate base credit for the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position since October 2020. With respect to the depreciation refund, System Energy calculated a refund of $13.7 million, which is the net total of a refund to customers for excess depreciation expense previously collected, plus interest, offset by the additional return on rate base that System Energy previously did not collect, without interest. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the regulatory charge and corresponding regulatory liability recorded in June 2022 related to these proceedings. In January 2023, System Energy paid the refunds of $103.5 million, which included refunds of $41.7 million to Entergy Arkansas, $27.8 million to Entergy Louisiana, and $34 million to Entergy New Orleans. Based on the December 2022 FERC order and analysis of the remaining litigation, management determined that System Energy’s regulatory liability related to complaints against System Energy as of March 31, 2023 is adequate. In January 2023, System Energy filed a request for rehearing of the FERC’s determinations in the December 2022 order on sale-leaseback refund issues and future lease cost disallowances, the FERC’s prospective policy on uncertain tax positions, and the proper accounting of System Energy’s accumulated deferred income taxes adjustment for the Tax Cuts and Jobs Act of 2017; and a motion for confirmation of its interpretation of the December 2022 order’s remedy concerning the decommissioning tax position. In January 2023 the retail regulators filed a motion for confirmation of their interpretation of the refund requirement in the December 2022 FERC order and a provisional request for rehearing. In February 2023 the FERC issued a notice that the rehearing requests have been deemed denied by operation of law. The deemed denial of the rehearing request initiates the sixty-day period in which aggrieved parties may petition for federal appellate court review of the underlying FERC orders; however the FERC may issue a substantive order on rehearing as long as it continues to have jurisdiction over the case. In March 2023, System Energy filed in the United States Court of Appeals for the Fifth Circuit a petition for review of the December 2022 order. In March 2023, System Energy also filed an unopposed motion to stay the proceeding in the Fifth Circuit pending the FERC’s disposition of the pending motions, and the court granted the motion to stay. In February 2023, System Energy submitted a tariff compliance filing with the FERC to clarify that, consistent with the releases provided in the MPSC settlement, Entergy Mississippi will continue to be charged for its allocation of the sale-leaseback renewal costs under the Unit Power Sales Agreement. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. In March 2023, the MPSC filed a protest to System Energy’s tariff compliance filing. The MPSC argues that the settlement did not specifically address post-settlement sale-leaseback renewal costs and that the sale-leaseback renewal costs may not be recovered under the Unit Power Sales Agreement. Entergy Mississippi’s allocated sale-leaseback renewal costs are estimated at $5.7 million annually for the remaining term of the sale-leaseback renewal. LPSC Additional Complaints As discussed in the Form 10-K, in May 2020 the LPSC authorized its staff to file additional complaints at the FERC related to the rates charged by System Energy for Grand Gulf energy and capacity supplied to Entergy Louisiana under the Unit Power Sales Agreement. The following are updates to that discussion. Unit Power Sales Agreement Complaint As discussed in the Form 10-K, the first of the additional complaints was filed by the LPSC, the APSC, the MPSC, and the City Council in September 2020. The first complaint raises two sets of rate allegations: violations of the filed rate and a corresponding request for refunds for prior periods; and elements of the Unit Power Sales Agreement are unjust and unreasonable and a corresponding request for refunds for the 15-month refund period and changes to the Unit Power Sales Agreement prospectively. In May 2021 the FERC issued an order addressing the complaint, establishing a refund effective date of September 21, 2020, establishing hearing procedures, and holding those procedures in abeyance pending the FERC’s review of the initial decision in the Grand Gulf sale-leaseback renewal complaint discussed above. In November 2021 the LPSC, the APSC, and the City Council filed direct testimony and requested the FERC to order refunds for prior periods and prospective amendments to the Unit Power Sales Agreement. System Energy filed answering testimony in January 2022. In March 2022, the FERC trial staff filed direct and answering testimony recommending refunds and prospective modifications to the Unit Power Sales Agreement. In April 2022, System Energy filed cross-answering testimony in response to the FERC trial staff’s recommendations. In June 2022, the FERC trial staff submitted revised answering testimony, in which it recommended additional refunds associated with the accumulated deferred income tax balances in account 190. Also in June 2022, System Energy filed revised and supplemental cross -answering testimony to respond to the FERC trial staff’s testimony and to oppose its revised recommendation. In May 2022, the LPSC, the APSC, and the City Council filed rebuttal testimony and asserted new claims. In June 2022 a new procedural schedule was adopted, providing for additional rounds of testimony and for the hearing to begin in September 2022. The hearing concluded in December 2022. Also in December 2022, a motion to extend the briefing schedule and the deadline for the initial decision was granted. The initial decision is due in May 2023. In November 2022, System Energy filed a partial settlement agreement with the APSC, the City Council, and the LPSC that resolves the following issues raised in the Unit Power Sales Agreement complaint: advance collection of lease payments, aircraft costs, executive incentive compensation, money pool borrowings, advertising expenses, deferred nuclear refueling outage costs, industry association dues, and termination of the capital funds agreement. The settlement provides that System Energy will provide a black-box refund of $18 million (inclusive of interest), plus additional refund amounts with interest to be calculated for certain issues to be distributed to Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans as the Utility operating companies other than Entergy Mississippi purchasing under the Unit Power Sales Agreement. The settlement further provides that if the APSC, the City Council, or the LPSC agrees to the global settlement System Energy entered into with the MPSC (see “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement), and such global settlement includes a black-box refund amount, then the black-box refund for this settlement agreement shall not be incremental or in addition to the global black-box refund amount. The settlement agreement addresses other matters as well, including adjustments to rate base beginning in October 2022, exclusion of certain other costs, and inclusion of money pool borrowings, if any, in short-term debt within the cost of capital calculation used in the Unit Power Sales Agreement. In April 2023, the FERC approved the settlement agreement. The refund provided for in the settlement agreement will be included in the May 2023 service month bills under the Unit Power Sales Agreement. System Energy Formula Rate Annual Protocols Formal Challenge Concerning 2021 Calendar Year Bills In March 2023, pursuant to the protocols procedures discussed in Note 2 to the financial statements in the Form 10-K, the LPSC, the APSC, and the City Council filed with the FERC a formal challenge to System Energy’s implementation of the formula rate during calendar year 2021. The formal challenge alleges: (1) that it was imprudent for System Energy to accept the IRS’s partial acceptance of a previously uncertain tax position; (2) that System Energy used incorrect inputs for retained earnings that are used to determine the capital structure; (3) that the equity ratio charged in rates was excessive; and (4) that all issues in the ongoing Unit Power Sales Agreement complaint proceeding should also be reflected in calendar year 2021 bills. The first, third, and fourth allegations are identical to issues that were raised in the formal challenge to the calendar year 2020 bills. The formal challenge to the calendar year 2021 bills states that the impact of the first allegation is “tens of millions of dollars,” but it does not provide an estimate of the financial impact of the remaining allegations. In May 2023, System Energy filed an answer to the formal challenge in which it requested that the FERC deny the formal challenge as a matter of law, or else hold the proceeding in abeyance pending the resolution of related dockets. Storm Cost Recovery Filings with Retail Regulators See Note 2 to the financial statements in the Form 10-K for discussion regarding storm cost recovery filings. The following is an update to that discussion. Entergy Louisiana Hurricane Laura, Hurricane Delta, Hurricane Zeta, Winter Storm Uri, and Hurricane Ida As discussed in the Form 10-K, i n August 2020 and October 2020, Hurricane Laura, Hurricane Delta, and Hurricane Zeta caused significant damage to portions of Entergy Louisiana’s service area. The storms resulted in widespread outages, significant damage to distribution and transmission infrastructure, and the loss of sales during the outages. Additionally, as a result of Hurricane Laura’s extensive damage to the grid infrastructure serving the impacted area, large portions of the underlying transmission system required nearly a complete rebuild. In February 2021 two winter storms (collectively, Winter Storm Uri) brought freezing rain and ice to Louisiana. Ice accumulation sagged or downed trees, limbs, and power lines, causing damage to Entergy Louisiana’s transmission and distribution systems. The additional weight of ice caused trees and limbs to fall into power lines and other electric equipment. When the ice melted, it affected vegetation and electrical equipment, causing additional outages. In August 2021, Hurricane Ida caused extensive damage to Entergy Louisiana’s distribution and, to a lesser extent, transmission systems resulting in widespread power outages. In April 2022, Entergy Louisiana filed an application with the LPSC relating to Hurricane Ida restoration costs. Total restoration costs for the repair and/or replacement of Entergy Louisiana’s electric facilities damaged by Hurricane Ida were estimated to be approximately $2.54 billion, including approximately $1.96 billion in capital costs and approximately $586 million in non-capital costs. Including carrying costs of $57 million through December 2022, Entergy Louisiana was seeking an LPSC determination that $2.60 billion was prudently incurred and, therefore, eligible for recovery from customers. As part of this filing, Entergy Louisiana also was seeking an LPSC determination that an additional $32 million in costs associated with the restoration of Entergy Louisiana’s electric facilities damaged by Hurricane Laura, Hurricane Delta, and Hurricane Zeta as well as Winter Storm Uri was prudently incurred. This amount was exclusive of the requested $3 million in carrying costs through December 2022. In total, Entergy Louisiana was requesting an LPSC determination that $2.64 billion was prudently incurred and, therefore, eligible for recovery from customers. As discussed in the Form 10-K, in March 2022 the LPSC approved financing of a $1 billion storm escrow account from which funds were withdrawn to finance costs associated with Hurricane Ida restoration. In June 2022, Entergy Louisiana supplemented the application with a request regarding the financing and recovery of the recoverable storm restoration costs. Specifically, Entergy Louisiana requested approval to securitize its restoration costs pursuant to Louisiana Act 55 financing, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. In October 2022 the LPSC staff recommended a finding that the requested storm restoration costs of $2.64 billion, including associated carrying costs of $59.1 million, were prudently incurred and are eligible for recovery from customers. The LPSC staff further recommended approval of Entergy Louisiana’s plans to securitize these costs, net of the $1 billion in funds withdrawn from the storm escrow account described above. The parties negotiated and executed an uncontested stipulated settlement which was filed with the LPSC in December 2022. The settlement agreement contains the following key terms: $2.57 billion of restoration costs from Hurricane Ida, Hurricane Laura, Hurricane Delta, Hurricane Zeta, and Winter Storm Uri were prudently incurred and were eligible for recovery; carrying costs of $59.2 million were recoverable; and Entergy Louisiana was authorized to finance $1.657 billion utilizing the securitization process authorized by Act 55, as supplemented by Act 293. In January 2023 the LPSC approved the stipulated settlement subject to certain modifications. These modifications include the recognition of accumulated deferred income tax benefits related to damaged assets and system restoration costs as a reduction of the amount authorized to be financed utilizing the securitization process authorized by Act 55, as supplemented by Act 293, from $1.657 billion to $1.491 billion. These modifications did not affect the LPSC’s conclusion that all system restoration costs sought by Entergy Louisiana were reasonable and prudent. In February 2023 the Louisiana Bond Commission voted to authorize the Louisiana Local Government Environmental Facilities and Community Development Authority (LCDA), a political subdivision of the State of Louisiana, to issue the bonds authorized in the LPSC’s financing order. In March 2023 the Hurricane Ida securitization financing closed, resulting in the issuance of approximately $1.491 billion principal amount of bonds by the LCDA and a remaining regulatory asset of $180 million to be recovered through the exclusion of the accumulated deferred income taxes related to damaged assets and system restoration costs from the determination of future rates. The securitization was authorized pursuant to the Louisiana Utilities Restoration Corporation Act, Part VIII of Chapter 9 of Title 45 of the Louisiana Revised Statutes, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. The LCDA loaned the proceeds to the LURC. Pursuant to Act 293, the LURC contributed the net bond proceeds to a State legislatively authorized and LURC-sponsored trust, Restoration Law Trust II (the storm trust II). Pursuant to Act 293, the net proceeds of the bonds were used by the storm trust II to purchase 14,576,757.48 Class B preferred, non-voting membership interest units (the preferred membership interests) issued by Entergy Finance Company, LLC, a majority-owned indirect subsidiary of Entergy. Entergy Finance Company is required to make annual distributions (dividends) commencing on December 15, 2023 on the preferred membership interests issued to the storm trust II. These annual dividends received by the storm trust II will be distributed to Entergy Louisiana and the LURC, as beneficiaries of the storm trust II. Specifically, 1% of the annual dividends received by the storm trust II will be distributed to the LURC for the benefit of customers, and 99% will be distributed to Entergy Louisiana, net of storm trust expenses. The preferred membership interests have a stated annual cumulative cash dividend rate of 7.5% and a liquidation price of $100 per unit. The terms of the preferred membership interests include certain financial covenants to which Entergy Finance Company is subject. Semi-annual redemptions of the preferred membership interests, subject to certain conditions, are expected to occur over the next 15 years. Entergy and Entergy Louisiana do not report the bonds issued by the LCDA on their balance sheets because the bonds are the obligation of the LCDA. The bonds are secured by system restoration property, which is the right granted by law to the LURC to collect a system restoration charge from customers. The system restoration charge is adjusted at least semi-annually to ensure that it is sufficient to service the bonds. Entergy Louisiana collects the system restoration charge on behalf of the LURC and remits the collections to the bond indenture trustee. Entergy Louisiana began collecting the system restoration charge effective with the first billing cycle of April 2023 and the system restoration charge is expected to remain in place up to 15 years. Entergy and Entergy Louisiana do not report the collections as revenue because Entergy Louisiana is merely acting as a billing and collection agent for the LCDA and the LURC. In the remote possibility that the system restoration charge, as well as any funds in the excess subaccount and funds in th |
Entergy New Orleans [Member] | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2023, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected an increase from $0.01639 per kWh to $0.01883 per kWh. The primary reason for the rate increase is a large under-recovered balance as a result of higher natural gas prices in 2022 and a $32 million deferral related to the 2021 February winter storms consistent with APSC general staff’s request in 2022. The under-recovered balance included in the filing was partially offset by the proceeds of the $41.7 million refund that System Energy made to Entergy Arkansas in January 2023 related to the sale-leaseback renewal costs and depreciation litigation as calculated in System Energy’s January 2023 compliance report filed with the FERC. The redetermined rate of $0.01883 per kWh became effective with the first billing cycle in April 2023 through the normal operation of the tariff. See Note 2 to the financial statements in the Form 10-K for information on the 2021 February winter storm investigation proceeding. Entergy Texas As discussed in the Form 10-K, in September 2022, Entergy Texas filed an application with the PUCT to reconcile its fuel and purchased power costs for the period from April 2019 through March 2022. During the reconciliation period, Entergy Texas incurred approximately $1.7 billion in eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. As of the end of the reconciliation period, Entergy Texas’s cumulative under-recovery balance was approximately $103.1 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2022, pending future surcharges or refunds as approved by the PUCT. In November 2022 the PUCT referred the proceeding to the State Office of Administrative Hearings. In March 2023 municipal intervenors filed testimony proposing a $5.2 million disallowance for fuel purchased during Winter Storm Uri. PUCT staff proposed no disallowance. Entergy Texas filed rebuttal testimony in April 2023 and a hearing on the merits is set for May 2023. A PUCT decision is expected in September 2023. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) COVID-19 Orders See Note 2 to the financial statements in the Form 10-K for discussion of APSC orders issued in light of the COVID-19 pandemic. As of March 31, 2023, Entergy Arkansas had a regulatory asset of $39 million for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) COVID-19 Orders As discussed in the Form 10-K, in April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In April 2023, Entergy Louisiana filed an application proposing to utilize approximately $1.6 billion in certain low interest debt to generate earnings to apply toward the reduction of the COVID-19 regulatory asset. In that filing, Entergy Louisiana proposed to delay repayment of certain shorter-term first mortgage bonds that were issued to finance storm restoration costs until the costs could be securitized, and to invest the funds that otherwise would be used to repay those bonds in the money pool to take advantage of the spread between prevailing interest rates on investments in the money pool and the interest rates on the bonds. In the event the LPSC approves Entergy Louisiana’s requested relief, subsequent filings will be required to permit the LPSC to review the COVID-19 regulatory asset. As of March 31, 2023, Entergy Louisiana had a regulatory asset of $47.8 million for costs associated with the COVID -19 pandemic. Filings with the MPSC (Entergy Mississippi) Retail Rates 2023 Formula Rate Plan Filing In March 2023, Entergy Mississippi submitted its formula rate plan 2023 test year filing and 2022 look-back filing showing Entergy Mississippi’s earned return on rate base for the historical 2022 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2023 calendar year to be below the formula rate plan bandwidth. The 2023 test year filing shows a $39.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on rate base to the specified point of adjustment of 6.67%, within the formula rate plan bandwidth. The 2022 look-back filing compares actual 2022 results to the approved benchmark return on rate base and reflects the need for a $19.8 million temporary increase in formula rate plan revenues, including the refund of a $1.3 million over-recovery resulting from the demand-side management costs true-up for 2022. In fourth quarter 2022, Entergy Mississippi recorded a regulatory asset of $18.2 million in connection with the look-back feature of the formula rate plan to reflect that the 2022 estimated earned return was below the formula rate plan bandwidth. In accordance with the provisions of the formula rate plan, Entergy Mississippi implemented a $27.9 million interim rate increase, reflecting a cap equal to 2% of 2022 retail revenues, effective in April 2023. Filings with the City Council (Entergy New Orleans) Retail Rates 2023 Formula Rate Plan Filing In April 2023, Entergy New Orleans submitted to the City Council its formula rate plan 2022 test year filing. The 2022 test year evaluation report produced an electric earned return on equity of 7.34% and a gas earned return on equity of 3.52% compared to the authorized return on equity for each of 9.35%. Entergy New Orleans seeks approval of a $25.6 million rate increase based on the formula set by the City Council in the 2018 rate case. The formula results in an increase in authorized electric revenues of $17.4 million and an increase in authorized gas revenues of $8.2 million. Entergy New Orleans also seeks to commence collecting $3.4 million in electric revenues that were previously approved by the City Council for collection through the formula rate plan. The filing is subject to review by the City Council and other parties over a 75-day review period, followed by a 25-day period to resolve any disputes among the parties. Resulting rates will be effective with the first billing cycle of September 2023 pursuant to the formula rate plan tariff. For any disputed rate adjustments, however, the City Council would set a procedural schedule that would extend the process for City Council approval of disputed rate adjustments. Filings with the PUCT and Texas Cities (Entergy Texas) Retail Rates Generation Cost Recovery Rider As discussed in the Form 10-K, in August 2022 the PUCT approved a unanimous settlement agreement adjusting Entergy Texas’s generation cost recovery rider to recover an annual revenue requirement of approximately $92.8 million related to Entergy Texas’s actual investment in the acquisition of the Hardin County Peaking Facility, and rates became effective. In September 2022, Entergy Texas filed a relate-back rider designed to collect over three months an additional approximately $5.7 million, which is the revenue requirement, plus carrying costs, associated with Entergy Texas’s acquisition of Hardin County Peaking Facility from June 2021 through August 2022 when the updated revenue requirement took effect. In April 2023 the PUCT approved Entergy Texas’s as-filed request. COVID-19 Orders As discussed in the Form 10-K, in March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of the COVID-19 pandemic. In future proceedings, the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. As part of its 2022 base rate case filing, Entergy Texas requested recovery of its regulatory asset over a three-year period beginning December 2022. As of March 31, 2023, Entergy Texas had a regulatory asset of $10.4 million for costs associated with the COVID-19 pandemic. Entergy Arkansas Opportunity Sales Proceeding See Note 2 to the financial statements in the Form 10-K for discussion of the Entergy Arkansas opportunity sales proceeding. As discussed in the Form 10-K, in January 2023, Arkansas Electric Energy Consumers, Inc., an industrial customer association, filed a notice of appeal of the U.S. District Court for the Eastern District of Arkansas’s order denying its motion to intervene to the United States Court of Appeals for the Eighth Circuit and a motion with the district court to stay the proceedings pending the appeal, which was denied. In February 2023, Arkansas Electric Energy Consumers, Inc. filed a motion with the United States Court of Appeals for the Eighth District to stay the proceedings pending the appeal, which also was denied. The trial was held in February 2023. Following the trial, Entergy Arkansas filed a motion with the United States Court of Appeals for the Eighth District to expedite the appeal filed by Arkansas Electric Energy Consumers, Inc. The court granted Entergy Arkansas’s request and oral arguments are scheduled for June 2023. Complaints Against System Energy See Note 2 to the financial statements in the Form 10-K for information regarding pending complaints against System Energy. The following are updates to that discussion. Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in March 2021 the FERC ALJ issued an initial decision in the proceeding initiated by the LPSC, the MPSC, the APSC, and the City Council against System Energy regarding the return on equity component of the Unit Power Sales Agreement. With regard to System Energy’s authorized return on equity, the ALJ determined that the existing return on equity of 10.94% is no longer just and reasonable, and that the replacement authorized return on equity, based on application of the Opinion No. 569-A methodology, should be 9.32%. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (January 2017-April 2018) based on the difference between the current return on equity and the replacement authorized return on equity. The ALJ determined that the April 2018 complaint concerning the authorized return on equity should be dismissed, and that no refunds for a second fifteen-month refund period should be due. With regard to System Energy’s capital structure, the ALJ determined that System Energy’s actual equity ratio is excessive and that the just and reasonable equity ratio is 48.15% equity, based on the average equity ratio of the proxy group used to evaluate the return on equity for the second complaint. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (September 2018-December 2019) based on the difference between the actual equity ratio and the 48.15% equity ratio. If the ALJ’s initial decision is upheld, the estimated refund for this proceeding is approximately $38 million, which includes interest through March 31, 2023, and the estimated resulting annual rate reduction would be approximately $31 million. As a result of the 2022 settlement agreement with the MPSC, both the estimated refund and rate reduction exclude Entergy Mississippi's portion. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. The estimated refund will continue to accrue interest until a final FERC decision is issued. The ALJ initial decision is an interim step in the FERC litigation process , and an ALJ’s determinations made in an initial decision are not controlling on the FERC . In April 2021, System Energy filed its brief on exceptions, in which it challenged the initial decision’s findings on both the return on equity and capital structure issues. Also in April 2021 the LPSC, APSC, MPSC, City Council, and the FERC trial staff filed briefs on exceptions. Reply briefs opposing exceptions were filed in May 2021 by System Energy, the FERC trial staff, the LPSC, APSC, MPSC, and the City Council. Refunds, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Grand Gulf Sale-leaseback Renewal Complaint and Uncertain Tax Position Rate Base Issue As discussed in the Form 10-K, in May 2018 the LPSC filed a complaint against System Energy and Entergy Services related to System Energy’s renewal of a sale-leaseback transaction originally entered into in December 1988 for an 11.5% undivided interest in Grand Gulf Unit 1. The APSC, the MPSC, and the City Council subsequently intervened in the proceeding. A hearing was held before a FERC ALJ in November 2019. In April 2020 the ALJ issued the initial decision, and in December 2022 the FERC issued an order on the ALJ’s initial decision, which affirmed it in part and modified it in part. The FERC’s order directed System Energy to calculate refunds on three issues, and to provide a compliance report detailing the calculations. The FERC’s order also disallows the future recovery of sale-leaseback renewal costs, which is estimated at approximately $11.5 million annually for purchases from Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans through July 2036. The three refund issues are rental expenses related to the renewal of the sale-leaseback arrangements; refunds, if any, for the revenue requirement impact of including accumulated deferred income taxes resulting from the decommissioning uncertain tax positions from 2004 through the present; and refunds for the net effect of correcting the depreciation inputs for capital additions attributable to the portion of plant subject to the sale-leaseback. In January 2023, System Energy filed its compliance report with the FERC. With respect to the sale-leaseback renewal costs, System Energy calculated a refund of $89.8 million, which represented all of the sale-leaseback renewal rental costs that System Energy recovered in rates, with interest. With respect to the decommissioning uncertain tax position issue, System Energy calculated that no additional refunds are owed because it had already provided a one-time historical credit (for the period January 2016 through September 2020) of $25.2 million based on the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position, and because it has been providing an ongoing rate base credit for the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position since October 2020. With respect to the depreciation refund, System Energy calculated a refund of $13.7 million, which is the net total of a refund to customers for excess depreciation expense previously collected, plus interest, offset by the additional return on rate base that System Energy previously did not collect, without interest. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the regulatory charge and corresponding regulatory liability recorded in June 2022 related to these proceedings. In January 2023, System Energy paid the refunds of $103.5 million, which included refunds of $41.7 million to Entergy Arkansas, $27.8 million to Entergy Louisiana, and $34 million to Entergy New Orleans. Based on the December 2022 FERC order and analysis of the remaining litigation, management determined that System Energy’s regulatory liability related to complaints against System Energy as of March 31, 2023 is adequate. In January 2023, System Energy filed a request for rehearing of the FERC’s determinations in the December 2022 order on sale-leaseback refund issues and future lease cost disallowances, the FERC’s prospective policy on uncertain tax positions, and the proper accounting of System Energy’s accumulated deferred income taxes adjustment for the Tax Cuts and Jobs Act of 2017; and a motion for confirmation of its interpretation of the December 2022 order’s remedy concerning the decommissioning tax position. In January 2023 the retail regulators filed a motion for confirmation of their interpretation of the refund requirement in the December 2022 FERC order and a provisional request for rehearing. In February 2023 the FERC issued a notice that the rehearing requests have been deemed denied by operation of law. The deemed denial of the rehearing request initiates the sixty-day period in which aggrieved parties may petition for federal appellate court review of the underlying FERC orders; however the FERC may issue a substantive order on rehearing as long as it continues to have jurisdiction over the case. In March 2023, System Energy filed in the United States Court of Appeals for the Fifth Circuit a petition for review of the December 2022 order. In March 2023, System Energy also filed an unopposed motion to stay the proceeding in the Fifth Circuit pending the FERC’s disposition of the pending motions, and the court granted the motion to stay. In February 2023, System Energy submitted a tariff compliance filing with the FERC to clarify that, consistent with the releases provided in the MPSC settlement, Entergy Mississippi will continue to be charged for its allocation of the sale-leaseback renewal costs under the Unit Power Sales Agreement. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. In March 2023, the MPSC filed a protest to System Energy’s tariff compliance filing. The MPSC argues that the settlement did not specifically address post-settlement sale-leaseback renewal costs and that the sale-leaseback renewal costs may not be recovered under the Unit Power Sales Agreement. Entergy Mississippi’s allocated sale-leaseback renewal costs are estimated at $5.7 million annually for the remaining term of the sale-leaseback renewal. LPSC Additional Complaints As discussed in the Form 10-K, in May 2020 the LPSC authorized its staff to file additional complaints at the FERC related to the rates charged by System Energy for Grand Gulf energy and capacity supplied to Entergy Louisiana under the Unit Power Sales Agreement. The following are updates to that discussion. Unit Power Sales Agreement Complaint As discussed in the Form 10-K, the first of the additional complaints was filed by the LPSC, the APSC, the MPSC, and the City Council in September 2020. The first complaint raises two sets of rate allegations: violations of the filed rate and a corresponding request for refunds for prior periods; and elements of the Unit Power Sales Agreement are unjust and unreasonable and a corresponding request for refunds for the 15-month refund period and changes to the Unit Power Sales Agreement prospectively. In May 2021 the FERC issued an order addressing the complaint, establishing a refund effective date of September 21, 2020, establishing hearing procedures, and holding those procedures in abeyance pending the FERC’s review of the initial decision in the Grand Gulf sale-leaseback renewal complaint discussed above. In November 2021 the LPSC, the APSC, and the City Council filed direct testimony and requested the FERC to order refunds for prior periods and prospective amendments to the Unit Power Sales Agreement. System Energy filed answering testimony in January 2022. In March 2022, the FERC trial staff filed direct and answering testimony recommending refunds and prospective modifications to the Unit Power Sales Agreement. In April 2022, System Energy filed cross-answering testimony in response to the FERC trial staff’s recommendations. In June 2022, the FERC trial staff submitted revised answering testimony, in which it recommended additional refunds associated with the accumulated deferred income tax balances in account 190. Also in June 2022, System Energy filed revised and supplemental cross -answering testimony to respond to the FERC trial staff’s testimony and to oppose its revised recommendation. In May 2022, the LPSC, the APSC, and the City Council filed rebuttal testimony and asserted new claims. In June 2022 a new procedural schedule was adopted, providing for additional rounds of testimony and for the hearing to begin in September 2022. The hearing concluded in December 2022. Also in December 2022, a motion to extend the briefing schedule and the deadline for the initial decision was granted. The initial decision is due in May 2023. In November 2022, System Energy filed a partial settlement agreement with the APSC, the City Council, and the LPSC that resolves the following issues raised in the Unit Power Sales Agreement complaint: advance collection of lease payments, aircraft costs, executive incentive compensation, money pool borrowings, advertising expenses, deferred nuclear refueling outage costs, industry association dues, and termination of the capital funds agreement. The settlement provides that System Energy will provide a black-box refund of $18 million (inclusive of interest), plus additional refund amounts with interest to be calculated for certain issues to be distributed to Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans as the Utility operating companies other than Entergy Mississippi purchasing under the Unit Power Sales Agreement. The settlement further provides that if the APSC, the City Council, or the LPSC agrees to the global settlement System Energy entered into with the MPSC (see “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement), and such global settlement includes a black-box refund amount, then the black-box refund for this settlement agreement shall not be incremental or in addition to the global black-box refund amount. The settlement agreement addresses other matters as well, including adjustments to rate base beginning in October 2022, exclusion of certain other costs, and inclusion of money pool borrowings, if any, in short-term debt within the cost of capital calculation used in the Unit Power Sales Agreement. In April 2023, the FERC approved the settlement agreement. The refund provided for in the settlement agreement will be included in the May 2023 service month bills under the Unit Power Sales Agreement. System Energy Formula Rate Annual Protocols Formal Challenge Concerning 2021 Calendar Year Bills In March 2023, pursuant to the protocols procedures discussed in Note 2 to the financial statements in the Form 10-K, the LPSC, the APSC, and the City Council filed with the FERC a formal challenge to System Energy’s implementation of the formula rate during calendar year 2021. The formal challenge alleges: (1) that it was imprudent for System Energy to accept the IRS’s partial acceptance of a previously uncertain tax position; (2) that System Energy used incorrect inputs for retained earnings that are used to determine the capital structure; (3) that the equity ratio charged in rates was excessive; and (4) that all issues in the ongoing Unit Power Sales Agreement complaint proceeding should also be reflected in calendar year 2021 bills. The first, third, and fourth allegations are identical to issues that were raised in the formal challenge to the calendar year 2020 bills. The formal challenge to the calendar year 2021 bills states that the impact of the first allegation is “tens of millions of dollars,” but it does not provide an estimate of the financial impact of the remaining allegations. In May 2023, System Energy filed an answer to the formal challenge in which it requested that the FERC deny the formal challenge as a matter of law, or else hold the proceeding in abeyance pending the resolution of related dockets. Storm Cost Recovery Filings with Retail Regulators See Note 2 to the financial statements in the Form 10-K for discussion regarding storm cost recovery filings. The following is an update to that discussion. Entergy Louisiana Hurricane Laura, Hurricane Delta, Hurricane Zeta, Winter Storm Uri, and Hurricane Ida As discussed in the Form 10-K, i n August 2020 and October 2020, Hurricane Laura, Hurricane Delta, and Hurricane Zeta caused significant damage to portions of Entergy Louisiana’s service area. The storms resulted in widespread outages, significant damage to distribution and transmission infrastructure, and the loss of sales during the outages. Additionally, as a result of Hurricane Laura’s extensive damage to the grid infrastructure serving the impacted area, large portions of the underlying transmission system required nearly a complete rebuild. In February 2021 two winter storms (collectively, Winter Storm Uri) brought freezing rain and ice to Louisiana. Ice accumulation sagged or downed trees, limbs, and power lines, causing damage to Entergy Louisiana’s transmission and distribution systems. The additional weight of ice caused trees and limbs to fall into power lines and other electric equipment. When the ice melted, it affected vegetation and electrical equipment, causing additional outages. In August 2021, Hurricane Ida caused extensive damage to Entergy Louisiana’s distribution and, to a lesser extent, transmission systems resulting in widespread power outages. In April 2022, Entergy Louisiana filed an application with the LPSC relating to Hurricane Ida restoration costs. Total restoration costs for the repair and/or replacement of Entergy Louisiana’s electric facilities damaged by Hurricane Ida were estimated to be approximately $2.54 billion, including approximately $1.96 billion in capital costs and approximately $586 million in non-capital costs. Including carrying costs of $57 million through December 2022, Entergy Louisiana was seeking an LPSC determination that $2.60 billion was prudently incurred and, therefore, eligible for recovery from customers. As part of this filing, Entergy Louisiana also was seeking an LPSC determination that an additional $32 million in costs associated with the restoration of Entergy Louisiana’s electric facilities damaged by Hurricane Laura, Hurricane Delta, and Hurricane Zeta as well as Winter Storm Uri was prudently incurred. This amount was exclusive of the requested $3 million in carrying costs through December 2022. In total, Entergy Louisiana was requesting an LPSC determination that $2.64 billion was prudently incurred and, therefore, eligible for recovery from customers. As discussed in the Form 10-K, in March 2022 the LPSC approved financing of a $1 billion storm escrow account from which funds were withdrawn to finance costs associated with Hurricane Ida restoration. In June 2022, Entergy Louisiana supplemented the application with a request regarding the financing and recovery of the recoverable storm restoration costs. Specifically, Entergy Louisiana requested approval to securitize its restoration costs pursuant to Louisiana Act 55 financing, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. In October 2022 the LPSC staff recommended a finding that the requested storm restoration costs of $2.64 billion, including associated carrying costs of $59.1 million, were prudently incurred and are eligible for recovery from customers. The LPSC staff further recommended approval of Entergy Louisiana’s plans to securitize these costs, net of the $1 billion in funds withdrawn from the storm escrow account described above. The parties negotiated and executed an uncontested stipulated settlement which was filed with the LPSC in December 2022. The settlement agreement contains the following key terms: $2.57 billion of restoration costs from Hurricane Ida, Hurricane Laura, Hurricane Delta, Hurricane Zeta, and Winter Storm Uri were prudently incurred and were eligible for recovery; carrying costs of $59.2 million were recoverable; and Entergy Louisiana was authorized to finance $1.657 billion utilizing the securitization process authorized by Act 55, as supplemented by Act 293. In January 2023 the LPSC approved the stipulated settlement subject to certain modifications. These modifications include the recognition of accumulated deferred income tax benefits related to damaged assets and system restoration costs as a reduction of the amount authorized to be financed utilizing the securitization process authorized by Act 55, as supplemented by Act 293, from $1.657 billion to $1.491 billion. These modifications did not affect the LPSC’s conclusion that all system restoration costs sought by Entergy Louisiana were reasonable and prudent. In February 2023 the Louisiana Bond Commission voted to authorize the Louisiana Local Government Environmental Facilities and Community Development Authority (LCDA), a political subdivision of the State of Louisiana, to issue the bonds authorized in the LPSC’s financing order. In March 2023 the Hurricane Ida securitization financing closed, resulting in the issuance of approximately $1.491 billion principal amount of bonds by the LCDA and a remaining regulatory asset of $180 million to be recovered through the exclusion of the accumulated deferred income taxes related to damaged assets and system restoration costs from the determination of future rates. The securitization was authorized pursuant to the Louisiana Utilities Restoration Corporation Act, Part VIII of Chapter 9 of Title 45 of the Louisiana Revised Statutes, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. The LCDA loaned the proceeds to the LURC. Pursuant to Act 293, the LURC contributed the net bond proceeds to a State legislatively authorized and LURC-sponsored trust, Restoration Law Trust II (the storm trust II). Pursuant to Act 293, the net proceeds of the bonds were used by the storm trust II to purchase 14,576,757.48 Class B preferred, non-voting membership interest units (the preferred membership interests) issued by Entergy Finance Company, LLC, a majority-owned indirect subsidiary of Entergy. Entergy Finance Company is required to make annual distributions (dividends) commencing on December 15, 2023 on the preferred membership interests issued to the storm trust II. These annual dividends received by the storm trust II will be distributed to Entergy Louisiana and the LURC, as beneficiaries of the storm trust II. Specifically, 1% of the annual dividends received by the storm trust II will be distributed to the LURC for the benefit of customers, and 99% will be distributed to Entergy Louisiana, net of storm trust expenses. The preferred membership interests have a stated annual cumulative cash dividend rate of 7.5% and a liquidation price of $100 per unit. The terms of the preferred membership interests include certain financial covenants to which Entergy Finance Company is subject. Semi-annual redemptions of the preferred membership interests, subject to certain conditions, are expected to occur over the next 15 years. Entergy and Entergy Louisiana do not report the bonds issued by the LCDA on their balance sheets because the bonds are the obligation of the LCDA. The bonds are secured by system restoration property, which is the right granted by law to the LURC to collect a system restoration charge from customers. The system restoration charge is adjusted at least semi-annually to ensure that it is sufficient to service the bonds. Entergy Louisiana collects the system restoration charge on behalf of the LURC and remits the collections to the bond indenture trustee. Entergy Louisiana began collecting the system restoration charge effective with the first billing cycle of April 2023 and the system restoration charge is expected to remain in place up to 15 years. Entergy and Entergy Louisiana do not report the collections as revenue because Entergy Louisiana is merely acting as a billing and collection agent for the LCDA and the LURC. In the remote possibility that the system restoration charge, as well as any funds in the excess subaccount and funds in th |
Entergy Texas [Member] | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2023, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected an increase from $0.01639 per kWh to $0.01883 per kWh. The primary reason for the rate increase is a large under-recovered balance as a result of higher natural gas prices in 2022 and a $32 million deferral related to the 2021 February winter storms consistent with APSC general staff’s request in 2022. The under-recovered balance included in the filing was partially offset by the proceeds of the $41.7 million refund that System Energy made to Entergy Arkansas in January 2023 related to the sale-leaseback renewal costs and depreciation litigation as calculated in System Energy’s January 2023 compliance report filed with the FERC. The redetermined rate of $0.01883 per kWh became effective with the first billing cycle in April 2023 through the normal operation of the tariff. See Note 2 to the financial statements in the Form 10-K for information on the 2021 February winter storm investigation proceeding. Entergy Texas As discussed in the Form 10-K, in September 2022, Entergy Texas filed an application with the PUCT to reconcile its fuel and purchased power costs for the period from April 2019 through March 2022. During the reconciliation period, Entergy Texas incurred approximately $1.7 billion in eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. As of the end of the reconciliation period, Entergy Texas’s cumulative under-recovery balance was approximately $103.1 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2022, pending future surcharges or refunds as approved by the PUCT. In November 2022 the PUCT referred the proceeding to the State Office of Administrative Hearings. In March 2023 municipal intervenors filed testimony proposing a $5.2 million disallowance for fuel purchased during Winter Storm Uri. PUCT staff proposed no disallowance. Entergy Texas filed rebuttal testimony in April 2023 and a hearing on the merits is set for May 2023. A PUCT decision is expected in September 2023. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) COVID-19 Orders See Note 2 to the financial statements in the Form 10-K for discussion of APSC orders issued in light of the COVID-19 pandemic. As of March 31, 2023, Entergy Arkansas had a regulatory asset of $39 million for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) COVID-19 Orders As discussed in the Form 10-K, in April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In April 2023, Entergy Louisiana filed an application proposing to utilize approximately $1.6 billion in certain low interest debt to generate earnings to apply toward the reduction of the COVID-19 regulatory asset. In that filing, Entergy Louisiana proposed to delay repayment of certain shorter-term first mortgage bonds that were issued to finance storm restoration costs until the costs could be securitized, and to invest the funds that otherwise would be used to repay those bonds in the money pool to take advantage of the spread between prevailing interest rates on investments in the money pool and the interest rates on the bonds. In the event the LPSC approves Entergy Louisiana’s requested relief, subsequent filings will be required to permit the LPSC to review the COVID-19 regulatory asset. As of March 31, 2023, Entergy Louisiana had a regulatory asset of $47.8 million for costs associated with the COVID -19 pandemic. Filings with the MPSC (Entergy Mississippi) Retail Rates 2023 Formula Rate Plan Filing In March 2023, Entergy Mississippi submitted its formula rate plan 2023 test year filing and 2022 look-back filing showing Entergy Mississippi’s earned return on rate base for the historical 2022 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2023 calendar year to be below the formula rate plan bandwidth. The 2023 test year filing shows a $39.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on rate base to the specified point of adjustment of 6.67%, within the formula rate plan bandwidth. The 2022 look-back filing compares actual 2022 results to the approved benchmark return on rate base and reflects the need for a $19.8 million temporary increase in formula rate plan revenues, including the refund of a $1.3 million over-recovery resulting from the demand-side management costs true-up for 2022. In fourth quarter 2022, Entergy Mississippi recorded a regulatory asset of $18.2 million in connection with the look-back feature of the formula rate plan to reflect that the 2022 estimated earned return was below the formula rate plan bandwidth. In accordance with the provisions of the formula rate plan, Entergy Mississippi implemented a $27.9 million interim rate increase, reflecting a cap equal to 2% of 2022 retail revenues, effective in April 2023. Filings with the City Council (Entergy New Orleans) Retail Rates 2023 Formula Rate Plan Filing In April 2023, Entergy New Orleans submitted to the City Council its formula rate plan 2022 test year filing. The 2022 test year evaluation report produced an electric earned return on equity of 7.34% and a gas earned return on equity of 3.52% compared to the authorized return on equity for each of 9.35%. Entergy New Orleans seeks approval of a $25.6 million rate increase based on the formula set by the City Council in the 2018 rate case. The formula results in an increase in authorized electric revenues of $17.4 million and an increase in authorized gas revenues of $8.2 million. Entergy New Orleans also seeks to commence collecting $3.4 million in electric revenues that were previously approved by the City Council for collection through the formula rate plan. The filing is subject to review by the City Council and other parties over a 75-day review period, followed by a 25-day period to resolve any disputes among the parties. Resulting rates will be effective with the first billing cycle of September 2023 pursuant to the formula rate plan tariff. For any disputed rate adjustments, however, the City Council would set a procedural schedule that would extend the process for City Council approval of disputed rate adjustments. Filings with the PUCT and Texas Cities (Entergy Texas) Retail Rates Generation Cost Recovery Rider As discussed in the Form 10-K, in August 2022 the PUCT approved a unanimous settlement agreement adjusting Entergy Texas’s generation cost recovery rider to recover an annual revenue requirement of approximately $92.8 million related to Entergy Texas’s actual investment in the acquisition of the Hardin County Peaking Facility, and rates became effective. In September 2022, Entergy Texas filed a relate-back rider designed to collect over three months an additional approximately $5.7 million, which is the revenue requirement, plus carrying costs, associated with Entergy Texas’s acquisition of Hardin County Peaking Facility from June 2021 through August 2022 when the updated revenue requirement took effect. In April 2023 the PUCT approved Entergy Texas’s as-filed request. COVID-19 Orders As discussed in the Form 10-K, in March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of the COVID-19 pandemic. In future proceedings, the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. As part of its 2022 base rate case filing, Entergy Texas requested recovery of its regulatory asset over a three-year period beginning December 2022. As of March 31, 2023, Entergy Texas had a regulatory asset of $10.4 million for costs associated with the COVID-19 pandemic. Entergy Arkansas Opportunity Sales Proceeding See Note 2 to the financial statements in the Form 10-K for discussion of the Entergy Arkansas opportunity sales proceeding. As discussed in the Form 10-K, in January 2023, Arkansas Electric Energy Consumers, Inc., an industrial customer association, filed a notice of appeal of the U.S. District Court for the Eastern District of Arkansas’s order denying its motion to intervene to the United States Court of Appeals for the Eighth Circuit and a motion with the district court to stay the proceedings pending the appeal, which was denied. In February 2023, Arkansas Electric Energy Consumers, Inc. filed a motion with the United States Court of Appeals for the Eighth District to stay the proceedings pending the appeal, which also was denied. The trial was held in February 2023. Following the trial, Entergy Arkansas filed a motion with the United States Court of Appeals for the Eighth District to expedite the appeal filed by Arkansas Electric Energy Consumers, Inc. The court granted Entergy Arkansas’s request and oral arguments are scheduled for June 2023. Complaints Against System Energy See Note 2 to the financial statements in the Form 10-K for information regarding pending complaints against System Energy. The following are updates to that discussion. Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in March 2021 the FERC ALJ issued an initial decision in the proceeding initiated by the LPSC, the MPSC, the APSC, and the City Council against System Energy regarding the return on equity component of the Unit Power Sales Agreement. With regard to System Energy’s authorized return on equity, the ALJ determined that the existing return on equity of 10.94% is no longer just and reasonable, and that the replacement authorized return on equity, based on application of the Opinion No. 569-A methodology, should be 9.32%. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (January 2017-April 2018) based on the difference between the current return on equity and the replacement authorized return on equity. The ALJ determined that the April 2018 complaint concerning the authorized return on equity should be dismissed, and that no refunds for a second fifteen-month refund period should be due. With regard to System Energy’s capital structure, the ALJ determined that System Energy’s actual equity ratio is excessive and that the just and reasonable equity ratio is 48.15% equity, based on the average equity ratio of the proxy group used to evaluate the return on equity for the second complaint. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (September 2018-December 2019) based on the difference between the actual equity ratio and the 48.15% equity ratio. If the ALJ’s initial decision is upheld, the estimated refund for this proceeding is approximately $38 million, which includes interest through March 31, 2023, and the estimated resulting annual rate reduction would be approximately $31 million. As a result of the 2022 settlement agreement with the MPSC, both the estimated refund and rate reduction exclude Entergy Mississippi's portion. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. The estimated refund will continue to accrue interest until a final FERC decision is issued. The ALJ initial decision is an interim step in the FERC litigation process , and an ALJ’s determinations made in an initial decision are not controlling on the FERC . In April 2021, System Energy filed its brief on exceptions, in which it challenged the initial decision’s findings on both the return on equity and capital structure issues. Also in April 2021 the LPSC, APSC, MPSC, City Council, and the FERC trial staff filed briefs on exceptions. Reply briefs opposing exceptions were filed in May 2021 by System Energy, the FERC trial staff, the LPSC, APSC, MPSC, and the City Council. Refunds, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Grand Gulf Sale-leaseback Renewal Complaint and Uncertain Tax Position Rate Base Issue As discussed in the Form 10-K, in May 2018 the LPSC filed a complaint against System Energy and Entergy Services related to System Energy’s renewal of a sale-leaseback transaction originally entered into in December 1988 for an 11.5% undivided interest in Grand Gulf Unit 1. The APSC, the MPSC, and the City Council subsequently intervened in the proceeding. A hearing was held before a FERC ALJ in November 2019. In April 2020 the ALJ issued the initial decision, and in December 2022 the FERC issued an order on the ALJ’s initial decision, which affirmed it in part and modified it in part. The FERC’s order directed System Energy to calculate refunds on three issues, and to provide a compliance report detailing the calculations. The FERC’s order also disallows the future recovery of sale-leaseback renewal costs, which is estimated at approximately $11.5 million annually for purchases from Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans through July 2036. The three refund issues are rental expenses related to the renewal of the sale-leaseback arrangements; refunds, if any, for the revenue requirement impact of including accumulated deferred income taxes resulting from the decommissioning uncertain tax positions from 2004 through the present; and refunds for the net effect of correcting the depreciation inputs for capital additions attributable to the portion of plant subject to the sale-leaseback. In January 2023, System Energy filed its compliance report with the FERC. With respect to the sale-leaseback renewal costs, System Energy calculated a refund of $89.8 million, which represented all of the sale-leaseback renewal rental costs that System Energy recovered in rates, with interest. With respect to the decommissioning uncertain tax position issue, System Energy calculated that no additional refunds are owed because it had already provided a one-time historical credit (for the period January 2016 through September 2020) of $25.2 million based on the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position, and because it has been providing an ongoing rate base credit for the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position since October 2020. With respect to the depreciation refund, System Energy calculated a refund of $13.7 million, which is the net total of a refund to customers for excess depreciation expense previously collected, plus interest, offset by the additional return on rate base that System Energy previously did not collect, without interest. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the regulatory charge and corresponding regulatory liability recorded in June 2022 related to these proceedings. In January 2023, System Energy paid the refunds of $103.5 million, which included refunds of $41.7 million to Entergy Arkansas, $27.8 million to Entergy Louisiana, and $34 million to Entergy New Orleans. Based on the December 2022 FERC order and analysis of the remaining litigation, management determined that System Energy’s regulatory liability related to complaints against System Energy as of March 31, 2023 is adequate. In January 2023, System Energy filed a request for rehearing of the FERC’s determinations in the December 2022 order on sale-leaseback refund issues and future lease cost disallowances, the FERC’s prospective policy on uncertain tax positions, and the proper accounting of System Energy’s accumulated deferred income taxes adjustment for the Tax Cuts and Jobs Act of 2017; and a motion for confirmation of its interpretation of the December 2022 order’s remedy concerning the decommissioning tax position. In January 2023 the retail regulators filed a motion for confirmation of their interpretation of the refund requirement in the December 2022 FERC order and a provisional request for rehearing. In February 2023 the FERC issued a notice that the rehearing requests have been deemed denied by operation of law. The deemed denial of the rehearing request initiates the sixty-day period in which aggrieved parties may petition for federal appellate court review of the underlying FERC orders; however the FERC may issue a substantive order on rehearing as long as it continues to have jurisdiction over the case. In March 2023, System Energy filed in the United States Court of Appeals for the Fifth Circuit a petition for review of the December 2022 order. In March 2023, System Energy also filed an unopposed motion to stay the proceeding in the Fifth Circuit pending the FERC’s disposition of the pending motions, and the court granted the motion to stay. In February 2023, System Energy submitted a tariff compliance filing with the FERC to clarify that, consistent with the releases provided in the MPSC settlement, Entergy Mississippi will continue to be charged for its allocation of the sale-leaseback renewal costs under the Unit Power Sales Agreement. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. In March 2023, the MPSC filed a protest to System Energy’s tariff compliance filing. The MPSC argues that the settlement did not specifically address post-settlement sale-leaseback renewal costs and that the sale-leaseback renewal costs may not be recovered under the Unit Power Sales Agreement. Entergy Mississippi’s allocated sale-leaseback renewal costs are estimated at $5.7 million annually for the remaining term of the sale-leaseback renewal. LPSC Additional Complaints As discussed in the Form 10-K, in May 2020 the LPSC authorized its staff to file additional complaints at the FERC related to the rates charged by System Energy for Grand Gulf energy and capacity supplied to Entergy Louisiana under the Unit Power Sales Agreement. The following are updates to that discussion. Unit Power Sales Agreement Complaint As discussed in the Form 10-K, the first of the additional complaints was filed by the LPSC, the APSC, the MPSC, and the City Council in September 2020. The first complaint raises two sets of rate allegations: violations of the filed rate and a corresponding request for refunds for prior periods; and elements of the Unit Power Sales Agreement are unjust and unreasonable and a corresponding request for refunds for the 15-month refund period and changes to the Unit Power Sales Agreement prospectively. In May 2021 the FERC issued an order addressing the complaint, establishing a refund effective date of September 21, 2020, establishing hearing procedures, and holding those procedures in abeyance pending the FERC’s review of the initial decision in the Grand Gulf sale-leaseback renewal complaint discussed above. In November 2021 the LPSC, the APSC, and the City Council filed direct testimony and requested the FERC to order refunds for prior periods and prospective amendments to the Unit Power Sales Agreement. System Energy filed answering testimony in January 2022. In March 2022, the FERC trial staff filed direct and answering testimony recommending refunds and prospective modifications to the Unit Power Sales Agreement. In April 2022, System Energy filed cross-answering testimony in response to the FERC trial staff’s recommendations. In June 2022, the FERC trial staff submitted revised answering testimony, in which it recommended additional refunds associated with the accumulated deferred income tax balances in account 190. Also in June 2022, System Energy filed revised and supplemental cross -answering testimony to respond to the FERC trial staff’s testimony and to oppose its revised recommendation. In May 2022, the LPSC, the APSC, and the City Council filed rebuttal testimony and asserted new claims. In June 2022 a new procedural schedule was adopted, providing for additional rounds of testimony and for the hearing to begin in September 2022. The hearing concluded in December 2022. Also in December 2022, a motion to extend the briefing schedule and the deadline for the initial decision was granted. The initial decision is due in May 2023. In November 2022, System Energy filed a partial settlement agreement with the APSC, the City Council, and the LPSC that resolves the following issues raised in the Unit Power Sales Agreement complaint: advance collection of lease payments, aircraft costs, executive incentive compensation, money pool borrowings, advertising expenses, deferred nuclear refueling outage costs, industry association dues, and termination of the capital funds agreement. The settlement provides that System Energy will provide a black-box refund of $18 million (inclusive of interest), plus additional refund amounts with interest to be calculated for certain issues to be distributed to Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans as the Utility operating companies other than Entergy Mississippi purchasing under the Unit Power Sales Agreement. The settlement further provides that if the APSC, the City Council, or the LPSC agrees to the global settlement System Energy entered into with the MPSC (see “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement), and such global settlement includes a black-box refund amount, then the black-box refund for this settlement agreement shall not be incremental or in addition to the global black-box refund amount. The settlement agreement addresses other matters as well, including adjustments to rate base beginning in October 2022, exclusion of certain other costs, and inclusion of money pool borrowings, if any, in short-term debt within the cost of capital calculation used in the Unit Power Sales Agreement. In April 2023, the FERC approved the settlement agreement. The refund provided for in the settlement agreement will be included in the May 2023 service month bills under the Unit Power Sales Agreement. System Energy Formula Rate Annual Protocols Formal Challenge Concerning 2021 Calendar Year Bills In March 2023, pursuant to the protocols procedures discussed in Note 2 to the financial statements in the Form 10-K, the LPSC, the APSC, and the City Council filed with the FERC a formal challenge to System Energy’s implementation of the formula rate during calendar year 2021. The formal challenge alleges: (1) that it was imprudent for System Energy to accept the IRS’s partial acceptance of a previously uncertain tax position; (2) that System Energy used incorrect inputs for retained earnings that are used to determine the capital structure; (3) that the equity ratio charged in rates was excessive; and (4) that all issues in the ongoing Unit Power Sales Agreement complaint proceeding should also be reflected in calendar year 2021 bills. The first, third, and fourth allegations are identical to issues that were raised in the formal challenge to the calendar year 2020 bills. The formal challenge to the calendar year 2021 bills states that the impact of the first allegation is “tens of millions of dollars,” but it does not provide an estimate of the financial impact of the remaining allegations. In May 2023, System Energy filed an answer to the formal challenge in which it requested that the FERC deny the formal challenge as a matter of law, or else hold the proceeding in abeyance pending the resolution of related dockets. Storm Cost Recovery Filings with Retail Regulators See Note 2 to the financial statements in the Form 10-K for discussion regarding storm cost recovery filings. The following is an update to that discussion. Entergy Louisiana Hurricane Laura, Hurricane Delta, Hurricane Zeta, Winter Storm Uri, and Hurricane Ida As discussed in the Form 10-K, i n August 2020 and October 2020, Hurricane Laura, Hurricane Delta, and Hurricane Zeta caused significant damage to portions of Entergy Louisiana’s service area. The storms resulted in widespread outages, significant damage to distribution and transmission infrastructure, and the loss of sales during the outages. Additionally, as a result of Hurricane Laura’s extensive damage to the grid infrastructure serving the impacted area, large portions of the underlying transmission system required nearly a complete rebuild. In February 2021 two winter storms (collectively, Winter Storm Uri) brought freezing rain and ice to Louisiana. Ice accumulation sagged or downed trees, limbs, and power lines, causing damage to Entergy Louisiana’s transmission and distribution systems. The additional weight of ice caused trees and limbs to fall into power lines and other electric equipment. When the ice melted, it affected vegetation and electrical equipment, causing additional outages. In August 2021, Hurricane Ida caused extensive damage to Entergy Louisiana’s distribution and, to a lesser extent, transmission systems resulting in widespread power outages. In April 2022, Entergy Louisiana filed an application with the LPSC relating to Hurricane Ida restoration costs. Total restoration costs for the repair and/or replacement of Entergy Louisiana’s electric facilities damaged by Hurricane Ida were estimated to be approximately $2.54 billion, including approximately $1.96 billion in capital costs and approximately $586 million in non-capital costs. Including carrying costs of $57 million through December 2022, Entergy Louisiana was seeking an LPSC determination that $2.60 billion was prudently incurred and, therefore, eligible for recovery from customers. As part of this filing, Entergy Louisiana also was seeking an LPSC determination that an additional $32 million in costs associated with the restoration of Entergy Louisiana’s electric facilities damaged by Hurricane Laura, Hurricane Delta, and Hurricane Zeta as well as Winter Storm Uri was prudently incurred. This amount was exclusive of the requested $3 million in carrying costs through December 2022. In total, Entergy Louisiana was requesting an LPSC determination that $2.64 billion was prudently incurred and, therefore, eligible for recovery from customers. As discussed in the Form 10-K, in March 2022 the LPSC approved financing of a $1 billion storm escrow account from which funds were withdrawn to finance costs associated with Hurricane Ida restoration. In June 2022, Entergy Louisiana supplemented the application with a request regarding the financing and recovery of the recoverable storm restoration costs. Specifically, Entergy Louisiana requested approval to securitize its restoration costs pursuant to Louisiana Act 55 financing, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. In October 2022 the LPSC staff recommended a finding that the requested storm restoration costs of $2.64 billion, including associated carrying costs of $59.1 million, were prudently incurred and are eligible for recovery from customers. The LPSC staff further recommended approval of Entergy Louisiana’s plans to securitize these costs, net of the $1 billion in funds withdrawn from the storm escrow account described above. The parties negotiated and executed an uncontested stipulated settlement which was filed with the LPSC in December 2022. The settlement agreement contains the following key terms: $2.57 billion of restoration costs from Hurricane Ida, Hurricane Laura, Hurricane Delta, Hurricane Zeta, and Winter Storm Uri were prudently incurred and were eligible for recovery; carrying costs of $59.2 million were recoverable; and Entergy Louisiana was authorized to finance $1.657 billion utilizing the securitization process authorized by Act 55, as supplemented by Act 293. In January 2023 the LPSC approved the stipulated settlement subject to certain modifications. These modifications include the recognition of accumulated deferred income tax benefits related to damaged assets and system restoration costs as a reduction of the amount authorized to be financed utilizing the securitization process authorized by Act 55, as supplemented by Act 293, from $1.657 billion to $1.491 billion. These modifications did not affect the LPSC’s conclusion that all system restoration costs sought by Entergy Louisiana were reasonable and prudent. In February 2023 the Louisiana Bond Commission voted to authorize the Louisiana Local Government Environmental Facilities and Community Development Authority (LCDA), a political subdivision of the State of Louisiana, to issue the bonds authorized in the LPSC’s financing order. In March 2023 the Hurricane Ida securitization financing closed, resulting in the issuance of approximately $1.491 billion principal amount of bonds by the LCDA and a remaining regulatory asset of $180 million to be recovered through the exclusion of the accumulated deferred income taxes related to damaged assets and system restoration costs from the determination of future rates. The securitization was authorized pursuant to the Louisiana Utilities Restoration Corporation Act, Part VIII of Chapter 9 of Title 45 of the Louisiana Revised Statutes, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. The LCDA loaned the proceeds to the LURC. Pursuant to Act 293, the LURC contributed the net bond proceeds to a State legislatively authorized and LURC-sponsored trust, Restoration Law Trust II (the storm trust II). Pursuant to Act 293, the net proceeds of the bonds were used by the storm trust II to purchase 14,576,757.48 Class B preferred, non-voting membership interest units (the preferred membership interests) issued by Entergy Finance Company, LLC, a majority-owned indirect subsidiary of Entergy. Entergy Finance Company is required to make annual distributions (dividends) commencing on December 15, 2023 on the preferred membership interests issued to the storm trust II. These annual dividends received by the storm trust II will be distributed to Entergy Louisiana and the LURC, as beneficiaries of the storm trust II. Specifically, 1% of the annual dividends received by the storm trust II will be distributed to the LURC for the benefit of customers, and 99% will be distributed to Entergy Louisiana, net of storm trust expenses. The preferred membership interests have a stated annual cumulative cash dividend rate of 7.5% and a liquidation price of $100 per unit. The terms of the preferred membership interests include certain financial covenants to which Entergy Finance Company is subject. Semi-annual redemptions of the preferred membership interests, subject to certain conditions, are expected to occur over the next 15 years. Entergy and Entergy Louisiana do not report the bonds issued by the LCDA on their balance sheets because the bonds are the obligation of the LCDA. The bonds are secured by system restoration property, which is the right granted by law to the LURC to collect a system restoration charge from customers. The system restoration charge is adjusted at least semi-annually to ensure that it is sufficient to service the bonds. Entergy Louisiana collects the system restoration charge on behalf of the LURC and remits the collections to the bond indenture trustee. Entergy Louisiana began collecting the system restoration charge effective with the first billing cycle of April 2023 and the system restoration charge is expected to remain in place up to 15 years. Entergy and Entergy Louisiana do not report the collections as revenue because Entergy Louisiana is merely acting as a billing and collection agent for the LCDA and the LURC. In the remote possibility that the system restoration charge, as well as any funds in the excess subaccount and funds in th |
System Energy [Member] | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2023, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected an increase from $0.01639 per kWh to $0.01883 per kWh. The primary reason for the rate increase is a large under-recovered balance as a result of higher natural gas prices in 2022 and a $32 million deferral related to the 2021 February winter storms consistent with APSC general staff’s request in 2022. The under-recovered balance included in the filing was partially offset by the proceeds of the $41.7 million refund that System Energy made to Entergy Arkansas in January 2023 related to the sale-leaseback renewal costs and depreciation litigation as calculated in System Energy’s January 2023 compliance report filed with the FERC. The redetermined rate of $0.01883 per kWh became effective with the first billing cycle in April 2023 through the normal operation of the tariff. See Note 2 to the financial statements in the Form 10-K for information on the 2021 February winter storm investigation proceeding. Entergy Texas As discussed in the Form 10-K, in September 2022, Entergy Texas filed an application with the PUCT to reconcile its fuel and purchased power costs for the period from April 2019 through March 2022. During the reconciliation period, Entergy Texas incurred approximately $1.7 billion in eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. As of the end of the reconciliation period, Entergy Texas’s cumulative under-recovery balance was approximately $103.1 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2022, pending future surcharges or refunds as approved by the PUCT. In November 2022 the PUCT referred the proceeding to the State Office of Administrative Hearings. In March 2023 municipal intervenors filed testimony proposing a $5.2 million disallowance for fuel purchased during Winter Storm Uri. PUCT staff proposed no disallowance. Entergy Texas filed rebuttal testimony in April 2023 and a hearing on the merits is set for May 2023. A PUCT decision is expected in September 2023. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) COVID-19 Orders See Note 2 to the financial statements in the Form 10-K for discussion of APSC orders issued in light of the COVID-19 pandemic. As of March 31, 2023, Entergy Arkansas had a regulatory asset of $39 million for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) COVID-19 Orders As discussed in the Form 10-K, in April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In April 2023, Entergy Louisiana filed an application proposing to utilize approximately $1.6 billion in certain low interest debt to generate earnings to apply toward the reduction of the COVID-19 regulatory asset. In that filing, Entergy Louisiana proposed to delay repayment of certain shorter-term first mortgage bonds that were issued to finance storm restoration costs until the costs could be securitized, and to invest the funds that otherwise would be used to repay those bonds in the money pool to take advantage of the spread between prevailing interest rates on investments in the money pool and the interest rates on the bonds. In the event the LPSC approves Entergy Louisiana’s requested relief, subsequent filings will be required to permit the LPSC to review the COVID-19 regulatory asset. As of March 31, 2023, Entergy Louisiana had a regulatory asset of $47.8 million for costs associated with the COVID -19 pandemic. Filings with the MPSC (Entergy Mississippi) Retail Rates 2023 Formula Rate Plan Filing In March 2023, Entergy Mississippi submitted its formula rate plan 2023 test year filing and 2022 look-back filing showing Entergy Mississippi’s earned return on rate base for the historical 2022 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2023 calendar year to be below the formula rate plan bandwidth. The 2023 test year filing shows a $39.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on rate base to the specified point of adjustment of 6.67%, within the formula rate plan bandwidth. The 2022 look-back filing compares actual 2022 results to the approved benchmark return on rate base and reflects the need for a $19.8 million temporary increase in formula rate plan revenues, including the refund of a $1.3 million over-recovery resulting from the demand-side management costs true-up for 2022. In fourth quarter 2022, Entergy Mississippi recorded a regulatory asset of $18.2 million in connection with the look-back feature of the formula rate plan to reflect that the 2022 estimated earned return was below the formula rate plan bandwidth. In accordance with the provisions of the formula rate plan, Entergy Mississippi implemented a $27.9 million interim rate increase, reflecting a cap equal to 2% of 2022 retail revenues, effective in April 2023. Filings with the City Council (Entergy New Orleans) Retail Rates 2023 Formula Rate Plan Filing In April 2023, Entergy New Orleans submitted to the City Council its formula rate plan 2022 test year filing. The 2022 test year evaluation report produced an electric earned return on equity of 7.34% and a gas earned return on equity of 3.52% compared to the authorized return on equity for each of 9.35%. Entergy New Orleans seeks approval of a $25.6 million rate increase based on the formula set by the City Council in the 2018 rate case. The formula results in an increase in authorized electric revenues of $17.4 million and an increase in authorized gas revenues of $8.2 million. Entergy New Orleans also seeks to commence collecting $3.4 million in electric revenues that were previously approved by the City Council for collection through the formula rate plan. The filing is subject to review by the City Council and other parties over a 75-day review period, followed by a 25-day period to resolve any disputes among the parties. Resulting rates will be effective with the first billing cycle of September 2023 pursuant to the formula rate plan tariff. For any disputed rate adjustments, however, the City Council would set a procedural schedule that would extend the process for City Council approval of disputed rate adjustments. Filings with the PUCT and Texas Cities (Entergy Texas) Retail Rates Generation Cost Recovery Rider As discussed in the Form 10-K, in August 2022 the PUCT approved a unanimous settlement agreement adjusting Entergy Texas’s generation cost recovery rider to recover an annual revenue requirement of approximately $92.8 million related to Entergy Texas’s actual investment in the acquisition of the Hardin County Peaking Facility, and rates became effective. In September 2022, Entergy Texas filed a relate-back rider designed to collect over three months an additional approximately $5.7 million, which is the revenue requirement, plus carrying costs, associated with Entergy Texas’s acquisition of Hardin County Peaking Facility from June 2021 through August 2022 when the updated revenue requirement took effect. In April 2023 the PUCT approved Entergy Texas’s as-filed request. COVID-19 Orders As discussed in the Form 10-K, in March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of the COVID-19 pandemic. In future proceedings, the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. As part of its 2022 base rate case filing, Entergy Texas requested recovery of its regulatory asset over a three-year period beginning December 2022. As of March 31, 2023, Entergy Texas had a regulatory asset of $10.4 million for costs associated with the COVID-19 pandemic. Entergy Arkansas Opportunity Sales Proceeding See Note 2 to the financial statements in the Form 10-K for discussion of the Entergy Arkansas opportunity sales proceeding. As discussed in the Form 10-K, in January 2023, Arkansas Electric Energy Consumers, Inc., an industrial customer association, filed a notice of appeal of the U.S. District Court for the Eastern District of Arkansas’s order denying its motion to intervene to the United States Court of Appeals for the Eighth Circuit and a motion with the district court to stay the proceedings pending the appeal, which was denied. In February 2023, Arkansas Electric Energy Consumers, Inc. filed a motion with the United States Court of Appeals for the Eighth District to stay the proceedings pending the appeal, which also was denied. The trial was held in February 2023. Following the trial, Entergy Arkansas filed a motion with the United States Court of Appeals for the Eighth District to expedite the appeal filed by Arkansas Electric Energy Consumers, Inc. The court granted Entergy Arkansas’s request and oral arguments are scheduled for June 2023. Complaints Against System Energy See Note 2 to the financial statements in the Form 10-K for information regarding pending complaints against System Energy. The following are updates to that discussion. Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in March 2021 the FERC ALJ issued an initial decision in the proceeding initiated by the LPSC, the MPSC, the APSC, and the City Council against System Energy regarding the return on equity component of the Unit Power Sales Agreement. With regard to System Energy’s authorized return on equity, the ALJ determined that the existing return on equity of 10.94% is no longer just and reasonable, and that the replacement authorized return on equity, based on application of the Opinion No. 569-A methodology, should be 9.32%. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (January 2017-April 2018) based on the difference between the current return on equity and the replacement authorized return on equity. The ALJ determined that the April 2018 complaint concerning the authorized return on equity should be dismissed, and that no refunds for a second fifteen-month refund period should be due. With regard to System Energy’s capital structure, the ALJ determined that System Energy’s actual equity ratio is excessive and that the just and reasonable equity ratio is 48.15% equity, based on the average equity ratio of the proxy group used to evaluate the return on equity for the second complaint. The ALJ further determined that System Energy should pay refunds for a fifteen-month refund period (September 2018-December 2019) based on the difference between the actual equity ratio and the 48.15% equity ratio. If the ALJ’s initial decision is upheld, the estimated refund for this proceeding is approximately $38 million, which includes interest through March 31, 2023, and the estimated resulting annual rate reduction would be approximately $31 million. As a result of the 2022 settlement agreement with the MPSC, both the estimated refund and rate reduction exclude Entergy Mississippi's portion. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. The estimated refund will continue to accrue interest until a final FERC decision is issued. The ALJ initial decision is an interim step in the FERC litigation process , and an ALJ’s determinations made in an initial decision are not controlling on the FERC . In April 2021, System Energy filed its brief on exceptions, in which it challenged the initial decision’s findings on both the return on equity and capital structure issues. Also in April 2021 the LPSC, APSC, MPSC, City Council, and the FERC trial staff filed briefs on exceptions. Reply briefs opposing exceptions were filed in May 2021 by System Energy, the FERC trial staff, the LPSC, APSC, MPSC, and the City Council. Refunds, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Grand Gulf Sale-leaseback Renewal Complaint and Uncertain Tax Position Rate Base Issue As discussed in the Form 10-K, in May 2018 the LPSC filed a complaint against System Energy and Entergy Services related to System Energy’s renewal of a sale-leaseback transaction originally entered into in December 1988 for an 11.5% undivided interest in Grand Gulf Unit 1. The APSC, the MPSC, and the City Council subsequently intervened in the proceeding. A hearing was held before a FERC ALJ in November 2019. In April 2020 the ALJ issued the initial decision, and in December 2022 the FERC issued an order on the ALJ’s initial decision, which affirmed it in part and modified it in part. The FERC’s order directed System Energy to calculate refunds on three issues, and to provide a compliance report detailing the calculations. The FERC’s order also disallows the future recovery of sale-leaseback renewal costs, which is estimated at approximately $11.5 million annually for purchases from Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans through July 2036. The three refund issues are rental expenses related to the renewal of the sale-leaseback arrangements; refunds, if any, for the revenue requirement impact of including accumulated deferred income taxes resulting from the decommissioning uncertain tax positions from 2004 through the present; and refunds for the net effect of correcting the depreciation inputs for capital additions attributable to the portion of plant subject to the sale-leaseback. In January 2023, System Energy filed its compliance report with the FERC. With respect to the sale-leaseback renewal costs, System Energy calculated a refund of $89.8 million, which represented all of the sale-leaseback renewal rental costs that System Energy recovered in rates, with interest. With respect to the decommissioning uncertain tax position issue, System Energy calculated that no additional refunds are owed because it had already provided a one-time historical credit (for the period January 2016 through September 2020) of $25.2 million based on the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position, and because it has been providing an ongoing rate base credit for the accumulated deferred income taxes that resulted from the IRS’s partial acceptance of the decommissioning tax position since October 2020. With respect to the depreciation refund, System Energy calculated a refund of $13.7 million, which is the net total of a refund to customers for excess depreciation expense previously collected, plus interest, offset by the additional return on rate base that System Energy previously did not collect, without interest. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the regulatory charge and corresponding regulatory liability recorded in June 2022 related to these proceedings. In January 2023, System Energy paid the refunds of $103.5 million, which included refunds of $41.7 million to Entergy Arkansas, $27.8 million to Entergy Louisiana, and $34 million to Entergy New Orleans. Based on the December 2022 FERC order and analysis of the remaining litigation, management determined that System Energy’s regulatory liability related to complaints against System Energy as of March 31, 2023 is adequate. In January 2023, System Energy filed a request for rehearing of the FERC’s determinations in the December 2022 order on sale-leaseback refund issues and future lease cost disallowances, the FERC’s prospective policy on uncertain tax positions, and the proper accounting of System Energy’s accumulated deferred income taxes adjustment for the Tax Cuts and Jobs Act of 2017; and a motion for confirmation of its interpretation of the December 2022 order’s remedy concerning the decommissioning tax position. In January 2023 the retail regulators filed a motion for confirmation of their interpretation of the refund requirement in the December 2022 FERC order and a provisional request for rehearing. In February 2023 the FERC issued a notice that the rehearing requests have been deemed denied by operation of law. The deemed denial of the rehearing request initiates the sixty-day period in which aggrieved parties may petition for federal appellate court review of the underlying FERC orders; however the FERC may issue a substantive order on rehearing as long as it continues to have jurisdiction over the case. In March 2023, System Energy filed in the United States Court of Appeals for the Fifth Circuit a petition for review of the December 2022 order. In March 2023, System Energy also filed an unopposed motion to stay the proceeding in the Fifth Circuit pending the FERC’s disposition of the pending motions, and the court granted the motion to stay. In February 2023, System Energy submitted a tariff compliance filing with the FERC to clarify that, consistent with the releases provided in the MPSC settlement, Entergy Mississippi will continue to be charged for its allocation of the sale-leaseback renewal costs under the Unit Power Sales Agreement. See “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement. In March 2023, the MPSC filed a protest to System Energy’s tariff compliance filing. The MPSC argues that the settlement did not specifically address post-settlement sale-leaseback renewal costs and that the sale-leaseback renewal costs may not be recovered under the Unit Power Sales Agreement. Entergy Mississippi’s allocated sale-leaseback renewal costs are estimated at $5.7 million annually for the remaining term of the sale-leaseback renewal. LPSC Additional Complaints As discussed in the Form 10-K, in May 2020 the LPSC authorized its staff to file additional complaints at the FERC related to the rates charged by System Energy for Grand Gulf energy and capacity supplied to Entergy Louisiana under the Unit Power Sales Agreement. The following are updates to that discussion. Unit Power Sales Agreement Complaint As discussed in the Form 10-K, the first of the additional complaints was filed by the LPSC, the APSC, the MPSC, and the City Council in September 2020. The first complaint raises two sets of rate allegations: violations of the filed rate and a corresponding request for refunds for prior periods; and elements of the Unit Power Sales Agreement are unjust and unreasonable and a corresponding request for refunds for the 15-month refund period and changes to the Unit Power Sales Agreement prospectively. In May 2021 the FERC issued an order addressing the complaint, establishing a refund effective date of September 21, 2020, establishing hearing procedures, and holding those procedures in abeyance pending the FERC’s review of the initial decision in the Grand Gulf sale-leaseback renewal complaint discussed above. In November 2021 the LPSC, the APSC, and the City Council filed direct testimony and requested the FERC to order refunds for prior periods and prospective amendments to the Unit Power Sales Agreement. System Energy filed answering testimony in January 2022. In March 2022, the FERC trial staff filed direct and answering testimony recommending refunds and prospective modifications to the Unit Power Sales Agreement. In April 2022, System Energy filed cross-answering testimony in response to the FERC trial staff’s recommendations. In June 2022, the FERC trial staff submitted revised answering testimony, in which it recommended additional refunds associated with the accumulated deferred income tax balances in account 190. Also in June 2022, System Energy filed revised and supplemental cross -answering testimony to respond to the FERC trial staff’s testimony and to oppose its revised recommendation. In May 2022, the LPSC, the APSC, and the City Council filed rebuttal testimony and asserted new claims. In June 2022 a new procedural schedule was adopted, providing for additional rounds of testimony and for the hearing to begin in September 2022. The hearing concluded in December 2022. Also in December 2022, a motion to extend the briefing schedule and the deadline for the initial decision was granted. The initial decision is due in May 2023. In November 2022, System Energy filed a partial settlement agreement with the APSC, the City Council, and the LPSC that resolves the following issues raised in the Unit Power Sales Agreement complaint: advance collection of lease payments, aircraft costs, executive incentive compensation, money pool borrowings, advertising expenses, deferred nuclear refueling outage costs, industry association dues, and termination of the capital funds agreement. The settlement provides that System Energy will provide a black-box refund of $18 million (inclusive of interest), plus additional refund amounts with interest to be calculated for certain issues to be distributed to Entergy Arkansas, Entergy Louisiana, and Entergy New Orleans as the Utility operating companies other than Entergy Mississippi purchasing under the Unit Power Sales Agreement. The settlement further provides that if the APSC, the City Council, or the LPSC agrees to the global settlement System Energy entered into with the MPSC (see “ System Energy Settlement with the MPSC ” in the Form 10-K for discussion of the settlement), and such global settlement includes a black-box refund amount, then the black-box refund for this settlement agreement shall not be incremental or in addition to the global black-box refund amount. The settlement agreement addresses other matters as well, including adjustments to rate base beginning in October 2022, exclusion of certain other costs, and inclusion of money pool borrowings, if any, in short-term debt within the cost of capital calculation used in the Unit Power Sales Agreement. In April 2023, the FERC approved the settlement agreement. The refund provided for in the settlement agreement will be included in the May 2023 service month bills under the Unit Power Sales Agreement. System Energy Formula Rate Annual Protocols Formal Challenge Concerning 2021 Calendar Year Bills In March 2023, pursuant to the protocols procedures discussed in Note 2 to the financial statements in the Form 10-K, the LPSC, the APSC, and the City Council filed with the FERC a formal challenge to System Energy’s implementation of the formula rate during calendar year 2021. The formal challenge alleges: (1) that it was imprudent for System Energy to accept the IRS’s partial acceptance of a previously uncertain tax position; (2) that System Energy used incorrect inputs for retained earnings that are used to determine the capital structure; (3) that the equity ratio charged in rates was excessive; and (4) that all issues in the ongoing Unit Power Sales Agreement complaint proceeding should also be reflected in calendar year 2021 bills. The first, third, and fourth allegations are identical to issues that were raised in the formal challenge to the calendar year 2020 bills. The formal challenge to the calendar year 2021 bills states that the impact of the first allegation is “tens of millions of dollars,” but it does not provide an estimate of the financial impact of the remaining allegations. In May 2023, System Energy filed an answer to the formal challenge in which it requested that the FERC deny the formal challenge as a matter of law, or else hold the proceeding in abeyance pending the resolution of related dockets. Storm Cost Recovery Filings with Retail Regulators See Note 2 to the financial statements in the Form 10-K for discussion regarding storm cost recovery filings. The following is an update to that discussion. Entergy Louisiana Hurricane Laura, Hurricane Delta, Hurricane Zeta, Winter Storm Uri, and Hurricane Ida As discussed in the Form 10-K, i n August 2020 and October 2020, Hurricane Laura, Hurricane Delta, and Hurricane Zeta caused significant damage to portions of Entergy Louisiana’s service area. The storms resulted in widespread outages, significant damage to distribution and transmission infrastructure, and the loss of sales during the outages. Additionally, as a result of Hurricane Laura’s extensive damage to the grid infrastructure serving the impacted area, large portions of the underlying transmission system required nearly a complete rebuild. In February 2021 two winter storms (collectively, Winter Storm Uri) brought freezing rain and ice to Louisiana. Ice accumulation sagged or downed trees, limbs, and power lines, causing damage to Entergy Louisiana’s transmission and distribution systems. The additional weight of ice caused trees and limbs to fall into power lines and other electric equipment. When the ice melted, it affected vegetation and electrical equipment, causing additional outages. In August 2021, Hurricane Ida caused extensive damage to Entergy Louisiana’s distribution and, to a lesser extent, transmission systems resulting in widespread power outages. In April 2022, Entergy Louisiana filed an application with the LPSC relating to Hurricane Ida restoration costs. Total restoration costs for the repair and/or replacement of Entergy Louisiana’s electric facilities damaged by Hurricane Ida were estimated to be approximately $2.54 billion, including approximately $1.96 billion in capital costs and approximately $586 million in non-capital costs. Including carrying costs of $57 million through December 2022, Entergy Louisiana was seeking an LPSC determination that $2.60 billion was prudently incurred and, therefore, eligible for recovery from customers. As part of this filing, Entergy Louisiana also was seeking an LPSC determination that an additional $32 million in costs associated with the restoration of Entergy Louisiana’s electric facilities damaged by Hurricane Laura, Hurricane Delta, and Hurricane Zeta as well as Winter Storm Uri was prudently incurred. This amount was exclusive of the requested $3 million in carrying costs through December 2022. In total, Entergy Louisiana was requesting an LPSC determination that $2.64 billion was prudently incurred and, therefore, eligible for recovery from customers. As discussed in the Form 10-K, in March 2022 the LPSC approved financing of a $1 billion storm escrow account from which funds were withdrawn to finance costs associated with Hurricane Ida restoration. In June 2022, Entergy Louisiana supplemented the application with a request regarding the financing and recovery of the recoverable storm restoration costs. Specifically, Entergy Louisiana requested approval to securitize its restoration costs pursuant to Louisiana Act 55 financing, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. In October 2022 the LPSC staff recommended a finding that the requested storm restoration costs of $2.64 billion, including associated carrying costs of $59.1 million, were prudently incurred and are eligible for recovery from customers. The LPSC staff further recommended approval of Entergy Louisiana’s plans to securitize these costs, net of the $1 billion in funds withdrawn from the storm escrow account described above. The parties negotiated and executed an uncontested stipulated settlement which was filed with the LPSC in December 2022. The settlement agreement contains the following key terms: $2.57 billion of restoration costs from Hurricane Ida, Hurricane Laura, Hurricane Delta, Hurricane Zeta, and Winter Storm Uri were prudently incurred and were eligible for recovery; carrying costs of $59.2 million were recoverable; and Entergy Louisiana was authorized to finance $1.657 billion utilizing the securitization process authorized by Act 55, as supplemented by Act 293. In January 2023 the LPSC approved the stipulated settlement subject to certain modifications. These modifications include the recognition of accumulated deferred income tax benefits related to damaged assets and system restoration costs as a reduction of the amount authorized to be financed utilizing the securitization process authorized by Act 55, as supplemented by Act 293, from $1.657 billion to $1.491 billion. These modifications did not affect the LPSC’s conclusion that all system restoration costs sought by Entergy Louisiana were reasonable and prudent. In February 2023 the Louisiana Bond Commission voted to authorize the Louisiana Local Government Environmental Facilities and Community Development Authority (LCDA), a political subdivision of the State of Louisiana, to issue the bonds authorized in the LPSC’s financing order. In March 2023 the Hurricane Ida securitization financing closed, resulting in the issuance of approximately $1.491 billion principal amount of bonds by the LCDA and a remaining regulatory asset of $180 million to be recovered through the exclusion of the accumulated deferred income taxes related to damaged assets and system restoration costs from the determination of future rates. The securitization was authorized pursuant to the Louisiana Utilities Restoration Corporation Act, Part VIII of Chapter 9 of Title 45 of the Louisiana Revised Statutes, as supplemented by Act 293 of the Louisiana Legislature’s Regular Session of 2021. The LCDA loaned the proceeds to the LURC. Pursuant to Act 293, the LURC contributed the net bond proceeds to a State legislatively authorized and LURC-sponsored trust, Restoration Law Trust II (the storm trust II). Pursuant to Act 293, the net proceeds of the bonds were used by the storm trust II to purchase 14,576,757.48 Class B preferred, non-voting membership interest units (the preferred membership interests) issued by Entergy Finance Company, LLC, a majority-owned indirect subsidiary of Entergy. Entergy Finance Company is required to make annual distributions (dividends) commencing on December 15, 2023 on the preferred membership interests issued to the storm trust II. These annual dividends received by the storm trust II will be distributed to Entergy Louisiana and the LURC, as beneficiaries of the storm trust II. Specifically, 1% of the annual dividends received by the storm trust II will be distributed to the LURC for the benefit of customers, and 99% will be distributed to Entergy Louisiana, net of storm trust expenses. The preferred membership interests have a stated annual cumulative cash dividend rate of 7.5% and a liquidation price of $100 per unit. The terms of the preferred membership interests include certain financial covenants to which Entergy Finance Company is subject. Semi-annual redemptions of the preferred membership interests, subject to certain conditions, are expected to occur over the next 15 years. Entergy and Entergy Louisiana do not report the bonds issued by the LCDA on their balance sheets because the bonds are the obligation of the LCDA. The bonds are secured by system restoration property, which is the right granted by law to the LURC to collect a system restoration charge from customers. The system restoration charge is adjusted at least semi-annually to ensure that it is sufficient to service the bonds. Entergy Louisiana collects the system restoration charge on behalf of the LURC and remits the collections to the bond indenture trustee. Entergy Louisiana began collecting the system restoration charge effective with the first billing cycle of April 2023 and the system restoration charge is expected to remain in place up to 15 years. Entergy and Entergy Louisiana do not report the collections as revenue because Entergy Louisiana is merely acting as a billing and collection agent for the LCDA and the LURC. In the remote possibility that the system restoration charge, as well as any funds in the excess subaccount and funds in th |
Equity
Equity | 3 Months Ended |
Mar. 31, 2023 | |
Equity | EQUITY (Entergy Corporation and Entergy Louisiana) Common Stock Earnings per Share The following table presents Entergy’s basic and diluted earnings per share calculations included on the consolidated income statements: For the Three Months Ended March 31, 2023 2022 (In Millions, Except Per Share Data) Income Shares $/share Income Shares $/share Basic earnings per share Net income attributable to Entergy Corporation $310.9 211.4 $1.47 $276.4 202.9 $1.36 Average dilutive effect of: Stock options 0.3 — 0.5 — Other equity plans 0.4 — 0.4 — Equity forwards — — 0.1 — Diluted earnings per share $310.9 212.1 $1.47 $276.4 203.9 $1.36 The number of stock options not included in the calculation of diluted common shares outstanding due to their antidilutive effect was approximately 1.2 million for the three months ended March 31, 2023 and approximately 0.9 million for the three months ended March 31, 2022. Entergy’s stock options and other equity compensation plans are discussed in Note 5 to the financial statements herein and in Note 12 to the financial statements in the Form 10-K. Dividends declared per common share were $1.07 for the three months ended March 31, 2023 and $1.01 for the three months ended March 31, 2022. Equity Distribution Program In January 2021, Entergy entered into an equity distribution sales agreement with several counterparties establishing an at the market equity distribution program, pursuant to which Entergy may offer and sell from time to time shares of its common stock. The sales agreement provides that, in addition to the issuance and sale of shares of Entergy common stock, Entergy may enter into forward sale agreements for the sale of its common stock. The aggregate number of shares of common stock sold under this sales agreement and under any forward sale agreement may not exceed an aggregate gross sales price of $2 billion. As of March 31, 2023, shares at an aggregate gross sales price of approximately $1,077.8 million have been sold under the at the market equity distribution program. In March 2022, Entergy entered into a forward sale agreement for 1,538,010 shares of common stock. No amounts were recorded on Entergy’s balance sheet with respect to the equity offering until settlements of the equity forward sale agreement occurred in November 2022. The forward sale agreement required Entergy to, at its election prior to September 29, 2023, either (i) physically settle the transactions by issuing the total of 1,538,010 shares of its common stock to the forward counterparty in exchange for net proceeds at the then-applicable forward sale price specified by the agreement (initially approximately $108.14 per share) or (ii) net settle the transaction in whole or in part through the delivery or receipt of cash or shares. The forward sale price was subject to adjustment on a daily basis based on a floating interest rate factor and will decrease by other fixed amounts specified in the agreement. In connection with the forward sale agreement, the forward seller, or its affiliates, borrowed from third parties and sold 1,538,010 shares of Entergy Corporation’s common stock. The gross sales price of these shares totaled approximately $168 million. In connection with the sale of these shares, Entergy paid the forward sellers fees of approximately $1.7 million, which have not been deducted from the gross sales price. Entergy did not receive any proceeds from such sales of borrowed shares. Until settlement of the forward sale agreements, earnings per share dilution resulting from the agreement, if any, was determined under the treasury stock method. Share dilution occurs when the average market price of Entergy’s common stock is higher than the average forward sales price. For the three months ended March 31, 2022, 1,775,251 shares under the forward sale agreements were not included in the calculation of diluted earnings per share because their effect would have been antidilutive. In November 2022, Entergy physically settled its obligations under the forward sale agreements by delivering 7,688,419 shares of common stock in exchange for cash proceeds of $853.3 million. See Note 7 to the financial statements in the Form 10-K for discussion of the common stock issued and forward sale agreements settled under the market equity distribution program. There were no shares of common stock issued under the at the market equity distribution program for the three months ended March 31, 2023, and there were no forward sale agreements in place as of March 31, 2023. Treasury Stock During the three months ended March 31, 2023, Entergy Corporation issued 269,546 shares of its previously repurchased common stock to satisfy stock option exercises, vesting of shares of restricted stock, and other stock-based awards. Entergy Corporation did not repurchase any of its common stock during the three months ended March 31, 2023. Retained Earnings On April 10, 2023, Entergy Corporation’s Board of Directors declared a common stock dividend of $1.07 per share, payable on June 1, 2023 to holders of record as of May 4, 2023. Comprehensive Income Accumulated other comprehensive income (loss) is included in the equity section of the balance sheets of Entergy and Entergy Louisiana. The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the three months ended March 31, 2023: Pension and Other Postretirement Liabilities (In Thousands) Beginning balance, January 1, 2023 ($191,754) Amounts reclassified from accumulated other comprehensive income (loss) 2,027 Net other comprehensive income for the period 2,027 Ending balance, March 31, 2023 ($189,727) The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the three months ended March 31, 2022 by component: Cash flow Pension Net Total (In Thousands) Beginning balance, January 1, 2022 ($1,035) ($338,647) $7,154 ($332,528) Other comprehensive income (loss) before reclassifications (14) — (15,875) (15,889) Amounts reclassified from accumulated other comprehensive income (loss) 38 8,328 3,473 11,839 Net other comprehensive income (loss) for the period 24 8,328 (12,402) (4,050) Ending balance, March 31, 2022 ($1,011) ($330,319) ($5,248) ($336,578) The following table presents changes in accumulated other comprehensive income (loss) for Entergy Louisiana for the three months ended March 31, 2023 and 2022: Pension and Other 2023 2022 (In Thousands) Beginning balance, January 1, $55,370 $8,278 Amounts reclassified from accumulated other comprehensive income (loss) (786) (613) Net other comprehensive income (loss) for the period (786) (613) Ending balance, March 31, $54,584 $7,665 Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy for the three months ended March 31, 2023 and 2022 were as follows: Amounts reclassified Income Statement Location 2023 2022 (In Thousands) Cash flow hedges net unrealized loss Interest rate swaps $— ($48) Miscellaneous - net Total realized loss on cash flow hedges — (48) Income taxes — 10 Income taxes Total realized loss on cash flow hedges (net of tax) $— ($38) Pension and other postretirement liabilities Amortization of prior-service credit $3,397 $3,837 (a) Amortization of gain (loss) 1,661 (13,925) (a) Settlement loss (7,816) (782) (a) Total amortization (2,758) (10,870) Income taxes 731 2,542 Income taxes Total amortization (net of tax) ($2,027) ($8,328) Net unrealized investment loss Realized loss $— ($5,495) Interest and investment income Income taxes — 2,022 Income taxes Total realized investment loss (net of tax) $— ($3,473) Total reclassifications for the period (net of tax) ($2,027) ($11,839) (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy Louisiana for the three months ended March 31, 2023 and 2022 were as follows: Amounts reclassified Income Statement Location 2023 2022 (In Thousands) Pension and other postretirement liabilities Amortization of prior-service credit $951 $1,158 (a) Amortization of gain (loss) 1,565 (319) (a) Settlement loss (1,440) — (a) Total amortization 1,076 839 Income taxes (290) (226) Income taxes Total amortization (net of tax) 786 613 Total reclassifications for the period (net of tax) $786 $613 (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. Noncontrolling Interests The dollar value of noncontrolling interests for Entergy Louisiana as of March 31, 2023 and December 31, 2022 is presented below: 2023 2022 (In Thousands) Entergy Louisiana Noncontrolling Interests Restoration Law Trust I (a) $31,813 $31,735 Restoration Law Trust II (b) 14,583 — Total Noncontrolling Interests $46,396 $31,735 (a) See Note 17 to the financial statements in the Form 10-K for discussion of Restoration Law Trust I. (b) Restoration Law Trust II (the storm trust II) was established as part of the Act 293 securitization of Entergy Louisiana’s Hurricane Ida storm restoration costs. The storm trust II holds preferred membership interests issued by Entergy Finance Company, and Entergy Finance Company is required to make annual distributions (dividends) on the preferred membership interests. These annual dividends paid on the Entergy Finance Company preferred membership interests will be distributed 1% to the LURC and 99% to Entergy Louisiana. Entergy Louisiana, as the primary beneficiary, consolidates the storm trust II and the LURC’s 1% beneficial interest in noncontrolling interests in the consolidated financial statements for Entergy Louisiana and Entergy. See Note 2 to the financial statements herein for a discussion of the Entergy Louisiana March 2023 storm securitization. |
Entergy Louisiana [Member] | |
Equity | EQUITY (Entergy Corporation and Entergy Louisiana) Common Stock Earnings per Share The following table presents Entergy’s basic and diluted earnings per share calculations included on the consolidated income statements: For the Three Months Ended March 31, 2023 2022 (In Millions, Except Per Share Data) Income Shares $/share Income Shares $/share Basic earnings per share Net income attributable to Entergy Corporation $310.9 211.4 $1.47 $276.4 202.9 $1.36 Average dilutive effect of: Stock options 0.3 — 0.5 — Other equity plans 0.4 — 0.4 — Equity forwards — — 0.1 — Diluted earnings per share $310.9 212.1 $1.47 $276.4 203.9 $1.36 The number of stock options not included in the calculation of diluted common shares outstanding due to their antidilutive effect was approximately 1.2 million for the three months ended March 31, 2023 and approximately 0.9 million for the three months ended March 31, 2022. Entergy’s stock options and other equity compensation plans are discussed in Note 5 to the financial statements herein and in Note 12 to the financial statements in the Form 10-K. Dividends declared per common share were $1.07 for the three months ended March 31, 2023 and $1.01 for the three months ended March 31, 2022. Equity Distribution Program In January 2021, Entergy entered into an equity distribution sales agreement with several counterparties establishing an at the market equity distribution program, pursuant to which Entergy may offer and sell from time to time shares of its common stock. The sales agreement provides that, in addition to the issuance and sale of shares of Entergy common stock, Entergy may enter into forward sale agreements for the sale of its common stock. The aggregate number of shares of common stock sold under this sales agreement and under any forward sale agreement may not exceed an aggregate gross sales price of $2 billion. As of March 31, 2023, shares at an aggregate gross sales price of approximately $1,077.8 million have been sold under the at the market equity distribution program. In March 2022, Entergy entered into a forward sale agreement for 1,538,010 shares of common stock. No amounts were recorded on Entergy’s balance sheet with respect to the equity offering until settlements of the equity forward sale agreement occurred in November 2022. The forward sale agreement required Entergy to, at its election prior to September 29, 2023, either (i) physically settle the transactions by issuing the total of 1,538,010 shares of its common stock to the forward counterparty in exchange for net proceeds at the then-applicable forward sale price specified by the agreement (initially approximately $108.14 per share) or (ii) net settle the transaction in whole or in part through the delivery or receipt of cash or shares. The forward sale price was subject to adjustment on a daily basis based on a floating interest rate factor and will decrease by other fixed amounts specified in the agreement. In connection with the forward sale agreement, the forward seller, or its affiliates, borrowed from third parties and sold 1,538,010 shares of Entergy Corporation’s common stock. The gross sales price of these shares totaled approximately $168 million. In connection with the sale of these shares, Entergy paid the forward sellers fees of approximately $1.7 million, which have not been deducted from the gross sales price. Entergy did not receive any proceeds from such sales of borrowed shares. Until settlement of the forward sale agreements, earnings per share dilution resulting from the agreement, if any, was determined under the treasury stock method. Share dilution occurs when the average market price of Entergy’s common stock is higher than the average forward sales price. For the three months ended March 31, 2022, 1,775,251 shares under the forward sale agreements were not included in the calculation of diluted earnings per share because their effect would have been antidilutive. In November 2022, Entergy physically settled its obligations under the forward sale agreements by delivering 7,688,419 shares of common stock in exchange for cash proceeds of $853.3 million. See Note 7 to the financial statements in the Form 10-K for discussion of the common stock issued and forward sale agreements settled under the market equity distribution program. There were no shares of common stock issued under the at the market equity distribution program for the three months ended March 31, 2023, and there were no forward sale agreements in place as of March 31, 2023. Treasury Stock During the three months ended March 31, 2023, Entergy Corporation issued 269,546 shares of its previously repurchased common stock to satisfy stock option exercises, vesting of shares of restricted stock, and other stock-based awards. Entergy Corporation did not repurchase any of its common stock during the three months ended March 31, 2023. Retained Earnings On April 10, 2023, Entergy Corporation’s Board of Directors declared a common stock dividend of $1.07 per share, payable on June 1, 2023 to holders of record as of May 4, 2023. Comprehensive Income Accumulated other comprehensive income (loss) is included in the equity section of the balance sheets of Entergy and Entergy Louisiana. The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the three months ended March 31, 2023: Pension and Other Postretirement Liabilities (In Thousands) Beginning balance, January 1, 2023 ($191,754) Amounts reclassified from accumulated other comprehensive income (loss) 2,027 Net other comprehensive income for the period 2,027 Ending balance, March 31, 2023 ($189,727) The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the three months ended March 31, 2022 by component: Cash flow Pension Net Total (In Thousands) Beginning balance, January 1, 2022 ($1,035) ($338,647) $7,154 ($332,528) Other comprehensive income (loss) before reclassifications (14) — (15,875) (15,889) Amounts reclassified from accumulated other comprehensive income (loss) 38 8,328 3,473 11,839 Net other comprehensive income (loss) for the period 24 8,328 (12,402) (4,050) Ending balance, March 31, 2022 ($1,011) ($330,319) ($5,248) ($336,578) The following table presents changes in accumulated other comprehensive income (loss) for Entergy Louisiana for the three months ended March 31, 2023 and 2022: Pension and Other 2023 2022 (In Thousands) Beginning balance, January 1, $55,370 $8,278 Amounts reclassified from accumulated other comprehensive income (loss) (786) (613) Net other comprehensive income (loss) for the period (786) (613) Ending balance, March 31, $54,584 $7,665 Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy for the three months ended March 31, 2023 and 2022 were as follows: Amounts reclassified Income Statement Location 2023 2022 (In Thousands) Cash flow hedges net unrealized loss Interest rate swaps $— ($48) Miscellaneous - net Total realized loss on cash flow hedges — (48) Income taxes — 10 Income taxes Total realized loss on cash flow hedges (net of tax) $— ($38) Pension and other postretirement liabilities Amortization of prior-service credit $3,397 $3,837 (a) Amortization of gain (loss) 1,661 (13,925) (a) Settlement loss (7,816) (782) (a) Total amortization (2,758) (10,870) Income taxes 731 2,542 Income taxes Total amortization (net of tax) ($2,027) ($8,328) Net unrealized investment loss Realized loss $— ($5,495) Interest and investment income Income taxes — 2,022 Income taxes Total realized investment loss (net of tax) $— ($3,473) Total reclassifications for the period (net of tax) ($2,027) ($11,839) (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy Louisiana for the three months ended March 31, 2023 and 2022 were as follows: Amounts reclassified Income Statement Location 2023 2022 (In Thousands) Pension and other postretirement liabilities Amortization of prior-service credit $951 $1,158 (a) Amortization of gain (loss) 1,565 (319) (a) Settlement loss (1,440) — (a) Total amortization 1,076 839 Income taxes (290) (226) Income taxes Total amortization (net of tax) 786 613 Total reclassifications for the period (net of tax) $786 $613 (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. Noncontrolling Interests The dollar value of noncontrolling interests for Entergy Louisiana as of March 31, 2023 and December 31, 2022 is presented below: 2023 2022 (In Thousands) Entergy Louisiana Noncontrolling Interests Restoration Law Trust I (a) $31,813 $31,735 Restoration Law Trust II (b) 14,583 — Total Noncontrolling Interests $46,396 $31,735 (a) See Note 17 to the financial statements in the Form 10-K for discussion of Restoration Law Trust I. (b) Restoration Law Trust II (the storm trust II) was established as part of the Act 293 securitization of Entergy Louisiana’s Hurricane Ida storm restoration costs. The storm trust II holds preferred membership interests issued by Entergy Finance Company, and Entergy Finance Company is required to make annual distributions (dividends) on the preferred membership interests. These annual dividends paid on the Entergy Finance Company preferred membership interests will be distributed 1% to the LURC and 99% to Entergy Louisiana. Entergy Louisiana, as the primary beneficiary, consolidates the storm trust II and the LURC’s 1% beneficial interest in noncontrolling interests in the consolidated financial statements for Entergy Louisiana and Entergy. See Note 2 to the financial statements herein for a discussion of the Entergy Louisiana March 2023 storm securitization. |
Revolving Credit Facilities, Li
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | 3 Months Ended |
Mar. 31, 2023 | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in June 2027. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the three months ended March 31, 2023 was 6.12% on the drawn portion of the facility. As of March 31, 2023, amounts outstanding and capacity available under the $3.5 billion credit facility are: Capacity Borrowings Letters Capacity (In Millions) $3,500 $150 $3 $3,347 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Utility operating companies (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the Entergy Corporation credit facility’s maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of March 31, 2023, Entergy Corporation had $865.6 million of commercial paper outstanding. The weighted-average interest rate for the three months ended March 31, 2023 was 4.93%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of March 31, 2023 as follows: Company Expiration Amount of Interest Rate Amount Drawn Letters of Credit Entergy Arkansas April 2023 (e) $25 million (b) 6.56% $— $— Entergy Arkansas June 2027 $150 million (c) 6.03% $— $— Entergy Louisiana June 2027 $350 million (c) 6.16% $— $— Entergy Mississippi April 2023 (f) $45 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $40 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $10 million (d) 6.41% $— $— Entergy Mississippi July 2024 $150 million 5.98% $100 million $— Entergy New Orleans June 2024 $25 million (c) 6.47% $— $— Entergy Texas June 2027 $150 million (c) 6.16% $— $1.1 million (a) The interest rate is the estimated interest rate as of March 31, 2023 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the short-term Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. (e) In April 2023, Entergy Arkansas renewed and extended the expiration of the credit facility to April 2024. (f) In April 2023, Entergy Mississippi extended the expiration of the credit facilities to July 2023. The commitment fees on the credit facilities range from 0.075% to 0.375% of the undrawn commitment amount for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy Texas, and of the entire facility amount for Entergy New Orleans. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into an uncommitted standby letter of credit facility as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of March 31, 2023: Company Amount of Letter of Credit Fee Letters of Credit Entergy Arkansas $25 million 0.78% $5.6 million Entergy Louisiana $125 million 0.78% $20 million Entergy Mississippi $65 million 0.78% $6.7 million Entergy New Orleans $15 million 1.625% $1 million Entergy Texas $80 million 0.875% $8.8 million (a) As of March 31, 2023, letters of credit posted with MISO covered financial transmission right exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of March 31, 2023, in addition to the $6.7 million MISO letters of credit, Entergy Mississippi had $9.2 million in non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. As of March 31, 2023, the FERC-authorized short-term borrowing limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas were effective through October 2023. The FERC-authorized short-term borrowing limit for System Energy is effective through March 2025. In April 2023, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas received FERC-authorized short-term borrowing limits effective through April 2025. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are intercompany borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— Vermont Yankee Credit Facility (Entergy Corporation) In January 2019, Entergy Nuclear Vermont Yankee was transferred to NorthStar and its credit facility was assumed by Entergy Assets Management Operations, LLC (formerly Vermont Yankee Asset Retirement, LLC), Entergy Nuclear Vermont Yankee’s parent company that remains an Entergy subsidiary after the transfer. The credit facility has a borrowing capacity of $139 million and expires in December 2023. The commitment fee is currently 0.20% of the undrawn commitment amount. As of March 31, 2023, $139 million in cash borrowings were outstanding under the credit facility. The weighted average interest rate for the three months ended March 31, 2023 was 6.14% on the drawn portion of the facility. Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs also issue commercial paper, details of which follow as of March 31, 2023: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE June 2025 $80 5.70% $31.5 Entergy Louisiana River Bend VIE June 2025 $105 5.67% $58.5 Entergy Louisiana Waterford VIE June 2025 $105 5.59% $52.1 System Energy VIE June 2025 $120 5.59% $55.9 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances by the nuclear fuel company VIEs for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company VIE for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.100% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. Each lessee is in compliance with this covenant. The nuclear fuel company VIEs had notes payable that were included in debt on the respective balance sheets as of March 31, 2023 as follows: Company Description Amount Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Arkansas VIE 1.84% Series N due July 2026 $90 million Entergy Louisiana River Bend VIE 2.51% Series V due June 2027 $70 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 2.05% Series K due September 2027 $90 million In accordance with regulatory treatment, interest on the nuclear fuel company VIEs’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. As of March 31, 2023, Entergy Arkansas and Entergy Louisiana each had financing authorization from the FERC that extended through October 2023 and System Energy has obtained financing authorization from the FERC that extends through March 2025 for issuances by its nuclear fuel company VIEs. In April 2023, Entergy Arkansas and Entergy Louisiana obtained financing authorizations from the FERC that extend through April 2025. Debt Issuances and Retirements (Entergy Arkansas) In January 2023, Entergy Arkansas issued $425 million of 5.15% Series mortgage bonds due January 2033. Entergy Arkansas expects to use the proceeds, together with other funds, to repay, on or prior to maturity, its $250 million of 3.05% Series mortgage bonds due June 2023 and for general corporate purposes. (System Energy) In March 2023, System Energy issued $325 million of 6.00% Series mortgage bonds due April 2028. System Energy used the proceeds, together with other funds, to repay, prior to maturity, its $50 million term loan due November 2023, and to repay, at maturity, its $250 million of 4.10% Series mortgage bonds due April 2023, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Arkansas [Member] | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in June 2027. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the three months ended March 31, 2023 was 6.12% on the drawn portion of the facility. As of March 31, 2023, amounts outstanding and capacity available under the $3.5 billion credit facility are: Capacity Borrowings Letters Capacity (In Millions) $3,500 $150 $3 $3,347 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Utility operating companies (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the Entergy Corporation credit facility’s maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of March 31, 2023, Entergy Corporation had $865.6 million of commercial paper outstanding. The weighted-average interest rate for the three months ended March 31, 2023 was 4.93%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of March 31, 2023 as follows: Company Expiration Amount of Interest Rate Amount Drawn Letters of Credit Entergy Arkansas April 2023 (e) $25 million (b) 6.56% $— $— Entergy Arkansas June 2027 $150 million (c) 6.03% $— $— Entergy Louisiana June 2027 $350 million (c) 6.16% $— $— Entergy Mississippi April 2023 (f) $45 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $40 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $10 million (d) 6.41% $— $— Entergy Mississippi July 2024 $150 million 5.98% $100 million $— Entergy New Orleans June 2024 $25 million (c) 6.47% $— $— Entergy Texas June 2027 $150 million (c) 6.16% $— $1.1 million (a) The interest rate is the estimated interest rate as of March 31, 2023 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the short-term Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. (e) In April 2023, Entergy Arkansas renewed and extended the expiration of the credit facility to April 2024. (f) In April 2023, Entergy Mississippi extended the expiration of the credit facilities to July 2023. The commitment fees on the credit facilities range from 0.075% to 0.375% of the undrawn commitment amount for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy Texas, and of the entire facility amount for Entergy New Orleans. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into an uncommitted standby letter of credit facility as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of March 31, 2023: Company Amount of Letter of Credit Fee Letters of Credit Entergy Arkansas $25 million 0.78% $5.6 million Entergy Louisiana $125 million 0.78% $20 million Entergy Mississippi $65 million 0.78% $6.7 million Entergy New Orleans $15 million 1.625% $1 million Entergy Texas $80 million 0.875% $8.8 million (a) As of March 31, 2023, letters of credit posted with MISO covered financial transmission right exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of March 31, 2023, in addition to the $6.7 million MISO letters of credit, Entergy Mississippi had $9.2 million in non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. As of March 31, 2023, the FERC-authorized short-term borrowing limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas were effective through October 2023. The FERC-authorized short-term borrowing limit for System Energy is effective through March 2025. In April 2023, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas received FERC-authorized short-term borrowing limits effective through April 2025. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are intercompany borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— Vermont Yankee Credit Facility (Entergy Corporation) In January 2019, Entergy Nuclear Vermont Yankee was transferred to NorthStar and its credit facility was assumed by Entergy Assets Management Operations, LLC (formerly Vermont Yankee Asset Retirement, LLC), Entergy Nuclear Vermont Yankee’s parent company that remains an Entergy subsidiary after the transfer. The credit facility has a borrowing capacity of $139 million and expires in December 2023. The commitment fee is currently 0.20% of the undrawn commitment amount. As of March 31, 2023, $139 million in cash borrowings were outstanding under the credit facility. The weighted average interest rate for the three months ended March 31, 2023 was 6.14% on the drawn portion of the facility. Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs also issue commercial paper, details of which follow as of March 31, 2023: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE June 2025 $80 5.70% $31.5 Entergy Louisiana River Bend VIE June 2025 $105 5.67% $58.5 Entergy Louisiana Waterford VIE June 2025 $105 5.59% $52.1 System Energy VIE June 2025 $120 5.59% $55.9 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances by the nuclear fuel company VIEs for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company VIE for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.100% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. Each lessee is in compliance with this covenant. The nuclear fuel company VIEs had notes payable that were included in debt on the respective balance sheets as of March 31, 2023 as follows: Company Description Amount Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Arkansas VIE 1.84% Series N due July 2026 $90 million Entergy Louisiana River Bend VIE 2.51% Series V due June 2027 $70 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 2.05% Series K due September 2027 $90 million In accordance with regulatory treatment, interest on the nuclear fuel company VIEs’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. As of March 31, 2023, Entergy Arkansas and Entergy Louisiana each had financing authorization from the FERC that extended through October 2023 and System Energy has obtained financing authorization from the FERC that extends through March 2025 for issuances by its nuclear fuel company VIEs. In April 2023, Entergy Arkansas and Entergy Louisiana obtained financing authorizations from the FERC that extend through April 2025. Debt Issuances and Retirements (Entergy Arkansas) In January 2023, Entergy Arkansas issued $425 million of 5.15% Series mortgage bonds due January 2033. Entergy Arkansas expects to use the proceeds, together with other funds, to repay, on or prior to maturity, its $250 million of 3.05% Series mortgage bonds due June 2023 and for general corporate purposes. (System Energy) In March 2023, System Energy issued $325 million of 6.00% Series mortgage bonds due April 2028. System Energy used the proceeds, together with other funds, to repay, prior to maturity, its $50 million term loan due November 2023, and to repay, at maturity, its $250 million of 4.10% Series mortgage bonds due April 2023, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Louisiana [Member] | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in June 2027. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the three months ended March 31, 2023 was 6.12% on the drawn portion of the facility. As of March 31, 2023, amounts outstanding and capacity available under the $3.5 billion credit facility are: Capacity Borrowings Letters Capacity (In Millions) $3,500 $150 $3 $3,347 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Utility operating companies (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the Entergy Corporation credit facility’s maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of March 31, 2023, Entergy Corporation had $865.6 million of commercial paper outstanding. The weighted-average interest rate for the three months ended March 31, 2023 was 4.93%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of March 31, 2023 as follows: Company Expiration Amount of Interest Rate Amount Drawn Letters of Credit Entergy Arkansas April 2023 (e) $25 million (b) 6.56% $— $— Entergy Arkansas June 2027 $150 million (c) 6.03% $— $— Entergy Louisiana June 2027 $350 million (c) 6.16% $— $— Entergy Mississippi April 2023 (f) $45 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $40 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $10 million (d) 6.41% $— $— Entergy Mississippi July 2024 $150 million 5.98% $100 million $— Entergy New Orleans June 2024 $25 million (c) 6.47% $— $— Entergy Texas June 2027 $150 million (c) 6.16% $— $1.1 million (a) The interest rate is the estimated interest rate as of March 31, 2023 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the short-term Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. (e) In April 2023, Entergy Arkansas renewed and extended the expiration of the credit facility to April 2024. (f) In April 2023, Entergy Mississippi extended the expiration of the credit facilities to July 2023. The commitment fees on the credit facilities range from 0.075% to 0.375% of the undrawn commitment amount for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy Texas, and of the entire facility amount for Entergy New Orleans. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into an uncommitted standby letter of credit facility as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of March 31, 2023: Company Amount of Letter of Credit Fee Letters of Credit Entergy Arkansas $25 million 0.78% $5.6 million Entergy Louisiana $125 million 0.78% $20 million Entergy Mississippi $65 million 0.78% $6.7 million Entergy New Orleans $15 million 1.625% $1 million Entergy Texas $80 million 0.875% $8.8 million (a) As of March 31, 2023, letters of credit posted with MISO covered financial transmission right exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of March 31, 2023, in addition to the $6.7 million MISO letters of credit, Entergy Mississippi had $9.2 million in non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. As of March 31, 2023, the FERC-authorized short-term borrowing limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas were effective through October 2023. The FERC-authorized short-term borrowing limit for System Energy is effective through March 2025. In April 2023, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas received FERC-authorized short-term borrowing limits effective through April 2025. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are intercompany borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— Vermont Yankee Credit Facility (Entergy Corporation) In January 2019, Entergy Nuclear Vermont Yankee was transferred to NorthStar and its credit facility was assumed by Entergy Assets Management Operations, LLC (formerly Vermont Yankee Asset Retirement, LLC), Entergy Nuclear Vermont Yankee’s parent company that remains an Entergy subsidiary after the transfer. The credit facility has a borrowing capacity of $139 million and expires in December 2023. The commitment fee is currently 0.20% of the undrawn commitment amount. As of March 31, 2023, $139 million in cash borrowings were outstanding under the credit facility. The weighted average interest rate for the three months ended March 31, 2023 was 6.14% on the drawn portion of the facility. Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs also issue commercial paper, details of which follow as of March 31, 2023: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE June 2025 $80 5.70% $31.5 Entergy Louisiana River Bend VIE June 2025 $105 5.67% $58.5 Entergy Louisiana Waterford VIE June 2025 $105 5.59% $52.1 System Energy VIE June 2025 $120 5.59% $55.9 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances by the nuclear fuel company VIEs for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company VIE for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.100% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. Each lessee is in compliance with this covenant. The nuclear fuel company VIEs had notes payable that were included in debt on the respective balance sheets as of March 31, 2023 as follows: Company Description Amount Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Arkansas VIE 1.84% Series N due July 2026 $90 million Entergy Louisiana River Bend VIE 2.51% Series V due June 2027 $70 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 2.05% Series K due September 2027 $90 million In accordance with regulatory treatment, interest on the nuclear fuel company VIEs’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. As of March 31, 2023, Entergy Arkansas and Entergy Louisiana each had financing authorization from the FERC that extended through October 2023 and System Energy has obtained financing authorization from the FERC that extends through March 2025 for issuances by its nuclear fuel company VIEs. In April 2023, Entergy Arkansas and Entergy Louisiana obtained financing authorizations from the FERC that extend through April 2025. Debt Issuances and Retirements (Entergy Arkansas) In January 2023, Entergy Arkansas issued $425 million of 5.15% Series mortgage bonds due January 2033. Entergy Arkansas expects to use the proceeds, together with other funds, to repay, on or prior to maturity, its $250 million of 3.05% Series mortgage bonds due June 2023 and for general corporate purposes. (System Energy) In March 2023, System Energy issued $325 million of 6.00% Series mortgage bonds due April 2028. System Energy used the proceeds, together with other funds, to repay, prior to maturity, its $50 million term loan due November 2023, and to repay, at maturity, its $250 million of 4.10% Series mortgage bonds due April 2023, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Mississippi [Member] | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in June 2027. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the three months ended March 31, 2023 was 6.12% on the drawn portion of the facility. As of March 31, 2023, amounts outstanding and capacity available under the $3.5 billion credit facility are: Capacity Borrowings Letters Capacity (In Millions) $3,500 $150 $3 $3,347 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Utility operating companies (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the Entergy Corporation credit facility’s maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of March 31, 2023, Entergy Corporation had $865.6 million of commercial paper outstanding. The weighted-average interest rate for the three months ended March 31, 2023 was 4.93%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of March 31, 2023 as follows: Company Expiration Amount of Interest Rate Amount Drawn Letters of Credit Entergy Arkansas April 2023 (e) $25 million (b) 6.56% $— $— Entergy Arkansas June 2027 $150 million (c) 6.03% $— $— Entergy Louisiana June 2027 $350 million (c) 6.16% $— $— Entergy Mississippi April 2023 (f) $45 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $40 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $10 million (d) 6.41% $— $— Entergy Mississippi July 2024 $150 million 5.98% $100 million $— Entergy New Orleans June 2024 $25 million (c) 6.47% $— $— Entergy Texas June 2027 $150 million (c) 6.16% $— $1.1 million (a) The interest rate is the estimated interest rate as of March 31, 2023 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the short-term Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. (e) In April 2023, Entergy Arkansas renewed and extended the expiration of the credit facility to April 2024. (f) In April 2023, Entergy Mississippi extended the expiration of the credit facilities to July 2023. The commitment fees on the credit facilities range from 0.075% to 0.375% of the undrawn commitment amount for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy Texas, and of the entire facility amount for Entergy New Orleans. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into an uncommitted standby letter of credit facility as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of March 31, 2023: Company Amount of Letter of Credit Fee Letters of Credit Entergy Arkansas $25 million 0.78% $5.6 million Entergy Louisiana $125 million 0.78% $20 million Entergy Mississippi $65 million 0.78% $6.7 million Entergy New Orleans $15 million 1.625% $1 million Entergy Texas $80 million 0.875% $8.8 million (a) As of March 31, 2023, letters of credit posted with MISO covered financial transmission right exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of March 31, 2023, in addition to the $6.7 million MISO letters of credit, Entergy Mississippi had $9.2 million in non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. As of March 31, 2023, the FERC-authorized short-term borrowing limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas were effective through October 2023. The FERC-authorized short-term borrowing limit for System Energy is effective through March 2025. In April 2023, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas received FERC-authorized short-term borrowing limits effective through April 2025. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are intercompany borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— Vermont Yankee Credit Facility (Entergy Corporation) In January 2019, Entergy Nuclear Vermont Yankee was transferred to NorthStar and its credit facility was assumed by Entergy Assets Management Operations, LLC (formerly Vermont Yankee Asset Retirement, LLC), Entergy Nuclear Vermont Yankee’s parent company that remains an Entergy subsidiary after the transfer. The credit facility has a borrowing capacity of $139 million and expires in December 2023. The commitment fee is currently 0.20% of the undrawn commitment amount. As of March 31, 2023, $139 million in cash borrowings were outstanding under the credit facility. The weighted average interest rate for the three months ended March 31, 2023 was 6.14% on the drawn portion of the facility. Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs also issue commercial paper, details of which follow as of March 31, 2023: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE June 2025 $80 5.70% $31.5 Entergy Louisiana River Bend VIE June 2025 $105 5.67% $58.5 Entergy Louisiana Waterford VIE June 2025 $105 5.59% $52.1 System Energy VIE June 2025 $120 5.59% $55.9 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances by the nuclear fuel company VIEs for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company VIE for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.100% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. Each lessee is in compliance with this covenant. The nuclear fuel company VIEs had notes payable that were included in debt on the respective balance sheets as of March 31, 2023 as follows: Company Description Amount Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Arkansas VIE 1.84% Series N due July 2026 $90 million Entergy Louisiana River Bend VIE 2.51% Series V due June 2027 $70 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 2.05% Series K due September 2027 $90 million In accordance with regulatory treatment, interest on the nuclear fuel company VIEs’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. As of March 31, 2023, Entergy Arkansas and Entergy Louisiana each had financing authorization from the FERC that extended through October 2023 and System Energy has obtained financing authorization from the FERC that extends through March 2025 for issuances by its nuclear fuel company VIEs. In April 2023, Entergy Arkansas and Entergy Louisiana obtained financing authorizations from the FERC that extend through April 2025. Debt Issuances and Retirements (Entergy Arkansas) In January 2023, Entergy Arkansas issued $425 million of 5.15% Series mortgage bonds due January 2033. Entergy Arkansas expects to use the proceeds, together with other funds, to repay, on or prior to maturity, its $250 million of 3.05% Series mortgage bonds due June 2023 and for general corporate purposes. (System Energy) In March 2023, System Energy issued $325 million of 6.00% Series mortgage bonds due April 2028. System Energy used the proceeds, together with other funds, to repay, prior to maturity, its $50 million term loan due November 2023, and to repay, at maturity, its $250 million of 4.10% Series mortgage bonds due April 2023, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy New Orleans [Member] | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in June 2027. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the three months ended March 31, 2023 was 6.12% on the drawn portion of the facility. As of March 31, 2023, amounts outstanding and capacity available under the $3.5 billion credit facility are: Capacity Borrowings Letters Capacity (In Millions) $3,500 $150 $3 $3,347 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Utility operating companies (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the Entergy Corporation credit facility’s maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of March 31, 2023, Entergy Corporation had $865.6 million of commercial paper outstanding. The weighted-average interest rate for the three months ended March 31, 2023 was 4.93%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of March 31, 2023 as follows: Company Expiration Amount of Interest Rate Amount Drawn Letters of Credit Entergy Arkansas April 2023 (e) $25 million (b) 6.56% $— $— Entergy Arkansas June 2027 $150 million (c) 6.03% $— $— Entergy Louisiana June 2027 $350 million (c) 6.16% $— $— Entergy Mississippi April 2023 (f) $45 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $40 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $10 million (d) 6.41% $— $— Entergy Mississippi July 2024 $150 million 5.98% $100 million $— Entergy New Orleans June 2024 $25 million (c) 6.47% $— $— Entergy Texas June 2027 $150 million (c) 6.16% $— $1.1 million (a) The interest rate is the estimated interest rate as of March 31, 2023 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the short-term Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. (e) In April 2023, Entergy Arkansas renewed and extended the expiration of the credit facility to April 2024. (f) In April 2023, Entergy Mississippi extended the expiration of the credit facilities to July 2023. The commitment fees on the credit facilities range from 0.075% to 0.375% of the undrawn commitment amount for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy Texas, and of the entire facility amount for Entergy New Orleans. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into an uncommitted standby letter of credit facility as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of March 31, 2023: Company Amount of Letter of Credit Fee Letters of Credit Entergy Arkansas $25 million 0.78% $5.6 million Entergy Louisiana $125 million 0.78% $20 million Entergy Mississippi $65 million 0.78% $6.7 million Entergy New Orleans $15 million 1.625% $1 million Entergy Texas $80 million 0.875% $8.8 million (a) As of March 31, 2023, letters of credit posted with MISO covered financial transmission right exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of March 31, 2023, in addition to the $6.7 million MISO letters of credit, Entergy Mississippi had $9.2 million in non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. As of March 31, 2023, the FERC-authorized short-term borrowing limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas were effective through October 2023. The FERC-authorized short-term borrowing limit for System Energy is effective through March 2025. In April 2023, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas received FERC-authorized short-term borrowing limits effective through April 2025. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are intercompany borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— Vermont Yankee Credit Facility (Entergy Corporation) In January 2019, Entergy Nuclear Vermont Yankee was transferred to NorthStar and its credit facility was assumed by Entergy Assets Management Operations, LLC (formerly Vermont Yankee Asset Retirement, LLC), Entergy Nuclear Vermont Yankee’s parent company that remains an Entergy subsidiary after the transfer. The credit facility has a borrowing capacity of $139 million and expires in December 2023. The commitment fee is currently 0.20% of the undrawn commitment amount. As of March 31, 2023, $139 million in cash borrowings were outstanding under the credit facility. The weighted average interest rate for the three months ended March 31, 2023 was 6.14% on the drawn portion of the facility. Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs also issue commercial paper, details of which follow as of March 31, 2023: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE June 2025 $80 5.70% $31.5 Entergy Louisiana River Bend VIE June 2025 $105 5.67% $58.5 Entergy Louisiana Waterford VIE June 2025 $105 5.59% $52.1 System Energy VIE June 2025 $120 5.59% $55.9 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances by the nuclear fuel company VIEs for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company VIE for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.100% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. Each lessee is in compliance with this covenant. The nuclear fuel company VIEs had notes payable that were included in debt on the respective balance sheets as of March 31, 2023 as follows: Company Description Amount Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Arkansas VIE 1.84% Series N due July 2026 $90 million Entergy Louisiana River Bend VIE 2.51% Series V due June 2027 $70 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 2.05% Series K due September 2027 $90 million In accordance with regulatory treatment, interest on the nuclear fuel company VIEs’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. As of March 31, 2023, Entergy Arkansas and Entergy Louisiana each had financing authorization from the FERC that extended through October 2023 and System Energy has obtained financing authorization from the FERC that extends through March 2025 for issuances by its nuclear fuel company VIEs. In April 2023, Entergy Arkansas and Entergy Louisiana obtained financing authorizations from the FERC that extend through April 2025. Debt Issuances and Retirements (Entergy Arkansas) In January 2023, Entergy Arkansas issued $425 million of 5.15% Series mortgage bonds due January 2033. Entergy Arkansas expects to use the proceeds, together with other funds, to repay, on or prior to maturity, its $250 million of 3.05% Series mortgage bonds due June 2023 and for general corporate purposes. (System Energy) In March 2023, System Energy issued $325 million of 6.00% Series mortgage bonds due April 2028. System Energy used the proceeds, together with other funds, to repay, prior to maturity, its $50 million term loan due November 2023, and to repay, at maturity, its $250 million of 4.10% Series mortgage bonds due April 2023, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Texas [Member] | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in June 2027. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the three months ended March 31, 2023 was 6.12% on the drawn portion of the facility. As of March 31, 2023, amounts outstanding and capacity available under the $3.5 billion credit facility are: Capacity Borrowings Letters Capacity (In Millions) $3,500 $150 $3 $3,347 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Utility operating companies (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the Entergy Corporation credit facility’s maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of March 31, 2023, Entergy Corporation had $865.6 million of commercial paper outstanding. The weighted-average interest rate for the three months ended March 31, 2023 was 4.93%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of March 31, 2023 as follows: Company Expiration Amount of Interest Rate Amount Drawn Letters of Credit Entergy Arkansas April 2023 (e) $25 million (b) 6.56% $— $— Entergy Arkansas June 2027 $150 million (c) 6.03% $— $— Entergy Louisiana June 2027 $350 million (c) 6.16% $— $— Entergy Mississippi April 2023 (f) $45 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $40 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $10 million (d) 6.41% $— $— Entergy Mississippi July 2024 $150 million 5.98% $100 million $— Entergy New Orleans June 2024 $25 million (c) 6.47% $— $— Entergy Texas June 2027 $150 million (c) 6.16% $— $1.1 million (a) The interest rate is the estimated interest rate as of March 31, 2023 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the short-term Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. (e) In April 2023, Entergy Arkansas renewed and extended the expiration of the credit facility to April 2024. (f) In April 2023, Entergy Mississippi extended the expiration of the credit facilities to July 2023. The commitment fees on the credit facilities range from 0.075% to 0.375% of the undrawn commitment amount for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy Texas, and of the entire facility amount for Entergy New Orleans. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into an uncommitted standby letter of credit facility as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of March 31, 2023: Company Amount of Letter of Credit Fee Letters of Credit Entergy Arkansas $25 million 0.78% $5.6 million Entergy Louisiana $125 million 0.78% $20 million Entergy Mississippi $65 million 0.78% $6.7 million Entergy New Orleans $15 million 1.625% $1 million Entergy Texas $80 million 0.875% $8.8 million (a) As of March 31, 2023, letters of credit posted with MISO covered financial transmission right exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of March 31, 2023, in addition to the $6.7 million MISO letters of credit, Entergy Mississippi had $9.2 million in non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. As of March 31, 2023, the FERC-authorized short-term borrowing limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas were effective through October 2023. The FERC-authorized short-term borrowing limit for System Energy is effective through March 2025. In April 2023, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas received FERC-authorized short-term borrowing limits effective through April 2025. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are intercompany borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— Vermont Yankee Credit Facility (Entergy Corporation) In January 2019, Entergy Nuclear Vermont Yankee was transferred to NorthStar and its credit facility was assumed by Entergy Assets Management Operations, LLC (formerly Vermont Yankee Asset Retirement, LLC), Entergy Nuclear Vermont Yankee’s parent company that remains an Entergy subsidiary after the transfer. The credit facility has a borrowing capacity of $139 million and expires in December 2023. The commitment fee is currently 0.20% of the undrawn commitment amount. As of March 31, 2023, $139 million in cash borrowings were outstanding under the credit facility. The weighted average interest rate for the three months ended March 31, 2023 was 6.14% on the drawn portion of the facility. Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs also issue commercial paper, details of which follow as of March 31, 2023: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE June 2025 $80 5.70% $31.5 Entergy Louisiana River Bend VIE June 2025 $105 5.67% $58.5 Entergy Louisiana Waterford VIE June 2025 $105 5.59% $52.1 System Energy VIE June 2025 $120 5.59% $55.9 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances by the nuclear fuel company VIEs for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company VIE for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.100% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. Each lessee is in compliance with this covenant. The nuclear fuel company VIEs had notes payable that were included in debt on the respective balance sheets as of March 31, 2023 as follows: Company Description Amount Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Arkansas VIE 1.84% Series N due July 2026 $90 million Entergy Louisiana River Bend VIE 2.51% Series V due June 2027 $70 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 2.05% Series K due September 2027 $90 million In accordance with regulatory treatment, interest on the nuclear fuel company VIEs’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. As of March 31, 2023, Entergy Arkansas and Entergy Louisiana each had financing authorization from the FERC that extended through October 2023 and System Energy has obtained financing authorization from the FERC that extends through March 2025 for issuances by its nuclear fuel company VIEs. In April 2023, Entergy Arkansas and Entergy Louisiana obtained financing authorizations from the FERC that extend through April 2025. Debt Issuances and Retirements (Entergy Arkansas) In January 2023, Entergy Arkansas issued $425 million of 5.15% Series mortgage bonds due January 2033. Entergy Arkansas expects to use the proceeds, together with other funds, to repay, on or prior to maturity, its $250 million of 3.05% Series mortgage bonds due June 2023 and for general corporate purposes. (System Energy) In March 2023, System Energy issued $325 million of 6.00% Series mortgage bonds due April 2028. System Energy used the proceeds, together with other funds, to repay, prior to maturity, its $50 million term loan due November 2023, and to repay, at maturity, its $250 million of 4.10% Series mortgage bonds due April 2023, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
System Energy [Member] | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in June 2027. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the three months ended March 31, 2023 was 6.12% on the drawn portion of the facility. As of March 31, 2023, amounts outstanding and capacity available under the $3.5 billion credit facility are: Capacity Borrowings Letters Capacity (In Millions) $3,500 $150 $3 $3,347 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Utility operating companies (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the Entergy Corporation credit facility’s maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of March 31, 2023, Entergy Corporation had $865.6 million of commercial paper outstanding. The weighted-average interest rate for the three months ended March 31, 2023 was 4.93%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of March 31, 2023 as follows: Company Expiration Amount of Interest Rate Amount Drawn Letters of Credit Entergy Arkansas April 2023 (e) $25 million (b) 6.56% $— $— Entergy Arkansas June 2027 $150 million (c) 6.03% $— $— Entergy Louisiana June 2027 $350 million (c) 6.16% $— $— Entergy Mississippi April 2023 (f) $45 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $40 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $10 million (d) 6.41% $— $— Entergy Mississippi July 2024 $150 million 5.98% $100 million $— Entergy New Orleans June 2024 $25 million (c) 6.47% $— $— Entergy Texas June 2027 $150 million (c) 6.16% $— $1.1 million (a) The interest rate is the estimated interest rate as of March 31, 2023 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the short-term Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. (e) In April 2023, Entergy Arkansas renewed and extended the expiration of the credit facility to April 2024. (f) In April 2023, Entergy Mississippi extended the expiration of the credit facilities to July 2023. The commitment fees on the credit facilities range from 0.075% to 0.375% of the undrawn commitment amount for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy Texas, and of the entire facility amount for Entergy New Orleans. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into an uncommitted standby letter of credit facility as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of March 31, 2023: Company Amount of Letter of Credit Fee Letters of Credit Entergy Arkansas $25 million 0.78% $5.6 million Entergy Louisiana $125 million 0.78% $20 million Entergy Mississippi $65 million 0.78% $6.7 million Entergy New Orleans $15 million 1.625% $1 million Entergy Texas $80 million 0.875% $8.8 million (a) As of March 31, 2023, letters of credit posted with MISO covered financial transmission right exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of March 31, 2023, in addition to the $6.7 million MISO letters of credit, Entergy Mississippi had $9.2 million in non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. As of March 31, 2023, the FERC-authorized short-term borrowing limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas were effective through October 2023. The FERC-authorized short-term borrowing limit for System Energy is effective through March 2025. In April 2023, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas received FERC-authorized short-term borrowing limits effective through April 2025. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are intercompany borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— Vermont Yankee Credit Facility (Entergy Corporation) In January 2019, Entergy Nuclear Vermont Yankee was transferred to NorthStar and its credit facility was assumed by Entergy Assets Management Operations, LLC (formerly Vermont Yankee Asset Retirement, LLC), Entergy Nuclear Vermont Yankee’s parent company that remains an Entergy subsidiary after the transfer. The credit facility has a borrowing capacity of $139 million and expires in December 2023. The commitment fee is currently 0.20% of the undrawn commitment amount. As of March 31, 2023, $139 million in cash borrowings were outstanding under the credit facility. The weighted average interest rate for the three months ended March 31, 2023 was 6.14% on the drawn portion of the facility. Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs also issue commercial paper, details of which follow as of March 31, 2023: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE June 2025 $80 5.70% $31.5 Entergy Louisiana River Bend VIE June 2025 $105 5.67% $58.5 Entergy Louisiana Waterford VIE June 2025 $105 5.59% $52.1 System Energy VIE June 2025 $120 5.59% $55.9 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances by the nuclear fuel company VIEs for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company VIE for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.100% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. Each lessee is in compliance with this covenant. The nuclear fuel company VIEs had notes payable that were included in debt on the respective balance sheets as of March 31, 2023 as follows: Company Description Amount Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Arkansas VIE 1.84% Series N due July 2026 $90 million Entergy Louisiana River Bend VIE 2.51% Series V due June 2027 $70 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 2.05% Series K due September 2027 $90 million In accordance with regulatory treatment, interest on the nuclear fuel company VIEs’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. As of March 31, 2023, Entergy Arkansas and Entergy Louisiana each had financing authorization from the FERC that extended through October 2023 and System Energy has obtained financing authorization from the FERC that extends through March 2025 for issuances by its nuclear fuel company VIEs. In April 2023, Entergy Arkansas and Entergy Louisiana obtained financing authorizations from the FERC that extend through April 2025. Debt Issuances and Retirements (Entergy Arkansas) In January 2023, Entergy Arkansas issued $425 million of 5.15% Series mortgage bonds due January 2033. Entergy Arkansas expects to use the proceeds, together with other funds, to repay, on or prior to maturity, its $250 million of 3.05% Series mortgage bonds due June 2023 and for general corporate purposes. (System Energy) In March 2023, System Energy issued $325 million of 6.00% Series mortgage bonds due April 2028. System Energy used the proceeds, together with other funds, to repay, prior to maturity, its $50 million term loan due November 2023, and to repay, at maturity, its $250 million of 4.10% Series mortgage bonds due April 2023, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2023 | |
Entergy Corporation [Member] | |
Stock-Based Compensation | STOCK-BASED COMPENSATION (Entergy Corporation) Entergy grants stock and stock-based awards, which are described more fully in Note 12 to the financial statements in the Form 10-K. Awards under Entergy’s plans generally vest over three years. Stock Options Entergy granted options on 281,874 shares of its common stock under the 2019 Omnibus Incentive Plan during the first quarter 2023 with a fair value of $20.07 per option. As of March 31, 2023, there were options on 2,985,788 shares of common stock outstanding with a weighted-average exercise price of $97.57. The intrinsic value, which has no effect on net income, of the outstanding stock options is calculated by the positive difference between the weighted average exercise price of the stock options granted and Entergy Corporation’s common stock price as of March 31, 2023. The aggregate intrinsic value of the stock options outstanding as of March 31, 2023 was $42.8 million. The following table includes financial information for outstanding stock options for the three months ended March 31, 2023 and 2022: 2023 2022 (In Millions) Compensation expense included in Entergy’s consolidated net income $1.1 $1.1 Tax benefit recognized in Entergy’s consolidated net income $0.3 $0.3 Compensation cost capitalized as part of fixed assets and materials and supplies $0.5 $0.4 Other Equity Awards In January 2023 the Board approved and Entergy granted 345,983 restricted stock awards and 143,212 long-term incentive awards under the 2019 Omnibus Incentive Plan. The restricted stock awards were made effective on January 26, 2023 and were valued at $108.47 per share, which was the closing price of Entergy’s common stock on that date. Shares of restricted stock have the same dividend and voting rights as other common stock, are considered issued and outstanding shares of Entergy upon vesting, and are expensed ratably over the three-year vesting period. One-third of the restricted stock awards and accrued dividends will vest upon each anniversary of the grant date. In addition, long-term incentive awards were also granted in the form of performance units that represent the value of, and are settled with, one share of Entergy Corporation common stock at the end of the three-year performance period, plus dividends accrued during the performance period on the number of performance units earned. To emphasize the importance of strong cash generation for the long-term health of its business, a credit measure – adjusted funds from operations/debt ratio – was selected as one of the performance measures for the 2023-2025 performance period. Performance will be measured based eighty percent on relative total shareholder return and twenty percent on the credit measure. The performance units were granted on January 26, 2023 and eighty percent were valued at $130.65 per share based on various factors, primarily market conditions; and twenty percent were valued at $108.47 per share, the closing price of Entergy’s common stock on that date. Performance units have the same dividend rights as shares of Entergy common stock and are considered issued and outstanding shares of Entergy upon vesting. Performance units are expensed ratably over the three-year vesting period and compensation cost for the portion of the award based on cumulative adjusted earnings per share will be adjusted based on the number of units that ultimately vest. See Note 12 to the financial statements in the Form 10-K for a description of the Long-Term Performance Unit Program. The following table includes financial information for other outstanding equity awards for the three months ended March 31, 2023 and 2022: 2023 2022 (In Millions) Compensation expense included in Entergy’s consolidated net income $7.7 $11.4 Tax benefit recognized in Entergy’s consolidated net income $2.0 $2.9 Compensation cost capitalized as part of fixed assets and materials and supplies $3.2 $4.4 |
Retirement And Other Postretire
Retirement And Other Postretirement Benefits | 3 Months Ended |
Mar. 31, 2023 | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension costs, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $25,678 $37,660 Interest cost on projected benefit obligation 75,701 51,119 Expected return on assets (98,133) (103,607) Amortization of net loss 22,347 60,579 Settlement charges 138,427 — Net pension costs $164,020 $45,751 The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $4,749 $6,280 $1,482 $491 $1,107 $1,467 Interest cost on projected benefit obligation 14,280 15,379 3,930 1,715 3,242 3,528 Expected return on assets (18,076) (19,233) (4,884) (2,267) (4,152) (4,538) Amortization of net loss 6,969 4,964 1,765 513 990 1,461 Settlement charges 22,174 35,999 11,655 1,693 9,678 4,799 Net pension cost $30,096 $43,389 $13,948 $2,145 $10,865 $6,717 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,858 $9,137 $2,130 $752 $1,632 $2,045 Interest cost on projected benefit obligation 9,317 10,499 2,678 1,139 2,175 2,338 Expected return on assets (19,247) (21,133) (5,203) (2,515) (4,937) (4,623) Amortization of net loss 13,426 12,597 3,810 1,368 2,555 3,266 Net pension cost $10,354 $11,100 $3,415 $744 $1,425 $3,026 Non-Qualified Net Pension Cost Entergy recognized $9.2 million and $10.2 million in pension cost for its non-qualified pension plans in the first quarters of 2023 and 2022, respectively. Reflected in the pension cost for non-qualified pension plans in the first quarters of 2023 and 2022 were settlement charges of $4.8 million and $5.3 million, respectively, related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the first quarters of 2023 and 2022: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2023 $450 $27 $552 $33 $63 2022 $72 $27 $80 $29 $215 Reflected in Entergy Arkansas’ non-qualified pension costs in the first quarter of 2023 were settlement charges of $379 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Mississippi’s non-qualified pension costs in the first quarter of 2023 were settlement charges of $453 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Texas’ non-qualified pension costs in the first quarter of 2022 were settlement charges of $119 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit income, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $3,664 $6,184 Interest cost on accumulated postretirement benefit obligation (APBO) 10,568 6,827 Expected return on assets (9,183) (10,855) Amortization of prior service credit (5,640) (6,388) Amortization of net (gain)/loss (2,862) 1,083 Net other postretirement benefit income ($3,453) ($3,149) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $741 $845 $220 $59 $202 $189 Interest cost on APBO 2,001 2,233 543 290 649 432 Expected return on assets (3,778) — (1,179) (1,316) (2,194) (634) Amortization of prior service cost/(credit) 524 (951) (239) (229) (1,093) (73) Amortization of net (gain) loss 43 (1,764) 21 117 229 — Net other postretirement benefit cost (income) ($469) $363 ($634) ($1,079) ($2,207) ($86) 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,114 $1,408 $339 $99 $331 $310 Interest cost on APBO 1,263 1,443 350 174 399 279 Expected return on assets (4,483) — (1,394) (1,499) (2,568) (791) Amortization of prior service cost/(credit) 471 (1,158) (443) (229) (1,093) (80) Amortization of net (gain) loss 218 (186) 56 (225) 162 30 Net other postretirement benefit cost (income) ($1,417) $1,507 ($1,092) ($1,680) ($2,769) ($252) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the three months ended March 31, 2023 and 2022: 2023 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $3,510 ($113) $3,397 Amortization of net gain (loss) (1,040) 2,898 (197) 1,661 Settlement loss (6,647) — (1,169) (7,816) ($7,687) $6,408 ($1,479) ($2,758) Entergy Louisiana Amortization of prior service credit $— $951 $— $951 Amortization of net gain (loss) (199) 1,764 — 1,565 Settlement loss (1,440) — — (1,440) ($1,639) $2,715 $— $1,076 2022 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $4,014 ($177) $3,837 Amortization of net loss (12,910) (596) (419) (13,925) Settlement loss — — (782) (782) ($12,910) $3,418 ($1,378) ($10,870) Entergy Louisiana Amortization of prior service credit $— $1,158 $— $1,158 Amortization of net gain (loss) (504) 186 (1) (319) ($504) $1,344 ($1) $839 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,” the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Qualified Pension Settlement Costs Year-to-date lump sum benefit payments from the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees exceeded the sum of the Plans’ 2023 service and interest cost, resulting in settlement costs. In accordance with accounting standards, settlement accounting requires immediate recognition of the portion of previously unrecognized losses associated with the settled portion of the plan’s pension liability. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy each participate in one or both of the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees and incurred settlement costs. Similar to other pension costs, the settlement costs were included with employee labor costs and charged to expense and capital in the same manner that labor costs were charged. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy New Orleans each received regulatory approval to defer the expense portion of the settlement costs, with future amortization of the deferred settlement expense over the period in which the expense otherwise would be recorded had the immediate recognition not occurred. Entergy Texas Reserve In September 2020, Entergy Texas elected to establish a reserve, in accordance with PUCT regulations, for the difference between the amount recorded for pension and other postretirement benefits expense under generally accepted accounting principles during 2019, the first year that rates from Entergy Texas’s last general rate proceeding were in effect, and the annual amount of actuarially determined pension and other postretirement benefits chargeable to Entergy Texas’s expense. The reserve amount was included in the base rate case that was filed with the PUCT in July 2022. At March 31, 2023, the balance in this reserve was approximately $39.9 million. Employer Contributions Based on current assumptions, Entergy expects to contribute $267 million to its qualified pension plans in 2023. As of March 31, 2023, Entergy had contributed $33 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2023: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2023 pension contributions $54,468 $44,565 $21,110 $1,420 $5,314 $15,543 Pension contributions made through March 2023 $6,436 $3,169 $2,470 $— $146 $2,191 Remaining estimated pension contributions to be made in 2023 $48,032 $41,396 $18,640 $1,420 $5,168 $13,352 |
Entergy Arkansas [Member] | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension costs, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $25,678 $37,660 Interest cost on projected benefit obligation 75,701 51,119 Expected return on assets (98,133) (103,607) Amortization of net loss 22,347 60,579 Settlement charges 138,427 — Net pension costs $164,020 $45,751 The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $4,749 $6,280 $1,482 $491 $1,107 $1,467 Interest cost on projected benefit obligation 14,280 15,379 3,930 1,715 3,242 3,528 Expected return on assets (18,076) (19,233) (4,884) (2,267) (4,152) (4,538) Amortization of net loss 6,969 4,964 1,765 513 990 1,461 Settlement charges 22,174 35,999 11,655 1,693 9,678 4,799 Net pension cost $30,096 $43,389 $13,948 $2,145 $10,865 $6,717 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,858 $9,137 $2,130 $752 $1,632 $2,045 Interest cost on projected benefit obligation 9,317 10,499 2,678 1,139 2,175 2,338 Expected return on assets (19,247) (21,133) (5,203) (2,515) (4,937) (4,623) Amortization of net loss 13,426 12,597 3,810 1,368 2,555 3,266 Net pension cost $10,354 $11,100 $3,415 $744 $1,425 $3,026 Non-Qualified Net Pension Cost Entergy recognized $9.2 million and $10.2 million in pension cost for its non-qualified pension plans in the first quarters of 2023 and 2022, respectively. Reflected in the pension cost for non-qualified pension plans in the first quarters of 2023 and 2022 were settlement charges of $4.8 million and $5.3 million, respectively, related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the first quarters of 2023 and 2022: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2023 $450 $27 $552 $33 $63 2022 $72 $27 $80 $29 $215 Reflected in Entergy Arkansas’ non-qualified pension costs in the first quarter of 2023 were settlement charges of $379 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Mississippi’s non-qualified pension costs in the first quarter of 2023 were settlement charges of $453 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Texas’ non-qualified pension costs in the first quarter of 2022 were settlement charges of $119 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit income, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $3,664 $6,184 Interest cost on accumulated postretirement benefit obligation (APBO) 10,568 6,827 Expected return on assets (9,183) (10,855) Amortization of prior service credit (5,640) (6,388) Amortization of net (gain)/loss (2,862) 1,083 Net other postretirement benefit income ($3,453) ($3,149) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $741 $845 $220 $59 $202 $189 Interest cost on APBO 2,001 2,233 543 290 649 432 Expected return on assets (3,778) — (1,179) (1,316) (2,194) (634) Amortization of prior service cost/(credit) 524 (951) (239) (229) (1,093) (73) Amortization of net (gain) loss 43 (1,764) 21 117 229 — Net other postretirement benefit cost (income) ($469) $363 ($634) ($1,079) ($2,207) ($86) 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,114 $1,408 $339 $99 $331 $310 Interest cost on APBO 1,263 1,443 350 174 399 279 Expected return on assets (4,483) — (1,394) (1,499) (2,568) (791) Amortization of prior service cost/(credit) 471 (1,158) (443) (229) (1,093) (80) Amortization of net (gain) loss 218 (186) 56 (225) 162 30 Net other postretirement benefit cost (income) ($1,417) $1,507 ($1,092) ($1,680) ($2,769) ($252) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the three months ended March 31, 2023 and 2022: 2023 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $3,510 ($113) $3,397 Amortization of net gain (loss) (1,040) 2,898 (197) 1,661 Settlement loss (6,647) — (1,169) (7,816) ($7,687) $6,408 ($1,479) ($2,758) Entergy Louisiana Amortization of prior service credit $— $951 $— $951 Amortization of net gain (loss) (199) 1,764 — 1,565 Settlement loss (1,440) — — (1,440) ($1,639) $2,715 $— $1,076 2022 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $4,014 ($177) $3,837 Amortization of net loss (12,910) (596) (419) (13,925) Settlement loss — — (782) (782) ($12,910) $3,418 ($1,378) ($10,870) Entergy Louisiana Amortization of prior service credit $— $1,158 $— $1,158 Amortization of net gain (loss) (504) 186 (1) (319) ($504) $1,344 ($1) $839 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,” the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Qualified Pension Settlement Costs Year-to-date lump sum benefit payments from the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees exceeded the sum of the Plans’ 2023 service and interest cost, resulting in settlement costs. In accordance with accounting standards, settlement accounting requires immediate recognition of the portion of previously unrecognized losses associated with the settled portion of the plan’s pension liability. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy each participate in one or both of the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees and incurred settlement costs. Similar to other pension costs, the settlement costs were included with employee labor costs and charged to expense and capital in the same manner that labor costs were charged. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy New Orleans each received regulatory approval to defer the expense portion of the settlement costs, with future amortization of the deferred settlement expense over the period in which the expense otherwise would be recorded had the immediate recognition not occurred. Entergy Texas Reserve In September 2020, Entergy Texas elected to establish a reserve, in accordance with PUCT regulations, for the difference between the amount recorded for pension and other postretirement benefits expense under generally accepted accounting principles during 2019, the first year that rates from Entergy Texas’s last general rate proceeding were in effect, and the annual amount of actuarially determined pension and other postretirement benefits chargeable to Entergy Texas’s expense. The reserve amount was included in the base rate case that was filed with the PUCT in July 2022. At March 31, 2023, the balance in this reserve was approximately $39.9 million. Employer Contributions Based on current assumptions, Entergy expects to contribute $267 million to its qualified pension plans in 2023. As of March 31, 2023, Entergy had contributed $33 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2023: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2023 pension contributions $54,468 $44,565 $21,110 $1,420 $5,314 $15,543 Pension contributions made through March 2023 $6,436 $3,169 $2,470 $— $146 $2,191 Remaining estimated pension contributions to be made in 2023 $48,032 $41,396 $18,640 $1,420 $5,168 $13,352 |
Entergy Louisiana [Member] | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension costs, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $25,678 $37,660 Interest cost on projected benefit obligation 75,701 51,119 Expected return on assets (98,133) (103,607) Amortization of net loss 22,347 60,579 Settlement charges 138,427 — Net pension costs $164,020 $45,751 The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $4,749 $6,280 $1,482 $491 $1,107 $1,467 Interest cost on projected benefit obligation 14,280 15,379 3,930 1,715 3,242 3,528 Expected return on assets (18,076) (19,233) (4,884) (2,267) (4,152) (4,538) Amortization of net loss 6,969 4,964 1,765 513 990 1,461 Settlement charges 22,174 35,999 11,655 1,693 9,678 4,799 Net pension cost $30,096 $43,389 $13,948 $2,145 $10,865 $6,717 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,858 $9,137 $2,130 $752 $1,632 $2,045 Interest cost on projected benefit obligation 9,317 10,499 2,678 1,139 2,175 2,338 Expected return on assets (19,247) (21,133) (5,203) (2,515) (4,937) (4,623) Amortization of net loss 13,426 12,597 3,810 1,368 2,555 3,266 Net pension cost $10,354 $11,100 $3,415 $744 $1,425 $3,026 Non-Qualified Net Pension Cost Entergy recognized $9.2 million and $10.2 million in pension cost for its non-qualified pension plans in the first quarters of 2023 and 2022, respectively. Reflected in the pension cost for non-qualified pension plans in the first quarters of 2023 and 2022 were settlement charges of $4.8 million and $5.3 million, respectively, related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the first quarters of 2023 and 2022: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2023 $450 $27 $552 $33 $63 2022 $72 $27 $80 $29 $215 Reflected in Entergy Arkansas’ non-qualified pension costs in the first quarter of 2023 were settlement charges of $379 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Mississippi’s non-qualified pension costs in the first quarter of 2023 were settlement charges of $453 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Texas’ non-qualified pension costs in the first quarter of 2022 were settlement charges of $119 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit income, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $3,664 $6,184 Interest cost on accumulated postretirement benefit obligation (APBO) 10,568 6,827 Expected return on assets (9,183) (10,855) Amortization of prior service credit (5,640) (6,388) Amortization of net (gain)/loss (2,862) 1,083 Net other postretirement benefit income ($3,453) ($3,149) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $741 $845 $220 $59 $202 $189 Interest cost on APBO 2,001 2,233 543 290 649 432 Expected return on assets (3,778) — (1,179) (1,316) (2,194) (634) Amortization of prior service cost/(credit) 524 (951) (239) (229) (1,093) (73) Amortization of net (gain) loss 43 (1,764) 21 117 229 — Net other postretirement benefit cost (income) ($469) $363 ($634) ($1,079) ($2,207) ($86) 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,114 $1,408 $339 $99 $331 $310 Interest cost on APBO 1,263 1,443 350 174 399 279 Expected return on assets (4,483) — (1,394) (1,499) (2,568) (791) Amortization of prior service cost/(credit) 471 (1,158) (443) (229) (1,093) (80) Amortization of net (gain) loss 218 (186) 56 (225) 162 30 Net other postretirement benefit cost (income) ($1,417) $1,507 ($1,092) ($1,680) ($2,769) ($252) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the three months ended March 31, 2023 and 2022: 2023 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $3,510 ($113) $3,397 Amortization of net gain (loss) (1,040) 2,898 (197) 1,661 Settlement loss (6,647) — (1,169) (7,816) ($7,687) $6,408 ($1,479) ($2,758) Entergy Louisiana Amortization of prior service credit $— $951 $— $951 Amortization of net gain (loss) (199) 1,764 — 1,565 Settlement loss (1,440) — — (1,440) ($1,639) $2,715 $— $1,076 2022 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $4,014 ($177) $3,837 Amortization of net loss (12,910) (596) (419) (13,925) Settlement loss — — (782) (782) ($12,910) $3,418 ($1,378) ($10,870) Entergy Louisiana Amortization of prior service credit $— $1,158 $— $1,158 Amortization of net gain (loss) (504) 186 (1) (319) ($504) $1,344 ($1) $839 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,” the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Qualified Pension Settlement Costs Year-to-date lump sum benefit payments from the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees exceeded the sum of the Plans’ 2023 service and interest cost, resulting in settlement costs. In accordance with accounting standards, settlement accounting requires immediate recognition of the portion of previously unrecognized losses associated with the settled portion of the plan’s pension liability. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy each participate in one or both of the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees and incurred settlement costs. Similar to other pension costs, the settlement costs were included with employee labor costs and charged to expense and capital in the same manner that labor costs were charged. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy New Orleans each received regulatory approval to defer the expense portion of the settlement costs, with future amortization of the deferred settlement expense over the period in which the expense otherwise would be recorded had the immediate recognition not occurred. Entergy Texas Reserve In September 2020, Entergy Texas elected to establish a reserve, in accordance with PUCT regulations, for the difference between the amount recorded for pension and other postretirement benefits expense under generally accepted accounting principles during 2019, the first year that rates from Entergy Texas’s last general rate proceeding were in effect, and the annual amount of actuarially determined pension and other postretirement benefits chargeable to Entergy Texas’s expense. The reserve amount was included in the base rate case that was filed with the PUCT in July 2022. At March 31, 2023, the balance in this reserve was approximately $39.9 million. Employer Contributions Based on current assumptions, Entergy expects to contribute $267 million to its qualified pension plans in 2023. As of March 31, 2023, Entergy had contributed $33 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2023: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2023 pension contributions $54,468 $44,565 $21,110 $1,420 $5,314 $15,543 Pension contributions made through March 2023 $6,436 $3,169 $2,470 $— $146 $2,191 Remaining estimated pension contributions to be made in 2023 $48,032 $41,396 $18,640 $1,420 $5,168 $13,352 |
Entergy Mississippi [Member] | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension costs, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $25,678 $37,660 Interest cost on projected benefit obligation 75,701 51,119 Expected return on assets (98,133) (103,607) Amortization of net loss 22,347 60,579 Settlement charges 138,427 — Net pension costs $164,020 $45,751 The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $4,749 $6,280 $1,482 $491 $1,107 $1,467 Interest cost on projected benefit obligation 14,280 15,379 3,930 1,715 3,242 3,528 Expected return on assets (18,076) (19,233) (4,884) (2,267) (4,152) (4,538) Amortization of net loss 6,969 4,964 1,765 513 990 1,461 Settlement charges 22,174 35,999 11,655 1,693 9,678 4,799 Net pension cost $30,096 $43,389 $13,948 $2,145 $10,865 $6,717 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,858 $9,137 $2,130 $752 $1,632 $2,045 Interest cost on projected benefit obligation 9,317 10,499 2,678 1,139 2,175 2,338 Expected return on assets (19,247) (21,133) (5,203) (2,515) (4,937) (4,623) Amortization of net loss 13,426 12,597 3,810 1,368 2,555 3,266 Net pension cost $10,354 $11,100 $3,415 $744 $1,425 $3,026 Non-Qualified Net Pension Cost Entergy recognized $9.2 million and $10.2 million in pension cost for its non-qualified pension plans in the first quarters of 2023 and 2022, respectively. Reflected in the pension cost for non-qualified pension plans in the first quarters of 2023 and 2022 were settlement charges of $4.8 million and $5.3 million, respectively, related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the first quarters of 2023 and 2022: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2023 $450 $27 $552 $33 $63 2022 $72 $27 $80 $29 $215 Reflected in Entergy Arkansas’ non-qualified pension costs in the first quarter of 2023 were settlement charges of $379 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Mississippi’s non-qualified pension costs in the first quarter of 2023 were settlement charges of $453 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Texas’ non-qualified pension costs in the first quarter of 2022 were settlement charges of $119 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit income, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $3,664 $6,184 Interest cost on accumulated postretirement benefit obligation (APBO) 10,568 6,827 Expected return on assets (9,183) (10,855) Amortization of prior service credit (5,640) (6,388) Amortization of net (gain)/loss (2,862) 1,083 Net other postretirement benefit income ($3,453) ($3,149) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $741 $845 $220 $59 $202 $189 Interest cost on APBO 2,001 2,233 543 290 649 432 Expected return on assets (3,778) — (1,179) (1,316) (2,194) (634) Amortization of prior service cost/(credit) 524 (951) (239) (229) (1,093) (73) Amortization of net (gain) loss 43 (1,764) 21 117 229 — Net other postretirement benefit cost (income) ($469) $363 ($634) ($1,079) ($2,207) ($86) 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,114 $1,408 $339 $99 $331 $310 Interest cost on APBO 1,263 1,443 350 174 399 279 Expected return on assets (4,483) — (1,394) (1,499) (2,568) (791) Amortization of prior service cost/(credit) 471 (1,158) (443) (229) (1,093) (80) Amortization of net (gain) loss 218 (186) 56 (225) 162 30 Net other postretirement benefit cost (income) ($1,417) $1,507 ($1,092) ($1,680) ($2,769) ($252) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the three months ended March 31, 2023 and 2022: 2023 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $3,510 ($113) $3,397 Amortization of net gain (loss) (1,040) 2,898 (197) 1,661 Settlement loss (6,647) — (1,169) (7,816) ($7,687) $6,408 ($1,479) ($2,758) Entergy Louisiana Amortization of prior service credit $— $951 $— $951 Amortization of net gain (loss) (199) 1,764 — 1,565 Settlement loss (1,440) — — (1,440) ($1,639) $2,715 $— $1,076 2022 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $4,014 ($177) $3,837 Amortization of net loss (12,910) (596) (419) (13,925) Settlement loss — — (782) (782) ($12,910) $3,418 ($1,378) ($10,870) Entergy Louisiana Amortization of prior service credit $— $1,158 $— $1,158 Amortization of net gain (loss) (504) 186 (1) (319) ($504) $1,344 ($1) $839 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,” the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Qualified Pension Settlement Costs Year-to-date lump sum benefit payments from the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees exceeded the sum of the Plans’ 2023 service and interest cost, resulting in settlement costs. In accordance with accounting standards, settlement accounting requires immediate recognition of the portion of previously unrecognized losses associated with the settled portion of the plan’s pension liability. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy each participate in one or both of the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees and incurred settlement costs. Similar to other pension costs, the settlement costs were included with employee labor costs and charged to expense and capital in the same manner that labor costs were charged. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy New Orleans each received regulatory approval to defer the expense portion of the settlement costs, with future amortization of the deferred settlement expense over the period in which the expense otherwise would be recorded had the immediate recognition not occurred. Entergy Texas Reserve In September 2020, Entergy Texas elected to establish a reserve, in accordance with PUCT regulations, for the difference between the amount recorded for pension and other postretirement benefits expense under generally accepted accounting principles during 2019, the first year that rates from Entergy Texas’s last general rate proceeding were in effect, and the annual amount of actuarially determined pension and other postretirement benefits chargeable to Entergy Texas’s expense. The reserve amount was included in the base rate case that was filed with the PUCT in July 2022. At March 31, 2023, the balance in this reserve was approximately $39.9 million. Employer Contributions Based on current assumptions, Entergy expects to contribute $267 million to its qualified pension plans in 2023. As of March 31, 2023, Entergy had contributed $33 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2023: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2023 pension contributions $54,468 $44,565 $21,110 $1,420 $5,314 $15,543 Pension contributions made through March 2023 $6,436 $3,169 $2,470 $— $146 $2,191 Remaining estimated pension contributions to be made in 2023 $48,032 $41,396 $18,640 $1,420 $5,168 $13,352 |
Entergy New Orleans [Member] | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension costs, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $25,678 $37,660 Interest cost on projected benefit obligation 75,701 51,119 Expected return on assets (98,133) (103,607) Amortization of net loss 22,347 60,579 Settlement charges 138,427 — Net pension costs $164,020 $45,751 The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $4,749 $6,280 $1,482 $491 $1,107 $1,467 Interest cost on projected benefit obligation 14,280 15,379 3,930 1,715 3,242 3,528 Expected return on assets (18,076) (19,233) (4,884) (2,267) (4,152) (4,538) Amortization of net loss 6,969 4,964 1,765 513 990 1,461 Settlement charges 22,174 35,999 11,655 1,693 9,678 4,799 Net pension cost $30,096 $43,389 $13,948 $2,145 $10,865 $6,717 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,858 $9,137 $2,130 $752 $1,632 $2,045 Interest cost on projected benefit obligation 9,317 10,499 2,678 1,139 2,175 2,338 Expected return on assets (19,247) (21,133) (5,203) (2,515) (4,937) (4,623) Amortization of net loss 13,426 12,597 3,810 1,368 2,555 3,266 Net pension cost $10,354 $11,100 $3,415 $744 $1,425 $3,026 Non-Qualified Net Pension Cost Entergy recognized $9.2 million and $10.2 million in pension cost for its non-qualified pension plans in the first quarters of 2023 and 2022, respectively. Reflected in the pension cost for non-qualified pension plans in the first quarters of 2023 and 2022 were settlement charges of $4.8 million and $5.3 million, respectively, related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the first quarters of 2023 and 2022: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2023 $450 $27 $552 $33 $63 2022 $72 $27 $80 $29 $215 Reflected in Entergy Arkansas’ non-qualified pension costs in the first quarter of 2023 were settlement charges of $379 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Mississippi’s non-qualified pension costs in the first quarter of 2023 were settlement charges of $453 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Texas’ non-qualified pension costs in the first quarter of 2022 were settlement charges of $119 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit income, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $3,664 $6,184 Interest cost on accumulated postretirement benefit obligation (APBO) 10,568 6,827 Expected return on assets (9,183) (10,855) Amortization of prior service credit (5,640) (6,388) Amortization of net (gain)/loss (2,862) 1,083 Net other postretirement benefit income ($3,453) ($3,149) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $741 $845 $220 $59 $202 $189 Interest cost on APBO 2,001 2,233 543 290 649 432 Expected return on assets (3,778) — (1,179) (1,316) (2,194) (634) Amortization of prior service cost/(credit) 524 (951) (239) (229) (1,093) (73) Amortization of net (gain) loss 43 (1,764) 21 117 229 — Net other postretirement benefit cost (income) ($469) $363 ($634) ($1,079) ($2,207) ($86) 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,114 $1,408 $339 $99 $331 $310 Interest cost on APBO 1,263 1,443 350 174 399 279 Expected return on assets (4,483) — (1,394) (1,499) (2,568) (791) Amortization of prior service cost/(credit) 471 (1,158) (443) (229) (1,093) (80) Amortization of net (gain) loss 218 (186) 56 (225) 162 30 Net other postretirement benefit cost (income) ($1,417) $1,507 ($1,092) ($1,680) ($2,769) ($252) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the three months ended March 31, 2023 and 2022: 2023 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $3,510 ($113) $3,397 Amortization of net gain (loss) (1,040) 2,898 (197) 1,661 Settlement loss (6,647) — (1,169) (7,816) ($7,687) $6,408 ($1,479) ($2,758) Entergy Louisiana Amortization of prior service credit $— $951 $— $951 Amortization of net gain (loss) (199) 1,764 — 1,565 Settlement loss (1,440) — — (1,440) ($1,639) $2,715 $— $1,076 2022 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $4,014 ($177) $3,837 Amortization of net loss (12,910) (596) (419) (13,925) Settlement loss — — (782) (782) ($12,910) $3,418 ($1,378) ($10,870) Entergy Louisiana Amortization of prior service credit $— $1,158 $— $1,158 Amortization of net gain (loss) (504) 186 (1) (319) ($504) $1,344 ($1) $839 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,” the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Qualified Pension Settlement Costs Year-to-date lump sum benefit payments from the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees exceeded the sum of the Plans’ 2023 service and interest cost, resulting in settlement costs. In accordance with accounting standards, settlement accounting requires immediate recognition of the portion of previously unrecognized losses associated with the settled portion of the plan’s pension liability. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy each participate in one or both of the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees and incurred settlement costs. Similar to other pension costs, the settlement costs were included with employee labor costs and charged to expense and capital in the same manner that labor costs were charged. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy New Orleans each received regulatory approval to defer the expense portion of the settlement costs, with future amortization of the deferred settlement expense over the period in which the expense otherwise would be recorded had the immediate recognition not occurred. Entergy Texas Reserve In September 2020, Entergy Texas elected to establish a reserve, in accordance with PUCT regulations, for the difference between the amount recorded for pension and other postretirement benefits expense under generally accepted accounting principles during 2019, the first year that rates from Entergy Texas’s last general rate proceeding were in effect, and the annual amount of actuarially determined pension and other postretirement benefits chargeable to Entergy Texas’s expense. The reserve amount was included in the base rate case that was filed with the PUCT in July 2022. At March 31, 2023, the balance in this reserve was approximately $39.9 million. Employer Contributions Based on current assumptions, Entergy expects to contribute $267 million to its qualified pension plans in 2023. As of March 31, 2023, Entergy had contributed $33 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2023: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2023 pension contributions $54,468 $44,565 $21,110 $1,420 $5,314 $15,543 Pension contributions made through March 2023 $6,436 $3,169 $2,470 $— $146 $2,191 Remaining estimated pension contributions to be made in 2023 $48,032 $41,396 $18,640 $1,420 $5,168 $13,352 |
Entergy Texas [Member] | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension costs, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $25,678 $37,660 Interest cost on projected benefit obligation 75,701 51,119 Expected return on assets (98,133) (103,607) Amortization of net loss 22,347 60,579 Settlement charges 138,427 — Net pension costs $164,020 $45,751 The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $4,749 $6,280 $1,482 $491 $1,107 $1,467 Interest cost on projected benefit obligation 14,280 15,379 3,930 1,715 3,242 3,528 Expected return on assets (18,076) (19,233) (4,884) (2,267) (4,152) (4,538) Amortization of net loss 6,969 4,964 1,765 513 990 1,461 Settlement charges 22,174 35,999 11,655 1,693 9,678 4,799 Net pension cost $30,096 $43,389 $13,948 $2,145 $10,865 $6,717 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,858 $9,137 $2,130 $752 $1,632 $2,045 Interest cost on projected benefit obligation 9,317 10,499 2,678 1,139 2,175 2,338 Expected return on assets (19,247) (21,133) (5,203) (2,515) (4,937) (4,623) Amortization of net loss 13,426 12,597 3,810 1,368 2,555 3,266 Net pension cost $10,354 $11,100 $3,415 $744 $1,425 $3,026 Non-Qualified Net Pension Cost Entergy recognized $9.2 million and $10.2 million in pension cost for its non-qualified pension plans in the first quarters of 2023 and 2022, respectively. Reflected in the pension cost for non-qualified pension plans in the first quarters of 2023 and 2022 were settlement charges of $4.8 million and $5.3 million, respectively, related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the first quarters of 2023 and 2022: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2023 $450 $27 $552 $33 $63 2022 $72 $27 $80 $29 $215 Reflected in Entergy Arkansas’ non-qualified pension costs in the first quarter of 2023 were settlement charges of $379 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Mississippi’s non-qualified pension costs in the first quarter of 2023 were settlement charges of $453 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Texas’ non-qualified pension costs in the first quarter of 2022 were settlement charges of $119 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit income, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $3,664 $6,184 Interest cost on accumulated postretirement benefit obligation (APBO) 10,568 6,827 Expected return on assets (9,183) (10,855) Amortization of prior service credit (5,640) (6,388) Amortization of net (gain)/loss (2,862) 1,083 Net other postretirement benefit income ($3,453) ($3,149) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $741 $845 $220 $59 $202 $189 Interest cost on APBO 2,001 2,233 543 290 649 432 Expected return on assets (3,778) — (1,179) (1,316) (2,194) (634) Amortization of prior service cost/(credit) 524 (951) (239) (229) (1,093) (73) Amortization of net (gain) loss 43 (1,764) 21 117 229 — Net other postretirement benefit cost (income) ($469) $363 ($634) ($1,079) ($2,207) ($86) 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,114 $1,408 $339 $99 $331 $310 Interest cost on APBO 1,263 1,443 350 174 399 279 Expected return on assets (4,483) — (1,394) (1,499) (2,568) (791) Amortization of prior service cost/(credit) 471 (1,158) (443) (229) (1,093) (80) Amortization of net (gain) loss 218 (186) 56 (225) 162 30 Net other postretirement benefit cost (income) ($1,417) $1,507 ($1,092) ($1,680) ($2,769) ($252) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the three months ended March 31, 2023 and 2022: 2023 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $3,510 ($113) $3,397 Amortization of net gain (loss) (1,040) 2,898 (197) 1,661 Settlement loss (6,647) — (1,169) (7,816) ($7,687) $6,408 ($1,479) ($2,758) Entergy Louisiana Amortization of prior service credit $— $951 $— $951 Amortization of net gain (loss) (199) 1,764 — 1,565 Settlement loss (1,440) — — (1,440) ($1,639) $2,715 $— $1,076 2022 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $4,014 ($177) $3,837 Amortization of net loss (12,910) (596) (419) (13,925) Settlement loss — — (782) (782) ($12,910) $3,418 ($1,378) ($10,870) Entergy Louisiana Amortization of prior service credit $— $1,158 $— $1,158 Amortization of net gain (loss) (504) 186 (1) (319) ($504) $1,344 ($1) $839 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,” the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Qualified Pension Settlement Costs Year-to-date lump sum benefit payments from the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees exceeded the sum of the Plans’ 2023 service and interest cost, resulting in settlement costs. In accordance with accounting standards, settlement accounting requires immediate recognition of the portion of previously unrecognized losses associated with the settled portion of the plan’s pension liability. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy each participate in one or both of the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees and incurred settlement costs. Similar to other pension costs, the settlement costs were included with employee labor costs and charged to expense and capital in the same manner that labor costs were charged. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy New Orleans each received regulatory approval to defer the expense portion of the settlement costs, with future amortization of the deferred settlement expense over the period in which the expense otherwise would be recorded had the immediate recognition not occurred. Entergy Texas Reserve In September 2020, Entergy Texas elected to establish a reserve, in accordance with PUCT regulations, for the difference between the amount recorded for pension and other postretirement benefits expense under generally accepted accounting principles during 2019, the first year that rates from Entergy Texas’s last general rate proceeding were in effect, and the annual amount of actuarially determined pension and other postretirement benefits chargeable to Entergy Texas’s expense. The reserve amount was included in the base rate case that was filed with the PUCT in July 2022. At March 31, 2023, the balance in this reserve was approximately $39.9 million. Employer Contributions Based on current assumptions, Entergy expects to contribute $267 million to its qualified pension plans in 2023. As of March 31, 2023, Entergy had contributed $33 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2023: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2023 pension contributions $54,468 $44,565 $21,110 $1,420 $5,314 $15,543 Pension contributions made through March 2023 $6,436 $3,169 $2,470 $— $146 $2,191 Remaining estimated pension contributions to be made in 2023 $48,032 $41,396 $18,640 $1,420 $5,168 $13,352 |
System Energy [Member] | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension costs, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $25,678 $37,660 Interest cost on projected benefit obligation 75,701 51,119 Expected return on assets (98,133) (103,607) Amortization of net loss 22,347 60,579 Settlement charges 138,427 — Net pension costs $164,020 $45,751 The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $4,749 $6,280 $1,482 $491 $1,107 $1,467 Interest cost on projected benefit obligation 14,280 15,379 3,930 1,715 3,242 3,528 Expected return on assets (18,076) (19,233) (4,884) (2,267) (4,152) (4,538) Amortization of net loss 6,969 4,964 1,765 513 990 1,461 Settlement charges 22,174 35,999 11,655 1,693 9,678 4,799 Net pension cost $30,096 $43,389 $13,948 $2,145 $10,865 $6,717 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,858 $9,137 $2,130 $752 $1,632 $2,045 Interest cost on projected benefit obligation 9,317 10,499 2,678 1,139 2,175 2,338 Expected return on assets (19,247) (21,133) (5,203) (2,515) (4,937) (4,623) Amortization of net loss 13,426 12,597 3,810 1,368 2,555 3,266 Net pension cost $10,354 $11,100 $3,415 $744 $1,425 $3,026 Non-Qualified Net Pension Cost Entergy recognized $9.2 million and $10.2 million in pension cost for its non-qualified pension plans in the first quarters of 2023 and 2022, respectively. Reflected in the pension cost for non-qualified pension plans in the first quarters of 2023 and 2022 were settlement charges of $4.8 million and $5.3 million, respectively, related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the first quarters of 2023 and 2022: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2023 $450 $27 $552 $33 $63 2022 $72 $27 $80 $29 $215 Reflected in Entergy Arkansas’ non-qualified pension costs in the first quarter of 2023 were settlement charges of $379 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Mississippi’s non-qualified pension costs in the first quarter of 2023 were settlement charges of $453 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Texas’ non-qualified pension costs in the first quarter of 2022 were settlement charges of $119 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit income, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $3,664 $6,184 Interest cost on accumulated postretirement benefit obligation (APBO) 10,568 6,827 Expected return on assets (9,183) (10,855) Amortization of prior service credit (5,640) (6,388) Amortization of net (gain)/loss (2,862) 1,083 Net other postretirement benefit income ($3,453) ($3,149) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $741 $845 $220 $59 $202 $189 Interest cost on APBO 2,001 2,233 543 290 649 432 Expected return on assets (3,778) — (1,179) (1,316) (2,194) (634) Amortization of prior service cost/(credit) 524 (951) (239) (229) (1,093) (73) Amortization of net (gain) loss 43 (1,764) 21 117 229 — Net other postretirement benefit cost (income) ($469) $363 ($634) ($1,079) ($2,207) ($86) 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,114 $1,408 $339 $99 $331 $310 Interest cost on APBO 1,263 1,443 350 174 399 279 Expected return on assets (4,483) — (1,394) (1,499) (2,568) (791) Amortization of prior service cost/(credit) 471 (1,158) (443) (229) (1,093) (80) Amortization of net (gain) loss 218 (186) 56 (225) 162 30 Net other postretirement benefit cost (income) ($1,417) $1,507 ($1,092) ($1,680) ($2,769) ($252) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the three months ended March 31, 2023 and 2022: 2023 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $3,510 ($113) $3,397 Amortization of net gain (loss) (1,040) 2,898 (197) 1,661 Settlement loss (6,647) — (1,169) (7,816) ($7,687) $6,408 ($1,479) ($2,758) Entergy Louisiana Amortization of prior service credit $— $951 $— $951 Amortization of net gain (loss) (199) 1,764 — 1,565 Settlement loss (1,440) — — (1,440) ($1,639) $2,715 $— $1,076 2022 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $4,014 ($177) $3,837 Amortization of net loss (12,910) (596) (419) (13,925) Settlement loss — — (782) (782) ($12,910) $3,418 ($1,378) ($10,870) Entergy Louisiana Amortization of prior service credit $— $1,158 $— $1,158 Amortization of net gain (loss) (504) 186 (1) (319) ($504) $1,344 ($1) $839 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,” the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Qualified Pension Settlement Costs Year-to-date lump sum benefit payments from the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees exceeded the sum of the Plans’ 2023 service and interest cost, resulting in settlement costs. In accordance with accounting standards, settlement accounting requires immediate recognition of the portion of previously unrecognized losses associated with the settled portion of the plan’s pension liability. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy each participate in one or both of the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees and incurred settlement costs. Similar to other pension costs, the settlement costs were included with employee labor costs and charged to expense and capital in the same manner that labor costs were charged. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy New Orleans each received regulatory approval to defer the expense portion of the settlement costs, with future amortization of the deferred settlement expense over the period in which the expense otherwise would be recorded had the immediate recognition not occurred. Entergy Texas Reserve In September 2020, Entergy Texas elected to establish a reserve, in accordance with PUCT regulations, for the difference between the amount recorded for pension and other postretirement benefits expense under generally accepted accounting principles during 2019, the first year that rates from Entergy Texas’s last general rate proceeding were in effect, and the annual amount of actuarially determined pension and other postretirement benefits chargeable to Entergy Texas’s expense. The reserve amount was included in the base rate case that was filed with the PUCT in July 2022. At March 31, 2023, the balance in this reserve was approximately $39.9 million. Employer Contributions Based on current assumptions, Entergy expects to contribute $267 million to its qualified pension plans in 2023. As of March 31, 2023, Entergy had contributed $33 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2023: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2023 pension contributions $54,468 $44,565 $21,110 $1,420 $5,314 $15,543 Pension contributions made through March 2023 $6,436 $3,169 $2,470 $— $146 $2,191 Remaining estimated pension contributions to be made in 2023 $48,032 $41,396 $18,640 $1,420 $5,168 $13,352 |
Business Segment Information
Business Segment Information | 3 Months Ended |
Mar. 31, 2023 | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy has a single reportable segment, Utility, which includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and operation of a small natural gas distribution business in portions of Louisiana. The Utility segment reflects management’s primary basis of organization with a predominant focus on its utility operations in the Gulf South. Parent & Other includes the parent company, Entergy Corporation, and other business activity, including Entergy’s non-utility operations business which owns interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers and also provides decommissioning services to nuclear power plants owned by non-affiliated entities in the United States. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy completed its multi-year strategy to exit the merchant nuclear power business in 2022 and upon completion of all transition activities, effective January 1, 2023, Entergy Wholesale Commodities is no longer a reportable segment. See Note 13 and Note 14 to the financial statements in the Form 10-K for discussion of the asset impairments and restructuring charges related to the decision to exit the merchant nuclear power business. Remaining business activity previously reported under Entergy Wholesale Commodities is now included under Parent & Other. Historical segment financial information presented herein has been restated for the first quarter 2022 to reflect the change in reportable segments. The change in reportable segments had no effect on Entergy’s consolidated financial statements or historical segment financial information for the Utility reportable segment. Entergy’s segment financial information for the first quarters of 2023 and 2022 were as follows: Utility Parent & Other Eliminations Consolidated (In Thousands) 2023 Operating revenues $2,947,992 $33,070 ($3) $2,981,059 Income taxes ($66,126) ($12,849) $— ($78,975) Consolidated net income (loss) $398,167 ($30,394) ($55,474) $312,299 Total assets as of March 31, 2023 $63,443,534 $860,341 ($5,100,599) $59,203,276 2022 Operating revenues $2,728,156 $149,777 ($8) $2,877,925 Income taxes $75,359 ($8,862) $— $66,497 Consolidated net income (loss) $343,156 ($31,617) ($31,946) $279,593 Total assets as of December 31, 2022 $61,399,243 $884,442 ($3,688,494) $58,595,191 Eliminations are primarily intersegment activity. Almost all of Entergy’s goodwill is related to the Utility segment. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations are managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. Management allocates resources and assesses financial performance on a consolidated basis. |
Entergy Arkansas [Member] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy has a single reportable segment, Utility, which includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and operation of a small natural gas distribution business in portions of Louisiana. The Utility segment reflects management’s primary basis of organization with a predominant focus on its utility operations in the Gulf South. Parent & Other includes the parent company, Entergy Corporation, and other business activity, including Entergy’s non-utility operations business which owns interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers and also provides decommissioning services to nuclear power plants owned by non-affiliated entities in the United States. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy completed its multi-year strategy to exit the merchant nuclear power business in 2022 and upon completion of all transition activities, effective January 1, 2023, Entergy Wholesale Commodities is no longer a reportable segment. See Note 13 and Note 14 to the financial statements in the Form 10-K for discussion of the asset impairments and restructuring charges related to the decision to exit the merchant nuclear power business. Remaining business activity previously reported under Entergy Wholesale Commodities is now included under Parent & Other. Historical segment financial information presented herein has been restated for the first quarter 2022 to reflect the change in reportable segments. The change in reportable segments had no effect on Entergy’s consolidated financial statements or historical segment financial information for the Utility reportable segment. Entergy’s segment financial information for the first quarters of 2023 and 2022 were as follows: Utility Parent & Other Eliminations Consolidated (In Thousands) 2023 Operating revenues $2,947,992 $33,070 ($3) $2,981,059 Income taxes ($66,126) ($12,849) $— ($78,975) Consolidated net income (loss) $398,167 ($30,394) ($55,474) $312,299 Total assets as of March 31, 2023 $63,443,534 $860,341 ($5,100,599) $59,203,276 2022 Operating revenues $2,728,156 $149,777 ($8) $2,877,925 Income taxes $75,359 ($8,862) $— $66,497 Consolidated net income (loss) $343,156 ($31,617) ($31,946) $279,593 Total assets as of December 31, 2022 $61,399,243 $884,442 ($3,688,494) $58,595,191 Eliminations are primarily intersegment activity. Almost all of Entergy’s goodwill is related to the Utility segment. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations are managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. Management allocates resources and assesses financial performance on a consolidated basis. |
Entergy Louisiana [Member] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy has a single reportable segment, Utility, which includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and operation of a small natural gas distribution business in portions of Louisiana. The Utility segment reflects management’s primary basis of organization with a predominant focus on its utility operations in the Gulf South. Parent & Other includes the parent company, Entergy Corporation, and other business activity, including Entergy’s non-utility operations business which owns interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers and also provides decommissioning services to nuclear power plants owned by non-affiliated entities in the United States. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy completed its multi-year strategy to exit the merchant nuclear power business in 2022 and upon completion of all transition activities, effective January 1, 2023, Entergy Wholesale Commodities is no longer a reportable segment. See Note 13 and Note 14 to the financial statements in the Form 10-K for discussion of the asset impairments and restructuring charges related to the decision to exit the merchant nuclear power business. Remaining business activity previously reported under Entergy Wholesale Commodities is now included under Parent & Other. Historical segment financial information presented herein has been restated for the first quarter 2022 to reflect the change in reportable segments. The change in reportable segments had no effect on Entergy’s consolidated financial statements or historical segment financial information for the Utility reportable segment. Entergy’s segment financial information for the first quarters of 2023 and 2022 were as follows: Utility Parent & Other Eliminations Consolidated (In Thousands) 2023 Operating revenues $2,947,992 $33,070 ($3) $2,981,059 Income taxes ($66,126) ($12,849) $— ($78,975) Consolidated net income (loss) $398,167 ($30,394) ($55,474) $312,299 Total assets as of March 31, 2023 $63,443,534 $860,341 ($5,100,599) $59,203,276 2022 Operating revenues $2,728,156 $149,777 ($8) $2,877,925 Income taxes $75,359 ($8,862) $— $66,497 Consolidated net income (loss) $343,156 ($31,617) ($31,946) $279,593 Total assets as of December 31, 2022 $61,399,243 $884,442 ($3,688,494) $58,595,191 Eliminations are primarily intersegment activity. Almost all of Entergy’s goodwill is related to the Utility segment. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations are managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. Management allocates resources and assesses financial performance on a consolidated basis. |
Entergy Mississippi [Member] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy has a single reportable segment, Utility, which includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and operation of a small natural gas distribution business in portions of Louisiana. The Utility segment reflects management’s primary basis of organization with a predominant focus on its utility operations in the Gulf South. Parent & Other includes the parent company, Entergy Corporation, and other business activity, including Entergy’s non-utility operations business which owns interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers and also provides decommissioning services to nuclear power plants owned by non-affiliated entities in the United States. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy completed its multi-year strategy to exit the merchant nuclear power business in 2022 and upon completion of all transition activities, effective January 1, 2023, Entergy Wholesale Commodities is no longer a reportable segment. See Note 13 and Note 14 to the financial statements in the Form 10-K for discussion of the asset impairments and restructuring charges related to the decision to exit the merchant nuclear power business. Remaining business activity previously reported under Entergy Wholesale Commodities is now included under Parent & Other. Historical segment financial information presented herein has been restated for the first quarter 2022 to reflect the change in reportable segments. The change in reportable segments had no effect on Entergy’s consolidated financial statements or historical segment financial information for the Utility reportable segment. Entergy’s segment financial information for the first quarters of 2023 and 2022 were as follows: Utility Parent & Other Eliminations Consolidated (In Thousands) 2023 Operating revenues $2,947,992 $33,070 ($3) $2,981,059 Income taxes ($66,126) ($12,849) $— ($78,975) Consolidated net income (loss) $398,167 ($30,394) ($55,474) $312,299 Total assets as of March 31, 2023 $63,443,534 $860,341 ($5,100,599) $59,203,276 2022 Operating revenues $2,728,156 $149,777 ($8) $2,877,925 Income taxes $75,359 ($8,862) $— $66,497 Consolidated net income (loss) $343,156 ($31,617) ($31,946) $279,593 Total assets as of December 31, 2022 $61,399,243 $884,442 ($3,688,494) $58,595,191 Eliminations are primarily intersegment activity. Almost all of Entergy’s goodwill is related to the Utility segment. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations are managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. Management allocates resources and assesses financial performance on a consolidated basis. |
Entergy New Orleans [Member] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy has a single reportable segment, Utility, which includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and operation of a small natural gas distribution business in portions of Louisiana. The Utility segment reflects management’s primary basis of organization with a predominant focus on its utility operations in the Gulf South. Parent & Other includes the parent company, Entergy Corporation, and other business activity, including Entergy’s non-utility operations business which owns interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers and also provides decommissioning services to nuclear power plants owned by non-affiliated entities in the United States. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy completed its multi-year strategy to exit the merchant nuclear power business in 2022 and upon completion of all transition activities, effective January 1, 2023, Entergy Wholesale Commodities is no longer a reportable segment. See Note 13 and Note 14 to the financial statements in the Form 10-K for discussion of the asset impairments and restructuring charges related to the decision to exit the merchant nuclear power business. Remaining business activity previously reported under Entergy Wholesale Commodities is now included under Parent & Other. Historical segment financial information presented herein has been restated for the first quarter 2022 to reflect the change in reportable segments. The change in reportable segments had no effect on Entergy’s consolidated financial statements or historical segment financial information for the Utility reportable segment. Entergy’s segment financial information for the first quarters of 2023 and 2022 were as follows: Utility Parent & Other Eliminations Consolidated (In Thousands) 2023 Operating revenues $2,947,992 $33,070 ($3) $2,981,059 Income taxes ($66,126) ($12,849) $— ($78,975) Consolidated net income (loss) $398,167 ($30,394) ($55,474) $312,299 Total assets as of March 31, 2023 $63,443,534 $860,341 ($5,100,599) $59,203,276 2022 Operating revenues $2,728,156 $149,777 ($8) $2,877,925 Income taxes $75,359 ($8,862) $— $66,497 Consolidated net income (loss) $343,156 ($31,617) ($31,946) $279,593 Total assets as of December 31, 2022 $61,399,243 $884,442 ($3,688,494) $58,595,191 Eliminations are primarily intersegment activity. Almost all of Entergy’s goodwill is related to the Utility segment. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations are managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. Management allocates resources and assesses financial performance on a consolidated basis. |
Entergy Texas [Member] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy has a single reportable segment, Utility, which includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and operation of a small natural gas distribution business in portions of Louisiana. The Utility segment reflects management’s primary basis of organization with a predominant focus on its utility operations in the Gulf South. Parent & Other includes the parent company, Entergy Corporation, and other business activity, including Entergy’s non-utility operations business which owns interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers and also provides decommissioning services to nuclear power plants owned by non-affiliated entities in the United States. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy completed its multi-year strategy to exit the merchant nuclear power business in 2022 and upon completion of all transition activities, effective January 1, 2023, Entergy Wholesale Commodities is no longer a reportable segment. See Note 13 and Note 14 to the financial statements in the Form 10-K for discussion of the asset impairments and restructuring charges related to the decision to exit the merchant nuclear power business. Remaining business activity previously reported under Entergy Wholesale Commodities is now included under Parent & Other. Historical segment financial information presented herein has been restated for the first quarter 2022 to reflect the change in reportable segments. The change in reportable segments had no effect on Entergy’s consolidated financial statements or historical segment financial information for the Utility reportable segment. Entergy’s segment financial information for the first quarters of 2023 and 2022 were as follows: Utility Parent & Other Eliminations Consolidated (In Thousands) 2023 Operating revenues $2,947,992 $33,070 ($3) $2,981,059 Income taxes ($66,126) ($12,849) $— ($78,975) Consolidated net income (loss) $398,167 ($30,394) ($55,474) $312,299 Total assets as of March 31, 2023 $63,443,534 $860,341 ($5,100,599) $59,203,276 2022 Operating revenues $2,728,156 $149,777 ($8) $2,877,925 Income taxes $75,359 ($8,862) $— $66,497 Consolidated net income (loss) $343,156 ($31,617) ($31,946) $279,593 Total assets as of December 31, 2022 $61,399,243 $884,442 ($3,688,494) $58,595,191 Eliminations are primarily intersegment activity. Almost all of Entergy’s goodwill is related to the Utility segment. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations are managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. Management allocates resources and assesses financial performance on a consolidated basis. |
System Energy [Member] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy has a single reportable segment, Utility, which includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and operation of a small natural gas distribution business in portions of Louisiana. The Utility segment reflects management’s primary basis of organization with a predominant focus on its utility operations in the Gulf South. Parent & Other includes the parent company, Entergy Corporation, and other business activity, including Entergy’s non-utility operations business which owns interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers and also provides decommissioning services to nuclear power plants owned by non-affiliated entities in the United States. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy completed its multi-year strategy to exit the merchant nuclear power business in 2022 and upon completion of all transition activities, effective January 1, 2023, Entergy Wholesale Commodities is no longer a reportable segment. See Note 13 and Note 14 to the financial statements in the Form 10-K for discussion of the asset impairments and restructuring charges related to the decision to exit the merchant nuclear power business. Remaining business activity previously reported under Entergy Wholesale Commodities is now included under Parent & Other. Historical segment financial information presented herein has been restated for the first quarter 2022 to reflect the change in reportable segments. The change in reportable segments had no effect on Entergy’s consolidated financial statements or historical segment financial information for the Utility reportable segment. Entergy’s segment financial information for the first quarters of 2023 and 2022 were as follows: Utility Parent & Other Eliminations Consolidated (In Thousands) 2023 Operating revenues $2,947,992 $33,070 ($3) $2,981,059 Income taxes ($66,126) ($12,849) $— ($78,975) Consolidated net income (loss) $398,167 ($30,394) ($55,474) $312,299 Total assets as of March 31, 2023 $63,443,534 $860,341 ($5,100,599) $59,203,276 2022 Operating revenues $2,728,156 $149,777 ($8) $2,877,925 Income taxes $75,359 ($8,862) $— $66,497 Consolidated net income (loss) $343,156 ($31,617) ($31,946) $279,593 Total assets as of December 31, 2022 $61,399,243 $884,442 ($3,688,494) $58,595,191 Eliminations are primarily intersegment activity. Almost all of Entergy’s goodwill is related to the Utility segment. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations are managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. Management allocates resources and assesses financial performance on a consolidated basis. |
Risk Management And Fair Values
Risk Management And Fair Values | 3 Months Ended |
Mar. 31, 2023 | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs, that are recovered from customers. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy has executed natural gas swaps and options as of March 31, 2023 is 1 year, each, for Entergy Louisiana and Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of March 31, 2023 is 28,141,800 MMBtu for Entergy, including 7,320,000 MMBtu for Entergy Louisiana and 20,821,800 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2022, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2022 through May 31, 2023. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy’s non-utility operations are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of March 31, 2023 is 24,016 GWh for Entergy, including 5,351 GWh for Entergy Arkansas, 11,049 GWh for Entergy Louisiana, 2,592 GWh for Entergy Mississippi, 1,054 GWh for Entergy New Orleans, and 3,939 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy’s non-utility operations is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy’s non-utility operations as of March 31, 2023 and December 31, 2022. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Arkansas, Entergy Mississippi, and Entergy Texas as of March 31, 2023 and for Entergy Mississippi, Entergy New Orleans, and Entergy Texas as of December 31, 2022. The fair values of Entergy’s derivative instruments not designated as hedging instruments on the consolidated balance sheet as of March 31, 2023 and December 31, 2022 are shown in the tables below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) (In Millions) 2023 Assets: Natural gas swaps and options Prepayments and other $2 $— $ 2 Financial transmission rights Prepayments and other $8 ($1) $ 7 Liabilities: Natural gas swaps and options Other current liabilities $22 $— $ 22 2022 Assets: Natural gas swaps and options Prepayments and other $13 $— $ 13 Natural gas swaps and options Other deferred debits and other assets $3 $— $ 3 Financial transmission rights Prepayments and other $21 ($2) $ 19 Liabilities: Natural gas swaps and options Other current liabilities $25 $— $ 25 (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheets (d) Excludes cash collateral in the amount of $8 million posted as of December 31, 2022. Also excludes letters of credit in the amount of $1 million posted as of March 31, 2023 and $3 million posted as of December 31, 2022. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($37) Financial transmission rights Purchased power expense (b) $ 16 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) $ 55 Financial transmission rights Purchased power expense (b) $ 23 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of March 31, 2023 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $2.4 $— $ 2.4 Entergy Louisiana Financial transmission rights Prepayments and other $4.0 $— $ 4.0 Entergy Arkansas Financial transmission rights Prepayments and other $2.7 ($0.2) $ 2.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.2 $— $ 0.2 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $ 0.3 Entergy New Orleans Liabilities: Natural gas swaps Other current liabilities ($21.8) $— ($21.8) Entergy Mississippi Financial transmission rights Other current liabilities $0.4 ($0.5) ($0.1) Entergy Texas The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2022 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $13.1 $— $ 13.1 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets $3.4 $— $ 3.4 Entergy Louisiana Financial transmission rights Prepayments and other $10.3 $— $ 10.3 Entergy Arkansas Financial transmission rights Prepayments and other $7.7 ($0.4) $ 7.3 Entergy Louisiana Financial transmission rights Prepayments and other $0.6 $— $ 0.6 Entergy Mississippi Financial transmission rights Prepayments and other $0.8 $— $ 0.8 Entergy New Orleans Financial transmission rights Prepayments and other $1.2 ($1.1) $ 0.1 Entergy Texas Liabilities: Natural gas swaps Other current liabilities $24.0 $— $ 24.0 Entergy Mississippi Natural gas swaps Other current liabilities $1.5 $— $ 1.5 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of March 31, 2023, letters of credit posted with MISO covered financial transmission rights exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. As of December 31, 2022, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi, $0.2 million for Entergy New Orleans, and $2.4 million for Entergy Texas. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($6.6) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($28.6) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.2) (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.9 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 8.8 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.5 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.9 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 0.7 (b) Entergy Texas 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale $ 11.1 (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 42.8 (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 1.1 (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 7.5 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 9.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.0 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.8 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.8 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights. The values of financial transmission rights are based on unobservable inputs, including estimates of congestion costs in MISO between applicable generation and load pricing nodes based on the 50th percentile of historical prices. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight. The values are calculated internally and verified against the data published by MISO. Entergy’s Accounting group reviews these valuations for reasonableness, with the assistance of others within the organization with knowledge of the various inputs and assumptions used in the valuation. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer. The Accounting group reports to the Chief Accounting Officer. The following tables set forth, by level within the fair value hierarchy, Entergy’s assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,908 $— $— $1,908 Decommissioning trust funds (a): Temporary cash investments 1 — — 1 Equity securities 26 — — 26 Debt securities 571 1,136 — 1,707 Common trusts (b) 2,616 Securitization recovery trust account 17 — — 17 Escrow accounts 406 — — 406 Gas hedge contracts 2 — — 2 Financial transmission rights — — 7 7 $2,931 $1,136 $7 $6,690 Liabilities: Gas hedge contracts $22 $— $— $22 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $109 $— $— $109 Decommissioning trust funds (a): Equity securities 24 — — 24 Debt securities 534 1,122 — 1,656 Common trusts (b) 2,442 Securitization recovery trust account 13 — — 13 Escrow accounts 402 — — 402 Gas hedge contracts 13 3 — 16 Financial transmission rights — — 19 19 $1,095 $1,125 $19 $4,681 Liabilities: Gas hedge contracts $25 $— $— $25 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023 and 2022: 2023 2022 (In Millions) Balance as of January 1, $19 $4 Total gains (losses) for the period Included as a regulatory liability/asset 4 20 Settlements (16) (23) Balance as of March 31, $7 $1 The fair values of the Level 3 financial transmission rights are based on unobservable inputs calculated internally and verified against historical pricing data published by MISO. The following table sets forth, by level within the fair value hierarchy, the Registrant Subsidiaries’ assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. Entergy Arkansas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $156.7 $— $— $156.7 Decommissioning trust funds (a): Equity securities 10.4 — — 10.4 Debt securities 135.9 343.5 — 479.4 Common trusts (b) 775.7 Financial transmission rights — — 4.0 4.0 $303.0 $343.5 $4.0 $1,426.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $3.4 $— $— $3.4 Decommissioning trust funds (a): Equity securities 4.5 — — 4.5 Debt securities 126.8 343.9 — 470.7 Common trusts (b) 724.7 Financial transmission rights — — 10.3 10.3 $134.7 $343.9 $10.3 $1,213.6 Entergy Louisiana 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,079.3 $— $— $1,079.3 Decommissioning trust funds (a): Temporary cash investments 1.5 — — 1.5 Equity securities 7.5 — — 7.5 Debt securities 230.7 528.3 — 759.0 Common trusts (b) 1,111.6 Escrow accounts 296.4 — — 296.4 Gas hedge contracts 2.4 — — 2.4 Financial transmission rights — — 2.5 2.5 $1,617.8 $528.3 $2.5 $3,260.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $6.3 $— $— $6.3 Decommissioning trust funds (a): Equity securities 16.8 — — 16.8 Debt securities 209.4 515.7 — 725.1 Common trusts (b) 1,037.2 Escrow accounts 293.4 — — 293.4 Gas hedge contracts 13.1 3.4 — 16.5 Financial transmission rights — — 7.3 7.3 $539.0 $519.1 $7.3 $2,102.6 Entergy Mississippi 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $35.3 $— $— $35.3 Escrow accounts 33.9 — — 33.9 Financial transmission rights — — 0.2 0.2 $69.2 $— $0.2 $69.4 Liabilities: Gas hedge contracts $21.8 $— $— $21.8 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $17.0 $— $— $17.0 Escrow accounts 33.5 — — 33.5 Financial transmission rights — — 0.6 0.6 $50.5 $— $0.6 $51.1 Liabilities: Gas hedge contracts $24.0 $— $— $24.0 Entergy New Orleans 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $175.5 $— $— $175.5 Securitization recovery trust account 5.3 — — 5.3 Escrow accounts 75.8 — — 75.8 Financial transmission rights — — 0.3 0.3 $256.6 $— $0.3 $256.9 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $4.4 $— $— $4.4 Securitization recovery trust account 2.2 — — 2.2 Escrow accounts 75.0 — — 75.0 Financial transmission rights — — 0.8 0.8 $81.6 $— $0.8 $82.4 Liabilities: Gas hedge contracts $1.5 $— $— $1.5 Entergy Texas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $91.2 $— $— $91.2 Securitization recovery trust account 11.7 — — 11.7 $102.9 $— $— $102.9 Liabilities: Financial transmission rights $— $— $0.1 $0.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $3.0 $— $— $3.0 Securitization recovery trust account 10.9 — — 10.9 Financial transmission rights — — 0.1 0.1 $13.9 $— $0.1 $14.0 System Energy 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $259.3 $— $— $259.3 Decommissioning trust funds (a): Equity securities 8.3 — — 8.3 Debt securities 204.0 264.1 — 468.1 Common trusts (b) 728.4 $471.6 $264.1 $— $1,464.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $2.9 $— $— $2.9 Decommissioning trust funds (a): Equity securities 2.8 — — 2.8 Debt securities 197.5 262.2 — 459.7 Common trusts (b) 680.4 $203.2 $262.2 $— $1,145.8 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $10.3 $7.3 $0.6 $0.8 $0.1 Gains (losses) included as a regulatory liability/asset (2.4) 4.0 1.1 0.4 0.5 Settlements (3.9) (8.8) (1.5) (0.9) (0.7) Balance as of March 31, $4.0 $2.5 $0.2 $0.3 ($0.1) The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2022. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $2.3 $0.6 $0.3 $0.1 $0.8 Gains (losses) included as a regulatory liability/asset 5.6 9.1 0.9 0.8 3.5 Settlements (7.5) (9.4) (1.0) (0.8) (3.8) Balance as of March 31, $0.4 $0.3 $0.2 $0.1 $0.5 |
Entergy Arkansas [Member] | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs, that are recovered from customers. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy has executed natural gas swaps and options as of March 31, 2023 is 1 year, each, for Entergy Louisiana and Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of March 31, 2023 is 28,141,800 MMBtu for Entergy, including 7,320,000 MMBtu for Entergy Louisiana and 20,821,800 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2022, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2022 through May 31, 2023. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy’s non-utility operations are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of March 31, 2023 is 24,016 GWh for Entergy, including 5,351 GWh for Entergy Arkansas, 11,049 GWh for Entergy Louisiana, 2,592 GWh for Entergy Mississippi, 1,054 GWh for Entergy New Orleans, and 3,939 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy’s non-utility operations is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy’s non-utility operations as of March 31, 2023 and December 31, 2022. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Arkansas, Entergy Mississippi, and Entergy Texas as of March 31, 2023 and for Entergy Mississippi, Entergy New Orleans, and Entergy Texas as of December 31, 2022. The fair values of Entergy’s derivative instruments not designated as hedging instruments on the consolidated balance sheet as of March 31, 2023 and December 31, 2022 are shown in the tables below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) (In Millions) 2023 Assets: Natural gas swaps and options Prepayments and other $2 $— $ 2 Financial transmission rights Prepayments and other $8 ($1) $ 7 Liabilities: Natural gas swaps and options Other current liabilities $22 $— $ 22 2022 Assets: Natural gas swaps and options Prepayments and other $13 $— $ 13 Natural gas swaps and options Other deferred debits and other assets $3 $— $ 3 Financial transmission rights Prepayments and other $21 ($2) $ 19 Liabilities: Natural gas swaps and options Other current liabilities $25 $— $ 25 (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheets (d) Excludes cash collateral in the amount of $8 million posted as of December 31, 2022. Also excludes letters of credit in the amount of $1 million posted as of March 31, 2023 and $3 million posted as of December 31, 2022. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($37) Financial transmission rights Purchased power expense (b) $ 16 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) $ 55 Financial transmission rights Purchased power expense (b) $ 23 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of March 31, 2023 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $2.4 $— $ 2.4 Entergy Louisiana Financial transmission rights Prepayments and other $4.0 $— $ 4.0 Entergy Arkansas Financial transmission rights Prepayments and other $2.7 ($0.2) $ 2.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.2 $— $ 0.2 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $ 0.3 Entergy New Orleans Liabilities: Natural gas swaps Other current liabilities ($21.8) $— ($21.8) Entergy Mississippi Financial transmission rights Other current liabilities $0.4 ($0.5) ($0.1) Entergy Texas The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2022 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $13.1 $— $ 13.1 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets $3.4 $— $ 3.4 Entergy Louisiana Financial transmission rights Prepayments and other $10.3 $— $ 10.3 Entergy Arkansas Financial transmission rights Prepayments and other $7.7 ($0.4) $ 7.3 Entergy Louisiana Financial transmission rights Prepayments and other $0.6 $— $ 0.6 Entergy Mississippi Financial transmission rights Prepayments and other $0.8 $— $ 0.8 Entergy New Orleans Financial transmission rights Prepayments and other $1.2 ($1.1) $ 0.1 Entergy Texas Liabilities: Natural gas swaps Other current liabilities $24.0 $— $ 24.0 Entergy Mississippi Natural gas swaps Other current liabilities $1.5 $— $ 1.5 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of March 31, 2023, letters of credit posted with MISO covered financial transmission rights exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. As of December 31, 2022, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi, $0.2 million for Entergy New Orleans, and $2.4 million for Entergy Texas. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($6.6) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($28.6) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.2) (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.9 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 8.8 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.5 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.9 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 0.7 (b) Entergy Texas 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale $ 11.1 (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 42.8 (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 1.1 (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 7.5 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 9.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.0 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.8 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.8 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights. The values of financial transmission rights are based on unobservable inputs, including estimates of congestion costs in MISO between applicable generation and load pricing nodes based on the 50th percentile of historical prices. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight. The values are calculated internally and verified against the data published by MISO. Entergy’s Accounting group reviews these valuations for reasonableness, with the assistance of others within the organization with knowledge of the various inputs and assumptions used in the valuation. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer. The Accounting group reports to the Chief Accounting Officer. The following tables set forth, by level within the fair value hierarchy, Entergy’s assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,908 $— $— $1,908 Decommissioning trust funds (a): Temporary cash investments 1 — — 1 Equity securities 26 — — 26 Debt securities 571 1,136 — 1,707 Common trusts (b) 2,616 Securitization recovery trust account 17 — — 17 Escrow accounts 406 — — 406 Gas hedge contracts 2 — — 2 Financial transmission rights — — 7 7 $2,931 $1,136 $7 $6,690 Liabilities: Gas hedge contracts $22 $— $— $22 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $109 $— $— $109 Decommissioning trust funds (a): Equity securities 24 — — 24 Debt securities 534 1,122 — 1,656 Common trusts (b) 2,442 Securitization recovery trust account 13 — — 13 Escrow accounts 402 — — 402 Gas hedge contracts 13 3 — 16 Financial transmission rights — — 19 19 $1,095 $1,125 $19 $4,681 Liabilities: Gas hedge contracts $25 $— $— $25 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023 and 2022: 2023 2022 (In Millions) Balance as of January 1, $19 $4 Total gains (losses) for the period Included as a regulatory liability/asset 4 20 Settlements (16) (23) Balance as of March 31, $7 $1 The fair values of the Level 3 financial transmission rights are based on unobservable inputs calculated internally and verified against historical pricing data published by MISO. The following table sets forth, by level within the fair value hierarchy, the Registrant Subsidiaries’ assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. Entergy Arkansas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $156.7 $— $— $156.7 Decommissioning trust funds (a): Equity securities 10.4 — — 10.4 Debt securities 135.9 343.5 — 479.4 Common trusts (b) 775.7 Financial transmission rights — — 4.0 4.0 $303.0 $343.5 $4.0 $1,426.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $3.4 $— $— $3.4 Decommissioning trust funds (a): Equity securities 4.5 — — 4.5 Debt securities 126.8 343.9 — 470.7 Common trusts (b) 724.7 Financial transmission rights — — 10.3 10.3 $134.7 $343.9 $10.3 $1,213.6 Entergy Louisiana 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,079.3 $— $— $1,079.3 Decommissioning trust funds (a): Temporary cash investments 1.5 — — 1.5 Equity securities 7.5 — — 7.5 Debt securities 230.7 528.3 — 759.0 Common trusts (b) 1,111.6 Escrow accounts 296.4 — — 296.4 Gas hedge contracts 2.4 — — 2.4 Financial transmission rights — — 2.5 2.5 $1,617.8 $528.3 $2.5 $3,260.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $6.3 $— $— $6.3 Decommissioning trust funds (a): Equity securities 16.8 — — 16.8 Debt securities 209.4 515.7 — 725.1 Common trusts (b) 1,037.2 Escrow accounts 293.4 — — 293.4 Gas hedge contracts 13.1 3.4 — 16.5 Financial transmission rights — — 7.3 7.3 $539.0 $519.1 $7.3 $2,102.6 Entergy Mississippi 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $35.3 $— $— $35.3 Escrow accounts 33.9 — — 33.9 Financial transmission rights — — 0.2 0.2 $69.2 $— $0.2 $69.4 Liabilities: Gas hedge contracts $21.8 $— $— $21.8 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $17.0 $— $— $17.0 Escrow accounts 33.5 — — 33.5 Financial transmission rights — — 0.6 0.6 $50.5 $— $0.6 $51.1 Liabilities: Gas hedge contracts $24.0 $— $— $24.0 Entergy New Orleans 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $175.5 $— $— $175.5 Securitization recovery trust account 5.3 — — 5.3 Escrow accounts 75.8 — — 75.8 Financial transmission rights — — 0.3 0.3 $256.6 $— $0.3 $256.9 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $4.4 $— $— $4.4 Securitization recovery trust account 2.2 — — 2.2 Escrow accounts 75.0 — — 75.0 Financial transmission rights — — 0.8 0.8 $81.6 $— $0.8 $82.4 Liabilities: Gas hedge contracts $1.5 $— $— $1.5 Entergy Texas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $91.2 $— $— $91.2 Securitization recovery trust account 11.7 — — 11.7 $102.9 $— $— $102.9 Liabilities: Financial transmission rights $— $— $0.1 $0.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $3.0 $— $— $3.0 Securitization recovery trust account 10.9 — — 10.9 Financial transmission rights — — 0.1 0.1 $13.9 $— $0.1 $14.0 System Energy 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $259.3 $— $— $259.3 Decommissioning trust funds (a): Equity securities 8.3 — — 8.3 Debt securities 204.0 264.1 — 468.1 Common trusts (b) 728.4 $471.6 $264.1 $— $1,464.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $2.9 $— $— $2.9 Decommissioning trust funds (a): Equity securities 2.8 — — 2.8 Debt securities 197.5 262.2 — 459.7 Common trusts (b) 680.4 $203.2 $262.2 $— $1,145.8 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $10.3 $7.3 $0.6 $0.8 $0.1 Gains (losses) included as a regulatory liability/asset (2.4) 4.0 1.1 0.4 0.5 Settlements (3.9) (8.8) (1.5) (0.9) (0.7) Balance as of March 31, $4.0 $2.5 $0.2 $0.3 ($0.1) The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2022. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $2.3 $0.6 $0.3 $0.1 $0.8 Gains (losses) included as a regulatory liability/asset 5.6 9.1 0.9 0.8 3.5 Settlements (7.5) (9.4) (1.0) (0.8) (3.8) Balance as of March 31, $0.4 $0.3 $0.2 $0.1 $0.5 |
Entergy Louisiana [Member] | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs, that are recovered from customers. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy has executed natural gas swaps and options as of March 31, 2023 is 1 year, each, for Entergy Louisiana and Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of March 31, 2023 is 28,141,800 MMBtu for Entergy, including 7,320,000 MMBtu for Entergy Louisiana and 20,821,800 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2022, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2022 through May 31, 2023. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy’s non-utility operations are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of March 31, 2023 is 24,016 GWh for Entergy, including 5,351 GWh for Entergy Arkansas, 11,049 GWh for Entergy Louisiana, 2,592 GWh for Entergy Mississippi, 1,054 GWh for Entergy New Orleans, and 3,939 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy’s non-utility operations is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy’s non-utility operations as of March 31, 2023 and December 31, 2022. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Arkansas, Entergy Mississippi, and Entergy Texas as of March 31, 2023 and for Entergy Mississippi, Entergy New Orleans, and Entergy Texas as of December 31, 2022. The fair values of Entergy’s derivative instruments not designated as hedging instruments on the consolidated balance sheet as of March 31, 2023 and December 31, 2022 are shown in the tables below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) (In Millions) 2023 Assets: Natural gas swaps and options Prepayments and other $2 $— $ 2 Financial transmission rights Prepayments and other $8 ($1) $ 7 Liabilities: Natural gas swaps and options Other current liabilities $22 $— $ 22 2022 Assets: Natural gas swaps and options Prepayments and other $13 $— $ 13 Natural gas swaps and options Other deferred debits and other assets $3 $— $ 3 Financial transmission rights Prepayments and other $21 ($2) $ 19 Liabilities: Natural gas swaps and options Other current liabilities $25 $— $ 25 (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheets (d) Excludes cash collateral in the amount of $8 million posted as of December 31, 2022. Also excludes letters of credit in the amount of $1 million posted as of March 31, 2023 and $3 million posted as of December 31, 2022. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($37) Financial transmission rights Purchased power expense (b) $ 16 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) $ 55 Financial transmission rights Purchased power expense (b) $ 23 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of March 31, 2023 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $2.4 $— $ 2.4 Entergy Louisiana Financial transmission rights Prepayments and other $4.0 $— $ 4.0 Entergy Arkansas Financial transmission rights Prepayments and other $2.7 ($0.2) $ 2.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.2 $— $ 0.2 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $ 0.3 Entergy New Orleans Liabilities: Natural gas swaps Other current liabilities ($21.8) $— ($21.8) Entergy Mississippi Financial transmission rights Other current liabilities $0.4 ($0.5) ($0.1) Entergy Texas The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2022 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $13.1 $— $ 13.1 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets $3.4 $— $ 3.4 Entergy Louisiana Financial transmission rights Prepayments and other $10.3 $— $ 10.3 Entergy Arkansas Financial transmission rights Prepayments and other $7.7 ($0.4) $ 7.3 Entergy Louisiana Financial transmission rights Prepayments and other $0.6 $— $ 0.6 Entergy Mississippi Financial transmission rights Prepayments and other $0.8 $— $ 0.8 Entergy New Orleans Financial transmission rights Prepayments and other $1.2 ($1.1) $ 0.1 Entergy Texas Liabilities: Natural gas swaps Other current liabilities $24.0 $— $ 24.0 Entergy Mississippi Natural gas swaps Other current liabilities $1.5 $— $ 1.5 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of March 31, 2023, letters of credit posted with MISO covered financial transmission rights exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. As of December 31, 2022, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi, $0.2 million for Entergy New Orleans, and $2.4 million for Entergy Texas. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($6.6) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($28.6) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.2) (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.9 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 8.8 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.5 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.9 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 0.7 (b) Entergy Texas 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale $ 11.1 (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 42.8 (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 1.1 (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 7.5 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 9.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.0 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.8 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.8 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights. The values of financial transmission rights are based on unobservable inputs, including estimates of congestion costs in MISO between applicable generation and load pricing nodes based on the 50th percentile of historical prices. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight. The values are calculated internally and verified against the data published by MISO. Entergy’s Accounting group reviews these valuations for reasonableness, with the assistance of others within the organization with knowledge of the various inputs and assumptions used in the valuation. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer. The Accounting group reports to the Chief Accounting Officer. The following tables set forth, by level within the fair value hierarchy, Entergy’s assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,908 $— $— $1,908 Decommissioning trust funds (a): Temporary cash investments 1 — — 1 Equity securities 26 — — 26 Debt securities 571 1,136 — 1,707 Common trusts (b) 2,616 Securitization recovery trust account 17 — — 17 Escrow accounts 406 — — 406 Gas hedge contracts 2 — — 2 Financial transmission rights — — 7 7 $2,931 $1,136 $7 $6,690 Liabilities: Gas hedge contracts $22 $— $— $22 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $109 $— $— $109 Decommissioning trust funds (a): Equity securities 24 — — 24 Debt securities 534 1,122 — 1,656 Common trusts (b) 2,442 Securitization recovery trust account 13 — — 13 Escrow accounts 402 — — 402 Gas hedge contracts 13 3 — 16 Financial transmission rights — — 19 19 $1,095 $1,125 $19 $4,681 Liabilities: Gas hedge contracts $25 $— $— $25 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023 and 2022: 2023 2022 (In Millions) Balance as of January 1, $19 $4 Total gains (losses) for the period Included as a regulatory liability/asset 4 20 Settlements (16) (23) Balance as of March 31, $7 $1 The fair values of the Level 3 financial transmission rights are based on unobservable inputs calculated internally and verified against historical pricing data published by MISO. The following table sets forth, by level within the fair value hierarchy, the Registrant Subsidiaries’ assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. Entergy Arkansas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $156.7 $— $— $156.7 Decommissioning trust funds (a): Equity securities 10.4 — — 10.4 Debt securities 135.9 343.5 — 479.4 Common trusts (b) 775.7 Financial transmission rights — — 4.0 4.0 $303.0 $343.5 $4.0 $1,426.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $3.4 $— $— $3.4 Decommissioning trust funds (a): Equity securities 4.5 — — 4.5 Debt securities 126.8 343.9 — 470.7 Common trusts (b) 724.7 Financial transmission rights — — 10.3 10.3 $134.7 $343.9 $10.3 $1,213.6 Entergy Louisiana 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,079.3 $— $— $1,079.3 Decommissioning trust funds (a): Temporary cash investments 1.5 — — 1.5 Equity securities 7.5 — — 7.5 Debt securities 230.7 528.3 — 759.0 Common trusts (b) 1,111.6 Escrow accounts 296.4 — — 296.4 Gas hedge contracts 2.4 — — 2.4 Financial transmission rights — — 2.5 2.5 $1,617.8 $528.3 $2.5 $3,260.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $6.3 $— $— $6.3 Decommissioning trust funds (a): Equity securities 16.8 — — 16.8 Debt securities 209.4 515.7 — 725.1 Common trusts (b) 1,037.2 Escrow accounts 293.4 — — 293.4 Gas hedge contracts 13.1 3.4 — 16.5 Financial transmission rights — — 7.3 7.3 $539.0 $519.1 $7.3 $2,102.6 Entergy Mississippi 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $35.3 $— $— $35.3 Escrow accounts 33.9 — — 33.9 Financial transmission rights — — 0.2 0.2 $69.2 $— $0.2 $69.4 Liabilities: Gas hedge contracts $21.8 $— $— $21.8 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $17.0 $— $— $17.0 Escrow accounts 33.5 — — 33.5 Financial transmission rights — — 0.6 0.6 $50.5 $— $0.6 $51.1 Liabilities: Gas hedge contracts $24.0 $— $— $24.0 Entergy New Orleans 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $175.5 $— $— $175.5 Securitization recovery trust account 5.3 — — 5.3 Escrow accounts 75.8 — — 75.8 Financial transmission rights — — 0.3 0.3 $256.6 $— $0.3 $256.9 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $4.4 $— $— $4.4 Securitization recovery trust account 2.2 — — 2.2 Escrow accounts 75.0 — — 75.0 Financial transmission rights — — 0.8 0.8 $81.6 $— $0.8 $82.4 Liabilities: Gas hedge contracts $1.5 $— $— $1.5 Entergy Texas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $91.2 $— $— $91.2 Securitization recovery trust account 11.7 — — 11.7 $102.9 $— $— $102.9 Liabilities: Financial transmission rights $— $— $0.1 $0.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $3.0 $— $— $3.0 Securitization recovery trust account 10.9 — — 10.9 Financial transmission rights — — 0.1 0.1 $13.9 $— $0.1 $14.0 System Energy 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $259.3 $— $— $259.3 Decommissioning trust funds (a): Equity securities 8.3 — — 8.3 Debt securities 204.0 264.1 — 468.1 Common trusts (b) 728.4 $471.6 $264.1 $— $1,464.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $2.9 $— $— $2.9 Decommissioning trust funds (a): Equity securities 2.8 — — 2.8 Debt securities 197.5 262.2 — 459.7 Common trusts (b) 680.4 $203.2 $262.2 $— $1,145.8 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $10.3 $7.3 $0.6 $0.8 $0.1 Gains (losses) included as a regulatory liability/asset (2.4) 4.0 1.1 0.4 0.5 Settlements (3.9) (8.8) (1.5) (0.9) (0.7) Balance as of March 31, $4.0 $2.5 $0.2 $0.3 ($0.1) The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2022. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $2.3 $0.6 $0.3 $0.1 $0.8 Gains (losses) included as a regulatory liability/asset 5.6 9.1 0.9 0.8 3.5 Settlements (7.5) (9.4) (1.0) (0.8) (3.8) Balance as of March 31, $0.4 $0.3 $0.2 $0.1 $0.5 |
Entergy Mississippi [Member] | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs, that are recovered from customers. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy has executed natural gas swaps and options as of March 31, 2023 is 1 year, each, for Entergy Louisiana and Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of March 31, 2023 is 28,141,800 MMBtu for Entergy, including 7,320,000 MMBtu for Entergy Louisiana and 20,821,800 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2022, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2022 through May 31, 2023. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy’s non-utility operations are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of March 31, 2023 is 24,016 GWh for Entergy, including 5,351 GWh for Entergy Arkansas, 11,049 GWh for Entergy Louisiana, 2,592 GWh for Entergy Mississippi, 1,054 GWh for Entergy New Orleans, and 3,939 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy’s non-utility operations is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy’s non-utility operations as of March 31, 2023 and December 31, 2022. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Arkansas, Entergy Mississippi, and Entergy Texas as of March 31, 2023 and for Entergy Mississippi, Entergy New Orleans, and Entergy Texas as of December 31, 2022. The fair values of Entergy’s derivative instruments not designated as hedging instruments on the consolidated balance sheet as of March 31, 2023 and December 31, 2022 are shown in the tables below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) (In Millions) 2023 Assets: Natural gas swaps and options Prepayments and other $2 $— $ 2 Financial transmission rights Prepayments and other $8 ($1) $ 7 Liabilities: Natural gas swaps and options Other current liabilities $22 $— $ 22 2022 Assets: Natural gas swaps and options Prepayments and other $13 $— $ 13 Natural gas swaps and options Other deferred debits and other assets $3 $— $ 3 Financial transmission rights Prepayments and other $21 ($2) $ 19 Liabilities: Natural gas swaps and options Other current liabilities $25 $— $ 25 (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheets (d) Excludes cash collateral in the amount of $8 million posted as of December 31, 2022. Also excludes letters of credit in the amount of $1 million posted as of March 31, 2023 and $3 million posted as of December 31, 2022. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($37) Financial transmission rights Purchased power expense (b) $ 16 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) $ 55 Financial transmission rights Purchased power expense (b) $ 23 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of March 31, 2023 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $2.4 $— $ 2.4 Entergy Louisiana Financial transmission rights Prepayments and other $4.0 $— $ 4.0 Entergy Arkansas Financial transmission rights Prepayments and other $2.7 ($0.2) $ 2.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.2 $— $ 0.2 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $ 0.3 Entergy New Orleans Liabilities: Natural gas swaps Other current liabilities ($21.8) $— ($21.8) Entergy Mississippi Financial transmission rights Other current liabilities $0.4 ($0.5) ($0.1) Entergy Texas The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2022 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $13.1 $— $ 13.1 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets $3.4 $— $ 3.4 Entergy Louisiana Financial transmission rights Prepayments and other $10.3 $— $ 10.3 Entergy Arkansas Financial transmission rights Prepayments and other $7.7 ($0.4) $ 7.3 Entergy Louisiana Financial transmission rights Prepayments and other $0.6 $— $ 0.6 Entergy Mississippi Financial transmission rights Prepayments and other $0.8 $— $ 0.8 Entergy New Orleans Financial transmission rights Prepayments and other $1.2 ($1.1) $ 0.1 Entergy Texas Liabilities: Natural gas swaps Other current liabilities $24.0 $— $ 24.0 Entergy Mississippi Natural gas swaps Other current liabilities $1.5 $— $ 1.5 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of March 31, 2023, letters of credit posted with MISO covered financial transmission rights exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. As of December 31, 2022, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi, $0.2 million for Entergy New Orleans, and $2.4 million for Entergy Texas. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($6.6) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($28.6) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.2) (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.9 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 8.8 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.5 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.9 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 0.7 (b) Entergy Texas 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale $ 11.1 (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 42.8 (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 1.1 (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 7.5 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 9.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.0 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.8 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.8 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights. The values of financial transmission rights are based on unobservable inputs, including estimates of congestion costs in MISO between applicable generation and load pricing nodes based on the 50th percentile of historical prices. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight. The values are calculated internally and verified against the data published by MISO. Entergy’s Accounting group reviews these valuations for reasonableness, with the assistance of others within the organization with knowledge of the various inputs and assumptions used in the valuation. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer. The Accounting group reports to the Chief Accounting Officer. The following tables set forth, by level within the fair value hierarchy, Entergy’s assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,908 $— $— $1,908 Decommissioning trust funds (a): Temporary cash investments 1 — — 1 Equity securities 26 — — 26 Debt securities 571 1,136 — 1,707 Common trusts (b) 2,616 Securitization recovery trust account 17 — — 17 Escrow accounts 406 — — 406 Gas hedge contracts 2 — — 2 Financial transmission rights — — 7 7 $2,931 $1,136 $7 $6,690 Liabilities: Gas hedge contracts $22 $— $— $22 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $109 $— $— $109 Decommissioning trust funds (a): Equity securities 24 — — 24 Debt securities 534 1,122 — 1,656 Common trusts (b) 2,442 Securitization recovery trust account 13 — — 13 Escrow accounts 402 — — 402 Gas hedge contracts 13 3 — 16 Financial transmission rights — — 19 19 $1,095 $1,125 $19 $4,681 Liabilities: Gas hedge contracts $25 $— $— $25 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023 and 2022: 2023 2022 (In Millions) Balance as of January 1, $19 $4 Total gains (losses) for the period Included as a regulatory liability/asset 4 20 Settlements (16) (23) Balance as of March 31, $7 $1 The fair values of the Level 3 financial transmission rights are based on unobservable inputs calculated internally and verified against historical pricing data published by MISO. The following table sets forth, by level within the fair value hierarchy, the Registrant Subsidiaries’ assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. Entergy Arkansas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $156.7 $— $— $156.7 Decommissioning trust funds (a): Equity securities 10.4 — — 10.4 Debt securities 135.9 343.5 — 479.4 Common trusts (b) 775.7 Financial transmission rights — — 4.0 4.0 $303.0 $343.5 $4.0 $1,426.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $3.4 $— $— $3.4 Decommissioning trust funds (a): Equity securities 4.5 — — 4.5 Debt securities 126.8 343.9 — 470.7 Common trusts (b) 724.7 Financial transmission rights — — 10.3 10.3 $134.7 $343.9 $10.3 $1,213.6 Entergy Louisiana 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,079.3 $— $— $1,079.3 Decommissioning trust funds (a): Temporary cash investments 1.5 — — 1.5 Equity securities 7.5 — — 7.5 Debt securities 230.7 528.3 — 759.0 Common trusts (b) 1,111.6 Escrow accounts 296.4 — — 296.4 Gas hedge contracts 2.4 — — 2.4 Financial transmission rights — — 2.5 2.5 $1,617.8 $528.3 $2.5 $3,260.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $6.3 $— $— $6.3 Decommissioning trust funds (a): Equity securities 16.8 — — 16.8 Debt securities 209.4 515.7 — 725.1 Common trusts (b) 1,037.2 Escrow accounts 293.4 — — 293.4 Gas hedge contracts 13.1 3.4 — 16.5 Financial transmission rights — — 7.3 7.3 $539.0 $519.1 $7.3 $2,102.6 Entergy Mississippi 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $35.3 $— $— $35.3 Escrow accounts 33.9 — — 33.9 Financial transmission rights — — 0.2 0.2 $69.2 $— $0.2 $69.4 Liabilities: Gas hedge contracts $21.8 $— $— $21.8 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $17.0 $— $— $17.0 Escrow accounts 33.5 — — 33.5 Financial transmission rights — — 0.6 0.6 $50.5 $— $0.6 $51.1 Liabilities: Gas hedge contracts $24.0 $— $— $24.0 Entergy New Orleans 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $175.5 $— $— $175.5 Securitization recovery trust account 5.3 — — 5.3 Escrow accounts 75.8 — — 75.8 Financial transmission rights — — 0.3 0.3 $256.6 $— $0.3 $256.9 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $4.4 $— $— $4.4 Securitization recovery trust account 2.2 — — 2.2 Escrow accounts 75.0 — — 75.0 Financial transmission rights — — 0.8 0.8 $81.6 $— $0.8 $82.4 Liabilities: Gas hedge contracts $1.5 $— $— $1.5 Entergy Texas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $91.2 $— $— $91.2 Securitization recovery trust account 11.7 — — 11.7 $102.9 $— $— $102.9 Liabilities: Financial transmission rights $— $— $0.1 $0.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $3.0 $— $— $3.0 Securitization recovery trust account 10.9 — — 10.9 Financial transmission rights — — 0.1 0.1 $13.9 $— $0.1 $14.0 System Energy 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $259.3 $— $— $259.3 Decommissioning trust funds (a): Equity securities 8.3 — — 8.3 Debt securities 204.0 264.1 — 468.1 Common trusts (b) 728.4 $471.6 $264.1 $— $1,464.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $2.9 $— $— $2.9 Decommissioning trust funds (a): Equity securities 2.8 — — 2.8 Debt securities 197.5 262.2 — 459.7 Common trusts (b) 680.4 $203.2 $262.2 $— $1,145.8 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $10.3 $7.3 $0.6 $0.8 $0.1 Gains (losses) included as a regulatory liability/asset (2.4) 4.0 1.1 0.4 0.5 Settlements (3.9) (8.8) (1.5) (0.9) (0.7) Balance as of March 31, $4.0 $2.5 $0.2 $0.3 ($0.1) The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2022. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $2.3 $0.6 $0.3 $0.1 $0.8 Gains (losses) included as a regulatory liability/asset 5.6 9.1 0.9 0.8 3.5 Settlements (7.5) (9.4) (1.0) (0.8) (3.8) Balance as of March 31, $0.4 $0.3 $0.2 $0.1 $0.5 |
Entergy New Orleans [Member] | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs, that are recovered from customers. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy has executed natural gas swaps and options as of March 31, 2023 is 1 year, each, for Entergy Louisiana and Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of March 31, 2023 is 28,141,800 MMBtu for Entergy, including 7,320,000 MMBtu for Entergy Louisiana and 20,821,800 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2022, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2022 through May 31, 2023. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy’s non-utility operations are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of March 31, 2023 is 24,016 GWh for Entergy, including 5,351 GWh for Entergy Arkansas, 11,049 GWh for Entergy Louisiana, 2,592 GWh for Entergy Mississippi, 1,054 GWh for Entergy New Orleans, and 3,939 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy’s non-utility operations is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy’s non-utility operations as of March 31, 2023 and December 31, 2022. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Arkansas, Entergy Mississippi, and Entergy Texas as of March 31, 2023 and for Entergy Mississippi, Entergy New Orleans, and Entergy Texas as of December 31, 2022. The fair values of Entergy’s derivative instruments not designated as hedging instruments on the consolidated balance sheet as of March 31, 2023 and December 31, 2022 are shown in the tables below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) (In Millions) 2023 Assets: Natural gas swaps and options Prepayments and other $2 $— $ 2 Financial transmission rights Prepayments and other $8 ($1) $ 7 Liabilities: Natural gas swaps and options Other current liabilities $22 $— $ 22 2022 Assets: Natural gas swaps and options Prepayments and other $13 $— $ 13 Natural gas swaps and options Other deferred debits and other assets $3 $— $ 3 Financial transmission rights Prepayments and other $21 ($2) $ 19 Liabilities: Natural gas swaps and options Other current liabilities $25 $— $ 25 (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheets (d) Excludes cash collateral in the amount of $8 million posted as of December 31, 2022. Also excludes letters of credit in the amount of $1 million posted as of March 31, 2023 and $3 million posted as of December 31, 2022. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($37) Financial transmission rights Purchased power expense (b) $ 16 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) $ 55 Financial transmission rights Purchased power expense (b) $ 23 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of March 31, 2023 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $2.4 $— $ 2.4 Entergy Louisiana Financial transmission rights Prepayments and other $4.0 $— $ 4.0 Entergy Arkansas Financial transmission rights Prepayments and other $2.7 ($0.2) $ 2.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.2 $— $ 0.2 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $ 0.3 Entergy New Orleans Liabilities: Natural gas swaps Other current liabilities ($21.8) $— ($21.8) Entergy Mississippi Financial transmission rights Other current liabilities $0.4 ($0.5) ($0.1) Entergy Texas The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2022 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $13.1 $— $ 13.1 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets $3.4 $— $ 3.4 Entergy Louisiana Financial transmission rights Prepayments and other $10.3 $— $ 10.3 Entergy Arkansas Financial transmission rights Prepayments and other $7.7 ($0.4) $ 7.3 Entergy Louisiana Financial transmission rights Prepayments and other $0.6 $— $ 0.6 Entergy Mississippi Financial transmission rights Prepayments and other $0.8 $— $ 0.8 Entergy New Orleans Financial transmission rights Prepayments and other $1.2 ($1.1) $ 0.1 Entergy Texas Liabilities: Natural gas swaps Other current liabilities $24.0 $— $ 24.0 Entergy Mississippi Natural gas swaps Other current liabilities $1.5 $— $ 1.5 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of March 31, 2023, letters of credit posted with MISO covered financial transmission rights exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. As of December 31, 2022, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi, $0.2 million for Entergy New Orleans, and $2.4 million for Entergy Texas. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($6.6) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($28.6) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.2) (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.9 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 8.8 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.5 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.9 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 0.7 (b) Entergy Texas 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale $ 11.1 (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 42.8 (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 1.1 (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 7.5 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 9.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.0 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.8 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.8 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights. The values of financial transmission rights are based on unobservable inputs, including estimates of congestion costs in MISO between applicable generation and load pricing nodes based on the 50th percentile of historical prices. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight. The values are calculated internally and verified against the data published by MISO. Entergy’s Accounting group reviews these valuations for reasonableness, with the assistance of others within the organization with knowledge of the various inputs and assumptions used in the valuation. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer. The Accounting group reports to the Chief Accounting Officer. The following tables set forth, by level within the fair value hierarchy, Entergy’s assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,908 $— $— $1,908 Decommissioning trust funds (a): Temporary cash investments 1 — — 1 Equity securities 26 — — 26 Debt securities 571 1,136 — 1,707 Common trusts (b) 2,616 Securitization recovery trust account 17 — — 17 Escrow accounts 406 — — 406 Gas hedge contracts 2 — — 2 Financial transmission rights — — 7 7 $2,931 $1,136 $7 $6,690 Liabilities: Gas hedge contracts $22 $— $— $22 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $109 $— $— $109 Decommissioning trust funds (a): Equity securities 24 — — 24 Debt securities 534 1,122 — 1,656 Common trusts (b) 2,442 Securitization recovery trust account 13 — — 13 Escrow accounts 402 — — 402 Gas hedge contracts 13 3 — 16 Financial transmission rights — — 19 19 $1,095 $1,125 $19 $4,681 Liabilities: Gas hedge contracts $25 $— $— $25 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023 and 2022: 2023 2022 (In Millions) Balance as of January 1, $19 $4 Total gains (losses) for the period Included as a regulatory liability/asset 4 20 Settlements (16) (23) Balance as of March 31, $7 $1 The fair values of the Level 3 financial transmission rights are based on unobservable inputs calculated internally and verified against historical pricing data published by MISO. The following table sets forth, by level within the fair value hierarchy, the Registrant Subsidiaries’ assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. Entergy Arkansas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $156.7 $— $— $156.7 Decommissioning trust funds (a): Equity securities 10.4 — — 10.4 Debt securities 135.9 343.5 — 479.4 Common trusts (b) 775.7 Financial transmission rights — — 4.0 4.0 $303.0 $343.5 $4.0 $1,426.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $3.4 $— $— $3.4 Decommissioning trust funds (a): Equity securities 4.5 — — 4.5 Debt securities 126.8 343.9 — 470.7 Common trusts (b) 724.7 Financial transmission rights — — 10.3 10.3 $134.7 $343.9 $10.3 $1,213.6 Entergy Louisiana 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,079.3 $— $— $1,079.3 Decommissioning trust funds (a): Temporary cash investments 1.5 — — 1.5 Equity securities 7.5 — — 7.5 Debt securities 230.7 528.3 — 759.0 Common trusts (b) 1,111.6 Escrow accounts 296.4 — — 296.4 Gas hedge contracts 2.4 — — 2.4 Financial transmission rights — — 2.5 2.5 $1,617.8 $528.3 $2.5 $3,260.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $6.3 $— $— $6.3 Decommissioning trust funds (a): Equity securities 16.8 — — 16.8 Debt securities 209.4 515.7 — 725.1 Common trusts (b) 1,037.2 Escrow accounts 293.4 — — 293.4 Gas hedge contracts 13.1 3.4 — 16.5 Financial transmission rights — — 7.3 7.3 $539.0 $519.1 $7.3 $2,102.6 Entergy Mississippi 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $35.3 $— $— $35.3 Escrow accounts 33.9 — — 33.9 Financial transmission rights — — 0.2 0.2 $69.2 $— $0.2 $69.4 Liabilities: Gas hedge contracts $21.8 $— $— $21.8 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $17.0 $— $— $17.0 Escrow accounts 33.5 — — 33.5 Financial transmission rights — — 0.6 0.6 $50.5 $— $0.6 $51.1 Liabilities: Gas hedge contracts $24.0 $— $— $24.0 Entergy New Orleans 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $175.5 $— $— $175.5 Securitization recovery trust account 5.3 — — 5.3 Escrow accounts 75.8 — — 75.8 Financial transmission rights — — 0.3 0.3 $256.6 $— $0.3 $256.9 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $4.4 $— $— $4.4 Securitization recovery trust account 2.2 — — 2.2 Escrow accounts 75.0 — — 75.0 Financial transmission rights — — 0.8 0.8 $81.6 $— $0.8 $82.4 Liabilities: Gas hedge contracts $1.5 $— $— $1.5 Entergy Texas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $91.2 $— $— $91.2 Securitization recovery trust account 11.7 — — 11.7 $102.9 $— $— $102.9 Liabilities: Financial transmission rights $— $— $0.1 $0.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $3.0 $— $— $3.0 Securitization recovery trust account 10.9 — — 10.9 Financial transmission rights — — 0.1 0.1 $13.9 $— $0.1 $14.0 System Energy 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $259.3 $— $— $259.3 Decommissioning trust funds (a): Equity securities 8.3 — — 8.3 Debt securities 204.0 264.1 — 468.1 Common trusts (b) 728.4 $471.6 $264.1 $— $1,464.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $2.9 $— $— $2.9 Decommissioning trust funds (a): Equity securities 2.8 — — 2.8 Debt securities 197.5 262.2 — 459.7 Common trusts (b) 680.4 $203.2 $262.2 $— $1,145.8 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $10.3 $7.3 $0.6 $0.8 $0.1 Gains (losses) included as a regulatory liability/asset (2.4) 4.0 1.1 0.4 0.5 Settlements (3.9) (8.8) (1.5) (0.9) (0.7) Balance as of March 31, $4.0 $2.5 $0.2 $0.3 ($0.1) The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2022. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $2.3 $0.6 $0.3 $0.1 $0.8 Gains (losses) included as a regulatory liability/asset 5.6 9.1 0.9 0.8 3.5 Settlements (7.5) (9.4) (1.0) (0.8) (3.8) Balance as of March 31, $0.4 $0.3 $0.2 $0.1 $0.5 |
Entergy Texas [Member] | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs, that are recovered from customers. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy has executed natural gas swaps and options as of March 31, 2023 is 1 year, each, for Entergy Louisiana and Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of March 31, 2023 is 28,141,800 MMBtu for Entergy, including 7,320,000 MMBtu for Entergy Louisiana and 20,821,800 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2022, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2022 through May 31, 2023. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy’s non-utility operations are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of March 31, 2023 is 24,016 GWh for Entergy, including 5,351 GWh for Entergy Arkansas, 11,049 GWh for Entergy Louisiana, 2,592 GWh for Entergy Mississippi, 1,054 GWh for Entergy New Orleans, and 3,939 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy’s non-utility operations is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy’s non-utility operations as of March 31, 2023 and December 31, 2022. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Arkansas, Entergy Mississippi, and Entergy Texas as of March 31, 2023 and for Entergy Mississippi, Entergy New Orleans, and Entergy Texas as of December 31, 2022. The fair values of Entergy’s derivative instruments not designated as hedging instruments on the consolidated balance sheet as of March 31, 2023 and December 31, 2022 are shown in the tables below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) (In Millions) 2023 Assets: Natural gas swaps and options Prepayments and other $2 $— $ 2 Financial transmission rights Prepayments and other $8 ($1) $ 7 Liabilities: Natural gas swaps and options Other current liabilities $22 $— $ 22 2022 Assets: Natural gas swaps and options Prepayments and other $13 $— $ 13 Natural gas swaps and options Other deferred debits and other assets $3 $— $ 3 Financial transmission rights Prepayments and other $21 ($2) $ 19 Liabilities: Natural gas swaps and options Other current liabilities $25 $— $ 25 (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheets (d) Excludes cash collateral in the amount of $8 million posted as of December 31, 2022. Also excludes letters of credit in the amount of $1 million posted as of March 31, 2023 and $3 million posted as of December 31, 2022. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($37) Financial transmission rights Purchased power expense (b) $ 16 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) $ 55 Financial transmission rights Purchased power expense (b) $ 23 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of March 31, 2023 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $2.4 $— $ 2.4 Entergy Louisiana Financial transmission rights Prepayments and other $4.0 $— $ 4.0 Entergy Arkansas Financial transmission rights Prepayments and other $2.7 ($0.2) $ 2.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.2 $— $ 0.2 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $ 0.3 Entergy New Orleans Liabilities: Natural gas swaps Other current liabilities ($21.8) $— ($21.8) Entergy Mississippi Financial transmission rights Other current liabilities $0.4 ($0.5) ($0.1) Entergy Texas The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2022 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $13.1 $— $ 13.1 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets $3.4 $— $ 3.4 Entergy Louisiana Financial transmission rights Prepayments and other $10.3 $— $ 10.3 Entergy Arkansas Financial transmission rights Prepayments and other $7.7 ($0.4) $ 7.3 Entergy Louisiana Financial transmission rights Prepayments and other $0.6 $— $ 0.6 Entergy Mississippi Financial transmission rights Prepayments and other $0.8 $— $ 0.8 Entergy New Orleans Financial transmission rights Prepayments and other $1.2 ($1.1) $ 0.1 Entergy Texas Liabilities: Natural gas swaps Other current liabilities $24.0 $— $ 24.0 Entergy Mississippi Natural gas swaps Other current liabilities $1.5 $— $ 1.5 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of March 31, 2023, letters of credit posted with MISO covered financial transmission rights exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. As of December 31, 2022, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi, $0.2 million for Entergy New Orleans, and $2.4 million for Entergy Texas. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($6.6) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($28.6) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.2) (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.9 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 8.8 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.5 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.9 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 0.7 (b) Entergy Texas 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale $ 11.1 (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 42.8 (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 1.1 (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 7.5 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 9.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.0 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.8 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.8 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights. The values of financial transmission rights are based on unobservable inputs, including estimates of congestion costs in MISO between applicable generation and load pricing nodes based on the 50th percentile of historical prices. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight. The values are calculated internally and verified against the data published by MISO. Entergy’s Accounting group reviews these valuations for reasonableness, with the assistance of others within the organization with knowledge of the various inputs and assumptions used in the valuation. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer. The Accounting group reports to the Chief Accounting Officer. The following tables set forth, by level within the fair value hierarchy, Entergy’s assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,908 $— $— $1,908 Decommissioning trust funds (a): Temporary cash investments 1 — — 1 Equity securities 26 — — 26 Debt securities 571 1,136 — 1,707 Common trusts (b) 2,616 Securitization recovery trust account 17 — — 17 Escrow accounts 406 — — 406 Gas hedge contracts 2 — — 2 Financial transmission rights — — 7 7 $2,931 $1,136 $7 $6,690 Liabilities: Gas hedge contracts $22 $— $— $22 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $109 $— $— $109 Decommissioning trust funds (a): Equity securities 24 — — 24 Debt securities 534 1,122 — 1,656 Common trusts (b) 2,442 Securitization recovery trust account 13 — — 13 Escrow accounts 402 — — 402 Gas hedge contracts 13 3 — 16 Financial transmission rights — — 19 19 $1,095 $1,125 $19 $4,681 Liabilities: Gas hedge contracts $25 $— $— $25 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023 and 2022: 2023 2022 (In Millions) Balance as of January 1, $19 $4 Total gains (losses) for the period Included as a regulatory liability/asset 4 20 Settlements (16) (23) Balance as of March 31, $7 $1 The fair values of the Level 3 financial transmission rights are based on unobservable inputs calculated internally and verified against historical pricing data published by MISO. The following table sets forth, by level within the fair value hierarchy, the Registrant Subsidiaries’ assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. Entergy Arkansas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $156.7 $— $— $156.7 Decommissioning trust funds (a): Equity securities 10.4 — — 10.4 Debt securities 135.9 343.5 — 479.4 Common trusts (b) 775.7 Financial transmission rights — — 4.0 4.0 $303.0 $343.5 $4.0 $1,426.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $3.4 $— $— $3.4 Decommissioning trust funds (a): Equity securities 4.5 — — 4.5 Debt securities 126.8 343.9 — 470.7 Common trusts (b) 724.7 Financial transmission rights — — 10.3 10.3 $134.7 $343.9 $10.3 $1,213.6 Entergy Louisiana 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,079.3 $— $— $1,079.3 Decommissioning trust funds (a): Temporary cash investments 1.5 — — 1.5 Equity securities 7.5 — — 7.5 Debt securities 230.7 528.3 — 759.0 Common trusts (b) 1,111.6 Escrow accounts 296.4 — — 296.4 Gas hedge contracts 2.4 — — 2.4 Financial transmission rights — — 2.5 2.5 $1,617.8 $528.3 $2.5 $3,260.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $6.3 $— $— $6.3 Decommissioning trust funds (a): Equity securities 16.8 — — 16.8 Debt securities 209.4 515.7 — 725.1 Common trusts (b) 1,037.2 Escrow accounts 293.4 — — 293.4 Gas hedge contracts 13.1 3.4 — 16.5 Financial transmission rights — — 7.3 7.3 $539.0 $519.1 $7.3 $2,102.6 Entergy Mississippi 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $35.3 $— $— $35.3 Escrow accounts 33.9 — — 33.9 Financial transmission rights — — 0.2 0.2 $69.2 $— $0.2 $69.4 Liabilities: Gas hedge contracts $21.8 $— $— $21.8 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $17.0 $— $— $17.0 Escrow accounts 33.5 — — 33.5 Financial transmission rights — — 0.6 0.6 $50.5 $— $0.6 $51.1 Liabilities: Gas hedge contracts $24.0 $— $— $24.0 Entergy New Orleans 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $175.5 $— $— $175.5 Securitization recovery trust account 5.3 — — 5.3 Escrow accounts 75.8 — — 75.8 Financial transmission rights — — 0.3 0.3 $256.6 $— $0.3 $256.9 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $4.4 $— $— $4.4 Securitization recovery trust account 2.2 — — 2.2 Escrow accounts 75.0 — — 75.0 Financial transmission rights — — 0.8 0.8 $81.6 $— $0.8 $82.4 Liabilities: Gas hedge contracts $1.5 $— $— $1.5 Entergy Texas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $91.2 $— $— $91.2 Securitization recovery trust account 11.7 — — 11.7 $102.9 $— $— $102.9 Liabilities: Financial transmission rights $— $— $0.1 $0.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $3.0 $— $— $3.0 Securitization recovery trust account 10.9 — — 10.9 Financial transmission rights — — 0.1 0.1 $13.9 $— $0.1 $14.0 System Energy 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $259.3 $— $— $259.3 Decommissioning trust funds (a): Equity securities 8.3 — — 8.3 Debt securities 204.0 264.1 — 468.1 Common trusts (b) 728.4 $471.6 $264.1 $— $1,464.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $2.9 $— $— $2.9 Decommissioning trust funds (a): Equity securities 2.8 — — 2.8 Debt securities 197.5 262.2 — 459.7 Common trusts (b) 680.4 $203.2 $262.2 $— $1,145.8 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $10.3 $7.3 $0.6 $0.8 $0.1 Gains (losses) included as a regulatory liability/asset (2.4) 4.0 1.1 0.4 0.5 Settlements (3.9) (8.8) (1.5) (0.9) (0.7) Balance as of March 31, $4.0 $2.5 $0.2 $0.3 ($0.1) The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2022. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $2.3 $0.6 $0.3 $0.1 $0.8 Gains (losses) included as a regulatory liability/asset 5.6 9.1 0.9 0.8 3.5 Settlements (7.5) (9.4) (1.0) (0.8) (3.8) Balance as of March 31, $0.4 $0.3 $0.2 $0.1 $0.5 |
System Energy [Member] | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs, that are recovered from customers. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy has executed natural gas swaps and options as of March 31, 2023 is 1 year, each, for Entergy Louisiana and Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of March 31, 2023 is 28,141,800 MMBtu for Entergy, including 7,320,000 MMBtu for Entergy Louisiana and 20,821,800 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2022, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2022 through May 31, 2023. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy’s non-utility operations are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of March 31, 2023 is 24,016 GWh for Entergy, including 5,351 GWh for Entergy Arkansas, 11,049 GWh for Entergy Louisiana, 2,592 GWh for Entergy Mississippi, 1,054 GWh for Entergy New Orleans, and 3,939 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy’s non-utility operations is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy’s non-utility operations as of March 31, 2023 and December 31, 2022. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Arkansas, Entergy Mississippi, and Entergy Texas as of March 31, 2023 and for Entergy Mississippi, Entergy New Orleans, and Entergy Texas as of December 31, 2022. The fair values of Entergy’s derivative instruments not designated as hedging instruments on the consolidated balance sheet as of March 31, 2023 and December 31, 2022 are shown in the tables below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) (In Millions) 2023 Assets: Natural gas swaps and options Prepayments and other $2 $— $ 2 Financial transmission rights Prepayments and other $8 ($1) $ 7 Liabilities: Natural gas swaps and options Other current liabilities $22 $— $ 22 2022 Assets: Natural gas swaps and options Prepayments and other $13 $— $ 13 Natural gas swaps and options Other deferred debits and other assets $3 $— $ 3 Financial transmission rights Prepayments and other $21 ($2) $ 19 Liabilities: Natural gas swaps and options Other current liabilities $25 $— $ 25 (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheets (d) Excludes cash collateral in the amount of $8 million posted as of December 31, 2022. Also excludes letters of credit in the amount of $1 million posted as of March 31, 2023 and $3 million posted as of December 31, 2022. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($37) Financial transmission rights Purchased power expense (b) $ 16 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) $ 55 Financial transmission rights Purchased power expense (b) $ 23 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of March 31, 2023 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $2.4 $— $ 2.4 Entergy Louisiana Financial transmission rights Prepayments and other $4.0 $— $ 4.0 Entergy Arkansas Financial transmission rights Prepayments and other $2.7 ($0.2) $ 2.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.2 $— $ 0.2 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $ 0.3 Entergy New Orleans Liabilities: Natural gas swaps Other current liabilities ($21.8) $— ($21.8) Entergy Mississippi Financial transmission rights Other current liabilities $0.4 ($0.5) ($0.1) Entergy Texas The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2022 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $13.1 $— $ 13.1 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets $3.4 $— $ 3.4 Entergy Louisiana Financial transmission rights Prepayments and other $10.3 $— $ 10.3 Entergy Arkansas Financial transmission rights Prepayments and other $7.7 ($0.4) $ 7.3 Entergy Louisiana Financial transmission rights Prepayments and other $0.6 $— $ 0.6 Entergy Mississippi Financial transmission rights Prepayments and other $0.8 $— $ 0.8 Entergy New Orleans Financial transmission rights Prepayments and other $1.2 ($1.1) $ 0.1 Entergy Texas Liabilities: Natural gas swaps Other current liabilities $24.0 $— $ 24.0 Entergy Mississippi Natural gas swaps Other current liabilities $1.5 $— $ 1.5 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of March 31, 2023, letters of credit posted with MISO covered financial transmission rights exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. As of December 31, 2022, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi, $0.2 million for Entergy New Orleans, and $2.4 million for Entergy Texas. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($6.6) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($28.6) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.2) (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.9 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 8.8 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.5 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.9 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 0.7 (b) Entergy Texas 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale $ 11.1 (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 42.8 (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 1.1 (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 7.5 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 9.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.0 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.8 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.8 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights. The values of financial transmission rights are based on unobservable inputs, including estimates of congestion costs in MISO between applicable generation and load pricing nodes based on the 50th percentile of historical prices. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight. The values are calculated internally and verified against the data published by MISO. Entergy’s Accounting group reviews these valuations for reasonableness, with the assistance of others within the organization with knowledge of the various inputs and assumptions used in the valuation. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer. The Accounting group reports to the Chief Accounting Officer. The following tables set forth, by level within the fair value hierarchy, Entergy’s assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,908 $— $— $1,908 Decommissioning trust funds (a): Temporary cash investments 1 — — 1 Equity securities 26 — — 26 Debt securities 571 1,136 — 1,707 Common trusts (b) 2,616 Securitization recovery trust account 17 — — 17 Escrow accounts 406 — — 406 Gas hedge contracts 2 — — 2 Financial transmission rights — — 7 7 $2,931 $1,136 $7 $6,690 Liabilities: Gas hedge contracts $22 $— $— $22 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $109 $— $— $109 Decommissioning trust funds (a): Equity securities 24 — — 24 Debt securities 534 1,122 — 1,656 Common trusts (b) 2,442 Securitization recovery trust account 13 — — 13 Escrow accounts 402 — — 402 Gas hedge contracts 13 3 — 16 Financial transmission rights — — 19 19 $1,095 $1,125 $19 $4,681 Liabilities: Gas hedge contracts $25 $— $— $25 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023 and 2022: 2023 2022 (In Millions) Balance as of January 1, $19 $4 Total gains (losses) for the period Included as a regulatory liability/asset 4 20 Settlements (16) (23) Balance as of March 31, $7 $1 The fair values of the Level 3 financial transmission rights are based on unobservable inputs calculated internally and verified against historical pricing data published by MISO. The following table sets forth, by level within the fair value hierarchy, the Registrant Subsidiaries’ assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. Entergy Arkansas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $156.7 $— $— $156.7 Decommissioning trust funds (a): Equity securities 10.4 — — 10.4 Debt securities 135.9 343.5 — 479.4 Common trusts (b) 775.7 Financial transmission rights — — 4.0 4.0 $303.0 $343.5 $4.0 $1,426.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $3.4 $— $— $3.4 Decommissioning trust funds (a): Equity securities 4.5 — — 4.5 Debt securities 126.8 343.9 — 470.7 Common trusts (b) 724.7 Financial transmission rights — — 10.3 10.3 $134.7 $343.9 $10.3 $1,213.6 Entergy Louisiana 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,079.3 $— $— $1,079.3 Decommissioning trust funds (a): Temporary cash investments 1.5 — — 1.5 Equity securities 7.5 — — 7.5 Debt securities 230.7 528.3 — 759.0 Common trusts (b) 1,111.6 Escrow accounts 296.4 — — 296.4 Gas hedge contracts 2.4 — — 2.4 Financial transmission rights — — 2.5 2.5 $1,617.8 $528.3 $2.5 $3,260.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $6.3 $— $— $6.3 Decommissioning trust funds (a): Equity securities 16.8 — — 16.8 Debt securities 209.4 515.7 — 725.1 Common trusts (b) 1,037.2 Escrow accounts 293.4 — — 293.4 Gas hedge contracts 13.1 3.4 — 16.5 Financial transmission rights — — 7.3 7.3 $539.0 $519.1 $7.3 $2,102.6 Entergy Mississippi 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $35.3 $— $— $35.3 Escrow accounts 33.9 — — 33.9 Financial transmission rights — — 0.2 0.2 $69.2 $— $0.2 $69.4 Liabilities: Gas hedge contracts $21.8 $— $— $21.8 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $17.0 $— $— $17.0 Escrow accounts 33.5 — — 33.5 Financial transmission rights — — 0.6 0.6 $50.5 $— $0.6 $51.1 Liabilities: Gas hedge contracts $24.0 $— $— $24.0 Entergy New Orleans 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $175.5 $— $— $175.5 Securitization recovery trust account 5.3 — — 5.3 Escrow accounts 75.8 — — 75.8 Financial transmission rights — — 0.3 0.3 $256.6 $— $0.3 $256.9 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $4.4 $— $— $4.4 Securitization recovery trust account 2.2 — — 2.2 Escrow accounts 75.0 — — 75.0 Financial transmission rights — — 0.8 0.8 $81.6 $— $0.8 $82.4 Liabilities: Gas hedge contracts $1.5 $— $— $1.5 Entergy Texas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $91.2 $— $— $91.2 Securitization recovery trust account 11.7 — — 11.7 $102.9 $— $— $102.9 Liabilities: Financial transmission rights $— $— $0.1 $0.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $3.0 $— $— $3.0 Securitization recovery trust account 10.9 — — 10.9 Financial transmission rights — — 0.1 0.1 $13.9 $— $0.1 $14.0 System Energy 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $259.3 $— $— $259.3 Decommissioning trust funds (a): Equity securities 8.3 — — 8.3 Debt securities 204.0 264.1 — 468.1 Common trusts (b) 728.4 $471.6 $264.1 $— $1,464.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $2.9 $— $— $2.9 Decommissioning trust funds (a): Equity securities 2.8 — — 2.8 Debt securities 197.5 262.2 — 459.7 Common trusts (b) 680.4 $203.2 $262.2 $— $1,145.8 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $10.3 $7.3 $0.6 $0.8 $0.1 Gains (losses) included as a regulatory liability/asset (2.4) 4.0 1.1 0.4 0.5 Settlements (3.9) (8.8) (1.5) (0.9) (0.7) Balance as of March 31, $4.0 $2.5 $0.2 $0.3 ($0.1) The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2022. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $2.3 $0.6 $0.3 $0.1 $0.8 Gains (losses) included as a regulatory liability/asset 5.6 9.1 0.9 0.8 3.5 Settlements (7.5) (9.4) (1.0) (0.8) (3.8) Balance as of March 31, $0.4 $0.3 $0.2 $0.1 $0.5 |
Decommissioning Trust Funds
Decommissioning Trust Funds | 3 Months Ended |
Mar. 31, 2023 | |
Decommissioning Trust Funds | DECOMMISSIONING TRUST FUNDS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) The NRC requires Entergy subsidiaries to maintain nuclear decommissioning trusts to fund the costs of decommissioning ANO 1, ANO 2, River Bend, Waterford 3, and Grand Gulf. Entergy’s nuclear decommissioning trust funds invest in equity securities, fixed-rate debt securities, and cash and cash equivalents. Entergy records decommissioning trust funds on the balance sheet at their fair value. Because of the ability of the Registrant Subsidiaries to recover decommissioning costs in rates and in accordance with the regulatory treatment for decommissioning trust funds, the Registrant Subsidiaries have recorded an offsetting amount of unrealized gains/(losses) on investment securities in other regulatory liabilities/assets. For the 30% interest in River Bend formerly owned by Cajun, Entergy Louisiana records an offsetting amount in other deferred credits for the unrealized trust earnings not currently expected to be needed to decommission the plant. Decommissioning trust funds for the Palisades non-utility nuclear plant did not meet the criteria for regulatory accounting treatment. Accordingly, unrealized gains/(losses) recorded on the equity securities in the trust funds were recognized in earnings. Unrealized gains recorded on the available-for-sale debt securities in the trust funds are recognized in the accumulated other comprehensive income component of shareholders’ equity. Unrealized losses (where cost exceeds fair market value) on the available-for-sale debt securities in the trust funds are also recorded in the accumulated other comprehensive income component of shareholders’ equity unless the unrealized loss is other than temporary and therefore recorded in earnings. Generally, Entergy records gains and losses on its debt and equity securities using the specific identification method to determine the cost basis of its securities. As discussed in Note 14 to the financial statements in the Form 10-K, in June 2022, Entergy completed the sale of Palisades to Holtec. As part of the transaction, Entergy transferred the Palisades decommissioning trust fund to Holtec. The disposition-date fair value of the decommissioning trust fund was approximately $552 million. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $161 million. The equity securities are generally held in funds that are designed to approximate or somewhat exceed the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index or the Russell 3000 Index. The debt securities are generally held in individual government and credit issuances. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $1,707 $8 $160 2022 Debt Securities $1,655 $4 $201 As of March 31, 2023 and December 31, 2022, there were no deferred taxes on unrealized gains/(losses). The amortized cost of available-for-sale debt securities was $1,858 million as of March 31, 2023 and $1,852 million as of December 31, 2022. As of March 31, 2023, available-for-sale debt securities had an average coupon rate of approximately 3.07%, an average duration of approximately 6.45 years, and an average maturity of approximately 10.81 years. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $391 $13 $840 $63 More than 12 months 961 147 666 138 Total $1,352 $160 $1,506 $201 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $70 $62 1 year - 5 years 516 520 5 years - 10 years 496 461 10 years - 15 years 111 117 15 years - 20 years 161 161 20 years+ 353 334 Total $1,707 $1,655 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $124 million and $303 million, respectively. During the three months ended March 31, 2023, there were no gross gains and $9 million in gross losses reclassified out of other regulatory liabilities/assets into earnings. During the three months ended March 31, 2022, there were gross gains of $1 million and gross losses of $12 million reclassified out of other regulatory liabilities/assets into earnings. Entergy Arkansas Entergy Arkansas holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $479.4 $0.9 $56.8 2022 Debt Securities $470.7 $0.2 $69.3 The amortized cost of available-for-sale debt securities was $535.4 million as of March 31, 2023 and $539.8 million as of December 31, 2022. As of March 31, 2023, the available-for-sale debt securities had an average coupon rate of approximately 2.38%, an average duration of approximately 6.04 years, and an average maturity of approximately 7.51 years. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $47.3 million. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $52.3 $1.4 $197.6 $18.8 More than 12 months 380.4 55.4 260.1 50.5 Total $432.7 $56.8 $457.7 $69.3 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $28.7 $21.2 1 year - 5 years 153.6 159.7 5 years - 10 years 194.2 191.7 10 years - 15 years 41.6 38.0 15 years - 20 years 43.0 42.6 20 years+ 18.3 17.5 Total $479.4 $470.7 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $15.7 million and $7.2 million, respectively. During the three months ended March 31, 2023, there were no gross gains and $1.6 million in gross losses reclassified out of other regulatory liabilities/assets into earnings. During the three months ended March 31, 2022, there were gross gains of $0.03 million and gross losses of $0.2 million reclassified out of other regulatory liabilities/assets into earnings. Entergy Louisiana Entergy Louisiana holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $759.0 $5.4 $50.4 2022 Debt Securities $725.1 $3.5 $67.5 The amortized cost of available-for-sale debt securities was $804.1 million as of March 31, 2023 and $789.1 million as of December 31, 2022. As of March 31, 2023, the available-for-sale debt securities had an average coupon rate of approximately 3.72%, an average duration of approximately 6.64 years, and an average maturity of approximately 13.12 years. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $69.4 million. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $258.1 $6.7 $409.9 $24.6 More than 12 months 304.8 43.7 207.5 42.9 Total $562.9 $50.4 $617.4 $67.5 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $37.1 $33.6 1 year - 5 years 168.4 159.1 5 years - 10 years 176.4 161.7 10 years - 15 years 62.8 67.1 15 years - 20 years 80.0 83.3 20 years+ 234.3 220.3 Total $759.0 $725.1 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $67.4 million and $120.5 million, respectively. During the three months ended March 31, 2023 and 2022, gross gains of $0.4 million and $0.9 million, respectively, and gross losses of $4.9 million and $5.5 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. System Energy System Energy holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $468.1 $2.1 $52.6 2022 Debt Securities $459.7 $0.7 $63.7 The amortized cost of available-for-sale debt securities was $518.6 million as of March 31, 2023 and $522.7 million as of December 31, 2022. As of March 31, 2023, the available-for-sale debt securities had an average coupon rate of approximately 2.74%, an average duration of approximately 6.56 years, and an average maturity of approximately 10.51 years. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $44.5 million. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $80.8 $4.3 $231.9 $19.2 More than 12 months 275.2 48.3 198.0 44.5 Total $356.0 $52.6 $429.9 $63.7 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $3.8 $6.8 1 year - 5 years 193.9 201.7 5 years - 10 years 125.2 107.1 10 years - 15 years 6.8 11.7 15 years - 20 years 38.1 35.0 20 years+ 100.3 97.4 Total $468.1 $459.7 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $41.3 million and $36.2 million, respectively. During the three months ended March 31, 2023, there were no gross gains and $2.3 million in gross losses reclassified out of other regulatory liabilities/assets into earnings. During the three months ended March 31, 2022, there were gross gains of $0.1 million and gross losses of $0.7 million reclassified out of other regulatory liabilities/assets into earnings. Allowance for expected credit losses Entergy estimates the expected credit losses for its available-for-sale securities based on the current credit rating and remaining life of the securities. To the extent an individual security is determined to be uncollectible, it is written off against this allowance. Entergy’s available-for-sale securities are held in trusts managed by third parties who operate in accordance with agreements that define investment guidelines and place restrictions on the purchases and sales of investments. Specifically, available-for-sale securities are subject to credit worthiness restrictions, with requirements for both the average credit rating of the portfolio and minimum credit ratings for individual debt securities. Entergy did not have an allowance for expected credit losses related to available-for-sale securities as of March 31, 2023 and December 31, 2022. Entergy did not record any impairments of available-for-sale debt securities for the three months ended March 31, 2023. Entergy recorded $1.5 million in impairments of available-for-sale debt securities for the three months ended March 31, 2022. |
Entergy Arkansas [Member] | |
Decommissioning Trust Funds | DECOMMISSIONING TRUST FUNDS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) The NRC requires Entergy subsidiaries to maintain nuclear decommissioning trusts to fund the costs of decommissioning ANO 1, ANO 2, River Bend, Waterford 3, and Grand Gulf. Entergy’s nuclear decommissioning trust funds invest in equity securities, fixed-rate debt securities, and cash and cash equivalents. Entergy records decommissioning trust funds on the balance sheet at their fair value. Because of the ability of the Registrant Subsidiaries to recover decommissioning costs in rates and in accordance with the regulatory treatment for decommissioning trust funds, the Registrant Subsidiaries have recorded an offsetting amount of unrealized gains/(losses) on investment securities in other regulatory liabilities/assets. For the 30% interest in River Bend formerly owned by Cajun, Entergy Louisiana records an offsetting amount in other deferred credits for the unrealized trust earnings not currently expected to be needed to decommission the plant. Decommissioning trust funds for the Palisades non-utility nuclear plant did not meet the criteria for regulatory accounting treatment. Accordingly, unrealized gains/(losses) recorded on the equity securities in the trust funds were recognized in earnings. Unrealized gains recorded on the available-for-sale debt securities in the trust funds are recognized in the accumulated other comprehensive income component of shareholders’ equity. Unrealized losses (where cost exceeds fair market value) on the available-for-sale debt securities in the trust funds are also recorded in the accumulated other comprehensive income component of shareholders’ equity unless the unrealized loss is other than temporary and therefore recorded in earnings. Generally, Entergy records gains and losses on its debt and equity securities using the specific identification method to determine the cost basis of its securities. As discussed in Note 14 to the financial statements in the Form 10-K, in June 2022, Entergy completed the sale of Palisades to Holtec. As part of the transaction, Entergy transferred the Palisades decommissioning trust fund to Holtec. The disposition-date fair value of the decommissioning trust fund was approximately $552 million. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $161 million. The equity securities are generally held in funds that are designed to approximate or somewhat exceed the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index or the Russell 3000 Index. The debt securities are generally held in individual government and credit issuances. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $1,707 $8 $160 2022 Debt Securities $1,655 $4 $201 As of March 31, 2023 and December 31, 2022, there were no deferred taxes on unrealized gains/(losses). The amortized cost of available-for-sale debt securities was $1,858 million as of March 31, 2023 and $1,852 million as of December 31, 2022. As of March 31, 2023, available-for-sale debt securities had an average coupon rate of approximately 3.07%, an average duration of approximately 6.45 years, and an average maturity of approximately 10.81 years. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $391 $13 $840 $63 More than 12 months 961 147 666 138 Total $1,352 $160 $1,506 $201 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $70 $62 1 year - 5 years 516 520 5 years - 10 years 496 461 10 years - 15 years 111 117 15 years - 20 years 161 161 20 years+ 353 334 Total $1,707 $1,655 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $124 million and $303 million, respectively. During the three months ended March 31, 2023, there were no gross gains and $9 million in gross losses reclassified out of other regulatory liabilities/assets into earnings. During the three months ended March 31, 2022, there were gross gains of $1 million and gross losses of $12 million reclassified out of other regulatory liabilities/assets into earnings. Entergy Arkansas Entergy Arkansas holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $479.4 $0.9 $56.8 2022 Debt Securities $470.7 $0.2 $69.3 The amortized cost of available-for-sale debt securities was $535.4 million as of March 31, 2023 and $539.8 million as of December 31, 2022. As of March 31, 2023, the available-for-sale debt securities had an average coupon rate of approximately 2.38%, an average duration of approximately 6.04 years, and an average maturity of approximately 7.51 years. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $47.3 million. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $52.3 $1.4 $197.6 $18.8 More than 12 months 380.4 55.4 260.1 50.5 Total $432.7 $56.8 $457.7 $69.3 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $28.7 $21.2 1 year - 5 years 153.6 159.7 5 years - 10 years 194.2 191.7 10 years - 15 years 41.6 38.0 15 years - 20 years 43.0 42.6 20 years+ 18.3 17.5 Total $479.4 $470.7 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $15.7 million and $7.2 million, respectively. During the three months ended March 31, 2023, there were no gross gains and $1.6 million in gross losses reclassified out of other regulatory liabilities/assets into earnings. During the three months ended March 31, 2022, there were gross gains of $0.03 million and gross losses of $0.2 million reclassified out of other regulatory liabilities/assets into earnings. Entergy Louisiana Entergy Louisiana holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $759.0 $5.4 $50.4 2022 Debt Securities $725.1 $3.5 $67.5 The amortized cost of available-for-sale debt securities was $804.1 million as of March 31, 2023 and $789.1 million as of December 31, 2022. As of March 31, 2023, the available-for-sale debt securities had an average coupon rate of approximately 3.72%, an average duration of approximately 6.64 years, and an average maturity of approximately 13.12 years. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $69.4 million. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $258.1 $6.7 $409.9 $24.6 More than 12 months 304.8 43.7 207.5 42.9 Total $562.9 $50.4 $617.4 $67.5 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $37.1 $33.6 1 year - 5 years 168.4 159.1 5 years - 10 years 176.4 161.7 10 years - 15 years 62.8 67.1 15 years - 20 years 80.0 83.3 20 years+ 234.3 220.3 Total $759.0 $725.1 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $67.4 million and $120.5 million, respectively. During the three months ended March 31, 2023 and 2022, gross gains of $0.4 million and $0.9 million, respectively, and gross losses of $4.9 million and $5.5 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. System Energy System Energy holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $468.1 $2.1 $52.6 2022 Debt Securities $459.7 $0.7 $63.7 The amortized cost of available-for-sale debt securities was $518.6 million as of March 31, 2023 and $522.7 million as of December 31, 2022. As of March 31, 2023, the available-for-sale debt securities had an average coupon rate of approximately 2.74%, an average duration of approximately 6.56 years, and an average maturity of approximately 10.51 years. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $44.5 million. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $80.8 $4.3 $231.9 $19.2 More than 12 months 275.2 48.3 198.0 44.5 Total $356.0 $52.6 $429.9 $63.7 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $3.8 $6.8 1 year - 5 years 193.9 201.7 5 years - 10 years 125.2 107.1 10 years - 15 years 6.8 11.7 15 years - 20 years 38.1 35.0 20 years+ 100.3 97.4 Total $468.1 $459.7 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $41.3 million and $36.2 million, respectively. During the three months ended March 31, 2023, there were no gross gains and $2.3 million in gross losses reclassified out of other regulatory liabilities/assets into earnings. During the three months ended March 31, 2022, there were gross gains of $0.1 million and gross losses of $0.7 million reclassified out of other regulatory liabilities/assets into earnings. Allowance for expected credit losses Entergy estimates the expected credit losses for its available-for-sale securities based on the current credit rating and remaining life of the securities. To the extent an individual security is determined to be uncollectible, it is written off against this allowance. Entergy’s available-for-sale securities are held in trusts managed by third parties who operate in accordance with agreements that define investment guidelines and place restrictions on the purchases and sales of investments. Specifically, available-for-sale securities are subject to credit worthiness restrictions, with requirements for both the average credit rating of the portfolio and minimum credit ratings for individual debt securities. Entergy did not have an allowance for expected credit losses related to available-for-sale securities as of March 31, 2023 and December 31, 2022. Entergy did not record any impairments of available-for-sale debt securities for the three months ended March 31, 2023. Entergy recorded $1.5 million in impairments of available-for-sale debt securities for the three months ended March 31, 2022. |
Entergy Louisiana [Member] | |
Decommissioning Trust Funds | DECOMMISSIONING TRUST FUNDS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) The NRC requires Entergy subsidiaries to maintain nuclear decommissioning trusts to fund the costs of decommissioning ANO 1, ANO 2, River Bend, Waterford 3, and Grand Gulf. Entergy’s nuclear decommissioning trust funds invest in equity securities, fixed-rate debt securities, and cash and cash equivalents. Entergy records decommissioning trust funds on the balance sheet at their fair value. Because of the ability of the Registrant Subsidiaries to recover decommissioning costs in rates and in accordance with the regulatory treatment for decommissioning trust funds, the Registrant Subsidiaries have recorded an offsetting amount of unrealized gains/(losses) on investment securities in other regulatory liabilities/assets. For the 30% interest in River Bend formerly owned by Cajun, Entergy Louisiana records an offsetting amount in other deferred credits for the unrealized trust earnings not currently expected to be needed to decommission the plant. Decommissioning trust funds for the Palisades non-utility nuclear plant did not meet the criteria for regulatory accounting treatment. Accordingly, unrealized gains/(losses) recorded on the equity securities in the trust funds were recognized in earnings. Unrealized gains recorded on the available-for-sale debt securities in the trust funds are recognized in the accumulated other comprehensive income component of shareholders’ equity. Unrealized losses (where cost exceeds fair market value) on the available-for-sale debt securities in the trust funds are also recorded in the accumulated other comprehensive income component of shareholders’ equity unless the unrealized loss is other than temporary and therefore recorded in earnings. Generally, Entergy records gains and losses on its debt and equity securities using the specific identification method to determine the cost basis of its securities. As discussed in Note 14 to the financial statements in the Form 10-K, in June 2022, Entergy completed the sale of Palisades to Holtec. As part of the transaction, Entergy transferred the Palisades decommissioning trust fund to Holtec. The disposition-date fair value of the decommissioning trust fund was approximately $552 million. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $161 million. The equity securities are generally held in funds that are designed to approximate or somewhat exceed the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index or the Russell 3000 Index. The debt securities are generally held in individual government and credit issuances. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $1,707 $8 $160 2022 Debt Securities $1,655 $4 $201 As of March 31, 2023 and December 31, 2022, there were no deferred taxes on unrealized gains/(losses). The amortized cost of available-for-sale debt securities was $1,858 million as of March 31, 2023 and $1,852 million as of December 31, 2022. As of March 31, 2023, available-for-sale debt securities had an average coupon rate of approximately 3.07%, an average duration of approximately 6.45 years, and an average maturity of approximately 10.81 years. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $391 $13 $840 $63 More than 12 months 961 147 666 138 Total $1,352 $160 $1,506 $201 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $70 $62 1 year - 5 years 516 520 5 years - 10 years 496 461 10 years - 15 years 111 117 15 years - 20 years 161 161 20 years+ 353 334 Total $1,707 $1,655 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $124 million and $303 million, respectively. During the three months ended March 31, 2023, there were no gross gains and $9 million in gross losses reclassified out of other regulatory liabilities/assets into earnings. During the three months ended March 31, 2022, there were gross gains of $1 million and gross losses of $12 million reclassified out of other regulatory liabilities/assets into earnings. Entergy Arkansas Entergy Arkansas holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $479.4 $0.9 $56.8 2022 Debt Securities $470.7 $0.2 $69.3 The amortized cost of available-for-sale debt securities was $535.4 million as of March 31, 2023 and $539.8 million as of December 31, 2022. As of March 31, 2023, the available-for-sale debt securities had an average coupon rate of approximately 2.38%, an average duration of approximately 6.04 years, and an average maturity of approximately 7.51 years. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $47.3 million. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $52.3 $1.4 $197.6 $18.8 More than 12 months 380.4 55.4 260.1 50.5 Total $432.7 $56.8 $457.7 $69.3 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $28.7 $21.2 1 year - 5 years 153.6 159.7 5 years - 10 years 194.2 191.7 10 years - 15 years 41.6 38.0 15 years - 20 years 43.0 42.6 20 years+ 18.3 17.5 Total $479.4 $470.7 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $15.7 million and $7.2 million, respectively. During the three months ended March 31, 2023, there were no gross gains and $1.6 million in gross losses reclassified out of other regulatory liabilities/assets into earnings. During the three months ended March 31, 2022, there were gross gains of $0.03 million and gross losses of $0.2 million reclassified out of other regulatory liabilities/assets into earnings. Entergy Louisiana Entergy Louisiana holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $759.0 $5.4 $50.4 2022 Debt Securities $725.1 $3.5 $67.5 The amortized cost of available-for-sale debt securities was $804.1 million as of March 31, 2023 and $789.1 million as of December 31, 2022. As of March 31, 2023, the available-for-sale debt securities had an average coupon rate of approximately 3.72%, an average duration of approximately 6.64 years, and an average maturity of approximately 13.12 years. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $69.4 million. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $258.1 $6.7 $409.9 $24.6 More than 12 months 304.8 43.7 207.5 42.9 Total $562.9 $50.4 $617.4 $67.5 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $37.1 $33.6 1 year - 5 years 168.4 159.1 5 years - 10 years 176.4 161.7 10 years - 15 years 62.8 67.1 15 years - 20 years 80.0 83.3 20 years+ 234.3 220.3 Total $759.0 $725.1 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $67.4 million and $120.5 million, respectively. During the three months ended March 31, 2023 and 2022, gross gains of $0.4 million and $0.9 million, respectively, and gross losses of $4.9 million and $5.5 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. System Energy System Energy holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $468.1 $2.1 $52.6 2022 Debt Securities $459.7 $0.7 $63.7 The amortized cost of available-for-sale debt securities was $518.6 million as of March 31, 2023 and $522.7 million as of December 31, 2022. As of March 31, 2023, the available-for-sale debt securities had an average coupon rate of approximately 2.74%, an average duration of approximately 6.56 years, and an average maturity of approximately 10.51 years. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $44.5 million. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $80.8 $4.3 $231.9 $19.2 More than 12 months 275.2 48.3 198.0 44.5 Total $356.0 $52.6 $429.9 $63.7 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $3.8 $6.8 1 year - 5 years 193.9 201.7 5 years - 10 years 125.2 107.1 10 years - 15 years 6.8 11.7 15 years - 20 years 38.1 35.0 20 years+ 100.3 97.4 Total $468.1 $459.7 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $41.3 million and $36.2 million, respectively. During the three months ended March 31, 2023, there were no gross gains and $2.3 million in gross losses reclassified out of other regulatory liabilities/assets into earnings. During the three months ended March 31, 2022, there were gross gains of $0.1 million and gross losses of $0.7 million reclassified out of other regulatory liabilities/assets into earnings. Allowance for expected credit losses Entergy estimates the expected credit losses for its available-for-sale securities based on the current credit rating and remaining life of the securities. To the extent an individual security is determined to be uncollectible, it is written off against this allowance. Entergy’s available-for-sale securities are held in trusts managed by third parties who operate in accordance with agreements that define investment guidelines and place restrictions on the purchases and sales of investments. Specifically, available-for-sale securities are subject to credit worthiness restrictions, with requirements for both the average credit rating of the portfolio and minimum credit ratings for individual debt securities. Entergy did not have an allowance for expected credit losses related to available-for-sale securities as of March 31, 2023 and December 31, 2022. Entergy did not record any impairments of available-for-sale debt securities for the three months ended March 31, 2023. Entergy recorded $1.5 million in impairments of available-for-sale debt securities for the three months ended March 31, 2022. |
System Energy [Member] | |
Decommissioning Trust Funds | DECOMMISSIONING TRUST FUNDS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) The NRC requires Entergy subsidiaries to maintain nuclear decommissioning trusts to fund the costs of decommissioning ANO 1, ANO 2, River Bend, Waterford 3, and Grand Gulf. Entergy’s nuclear decommissioning trust funds invest in equity securities, fixed-rate debt securities, and cash and cash equivalents. Entergy records decommissioning trust funds on the balance sheet at their fair value. Because of the ability of the Registrant Subsidiaries to recover decommissioning costs in rates and in accordance with the regulatory treatment for decommissioning trust funds, the Registrant Subsidiaries have recorded an offsetting amount of unrealized gains/(losses) on investment securities in other regulatory liabilities/assets. For the 30% interest in River Bend formerly owned by Cajun, Entergy Louisiana records an offsetting amount in other deferred credits for the unrealized trust earnings not currently expected to be needed to decommission the plant. Decommissioning trust funds for the Palisades non-utility nuclear plant did not meet the criteria for regulatory accounting treatment. Accordingly, unrealized gains/(losses) recorded on the equity securities in the trust funds were recognized in earnings. Unrealized gains recorded on the available-for-sale debt securities in the trust funds are recognized in the accumulated other comprehensive income component of shareholders’ equity. Unrealized losses (where cost exceeds fair market value) on the available-for-sale debt securities in the trust funds are also recorded in the accumulated other comprehensive income component of shareholders’ equity unless the unrealized loss is other than temporary and therefore recorded in earnings. Generally, Entergy records gains and losses on its debt and equity securities using the specific identification method to determine the cost basis of its securities. As discussed in Note 14 to the financial statements in the Form 10-K, in June 2022, Entergy completed the sale of Palisades to Holtec. As part of the transaction, Entergy transferred the Palisades decommissioning trust fund to Holtec. The disposition-date fair value of the decommissioning trust fund was approximately $552 million. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $161 million. The equity securities are generally held in funds that are designed to approximate or somewhat exceed the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index or the Russell 3000 Index. The debt securities are generally held in individual government and credit issuances. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $1,707 $8 $160 2022 Debt Securities $1,655 $4 $201 As of March 31, 2023 and December 31, 2022, there were no deferred taxes on unrealized gains/(losses). The amortized cost of available-for-sale debt securities was $1,858 million as of March 31, 2023 and $1,852 million as of December 31, 2022. As of March 31, 2023, available-for-sale debt securities had an average coupon rate of approximately 3.07%, an average duration of approximately 6.45 years, and an average maturity of approximately 10.81 years. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $391 $13 $840 $63 More than 12 months 961 147 666 138 Total $1,352 $160 $1,506 $201 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $70 $62 1 year - 5 years 516 520 5 years - 10 years 496 461 10 years - 15 years 111 117 15 years - 20 years 161 161 20 years+ 353 334 Total $1,707 $1,655 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $124 million and $303 million, respectively. During the three months ended March 31, 2023, there were no gross gains and $9 million in gross losses reclassified out of other regulatory liabilities/assets into earnings. During the three months ended March 31, 2022, there were gross gains of $1 million and gross losses of $12 million reclassified out of other regulatory liabilities/assets into earnings. Entergy Arkansas Entergy Arkansas holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $479.4 $0.9 $56.8 2022 Debt Securities $470.7 $0.2 $69.3 The amortized cost of available-for-sale debt securities was $535.4 million as of March 31, 2023 and $539.8 million as of December 31, 2022. As of March 31, 2023, the available-for-sale debt securities had an average coupon rate of approximately 2.38%, an average duration of approximately 6.04 years, and an average maturity of approximately 7.51 years. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $47.3 million. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $52.3 $1.4 $197.6 $18.8 More than 12 months 380.4 55.4 260.1 50.5 Total $432.7 $56.8 $457.7 $69.3 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $28.7 $21.2 1 year - 5 years 153.6 159.7 5 years - 10 years 194.2 191.7 10 years - 15 years 41.6 38.0 15 years - 20 years 43.0 42.6 20 years+ 18.3 17.5 Total $479.4 $470.7 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $15.7 million and $7.2 million, respectively. During the three months ended March 31, 2023, there were no gross gains and $1.6 million in gross losses reclassified out of other regulatory liabilities/assets into earnings. During the three months ended March 31, 2022, there were gross gains of $0.03 million and gross losses of $0.2 million reclassified out of other regulatory liabilities/assets into earnings. Entergy Louisiana Entergy Louisiana holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $759.0 $5.4 $50.4 2022 Debt Securities $725.1 $3.5 $67.5 The amortized cost of available-for-sale debt securities was $804.1 million as of March 31, 2023 and $789.1 million as of December 31, 2022. As of March 31, 2023, the available-for-sale debt securities had an average coupon rate of approximately 3.72%, an average duration of approximately 6.64 years, and an average maturity of approximately 13.12 years. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $69.4 million. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $258.1 $6.7 $409.9 $24.6 More than 12 months 304.8 43.7 207.5 42.9 Total $562.9 $50.4 $617.4 $67.5 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $37.1 $33.6 1 year - 5 years 168.4 159.1 5 years - 10 years 176.4 161.7 10 years - 15 years 62.8 67.1 15 years - 20 years 80.0 83.3 20 years+ 234.3 220.3 Total $759.0 $725.1 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $67.4 million and $120.5 million, respectively. During the three months ended March 31, 2023 and 2022, gross gains of $0.4 million and $0.9 million, respectively, and gross losses of $4.9 million and $5.5 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. System Energy System Energy holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $468.1 $2.1 $52.6 2022 Debt Securities $459.7 $0.7 $63.7 The amortized cost of available-for-sale debt securities was $518.6 million as of March 31, 2023 and $522.7 million as of December 31, 2022. As of March 31, 2023, the available-for-sale debt securities had an average coupon rate of approximately 2.74%, an average duration of approximately 6.56 years, and an average maturity of approximately 10.51 years. The unrealized gains/(losses) recognized during the three months ended March 31, 2023 on equity securities still held as of March 31, 2023 were $44.5 million. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $80.8 $4.3 $231.9 $19.2 More than 12 months 275.2 48.3 198.0 44.5 Total $356.0 $52.6 $429.9 $63.7 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $3.8 $6.8 1 year - 5 years 193.9 201.7 5 years - 10 years 125.2 107.1 10 years - 15 years 6.8 11.7 15 years - 20 years 38.1 35.0 20 years+ 100.3 97.4 Total $468.1 $459.7 During the three months ended March 31, 2023 and 2022, proceeds from the dispositions of available-for-sale debt securities amounted to $41.3 million and $36.2 million, respectively. During the three months ended March 31, 2023, there were no gross gains and $2.3 million in gross losses reclassified out of other regulatory liabilities/assets into earnings. During the three months ended March 31, 2022, there were gross gains of $0.1 million and gross losses of $0.7 million reclassified out of other regulatory liabilities/assets into earnings. Allowance for expected credit losses Entergy estimates the expected credit losses for its available-for-sale securities based on the current credit rating and remaining life of the securities. To the extent an individual security is determined to be uncollectible, it is written off against this allowance. Entergy’s available-for-sale securities are held in trusts managed by third parties who operate in accordance with agreements that define investment guidelines and place restrictions on the purchases and sales of investments. Specifically, available-for-sale securities are subject to credit worthiness restrictions, with requirements for both the average credit rating of the portfolio and minimum credit ratings for individual debt securities. Entergy did not have an allowance for expected credit losses related to available-for-sale securities as of March 31, 2023 and December 31, 2022. Entergy did not record any impairments of available-for-sale debt securities for the three months ended March 31, 2023. Entergy recorded $1.5 million in impairments of available-for-sale debt securities for the three months ended March 31, 2022. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2023 | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, the Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory authorities. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting affects the effective tax rate for the period as compared to the statutory tax rate. There was no return of unprotected excess accumulated deferred income taxes for Entergy or the Registrant Subsidiaries for the three months ended March 31, 2023. For the three months ended March 31, 2022, the return of unprotected excess accumulated deferred income taxes reduced the regulatory liability for income taxes by $17 million for Entergy, including $9 million for Entergy Louisiana, $1 million for Entergy New Orleans, and $7 million for Entergy Texas. Other Tax Matters Act 293 Securitization As described in Note 2 to the financial statements herein, Entergy Louisiana implemented a securitization authorized under Act 293 of the Louisiana Legislature’s Regular Session of 2021 in the first quarter 2023. Act 293 provides that the LURC contribute the net bond proceeds to a LURC-sponsored trust. Over the 15-year term of the Act 293 bonds, the storm trust II will make distributions to Entergy Louisiana, a beneficiary of the storm trust II, that will not be taxable to Entergy Louisiana. Additionally, Entergy Louisiana will not include the receipt of the system restoration charges in taxable income because the right to receive the system restoration charges has been granted directly to the LURC, and Entergy Louisiana only acts as an agent to collect those charges on behalf of the LURC. Accordingly, the securitization provides for a tax accounting permanent difference resulting in a net reduction of income tax expense of approximately $133 million, after taking into account a provision for uncertain tax positions, by Entergy Louisiana. Entergy’s recognition of reduced income tax expense was offset by other tax charges resulting in a net reduction of income tax expense of $129 million, after taking into account a provision for uncertain tax positions. I n recognition of its obligations related to an LPSC ancillary order issued as part of the securitization regulatory proceeding, Entergy Louisiana recorded in first quarter 2023 a $103 million ($76 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to share the benefits of the securitization with its customers. See Note 2 to the financial statements herein for discussion of the Entergy Louisiana March 2023 storm securitization. Arkansas Corporate Income Tax Rate Change In April 2023, Arkansas Act 532 reduced the Arkansas corporate income tax rate from 5.3% to 5.1%. In accordance with GAAP, the adoption of the rate change will be recorded in the second quarter of 2023. The rate change is not expected to have a significant effect on the financial position, results of operations, or cash flows of Entergy Arkansas, the Utility, or Entergy. |
Entergy Arkansas [Member] | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, the Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory authorities. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting affects the effective tax rate for the period as compared to the statutory tax rate. There was no return of unprotected excess accumulated deferred income taxes for Entergy or the Registrant Subsidiaries for the three months ended March 31, 2023. For the three months ended March 31, 2022, the return of unprotected excess accumulated deferred income taxes reduced the regulatory liability for income taxes by $17 million for Entergy, including $9 million for Entergy Louisiana, $1 million for Entergy New Orleans, and $7 million for Entergy Texas. Other Tax Matters Act 293 Securitization As described in Note 2 to the financial statements herein, Entergy Louisiana implemented a securitization authorized under Act 293 of the Louisiana Legislature’s Regular Session of 2021 in the first quarter 2023. Act 293 provides that the LURC contribute the net bond proceeds to a LURC-sponsored trust. Over the 15-year term of the Act 293 bonds, the storm trust II will make distributions to Entergy Louisiana, a beneficiary of the storm trust II, that will not be taxable to Entergy Louisiana. Additionally, Entergy Louisiana will not include the receipt of the system restoration charges in taxable income because the right to receive the system restoration charges has been granted directly to the LURC, and Entergy Louisiana only acts as an agent to collect those charges on behalf of the LURC. Accordingly, the securitization provides for a tax accounting permanent difference resulting in a net reduction of income tax expense of approximately $133 million, after taking into account a provision for uncertain tax positions, by Entergy Louisiana. Entergy’s recognition of reduced income tax expense was offset by other tax charges resulting in a net reduction of income tax expense of $129 million, after taking into account a provision for uncertain tax positions. I n recognition of its obligations related to an LPSC ancillary order issued as part of the securitization regulatory proceeding, Entergy Louisiana recorded in first quarter 2023 a $103 million ($76 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to share the benefits of the securitization with its customers. See Note 2 to the financial statements herein for discussion of the Entergy Louisiana March 2023 storm securitization. Arkansas Corporate Income Tax Rate Change In April 2023, Arkansas Act 532 reduced the Arkansas corporate income tax rate from 5.3% to 5.1%. In accordance with GAAP, the adoption of the rate change will be recorded in the second quarter of 2023. The rate change is not expected to have a significant effect on the financial position, results of operations, or cash flows of Entergy Arkansas, the Utility, or Entergy. |
Entergy Louisiana [Member] | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, the Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory authorities. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting affects the effective tax rate for the period as compared to the statutory tax rate. There was no return of unprotected excess accumulated deferred income taxes for Entergy or the Registrant Subsidiaries for the three months ended March 31, 2023. For the three months ended March 31, 2022, the return of unprotected excess accumulated deferred income taxes reduced the regulatory liability for income taxes by $17 million for Entergy, including $9 million for Entergy Louisiana, $1 million for Entergy New Orleans, and $7 million for Entergy Texas. Other Tax Matters Act 293 Securitization As described in Note 2 to the financial statements herein, Entergy Louisiana implemented a securitization authorized under Act 293 of the Louisiana Legislature’s Regular Session of 2021 in the first quarter 2023. Act 293 provides that the LURC contribute the net bond proceeds to a LURC-sponsored trust. Over the 15-year term of the Act 293 bonds, the storm trust II will make distributions to Entergy Louisiana, a beneficiary of the storm trust II, that will not be taxable to Entergy Louisiana. Additionally, Entergy Louisiana will not include the receipt of the system restoration charges in taxable income because the right to receive the system restoration charges has been granted directly to the LURC, and Entergy Louisiana only acts as an agent to collect those charges on behalf of the LURC. Accordingly, the securitization provides for a tax accounting permanent difference resulting in a net reduction of income tax expense of approximately $133 million, after taking into account a provision for uncertain tax positions, by Entergy Louisiana. Entergy’s recognition of reduced income tax expense was offset by other tax charges resulting in a net reduction of income tax expense of $129 million, after taking into account a provision for uncertain tax positions. I n recognition of its obligations related to an LPSC ancillary order issued as part of the securitization regulatory proceeding, Entergy Louisiana recorded in first quarter 2023 a $103 million ($76 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to share the benefits of the securitization with its customers. See Note 2 to the financial statements herein for discussion of the Entergy Louisiana March 2023 storm securitization. Arkansas Corporate Income Tax Rate Change In April 2023, Arkansas Act 532 reduced the Arkansas corporate income tax rate from 5.3% to 5.1%. In accordance with GAAP, the adoption of the rate change will be recorded in the second quarter of 2023. The rate change is not expected to have a significant effect on the financial position, results of operations, or cash flows of Entergy Arkansas, the Utility, or Entergy. |
Entergy Mississippi [Member] | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, the Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory authorities. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting affects the effective tax rate for the period as compared to the statutory tax rate. There was no return of unprotected excess accumulated deferred income taxes for Entergy or the Registrant Subsidiaries for the three months ended March 31, 2023. For the three months ended March 31, 2022, the return of unprotected excess accumulated deferred income taxes reduced the regulatory liability for income taxes by $17 million for Entergy, including $9 million for Entergy Louisiana, $1 million for Entergy New Orleans, and $7 million for Entergy Texas. Other Tax Matters Act 293 Securitization As described in Note 2 to the financial statements herein, Entergy Louisiana implemented a securitization authorized under Act 293 of the Louisiana Legislature’s Regular Session of 2021 in the first quarter 2023. Act 293 provides that the LURC contribute the net bond proceeds to a LURC-sponsored trust. Over the 15-year term of the Act 293 bonds, the storm trust II will make distributions to Entergy Louisiana, a beneficiary of the storm trust II, that will not be taxable to Entergy Louisiana. Additionally, Entergy Louisiana will not include the receipt of the system restoration charges in taxable income because the right to receive the system restoration charges has been granted directly to the LURC, and Entergy Louisiana only acts as an agent to collect those charges on behalf of the LURC. Accordingly, the securitization provides for a tax accounting permanent difference resulting in a net reduction of income tax expense of approximately $133 million, after taking into account a provision for uncertain tax positions, by Entergy Louisiana. Entergy’s recognition of reduced income tax expense was offset by other tax charges resulting in a net reduction of income tax expense of $129 million, after taking into account a provision for uncertain tax positions. I n recognition of its obligations related to an LPSC ancillary order issued as part of the securitization regulatory proceeding, Entergy Louisiana recorded in first quarter 2023 a $103 million ($76 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to share the benefits of the securitization with its customers. See Note 2 to the financial statements herein for discussion of the Entergy Louisiana March 2023 storm securitization. Arkansas Corporate Income Tax Rate Change In April 2023, Arkansas Act 532 reduced the Arkansas corporate income tax rate from 5.3% to 5.1%. In accordance with GAAP, the adoption of the rate change will be recorded in the second quarter of 2023. The rate change is not expected to have a significant effect on the financial position, results of operations, or cash flows of Entergy Arkansas, the Utility, or Entergy. |
Entergy New Orleans [Member] | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, the Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory authorities. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting affects the effective tax rate for the period as compared to the statutory tax rate. There was no return of unprotected excess accumulated deferred income taxes for Entergy or the Registrant Subsidiaries for the three months ended March 31, 2023. For the three months ended March 31, 2022, the return of unprotected excess accumulated deferred income taxes reduced the regulatory liability for income taxes by $17 million for Entergy, including $9 million for Entergy Louisiana, $1 million for Entergy New Orleans, and $7 million for Entergy Texas. Other Tax Matters Act 293 Securitization As described in Note 2 to the financial statements herein, Entergy Louisiana implemented a securitization authorized under Act 293 of the Louisiana Legislature’s Regular Session of 2021 in the first quarter 2023. Act 293 provides that the LURC contribute the net bond proceeds to a LURC-sponsored trust. Over the 15-year term of the Act 293 bonds, the storm trust II will make distributions to Entergy Louisiana, a beneficiary of the storm trust II, that will not be taxable to Entergy Louisiana. Additionally, Entergy Louisiana will not include the receipt of the system restoration charges in taxable income because the right to receive the system restoration charges has been granted directly to the LURC, and Entergy Louisiana only acts as an agent to collect those charges on behalf of the LURC. Accordingly, the securitization provides for a tax accounting permanent difference resulting in a net reduction of income tax expense of approximately $133 million, after taking into account a provision for uncertain tax positions, by Entergy Louisiana. Entergy’s recognition of reduced income tax expense was offset by other tax charges resulting in a net reduction of income tax expense of $129 million, after taking into account a provision for uncertain tax positions. I n recognition of its obligations related to an LPSC ancillary order issued as part of the securitization regulatory proceeding, Entergy Louisiana recorded in first quarter 2023 a $103 million ($76 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to share the benefits of the securitization with its customers. See Note 2 to the financial statements herein for discussion of the Entergy Louisiana March 2023 storm securitization. Arkansas Corporate Income Tax Rate Change In April 2023, Arkansas Act 532 reduced the Arkansas corporate income tax rate from 5.3% to 5.1%. In accordance with GAAP, the adoption of the rate change will be recorded in the second quarter of 2023. The rate change is not expected to have a significant effect on the financial position, results of operations, or cash flows of Entergy Arkansas, the Utility, or Entergy. |
Entergy Texas [Member] | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, the Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory authorities. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting affects the effective tax rate for the period as compared to the statutory tax rate. There was no return of unprotected excess accumulated deferred income taxes for Entergy or the Registrant Subsidiaries for the three months ended March 31, 2023. For the three months ended March 31, 2022, the return of unprotected excess accumulated deferred income taxes reduced the regulatory liability for income taxes by $17 million for Entergy, including $9 million for Entergy Louisiana, $1 million for Entergy New Orleans, and $7 million for Entergy Texas. Other Tax Matters Act 293 Securitization As described in Note 2 to the financial statements herein, Entergy Louisiana implemented a securitization authorized under Act 293 of the Louisiana Legislature’s Regular Session of 2021 in the first quarter 2023. Act 293 provides that the LURC contribute the net bond proceeds to a LURC-sponsored trust. Over the 15-year term of the Act 293 bonds, the storm trust II will make distributions to Entergy Louisiana, a beneficiary of the storm trust II, that will not be taxable to Entergy Louisiana. Additionally, Entergy Louisiana will not include the receipt of the system restoration charges in taxable income because the right to receive the system restoration charges has been granted directly to the LURC, and Entergy Louisiana only acts as an agent to collect those charges on behalf of the LURC. Accordingly, the securitization provides for a tax accounting permanent difference resulting in a net reduction of income tax expense of approximately $133 million, after taking into account a provision for uncertain tax positions, by Entergy Louisiana. Entergy’s recognition of reduced income tax expense was offset by other tax charges resulting in a net reduction of income tax expense of $129 million, after taking into account a provision for uncertain tax positions. I n recognition of its obligations related to an LPSC ancillary order issued as part of the securitization regulatory proceeding, Entergy Louisiana recorded in first quarter 2023 a $103 million ($76 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to share the benefits of the securitization with its customers. See Note 2 to the financial statements herein for discussion of the Entergy Louisiana March 2023 storm securitization. Arkansas Corporate Income Tax Rate Change In April 2023, Arkansas Act 532 reduced the Arkansas corporate income tax rate from 5.3% to 5.1%. In accordance with GAAP, the adoption of the rate change will be recorded in the second quarter of 2023. The rate change is not expected to have a significant effect on the financial position, results of operations, or cash flows of Entergy Arkansas, the Utility, or Entergy. |
System Energy [Member] | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, the Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory authorities. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting affects the effective tax rate for the period as compared to the statutory tax rate. There was no return of unprotected excess accumulated deferred income taxes for Entergy or the Registrant Subsidiaries for the three months ended March 31, 2023. For the three months ended March 31, 2022, the return of unprotected excess accumulated deferred income taxes reduced the regulatory liability for income taxes by $17 million for Entergy, including $9 million for Entergy Louisiana, $1 million for Entergy New Orleans, and $7 million for Entergy Texas. Other Tax Matters Act 293 Securitization As described in Note 2 to the financial statements herein, Entergy Louisiana implemented a securitization authorized under Act 293 of the Louisiana Legislature’s Regular Session of 2021 in the first quarter 2023. Act 293 provides that the LURC contribute the net bond proceeds to a LURC-sponsored trust. Over the 15-year term of the Act 293 bonds, the storm trust II will make distributions to Entergy Louisiana, a beneficiary of the storm trust II, that will not be taxable to Entergy Louisiana. Additionally, Entergy Louisiana will not include the receipt of the system restoration charges in taxable income because the right to receive the system restoration charges has been granted directly to the LURC, and Entergy Louisiana only acts as an agent to collect those charges on behalf of the LURC. Accordingly, the securitization provides for a tax accounting permanent difference resulting in a net reduction of income tax expense of approximately $133 million, after taking into account a provision for uncertain tax positions, by Entergy Louisiana. Entergy’s recognition of reduced income tax expense was offset by other tax charges resulting in a net reduction of income tax expense of $129 million, after taking into account a provision for uncertain tax positions. I n recognition of its obligations related to an LPSC ancillary order issued as part of the securitization regulatory proceeding, Entergy Louisiana recorded in first quarter 2023 a $103 million ($76 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to share the benefits of the securitization with its customers. See Note 2 to the financial statements herein for discussion of the Entergy Louisiana March 2023 storm securitization. Arkansas Corporate Income Tax Rate Change In April 2023, Arkansas Act 532 reduced the Arkansas corporate income tax rate from 5.3% to 5.1%. In accordance with GAAP, the adoption of the rate change will be recorded in the second quarter of 2023. The rate change is not expected to have a significant effect on the financial position, results of operations, or cash flows of Entergy Arkansas, the Utility, or Entergy. |
Property, Plant, And Equipment
Property, Plant, And Equipment | 3 Months Ended |
Mar. 31, 2023 | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at March 31, 2023 were $426 million for Entergy, $64.4 million for Entergy Arkansas, $117.3 million for Entergy Louisiana, $57.6 million for Entergy Mississippi, $5.7 million for Entergy New Orleans, $104.8 million for Entergy Texas, and $36.6 million for System Energy. Construction expenditures included in accounts payable at December 31, 2022 were $459 million for Entergy, $93.2 million for Entergy Arkansas, $154.3 million for Entergy Louisiana, $59.5 million for Entergy Mississippi, $11.2 million for Entergy New Orleans, $68.9 million for Entergy Texas, and $29 million for System Energy. |
Entergy Arkansas [Member] | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at March 31, 2023 were $426 million for Entergy, $64.4 million for Entergy Arkansas, $117.3 million for Entergy Louisiana, $57.6 million for Entergy Mississippi, $5.7 million for Entergy New Orleans, $104.8 million for Entergy Texas, and $36.6 million for System Energy. Construction expenditures included in accounts payable at December 31, 2022 were $459 million for Entergy, $93.2 million for Entergy Arkansas, $154.3 million for Entergy Louisiana, $59.5 million for Entergy Mississippi, $11.2 million for Entergy New Orleans, $68.9 million for Entergy Texas, and $29 million for System Energy. |
Entergy Louisiana [Member] | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at March 31, 2023 were $426 million for Entergy, $64.4 million for Entergy Arkansas, $117.3 million for Entergy Louisiana, $57.6 million for Entergy Mississippi, $5.7 million for Entergy New Orleans, $104.8 million for Entergy Texas, and $36.6 million for System Energy. Construction expenditures included in accounts payable at December 31, 2022 were $459 million for Entergy, $93.2 million for Entergy Arkansas, $154.3 million for Entergy Louisiana, $59.5 million for Entergy Mississippi, $11.2 million for Entergy New Orleans, $68.9 million for Entergy Texas, and $29 million for System Energy. |
Entergy Mississippi [Member] | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at March 31, 2023 were $426 million for Entergy, $64.4 million for Entergy Arkansas, $117.3 million for Entergy Louisiana, $57.6 million for Entergy Mississippi, $5.7 million for Entergy New Orleans, $104.8 million for Entergy Texas, and $36.6 million for System Energy. Construction expenditures included in accounts payable at December 31, 2022 were $459 million for Entergy, $93.2 million for Entergy Arkansas, $154.3 million for Entergy Louisiana, $59.5 million for Entergy Mississippi, $11.2 million for Entergy New Orleans, $68.9 million for Entergy Texas, and $29 million for System Energy. |
Entergy New Orleans [Member] | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at March 31, 2023 were $426 million for Entergy, $64.4 million for Entergy Arkansas, $117.3 million for Entergy Louisiana, $57.6 million for Entergy Mississippi, $5.7 million for Entergy New Orleans, $104.8 million for Entergy Texas, and $36.6 million for System Energy. Construction expenditures included in accounts payable at December 31, 2022 were $459 million for Entergy, $93.2 million for Entergy Arkansas, $154.3 million for Entergy Louisiana, $59.5 million for Entergy Mississippi, $11.2 million for Entergy New Orleans, $68.9 million for Entergy Texas, and $29 million for System Energy. |
Entergy Texas [Member] | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at March 31, 2023 were $426 million for Entergy, $64.4 million for Entergy Arkansas, $117.3 million for Entergy Louisiana, $57.6 million for Entergy Mississippi, $5.7 million for Entergy New Orleans, $104.8 million for Entergy Texas, and $36.6 million for System Energy. Construction expenditures included in accounts payable at December 31, 2022 were $459 million for Entergy, $93.2 million for Entergy Arkansas, $154.3 million for Entergy Louisiana, $59.5 million for Entergy Mississippi, $11.2 million for Entergy New Orleans, $68.9 million for Entergy Texas, and $29 million for System Energy. |
System Energy [Member] | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at March 31, 2023 were $426 million for Entergy, $64.4 million for Entergy Arkansas, $117.3 million for Entergy Louisiana, $57.6 million for Entergy Mississippi, $5.7 million for Entergy New Orleans, $104.8 million for Entergy Texas, and $36.6 million for System Energy. Construction expenditures included in accounts payable at December 31, 2022 were $459 million for Entergy, $93.2 million for Entergy Arkansas, $154.3 million for Entergy Louisiana, $59.5 million for Entergy Mississippi, $11.2 million for Entergy New Orleans, $68.9 million for Entergy Texas, and $29 million for System Energy. |
Variable Interest Entities
Variable Interest Entities | 3 Months Ended |
Mar. 31, 2023 | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt. See Note 6 to the financial statements in the Form 10-K and Note 3 to the financial statements herein for discussion of noncontrolling interests. Restoration Law Trust I (the storm trust I), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. As of March 31, 2023 and December 31, 2022, the primary asset held by the storm trust I was $3.1 billion and $3.2 billion, respectively, of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust I is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with balances of $31.8 million as of March 31, 2023 and $31.7 million as of December 31, 2022. Restoration Law Trust II (the storm trust II), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. The storm trust II was established as part of the Act 293 securitization of Entergy Louisiana’s Hurricane Ida restoration costs, less Hurricane Ida amounts previously financed in May 2022 in a prior securitization transaction. Entergy Louisiana is the primary beneficiary of the storm trust II because it was created to facilitate the financing of Entergy Louisiana’s storm restoration costs and Entergy Louisiana is entitled to receive a majority of the proceeds received by the storm trust II. As of March 31, 2023, the primary asset held by the storm trust II is the $1.5 billion of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The holders of the securitization bonds do not have recourse to the assets or revenues of the storm trust II or to any Entergy affiliate and the bonds are not reflected in the consolidated balance sheets of Entergy or Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust II is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with a balance of $14.6 million as of March 31, 2023. See Note 2 to the financial statements herein for additional discussion of the securitization bonds and the preferred membership interests. System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the three months ended March 31, 2023 and the three months ended March 31, 2022. AR Searcy Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Arkansas is required to consolidate as it is the primary beneficiary. As of March 31, 2023, AR Searcy Partnership, LLC recorded assets equal to $137.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $110 million. As of December 31, 2022, AR Searcy Partnership, LLC recorded assets equal to $138.3 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $109 million. The tax equity investor’s ownership interest is recorded as noncontrolling interest. MS Sunflower Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Mississippi is required to consolidate as it is the primary beneficiary. As of March 31, 2023, MS Sunflower Partnership, LLC recorded assets equal to $152.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Mississippi’s ownership interest in the partnership was approximately $117.8 million. As of December 31, 2022, MS Sunflower Partnership, LLC recorded assets equal to $154.5 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy |
Entergy Arkansas [Member] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt. See Note 6 to the financial statements in the Form 10-K and Note 3 to the financial statements herein for discussion of noncontrolling interests. Restoration Law Trust I (the storm trust I), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. As of March 31, 2023 and December 31, 2022, the primary asset held by the storm trust I was $3.1 billion and $3.2 billion, respectively, of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust I is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with balances of $31.8 million as of March 31, 2023 and $31.7 million as of December 31, 2022. Restoration Law Trust II (the storm trust II), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. The storm trust II was established as part of the Act 293 securitization of Entergy Louisiana’s Hurricane Ida restoration costs, less Hurricane Ida amounts previously financed in May 2022 in a prior securitization transaction. Entergy Louisiana is the primary beneficiary of the storm trust II because it was created to facilitate the financing of Entergy Louisiana’s storm restoration costs and Entergy Louisiana is entitled to receive a majority of the proceeds received by the storm trust II. As of March 31, 2023, the primary asset held by the storm trust II is the $1.5 billion of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The holders of the securitization bonds do not have recourse to the assets or revenues of the storm trust II or to any Entergy affiliate and the bonds are not reflected in the consolidated balance sheets of Entergy or Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust II is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with a balance of $14.6 million as of March 31, 2023. See Note 2 to the financial statements herein for additional discussion of the securitization bonds and the preferred membership interests. System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the three months ended March 31, 2023 and the three months ended March 31, 2022. AR Searcy Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Arkansas is required to consolidate as it is the primary beneficiary. As of March 31, 2023, AR Searcy Partnership, LLC recorded assets equal to $137.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $110 million. As of December 31, 2022, AR Searcy Partnership, LLC recorded assets equal to $138.3 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $109 million. The tax equity investor’s ownership interest is recorded as noncontrolling interest. MS Sunflower Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Mississippi is required to consolidate as it is the primary beneficiary. As of March 31, 2023, MS Sunflower Partnership, LLC recorded assets equal to $152.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Mississippi’s ownership interest in the partnership was approximately $117.8 million. As of December 31, 2022, MS Sunflower Partnership, LLC recorded assets equal to $154.5 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy |
Entergy Louisiana [Member] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt. See Note 6 to the financial statements in the Form 10-K and Note 3 to the financial statements herein for discussion of noncontrolling interests. Restoration Law Trust I (the storm trust I), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. As of March 31, 2023 and December 31, 2022, the primary asset held by the storm trust I was $3.1 billion and $3.2 billion, respectively, of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust I is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with balances of $31.8 million as of March 31, 2023 and $31.7 million as of December 31, 2022. Restoration Law Trust II (the storm trust II), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. The storm trust II was established as part of the Act 293 securitization of Entergy Louisiana’s Hurricane Ida restoration costs, less Hurricane Ida amounts previously financed in May 2022 in a prior securitization transaction. Entergy Louisiana is the primary beneficiary of the storm trust II because it was created to facilitate the financing of Entergy Louisiana’s storm restoration costs and Entergy Louisiana is entitled to receive a majority of the proceeds received by the storm trust II. As of March 31, 2023, the primary asset held by the storm trust II is the $1.5 billion of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The holders of the securitization bonds do not have recourse to the assets or revenues of the storm trust II or to any Entergy affiliate and the bonds are not reflected in the consolidated balance sheets of Entergy or Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust II is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with a balance of $14.6 million as of March 31, 2023. See Note 2 to the financial statements herein for additional discussion of the securitization bonds and the preferred membership interests. System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the three months ended March 31, 2023 and the three months ended March 31, 2022. AR Searcy Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Arkansas is required to consolidate as it is the primary beneficiary. As of March 31, 2023, AR Searcy Partnership, LLC recorded assets equal to $137.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $110 million. As of December 31, 2022, AR Searcy Partnership, LLC recorded assets equal to $138.3 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $109 million. The tax equity investor’s ownership interest is recorded as noncontrolling interest. MS Sunflower Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Mississippi is required to consolidate as it is the primary beneficiary. As of March 31, 2023, MS Sunflower Partnership, LLC recorded assets equal to $152.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Mississippi’s ownership interest in the partnership was approximately $117.8 million. As of December 31, 2022, MS Sunflower Partnership, LLC recorded assets equal to $154.5 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy |
Entergy Mississippi [Member] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt. See Note 6 to the financial statements in the Form 10-K and Note 3 to the financial statements herein for discussion of noncontrolling interests. Restoration Law Trust I (the storm trust I), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. As of March 31, 2023 and December 31, 2022, the primary asset held by the storm trust I was $3.1 billion and $3.2 billion, respectively, of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust I is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with balances of $31.8 million as of March 31, 2023 and $31.7 million as of December 31, 2022. Restoration Law Trust II (the storm trust II), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. The storm trust II was established as part of the Act 293 securitization of Entergy Louisiana’s Hurricane Ida restoration costs, less Hurricane Ida amounts previously financed in May 2022 in a prior securitization transaction. Entergy Louisiana is the primary beneficiary of the storm trust II because it was created to facilitate the financing of Entergy Louisiana’s storm restoration costs and Entergy Louisiana is entitled to receive a majority of the proceeds received by the storm trust II. As of March 31, 2023, the primary asset held by the storm trust II is the $1.5 billion of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The holders of the securitization bonds do not have recourse to the assets or revenues of the storm trust II or to any Entergy affiliate and the bonds are not reflected in the consolidated balance sheets of Entergy or Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust II is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with a balance of $14.6 million as of March 31, 2023. See Note 2 to the financial statements herein for additional discussion of the securitization bonds and the preferred membership interests. System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the three months ended March 31, 2023 and the three months ended March 31, 2022. AR Searcy Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Arkansas is required to consolidate as it is the primary beneficiary. As of March 31, 2023, AR Searcy Partnership, LLC recorded assets equal to $137.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $110 million. As of December 31, 2022, AR Searcy Partnership, LLC recorded assets equal to $138.3 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $109 million. The tax equity investor’s ownership interest is recorded as noncontrolling interest. MS Sunflower Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Mississippi is required to consolidate as it is the primary beneficiary. As of March 31, 2023, MS Sunflower Partnership, LLC recorded assets equal to $152.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Mississippi’s ownership interest in the partnership was approximately $117.8 million. As of December 31, 2022, MS Sunflower Partnership, LLC recorded assets equal to $154.5 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy |
Entergy New Orleans [Member] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt. See Note 6 to the financial statements in the Form 10-K and Note 3 to the financial statements herein for discussion of noncontrolling interests. Restoration Law Trust I (the storm trust I), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. As of March 31, 2023 and December 31, 2022, the primary asset held by the storm trust I was $3.1 billion and $3.2 billion, respectively, of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust I is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with balances of $31.8 million as of March 31, 2023 and $31.7 million as of December 31, 2022. Restoration Law Trust II (the storm trust II), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. The storm trust II was established as part of the Act 293 securitization of Entergy Louisiana’s Hurricane Ida restoration costs, less Hurricane Ida amounts previously financed in May 2022 in a prior securitization transaction. Entergy Louisiana is the primary beneficiary of the storm trust II because it was created to facilitate the financing of Entergy Louisiana’s storm restoration costs and Entergy Louisiana is entitled to receive a majority of the proceeds received by the storm trust II. As of March 31, 2023, the primary asset held by the storm trust II is the $1.5 billion of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The holders of the securitization bonds do not have recourse to the assets or revenues of the storm trust II or to any Entergy affiliate and the bonds are not reflected in the consolidated balance sheets of Entergy or Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust II is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with a balance of $14.6 million as of March 31, 2023. See Note 2 to the financial statements herein for additional discussion of the securitization bonds and the preferred membership interests. System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the three months ended March 31, 2023 and the three months ended March 31, 2022. AR Searcy Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Arkansas is required to consolidate as it is the primary beneficiary. As of March 31, 2023, AR Searcy Partnership, LLC recorded assets equal to $137.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $110 million. As of December 31, 2022, AR Searcy Partnership, LLC recorded assets equal to $138.3 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $109 million. The tax equity investor’s ownership interest is recorded as noncontrolling interest. MS Sunflower Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Mississippi is required to consolidate as it is the primary beneficiary. As of March 31, 2023, MS Sunflower Partnership, LLC recorded assets equal to $152.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Mississippi’s ownership interest in the partnership was approximately $117.8 million. As of December 31, 2022, MS Sunflower Partnership, LLC recorded assets equal to $154.5 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy |
Entergy Texas [Member] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt. See Note 6 to the financial statements in the Form 10-K and Note 3 to the financial statements herein for discussion of noncontrolling interests. Restoration Law Trust I (the storm trust I), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. As of March 31, 2023 and December 31, 2022, the primary asset held by the storm trust I was $3.1 billion and $3.2 billion, respectively, of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust I is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with balances of $31.8 million as of March 31, 2023 and $31.7 million as of December 31, 2022. Restoration Law Trust II (the storm trust II), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. The storm trust II was established as part of the Act 293 securitization of Entergy Louisiana’s Hurricane Ida restoration costs, less Hurricane Ida amounts previously financed in May 2022 in a prior securitization transaction. Entergy Louisiana is the primary beneficiary of the storm trust II because it was created to facilitate the financing of Entergy Louisiana’s storm restoration costs and Entergy Louisiana is entitled to receive a majority of the proceeds received by the storm trust II. As of March 31, 2023, the primary asset held by the storm trust II is the $1.5 billion of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The holders of the securitization bonds do not have recourse to the assets or revenues of the storm trust II or to any Entergy affiliate and the bonds are not reflected in the consolidated balance sheets of Entergy or Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust II is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with a balance of $14.6 million as of March 31, 2023. See Note 2 to the financial statements herein for additional discussion of the securitization bonds and the preferred membership interests. System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the three months ended March 31, 2023 and the three months ended March 31, 2022. AR Searcy Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Arkansas is required to consolidate as it is the primary beneficiary. As of March 31, 2023, AR Searcy Partnership, LLC recorded assets equal to $137.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $110 million. As of December 31, 2022, AR Searcy Partnership, LLC recorded assets equal to $138.3 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $109 million. The tax equity investor’s ownership interest is recorded as noncontrolling interest. MS Sunflower Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Mississippi is required to consolidate as it is the primary beneficiary. As of March 31, 2023, MS Sunflower Partnership, LLC recorded assets equal to $152.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Mississippi’s ownership interest in the partnership was approximately $117.8 million. As of December 31, 2022, MS Sunflower Partnership, LLC recorded assets equal to $154.5 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy |
System Energy [Member] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt. See Note 6 to the financial statements in the Form 10-K and Note 3 to the financial statements herein for discussion of noncontrolling interests. Restoration Law Trust I (the storm trust I), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. As of March 31, 2023 and December 31, 2022, the primary asset held by the storm trust I was $3.1 billion and $3.2 billion, respectively, of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust I is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with balances of $31.8 million as of March 31, 2023 and $31.7 million as of December 31, 2022. Restoration Law Trust II (the storm trust II), a trust consolidated by Entergy Louisiana, is a variable interest entity and Entergy Louisiana is the primary beneficiary. The storm trust II was established as part of the Act 293 securitization of Entergy Louisiana’s Hurricane Ida restoration costs, less Hurricane Ida amounts previously financed in May 2022 in a prior securitization transaction. Entergy Louisiana is the primary beneficiary of the storm trust II because it was created to facilitate the financing of Entergy Louisiana’s storm restoration costs and Entergy Louisiana is entitled to receive a majority of the proceeds received by the storm trust II. As of March 31, 2023, the primary asset held by the storm trust II is the $1.5 billion of outstanding Entergy Finance Company preferred membership interests, which is reflected as an investment in affiliate preferred membership interests on the consolidated balance sheet of Entergy Louisiana. The holders of the securitization bonds do not have recourse to the assets or revenues of the storm trust II or to any Entergy affiliate and the bonds are not reflected in the consolidated balance sheets of Entergy or Entergy Louisiana. The LURC’s 1% beneficial interest in the storm trust II is presented as noncontrolling interest in the consolidated balance sheets of Entergy and Entergy Louisiana, with a balance of $14.6 million as of March 31, 2023. See Note 2 to the financial statements herein for additional discussion of the securitization bonds and the preferred membership interests. System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the three months ended March 31, 2023 and the three months ended March 31, 2022. AR Searcy Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Arkansas is required to consolidate as it is the primary beneficiary. As of March 31, 2023, AR Searcy Partnership, LLC recorded assets equal to $137.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $110 million. As of December 31, 2022, AR Searcy Partnership, LLC recorded assets equal to $138.3 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Arkansas’s ownership interest in the partnership was approximately $109 million. The tax equity investor’s ownership interest is recorded as noncontrolling interest. MS Sunflower Partnership, LLC, is a tax equity partnership that qualifies as a variable interest entity, which Entergy Mississippi is required to consolidate as it is the primary beneficiary. As of March 31, 2023, MS Sunflower Partnership, LLC recorded assets equal to $152.6 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy Mississippi’s ownership interest in the partnership was approximately $117.8 million. As of December 31, 2022, MS Sunflower Partnership, LLC recorded assets equal to $154.5 million, primarily consisting of property, plant, and equipment, and the carrying value of Entergy |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
Mar. 31, 2023 | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 2022 (In Thousands) Utility: Residential $1,041,460 $986,023 Commercial 714,300 634,626 Industrial 863,723 743,634 Governmental 67,337 57,292 Total billed retail 2,686,820 2,421,575 Sales for resale (a) 107,947 128,959 Other electric revenues (b) 44,457 93,880 Revenues from contracts with customers 2,839,224 2,644,414 Other Utility revenues (c) 44,187 11,362 Electric revenues 2,883,411 2,655,776 Natural gas revenues 64,581 72,361 Other revenues (d) 33,067 149,788 Total operating revenues $2,981,059 $2,877,925 The Utility operating companies’ total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $239,499 $360,647 $169,389 $63,566 $208,359 Commercial 125,336 278,178 133,676 54,069 123,041 Industrial 131,237 509,904 51,415 7,413 163,754 Governmental 4,660 23,074 13,883 17,798 7,922 Total billed retail 500,732 1,171,803 368,363 142,846 503,076 Sales for resale (a) 66,018 83,237 38,743 24,910 2,445 Other electric revenues (b) 13,718 26,567 2,874 417 2,224 Revenues from contracts with customers 580,468 1,281,607 409,980 168,173 507,745 Other Utility revenues (c) 2,281 38,145 2,448 1,522 (239) Electric revenues 582,749 1,319,752 412,428 169,695 507,506 Natural gas revenues — 25,456 — 39,125 — Total operating revenues $582,749 $1,345,208 $412,428 $208,820 $507,506 2022 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $227,786 $353,567 $152,939 $58,658 $193,073 Commercial 113,238 257,591 110,661 45,572 107,564 Industrial 109,675 451,954 39,157 6,272 136,576 Governmental 4,460 19,016 12,000 15,033 6,783 Total billed retail 455,159 1,082,128 314,757 125,535 443,996 Sales for resale (a) 70,414 107,701 21,641 26,540 17,644 Other electric revenues (b) 30,572 41,482 10,337 1,393 11,449 Revenues from contracts with customers 556,145 1,231,311 346,735 153,468 473,089 Other Utility revenues (c) 2,811 5,926 2,294 1,178 (607) Electric revenues 558,956 1,237,237 349,029 154,646 472,482 Natural gas revenues — 28,735 — 43,626 — Total operating revenues $558,956 $1,265,972 $349,029 $198,272 $472,482 (a) Sales for resale includes day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market, unbilled revenue, and certain customer credits as directed by regulators. (c) Other Utility revenues include the equity component of carrying costs related to securitization, settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. (d) Other revenues includes competitive business sales including day-ahead sale of energy in a market administered by an ISO, operation and management services fees, and amortization of a below-market power purchase agreement. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. The following tables set forth a reconciliation of changes in the allowance for doubtful accounts for the three months ended March 31, 2023 and 2022. Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2022 $30.9 $6.5 $7.6 $2.5 $11.9 $2.4 Provisions 6.1 1.3 4.0 0.7 (1.1) 1.2 Write-offs (34.4) (9.4) (15.1) (1.7) (3.4) (4.8) Recoveries 20.7 6.9 9.2 0.7 0.9 3.0 Balance as of March 31, 2023 $23.3 $5.3 $5.7 $2.2 $8.3 $1.8 Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2021 $68.6 $13.1 $29.2 $7.2 $13.3 $5.8 Provisions (a) (5.9) 3.7 (6.1) (0.9) (2.4) (0.2) Write-offs (45.3) (14.4) (17.5) (4.1) (5.4) (3.9) Recoveries 14.1 4.1 5.5 1.2 2.2 1.1 Balance as of March 31, 2022 $31.5 $6.5 $11.1 $3.4 $7.7 $2.8 (a) Provisions include estimated incremental bad debt expenses, and revisions to those estimates, resulting from the COVID-19 pandemic of ($11.0) million for Entergy, $1.8 million for Entergy Arkansas, ($8.5) million for Entergy Louisiana, ($3.0) million for Entergy New Orleans, and ($1.3) million for Entergy Texas that have been deferred as regulatory assets. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the COVID-19 orders issued by retail regulators. The allowance for currently expected credit losses is calculated as the historical rate of customer write-offs multiplied by the current accounts receivable balance, taking into account the length of time the receivable balances have been outstanding. The rate of customer write-offs has historically experienced minimal variation, although general economic conditions, such as the COVID-19 pandemic or other economic hardships, can affect the rate of customer write-offs. Management monitors the current condition of individual customer accounts to manage collections and ensure bad debt expense is recorded in a timely manner. |
Entergy Arkansas [Member] | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 2022 (In Thousands) Utility: Residential $1,041,460 $986,023 Commercial 714,300 634,626 Industrial 863,723 743,634 Governmental 67,337 57,292 Total billed retail 2,686,820 2,421,575 Sales for resale (a) 107,947 128,959 Other electric revenues (b) 44,457 93,880 Revenues from contracts with customers 2,839,224 2,644,414 Other Utility revenues (c) 44,187 11,362 Electric revenues 2,883,411 2,655,776 Natural gas revenues 64,581 72,361 Other revenues (d) 33,067 149,788 Total operating revenues $2,981,059 $2,877,925 The Utility operating companies’ total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $239,499 $360,647 $169,389 $63,566 $208,359 Commercial 125,336 278,178 133,676 54,069 123,041 Industrial 131,237 509,904 51,415 7,413 163,754 Governmental 4,660 23,074 13,883 17,798 7,922 Total billed retail 500,732 1,171,803 368,363 142,846 503,076 Sales for resale (a) 66,018 83,237 38,743 24,910 2,445 Other electric revenues (b) 13,718 26,567 2,874 417 2,224 Revenues from contracts with customers 580,468 1,281,607 409,980 168,173 507,745 Other Utility revenues (c) 2,281 38,145 2,448 1,522 (239) Electric revenues 582,749 1,319,752 412,428 169,695 507,506 Natural gas revenues — 25,456 — 39,125 — Total operating revenues $582,749 $1,345,208 $412,428 $208,820 $507,506 2022 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $227,786 $353,567 $152,939 $58,658 $193,073 Commercial 113,238 257,591 110,661 45,572 107,564 Industrial 109,675 451,954 39,157 6,272 136,576 Governmental 4,460 19,016 12,000 15,033 6,783 Total billed retail 455,159 1,082,128 314,757 125,535 443,996 Sales for resale (a) 70,414 107,701 21,641 26,540 17,644 Other electric revenues (b) 30,572 41,482 10,337 1,393 11,449 Revenues from contracts with customers 556,145 1,231,311 346,735 153,468 473,089 Other Utility revenues (c) 2,811 5,926 2,294 1,178 (607) Electric revenues 558,956 1,237,237 349,029 154,646 472,482 Natural gas revenues — 28,735 — 43,626 — Total operating revenues $558,956 $1,265,972 $349,029 $198,272 $472,482 (a) Sales for resale includes day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market, unbilled revenue, and certain customer credits as directed by regulators. (c) Other Utility revenues include the equity component of carrying costs related to securitization, settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. (d) Other revenues includes competitive business sales including day-ahead sale of energy in a market administered by an ISO, operation and management services fees, and amortization of a below-market power purchase agreement. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. The following tables set forth a reconciliation of changes in the allowance for doubtful accounts for the three months ended March 31, 2023 and 2022. Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2022 $30.9 $6.5 $7.6 $2.5 $11.9 $2.4 Provisions 6.1 1.3 4.0 0.7 (1.1) 1.2 Write-offs (34.4) (9.4) (15.1) (1.7) (3.4) (4.8) Recoveries 20.7 6.9 9.2 0.7 0.9 3.0 Balance as of March 31, 2023 $23.3 $5.3 $5.7 $2.2 $8.3 $1.8 Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2021 $68.6 $13.1 $29.2 $7.2 $13.3 $5.8 Provisions (a) (5.9) 3.7 (6.1) (0.9) (2.4) (0.2) Write-offs (45.3) (14.4) (17.5) (4.1) (5.4) (3.9) Recoveries 14.1 4.1 5.5 1.2 2.2 1.1 Balance as of March 31, 2022 $31.5 $6.5 $11.1 $3.4 $7.7 $2.8 (a) Provisions include estimated incremental bad debt expenses, and revisions to those estimates, resulting from the COVID-19 pandemic of ($11.0) million for Entergy, $1.8 million for Entergy Arkansas, ($8.5) million for Entergy Louisiana, ($3.0) million for Entergy New Orleans, and ($1.3) million for Entergy Texas that have been deferred as regulatory assets. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the COVID-19 orders issued by retail regulators. The allowance for currently expected credit losses is calculated as the historical rate of customer write-offs multiplied by the current accounts receivable balance, taking into account the length of time the receivable balances have been outstanding. The rate of customer write-offs has historically experienced minimal variation, although general economic conditions, such as the COVID-19 pandemic or other economic hardships, can affect the rate of customer write-offs. Management monitors the current condition of individual customer accounts to manage collections and ensure bad debt expense is recorded in a timely manner. |
Entergy Louisiana [Member] | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 2022 (In Thousands) Utility: Residential $1,041,460 $986,023 Commercial 714,300 634,626 Industrial 863,723 743,634 Governmental 67,337 57,292 Total billed retail 2,686,820 2,421,575 Sales for resale (a) 107,947 128,959 Other electric revenues (b) 44,457 93,880 Revenues from contracts with customers 2,839,224 2,644,414 Other Utility revenues (c) 44,187 11,362 Electric revenues 2,883,411 2,655,776 Natural gas revenues 64,581 72,361 Other revenues (d) 33,067 149,788 Total operating revenues $2,981,059 $2,877,925 The Utility operating companies’ total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $239,499 $360,647 $169,389 $63,566 $208,359 Commercial 125,336 278,178 133,676 54,069 123,041 Industrial 131,237 509,904 51,415 7,413 163,754 Governmental 4,660 23,074 13,883 17,798 7,922 Total billed retail 500,732 1,171,803 368,363 142,846 503,076 Sales for resale (a) 66,018 83,237 38,743 24,910 2,445 Other electric revenues (b) 13,718 26,567 2,874 417 2,224 Revenues from contracts with customers 580,468 1,281,607 409,980 168,173 507,745 Other Utility revenues (c) 2,281 38,145 2,448 1,522 (239) Electric revenues 582,749 1,319,752 412,428 169,695 507,506 Natural gas revenues — 25,456 — 39,125 — Total operating revenues $582,749 $1,345,208 $412,428 $208,820 $507,506 2022 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $227,786 $353,567 $152,939 $58,658 $193,073 Commercial 113,238 257,591 110,661 45,572 107,564 Industrial 109,675 451,954 39,157 6,272 136,576 Governmental 4,460 19,016 12,000 15,033 6,783 Total billed retail 455,159 1,082,128 314,757 125,535 443,996 Sales for resale (a) 70,414 107,701 21,641 26,540 17,644 Other electric revenues (b) 30,572 41,482 10,337 1,393 11,449 Revenues from contracts with customers 556,145 1,231,311 346,735 153,468 473,089 Other Utility revenues (c) 2,811 5,926 2,294 1,178 (607) Electric revenues 558,956 1,237,237 349,029 154,646 472,482 Natural gas revenues — 28,735 — 43,626 — Total operating revenues $558,956 $1,265,972 $349,029 $198,272 $472,482 (a) Sales for resale includes day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market, unbilled revenue, and certain customer credits as directed by regulators. (c) Other Utility revenues include the equity component of carrying costs related to securitization, settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. (d) Other revenues includes competitive business sales including day-ahead sale of energy in a market administered by an ISO, operation and management services fees, and amortization of a below-market power purchase agreement. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. The following tables set forth a reconciliation of changes in the allowance for doubtful accounts for the three months ended March 31, 2023 and 2022. Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2022 $30.9 $6.5 $7.6 $2.5 $11.9 $2.4 Provisions 6.1 1.3 4.0 0.7 (1.1) 1.2 Write-offs (34.4) (9.4) (15.1) (1.7) (3.4) (4.8) Recoveries 20.7 6.9 9.2 0.7 0.9 3.0 Balance as of March 31, 2023 $23.3 $5.3 $5.7 $2.2 $8.3 $1.8 Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2021 $68.6 $13.1 $29.2 $7.2 $13.3 $5.8 Provisions (a) (5.9) 3.7 (6.1) (0.9) (2.4) (0.2) Write-offs (45.3) (14.4) (17.5) (4.1) (5.4) (3.9) Recoveries 14.1 4.1 5.5 1.2 2.2 1.1 Balance as of March 31, 2022 $31.5 $6.5 $11.1 $3.4 $7.7 $2.8 (a) Provisions include estimated incremental bad debt expenses, and revisions to those estimates, resulting from the COVID-19 pandemic of ($11.0) million for Entergy, $1.8 million for Entergy Arkansas, ($8.5) million for Entergy Louisiana, ($3.0) million for Entergy New Orleans, and ($1.3) million for Entergy Texas that have been deferred as regulatory assets. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the COVID-19 orders issued by retail regulators. The allowance for currently expected credit losses is calculated as the historical rate of customer write-offs multiplied by the current accounts receivable balance, taking into account the length of time the receivable balances have been outstanding. The rate of customer write-offs has historically experienced minimal variation, although general economic conditions, such as the COVID-19 pandemic or other economic hardships, can affect the rate of customer write-offs. Management monitors the current condition of individual customer accounts to manage collections and ensure bad debt expense is recorded in a timely manner. |
Entergy Mississippi [Member] | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 2022 (In Thousands) Utility: Residential $1,041,460 $986,023 Commercial 714,300 634,626 Industrial 863,723 743,634 Governmental 67,337 57,292 Total billed retail 2,686,820 2,421,575 Sales for resale (a) 107,947 128,959 Other electric revenues (b) 44,457 93,880 Revenues from contracts with customers 2,839,224 2,644,414 Other Utility revenues (c) 44,187 11,362 Electric revenues 2,883,411 2,655,776 Natural gas revenues 64,581 72,361 Other revenues (d) 33,067 149,788 Total operating revenues $2,981,059 $2,877,925 The Utility operating companies’ total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $239,499 $360,647 $169,389 $63,566 $208,359 Commercial 125,336 278,178 133,676 54,069 123,041 Industrial 131,237 509,904 51,415 7,413 163,754 Governmental 4,660 23,074 13,883 17,798 7,922 Total billed retail 500,732 1,171,803 368,363 142,846 503,076 Sales for resale (a) 66,018 83,237 38,743 24,910 2,445 Other electric revenues (b) 13,718 26,567 2,874 417 2,224 Revenues from contracts with customers 580,468 1,281,607 409,980 168,173 507,745 Other Utility revenues (c) 2,281 38,145 2,448 1,522 (239) Electric revenues 582,749 1,319,752 412,428 169,695 507,506 Natural gas revenues — 25,456 — 39,125 — Total operating revenues $582,749 $1,345,208 $412,428 $208,820 $507,506 2022 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $227,786 $353,567 $152,939 $58,658 $193,073 Commercial 113,238 257,591 110,661 45,572 107,564 Industrial 109,675 451,954 39,157 6,272 136,576 Governmental 4,460 19,016 12,000 15,033 6,783 Total billed retail 455,159 1,082,128 314,757 125,535 443,996 Sales for resale (a) 70,414 107,701 21,641 26,540 17,644 Other electric revenues (b) 30,572 41,482 10,337 1,393 11,449 Revenues from contracts with customers 556,145 1,231,311 346,735 153,468 473,089 Other Utility revenues (c) 2,811 5,926 2,294 1,178 (607) Electric revenues 558,956 1,237,237 349,029 154,646 472,482 Natural gas revenues — 28,735 — 43,626 — Total operating revenues $558,956 $1,265,972 $349,029 $198,272 $472,482 (a) Sales for resale includes day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market, unbilled revenue, and certain customer credits as directed by regulators. (c) Other Utility revenues include the equity component of carrying costs related to securitization, settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. (d) Other revenues includes competitive business sales including day-ahead sale of energy in a market administered by an ISO, operation and management services fees, and amortization of a below-market power purchase agreement. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. The following tables set forth a reconciliation of changes in the allowance for doubtful accounts for the three months ended March 31, 2023 and 2022. Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2022 $30.9 $6.5 $7.6 $2.5 $11.9 $2.4 Provisions 6.1 1.3 4.0 0.7 (1.1) 1.2 Write-offs (34.4) (9.4) (15.1) (1.7) (3.4) (4.8) Recoveries 20.7 6.9 9.2 0.7 0.9 3.0 Balance as of March 31, 2023 $23.3 $5.3 $5.7 $2.2 $8.3 $1.8 Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2021 $68.6 $13.1 $29.2 $7.2 $13.3 $5.8 Provisions (a) (5.9) 3.7 (6.1) (0.9) (2.4) (0.2) Write-offs (45.3) (14.4) (17.5) (4.1) (5.4) (3.9) Recoveries 14.1 4.1 5.5 1.2 2.2 1.1 Balance as of March 31, 2022 $31.5 $6.5 $11.1 $3.4 $7.7 $2.8 (a) Provisions include estimated incremental bad debt expenses, and revisions to those estimates, resulting from the COVID-19 pandemic of ($11.0) million for Entergy, $1.8 million for Entergy Arkansas, ($8.5) million for Entergy Louisiana, ($3.0) million for Entergy New Orleans, and ($1.3) million for Entergy Texas that have been deferred as regulatory assets. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the COVID-19 orders issued by retail regulators. The allowance for currently expected credit losses is calculated as the historical rate of customer write-offs multiplied by the current accounts receivable balance, taking into account the length of time the receivable balances have been outstanding. The rate of customer write-offs has historically experienced minimal variation, although general economic conditions, such as the COVID-19 pandemic or other economic hardships, can affect the rate of customer write-offs. Management monitors the current condition of individual customer accounts to manage collections and ensure bad debt expense is recorded in a timely manner. |
Entergy New Orleans [Member] | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 2022 (In Thousands) Utility: Residential $1,041,460 $986,023 Commercial 714,300 634,626 Industrial 863,723 743,634 Governmental 67,337 57,292 Total billed retail 2,686,820 2,421,575 Sales for resale (a) 107,947 128,959 Other electric revenues (b) 44,457 93,880 Revenues from contracts with customers 2,839,224 2,644,414 Other Utility revenues (c) 44,187 11,362 Electric revenues 2,883,411 2,655,776 Natural gas revenues 64,581 72,361 Other revenues (d) 33,067 149,788 Total operating revenues $2,981,059 $2,877,925 The Utility operating companies’ total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $239,499 $360,647 $169,389 $63,566 $208,359 Commercial 125,336 278,178 133,676 54,069 123,041 Industrial 131,237 509,904 51,415 7,413 163,754 Governmental 4,660 23,074 13,883 17,798 7,922 Total billed retail 500,732 1,171,803 368,363 142,846 503,076 Sales for resale (a) 66,018 83,237 38,743 24,910 2,445 Other electric revenues (b) 13,718 26,567 2,874 417 2,224 Revenues from contracts with customers 580,468 1,281,607 409,980 168,173 507,745 Other Utility revenues (c) 2,281 38,145 2,448 1,522 (239) Electric revenues 582,749 1,319,752 412,428 169,695 507,506 Natural gas revenues — 25,456 — 39,125 — Total operating revenues $582,749 $1,345,208 $412,428 $208,820 $507,506 2022 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $227,786 $353,567 $152,939 $58,658 $193,073 Commercial 113,238 257,591 110,661 45,572 107,564 Industrial 109,675 451,954 39,157 6,272 136,576 Governmental 4,460 19,016 12,000 15,033 6,783 Total billed retail 455,159 1,082,128 314,757 125,535 443,996 Sales for resale (a) 70,414 107,701 21,641 26,540 17,644 Other electric revenues (b) 30,572 41,482 10,337 1,393 11,449 Revenues from contracts with customers 556,145 1,231,311 346,735 153,468 473,089 Other Utility revenues (c) 2,811 5,926 2,294 1,178 (607) Electric revenues 558,956 1,237,237 349,029 154,646 472,482 Natural gas revenues — 28,735 — 43,626 — Total operating revenues $558,956 $1,265,972 $349,029 $198,272 $472,482 (a) Sales for resale includes day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market, unbilled revenue, and certain customer credits as directed by regulators. (c) Other Utility revenues include the equity component of carrying costs related to securitization, settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. (d) Other revenues includes competitive business sales including day-ahead sale of energy in a market administered by an ISO, operation and management services fees, and amortization of a below-market power purchase agreement. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. The following tables set forth a reconciliation of changes in the allowance for doubtful accounts for the three months ended March 31, 2023 and 2022. Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2022 $30.9 $6.5 $7.6 $2.5 $11.9 $2.4 Provisions 6.1 1.3 4.0 0.7 (1.1) 1.2 Write-offs (34.4) (9.4) (15.1) (1.7) (3.4) (4.8) Recoveries 20.7 6.9 9.2 0.7 0.9 3.0 Balance as of March 31, 2023 $23.3 $5.3 $5.7 $2.2 $8.3 $1.8 Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2021 $68.6 $13.1 $29.2 $7.2 $13.3 $5.8 Provisions (a) (5.9) 3.7 (6.1) (0.9) (2.4) (0.2) Write-offs (45.3) (14.4) (17.5) (4.1) (5.4) (3.9) Recoveries 14.1 4.1 5.5 1.2 2.2 1.1 Balance as of March 31, 2022 $31.5 $6.5 $11.1 $3.4 $7.7 $2.8 (a) Provisions include estimated incremental bad debt expenses, and revisions to those estimates, resulting from the COVID-19 pandemic of ($11.0) million for Entergy, $1.8 million for Entergy Arkansas, ($8.5) million for Entergy Louisiana, ($3.0) million for Entergy New Orleans, and ($1.3) million for Entergy Texas that have been deferred as regulatory assets. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the COVID-19 orders issued by retail regulators. The allowance for currently expected credit losses is calculated as the historical rate of customer write-offs multiplied by the current accounts receivable balance, taking into account the length of time the receivable balances have been outstanding. The rate of customer write-offs has historically experienced minimal variation, although general economic conditions, such as the COVID-19 pandemic or other economic hardships, can affect the rate of customer write-offs. Management monitors the current condition of individual customer accounts to manage collections and ensure bad debt expense is recorded in a timely manner. |
Entergy Texas [Member] | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 2022 (In Thousands) Utility: Residential $1,041,460 $986,023 Commercial 714,300 634,626 Industrial 863,723 743,634 Governmental 67,337 57,292 Total billed retail 2,686,820 2,421,575 Sales for resale (a) 107,947 128,959 Other electric revenues (b) 44,457 93,880 Revenues from contracts with customers 2,839,224 2,644,414 Other Utility revenues (c) 44,187 11,362 Electric revenues 2,883,411 2,655,776 Natural gas revenues 64,581 72,361 Other revenues (d) 33,067 149,788 Total operating revenues $2,981,059 $2,877,925 The Utility operating companies’ total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $239,499 $360,647 $169,389 $63,566 $208,359 Commercial 125,336 278,178 133,676 54,069 123,041 Industrial 131,237 509,904 51,415 7,413 163,754 Governmental 4,660 23,074 13,883 17,798 7,922 Total billed retail 500,732 1,171,803 368,363 142,846 503,076 Sales for resale (a) 66,018 83,237 38,743 24,910 2,445 Other electric revenues (b) 13,718 26,567 2,874 417 2,224 Revenues from contracts with customers 580,468 1,281,607 409,980 168,173 507,745 Other Utility revenues (c) 2,281 38,145 2,448 1,522 (239) Electric revenues 582,749 1,319,752 412,428 169,695 507,506 Natural gas revenues — 25,456 — 39,125 — Total operating revenues $582,749 $1,345,208 $412,428 $208,820 $507,506 2022 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $227,786 $353,567 $152,939 $58,658 $193,073 Commercial 113,238 257,591 110,661 45,572 107,564 Industrial 109,675 451,954 39,157 6,272 136,576 Governmental 4,460 19,016 12,000 15,033 6,783 Total billed retail 455,159 1,082,128 314,757 125,535 443,996 Sales for resale (a) 70,414 107,701 21,641 26,540 17,644 Other electric revenues (b) 30,572 41,482 10,337 1,393 11,449 Revenues from contracts with customers 556,145 1,231,311 346,735 153,468 473,089 Other Utility revenues (c) 2,811 5,926 2,294 1,178 (607) Electric revenues 558,956 1,237,237 349,029 154,646 472,482 Natural gas revenues — 28,735 — 43,626 — Total operating revenues $558,956 $1,265,972 $349,029 $198,272 $472,482 (a) Sales for resale includes day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market, unbilled revenue, and certain customer credits as directed by regulators. (c) Other Utility revenues include the equity component of carrying costs related to securitization, settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. (d) Other revenues includes competitive business sales including day-ahead sale of energy in a market administered by an ISO, operation and management services fees, and amortization of a below-market power purchase agreement. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. The following tables set forth a reconciliation of changes in the allowance for doubtful accounts for the three months ended March 31, 2023 and 2022. Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2022 $30.9 $6.5 $7.6 $2.5 $11.9 $2.4 Provisions 6.1 1.3 4.0 0.7 (1.1) 1.2 Write-offs (34.4) (9.4) (15.1) (1.7) (3.4) (4.8) Recoveries 20.7 6.9 9.2 0.7 0.9 3.0 Balance as of March 31, 2023 $23.3 $5.3 $5.7 $2.2 $8.3 $1.8 Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2021 $68.6 $13.1 $29.2 $7.2 $13.3 $5.8 Provisions (a) (5.9) 3.7 (6.1) (0.9) (2.4) (0.2) Write-offs (45.3) (14.4) (17.5) (4.1) (5.4) (3.9) Recoveries 14.1 4.1 5.5 1.2 2.2 1.1 Balance as of March 31, 2022 $31.5 $6.5 $11.1 $3.4 $7.7 $2.8 (a) Provisions include estimated incremental bad debt expenses, and revisions to those estimates, resulting from the COVID-19 pandemic of ($11.0) million for Entergy, $1.8 million for Entergy Arkansas, ($8.5) million for Entergy Louisiana, ($3.0) million for Entergy New Orleans, and ($1.3) million for Entergy Texas that have been deferred as regulatory assets. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the COVID-19 orders issued by retail regulators. The allowance for currently expected credit losses is calculated as the historical rate of customer write-offs multiplied by the current accounts receivable balance, taking into account the length of time the receivable balances have been outstanding. The rate of customer write-offs has historically experienced minimal variation, although general economic conditions, such as the COVID-19 pandemic or other economic hardships, can affect the rate of customer write-offs. Management monitors the current condition of individual customer accounts to manage collections and ensure bad debt expense is recorded in a timely manner. |
System Energy [Member] | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 2022 (In Thousands) Utility: Residential $1,041,460 $986,023 Commercial 714,300 634,626 Industrial 863,723 743,634 Governmental 67,337 57,292 Total billed retail 2,686,820 2,421,575 Sales for resale (a) 107,947 128,959 Other electric revenues (b) 44,457 93,880 Revenues from contracts with customers 2,839,224 2,644,414 Other Utility revenues (c) 44,187 11,362 Electric revenues 2,883,411 2,655,776 Natural gas revenues 64,581 72,361 Other revenues (d) 33,067 149,788 Total operating revenues $2,981,059 $2,877,925 The Utility operating companies’ total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $239,499 $360,647 $169,389 $63,566 $208,359 Commercial 125,336 278,178 133,676 54,069 123,041 Industrial 131,237 509,904 51,415 7,413 163,754 Governmental 4,660 23,074 13,883 17,798 7,922 Total billed retail 500,732 1,171,803 368,363 142,846 503,076 Sales for resale (a) 66,018 83,237 38,743 24,910 2,445 Other electric revenues (b) 13,718 26,567 2,874 417 2,224 Revenues from contracts with customers 580,468 1,281,607 409,980 168,173 507,745 Other Utility revenues (c) 2,281 38,145 2,448 1,522 (239) Electric revenues 582,749 1,319,752 412,428 169,695 507,506 Natural gas revenues — 25,456 — 39,125 — Total operating revenues $582,749 $1,345,208 $412,428 $208,820 $507,506 2022 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $227,786 $353,567 $152,939 $58,658 $193,073 Commercial 113,238 257,591 110,661 45,572 107,564 Industrial 109,675 451,954 39,157 6,272 136,576 Governmental 4,460 19,016 12,000 15,033 6,783 Total billed retail 455,159 1,082,128 314,757 125,535 443,996 Sales for resale (a) 70,414 107,701 21,641 26,540 17,644 Other electric revenues (b) 30,572 41,482 10,337 1,393 11,449 Revenues from contracts with customers 556,145 1,231,311 346,735 153,468 473,089 Other Utility revenues (c) 2,811 5,926 2,294 1,178 (607) Electric revenues 558,956 1,237,237 349,029 154,646 472,482 Natural gas revenues — 28,735 — 43,626 — Total operating revenues $558,956 $1,265,972 $349,029 $198,272 $472,482 (a) Sales for resale includes day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market, unbilled revenue, and certain customer credits as directed by regulators. (c) Other Utility revenues include the equity component of carrying costs related to securitization, settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. (d) Other revenues includes competitive business sales including day-ahead sale of energy in a market administered by an ISO, operation and management services fees, and amortization of a below-market power purchase agreement. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. The following tables set forth a reconciliation of changes in the allowance for doubtful accounts for the three months ended March 31, 2023 and 2022. Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2022 $30.9 $6.5 $7.6 $2.5 $11.9 $2.4 Provisions 6.1 1.3 4.0 0.7 (1.1) 1.2 Write-offs (34.4) (9.4) (15.1) (1.7) (3.4) (4.8) Recoveries 20.7 6.9 9.2 0.7 0.9 3.0 Balance as of March 31, 2023 $23.3 $5.3 $5.7 $2.2 $8.3 $1.8 Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2021 $68.6 $13.1 $29.2 $7.2 $13.3 $5.8 Provisions (a) (5.9) 3.7 (6.1) (0.9) (2.4) (0.2) Write-offs (45.3) (14.4) (17.5) (4.1) (5.4) (3.9) Recoveries 14.1 4.1 5.5 1.2 2.2 1.1 Balance as of March 31, 2022 $31.5 $6.5 $11.1 $3.4 $7.7 $2.8 (a) Provisions include estimated incremental bad debt expenses, and revisions to those estimates, resulting from the COVID-19 pandemic of ($11.0) million for Entergy, $1.8 million for Entergy Arkansas, ($8.5) million for Entergy Louisiana, ($3.0) million for Entergy New Orleans, and ($1.3) million for Entergy Texas that have been deferred as regulatory assets. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the COVID-19 orders issued by retail regulators. The allowance for currently expected credit losses is calculated as the historical rate of customer write-offs multiplied by the current accounts receivable balance, taking into account the length of time the receivable balances have been outstanding. The rate of customer write-offs has historically experienced minimal variation, although general economic conditions, such as the COVID-19 pandemic or other economic hardships, can affect the rate of customer write-offs. Management monitors the current condition of individual customer accounts to manage collections and ensure bad debt expense is recorded in a timely manner. |
Equity (Tables)
Equity (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Schedule Of Earnings Per Share Basic And Diluted | The following table presents Entergy’s basic and diluted earnings per share calculations included on the consolidated income statements: For the Three Months Ended March 31, 2023 2022 (In Millions, Except Per Share Data) Income Shares $/share Income Shares $/share Basic earnings per share Net income attributable to Entergy Corporation $310.9 211.4 $1.47 $276.4 202.9 $1.36 Average dilutive effect of: Stock options 0.3 — 0.5 — Other equity plans 0.4 — 0.4 — Equity forwards — — 0.1 — Diluted earnings per share $310.9 212.1 $1.47 $276.4 203.9 $1.36 |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the three months ended March 31, 2023: Pension and Other Postretirement Liabilities (In Thousands) Beginning balance, January 1, 2023 ($191,754) Amounts reclassified from accumulated other comprehensive income (loss) 2,027 Net other comprehensive income for the period 2,027 Ending balance, March 31, 2023 ($189,727) The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the three months ended March 31, 2022 by component: Cash flow Pension Net Total (In Thousands) Beginning balance, January 1, 2022 ($1,035) ($338,647) $7,154 ($332,528) Other comprehensive income (loss) before reclassifications (14) — (15,875) (15,889) Amounts reclassified from accumulated other comprehensive income (loss) 38 8,328 3,473 11,839 Net other comprehensive income (loss) for the period 24 8,328 (12,402) (4,050) Ending balance, March 31, 2022 ($1,011) ($330,319) ($5,248) ($336,578) |
Reclassification out of Accumulated Other Comprehensive Income | Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy for the three months ended March 31, 2023 and 2022 were as follows: Amounts reclassified Income Statement Location 2023 2022 (In Thousands) Cash flow hedges net unrealized loss Interest rate swaps $— ($48) Miscellaneous - net Total realized loss on cash flow hedges — (48) Income taxes — 10 Income taxes Total realized loss on cash flow hedges (net of tax) $— ($38) Pension and other postretirement liabilities Amortization of prior-service credit $3,397 $3,837 (a) Amortization of gain (loss) 1,661 (13,925) (a) Settlement loss (7,816) (782) (a) Total amortization (2,758) (10,870) Income taxes 731 2,542 Income taxes Total amortization (net of tax) ($2,027) ($8,328) Net unrealized investment loss Realized loss $— ($5,495) Interest and investment income Income taxes — 2,022 Income taxes Total realized investment loss (net of tax) $— ($3,473) Total reclassifications for the period (net of tax) ($2,027) ($11,839) (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. |
Entergy Louisiana [Member] | |
Schedule of noncontrolling interest | The dollar value of noncontrolling interests for Entergy Louisiana as of March 31, 2023 and December 31, 2022 is presented below: 2023 2022 (In Thousands) Entergy Louisiana Noncontrolling Interests Restoration Law Trust I (a) $31,813 $31,735 Restoration Law Trust II (b) 14,583 — Total Noncontrolling Interests $46,396 $31,735 (a) See Note 17 to the financial statements in the Form 10-K for discussion of Restoration Law Trust I. (b) Restoration Law Trust II (the storm trust II) was established as part of the Act 293 securitization of Entergy Louisiana’s Hurricane Ida storm restoration costs. The storm trust II holds preferred membership interests issued by Entergy Finance Company, and Entergy Finance Company is required to make annual distributions (dividends) on the preferred membership interests. These annual dividends paid on the Entergy Finance Company preferred membership interests will be distributed 1% to the LURC and 99% to Entergy Louisiana. Entergy Louisiana, as the primary beneficiary, consolidates the storm trust II and the LURC’s 1% beneficial interest in noncontrolling interests in the consolidated financial statements for Entergy Louisiana and Entergy. See Note 2 to the financial statements herein for a discussion of the Entergy Louisiana March 2023 storm securitization. |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following table presents changes in accumulated other comprehensive income (loss) for Entergy Louisiana for the three months ended March 31, 2023 and 2022: Pension and Other 2023 2022 (In Thousands) Beginning balance, January 1, $55,370 $8,278 Amounts reclassified from accumulated other comprehensive income (loss) (786) (613) Net other comprehensive income (loss) for the period (786) (613) Ending balance, March 31, $54,584 $7,665 |
Reclassification out of Accumulated Other Comprehensive Income | Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy Louisiana for the three months ended March 31, 2023 and 2022 were as follows: Amounts reclassified Income Statement Location 2023 2022 (In Thousands) Pension and other postretirement liabilities Amortization of prior-service credit $951 $1,158 (a) Amortization of gain (loss) 1,565 (319) (a) Settlement loss (1,440) — (a) Total amortization 1,076 839 Income taxes (290) (226) Income taxes Total amortization (net of tax) 786 613 Total reclassifications for the period (net of tax) $786 $613 (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. |
Revolving Credit Facilities, _2
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Summary Of The Borrowings Outstanding And Capacity Available Under The Facility | As of March 31, 2023, amounts outstanding and capacity available under the $3.5 billion credit facility are: Capacity Borrowings Letters Capacity (In Millions) $3,500 $150 $3 $3,347 |
Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations [Table Text Block] | Following is a summary of the uncommitted standby letter of credit facilities as of March 31, 2023: Company Amount of Letter of Credit Fee Letters of Credit Entergy Arkansas $25 million 0.78% $5.6 million Entergy Louisiana $125 million 0.78% $20 million Entergy Mississippi $65 million 0.78% $6.7 million Entergy New Orleans $15 million 1.625% $1 million Entergy Texas $80 million 0.875% $8.8 million (a) As of March 31, 2023, letters of credit posted with MISO covered financial transmission right exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of March 31, 2023, in addition to the $6.7 million MISO letters of credit, Entergy Mississippi had $9.2 million in non-MISO letters of credit outstanding under this facility. |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— |
Issuance Of Commercial Paper To Finance Acquisition And Ownership Of Nuclear Fuel | To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs also issue commercial paper, details of which follow as of March 31, 2023: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE June 2025 $80 5.70% $31.5 Entergy Louisiana River Bend VIE June 2025 $105 5.67% $58.5 Entergy Louisiana Waterford VIE June 2025 $105 5.59% $52.1 System Energy VIE June 2025 $120 5.59% $55.9 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances by the nuclear fuel company VIEs for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company VIE for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. |
Notes Payable By Variable Interest Entities | The nuclear fuel company VIEs had notes payable that were included in debt on the respective balance sheets as of March 31, 2023 as follows: Company Description Amount Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Arkansas VIE 1.84% Series N due July 2026 $90 million Entergy Louisiana River Bend VIE 2.51% Series V due June 2027 $70 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 2.05% Series K due September 2027 $90 million |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Arkansas [Member] | |
Summary Of The Borrowings Outstanding And Capacity Available Under The Facility | Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of March 31, 2023 as follows: Company Expiration Amount of Interest Rate Amount Drawn Letters of Credit Entergy Arkansas April 2023 (e) $25 million (b) 6.56% $— $— Entergy Arkansas June 2027 $150 million (c) 6.03% $— $— Entergy Louisiana June 2027 $350 million (c) 6.16% $— $— Entergy Mississippi April 2023 (f) $45 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $40 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $10 million (d) 6.41% $— $— Entergy Mississippi July 2024 $150 million 5.98% $100 million $— Entergy New Orleans June 2024 $25 million (c) 6.47% $— $— Entergy Texas June 2027 $150 million (c) 6.16% $— $1.1 million (a) The interest rate is the estimated interest rate as of March 31, 2023 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the short-term Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. (e) In April 2023, Entergy Arkansas renewed and extended the expiration of the credit facility to April 2024. (f) In April 2023, Entergy Mississippi extended the expiration of the credit facilities to July 2023. |
Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations [Table Text Block] | Following is a summary of the uncommitted standby letter of credit facilities as of March 31, 2023: Company Amount of Letter of Credit Fee Letters of Credit Entergy Arkansas $25 million 0.78% $5.6 million Entergy Louisiana $125 million 0.78% $20 million Entergy Mississippi $65 million 0.78% $6.7 million Entergy New Orleans $15 million 1.625% $1 million Entergy Texas $80 million 0.875% $8.8 million (a) As of March 31, 2023, letters of credit posted with MISO covered financial transmission right exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of March 31, 2023, in addition to the $6.7 million MISO letters of credit, Entergy Mississippi had $9.2 million in non-MISO letters of credit outstanding under this facility. |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— |
Issuance Of Commercial Paper To Finance Acquisition And Ownership Of Nuclear Fuel | To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs also issue commercial paper, details of which follow as of March 31, 2023: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE June 2025 $80 5.70% $31.5 Entergy Louisiana River Bend VIE June 2025 $105 5.67% $58.5 Entergy Louisiana Waterford VIE June 2025 $105 5.59% $52.1 System Energy VIE June 2025 $120 5.59% $55.9 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances by the nuclear fuel company VIEs for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company VIE for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. |
Notes Payable By Variable Interest Entities | The nuclear fuel company VIEs had notes payable that were included in debt on the respective balance sheets as of March 31, 2023 as follows: Company Description Amount Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Arkansas VIE 1.84% Series N due July 2026 $90 million Entergy Louisiana River Bend VIE 2.51% Series V due June 2027 $70 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 2.05% Series K due September 2027 $90 million |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Louisiana [Member] | |
Summary Of The Borrowings Outstanding And Capacity Available Under The Facility | Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of March 31, 2023 as follows: Company Expiration Amount of Interest Rate Amount Drawn Letters of Credit Entergy Arkansas April 2023 (e) $25 million (b) 6.56% $— $— Entergy Arkansas June 2027 $150 million (c) 6.03% $— $— Entergy Louisiana June 2027 $350 million (c) 6.16% $— $— Entergy Mississippi April 2023 (f) $45 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $40 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $10 million (d) 6.41% $— $— Entergy Mississippi July 2024 $150 million 5.98% $100 million $— Entergy New Orleans June 2024 $25 million (c) 6.47% $— $— Entergy Texas June 2027 $150 million (c) 6.16% $— $1.1 million (a) The interest rate is the estimated interest rate as of March 31, 2023 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the short-term Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. (e) In April 2023, Entergy Arkansas renewed and extended the expiration of the credit facility to April 2024. (f) In April 2023, Entergy Mississippi extended the expiration of the credit facilities to July 2023. |
Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations [Table Text Block] | Following is a summary of the uncommitted standby letter of credit facilities as of March 31, 2023: Company Amount of Letter of Credit Fee Letters of Credit Entergy Arkansas $25 million 0.78% $5.6 million Entergy Louisiana $125 million 0.78% $20 million Entergy Mississippi $65 million 0.78% $6.7 million Entergy New Orleans $15 million 1.625% $1 million Entergy Texas $80 million 0.875% $8.8 million (a) As of March 31, 2023, letters of credit posted with MISO covered financial transmission right exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of March 31, 2023, in addition to the $6.7 million MISO letters of credit, Entergy Mississippi had $9.2 million in non-MISO letters of credit outstanding under this facility. |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— |
Issuance Of Commercial Paper To Finance Acquisition And Ownership Of Nuclear Fuel | To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs also issue commercial paper, details of which follow as of March 31, 2023: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE June 2025 $80 5.70% $31.5 Entergy Louisiana River Bend VIE June 2025 $105 5.67% $58.5 Entergy Louisiana Waterford VIE June 2025 $105 5.59% $52.1 System Energy VIE June 2025 $120 5.59% $55.9 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances by the nuclear fuel company VIEs for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company VIE for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. |
Notes Payable By Variable Interest Entities | The nuclear fuel company VIEs had notes payable that were included in debt on the respective balance sheets as of March 31, 2023 as follows: Company Description Amount Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Arkansas VIE 1.84% Series N due July 2026 $90 million Entergy Louisiana River Bend VIE 2.51% Series V due June 2027 $70 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 2.05% Series K due September 2027 $90 million |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Mississippi [Member] | |
Summary Of The Borrowings Outstanding And Capacity Available Under The Facility | Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of March 31, 2023 as follows: Company Expiration Amount of Interest Rate Amount Drawn Letters of Credit Entergy Arkansas April 2023 (e) $25 million (b) 6.56% $— $— Entergy Arkansas June 2027 $150 million (c) 6.03% $— $— Entergy Louisiana June 2027 $350 million (c) 6.16% $— $— Entergy Mississippi April 2023 (f) $45 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $40 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $10 million (d) 6.41% $— $— Entergy Mississippi July 2024 $150 million 5.98% $100 million $— Entergy New Orleans June 2024 $25 million (c) 6.47% $— $— Entergy Texas June 2027 $150 million (c) 6.16% $— $1.1 million (a) The interest rate is the estimated interest rate as of March 31, 2023 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the short-term Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. (e) In April 2023, Entergy Arkansas renewed and extended the expiration of the credit facility to April 2024. (f) In April 2023, Entergy Mississippi extended the expiration of the credit facilities to July 2023. |
Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations [Table Text Block] | Following is a summary of the uncommitted standby letter of credit facilities as of March 31, 2023: Company Amount of Letter of Credit Fee Letters of Credit Entergy Arkansas $25 million 0.78% $5.6 million Entergy Louisiana $125 million 0.78% $20 million Entergy Mississippi $65 million 0.78% $6.7 million Entergy New Orleans $15 million 1.625% $1 million Entergy Texas $80 million 0.875% $8.8 million (a) As of March 31, 2023, letters of credit posted with MISO covered financial transmission right exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of March 31, 2023, in addition to the $6.7 million MISO letters of credit, Entergy Mississippi had $9.2 million in non-MISO letters of credit outstanding under this facility. |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy New Orleans [Member] | |
Summary Of The Borrowings Outstanding And Capacity Available Under The Facility | Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of March 31, 2023 as follows: Company Expiration Amount of Interest Rate Amount Drawn Letters of Credit Entergy Arkansas April 2023 (e) $25 million (b) 6.56% $— $— Entergy Arkansas June 2027 $150 million (c) 6.03% $— $— Entergy Louisiana June 2027 $350 million (c) 6.16% $— $— Entergy Mississippi April 2023 (f) $45 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $40 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $10 million (d) 6.41% $— $— Entergy Mississippi July 2024 $150 million 5.98% $100 million $— Entergy New Orleans June 2024 $25 million (c) 6.47% $— $— Entergy Texas June 2027 $150 million (c) 6.16% $— $1.1 million (a) The interest rate is the estimated interest rate as of March 31, 2023 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the short-term Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. (e) In April 2023, Entergy Arkansas renewed and extended the expiration of the credit facility to April 2024. (f) In April 2023, Entergy Mississippi extended the expiration of the credit facilities to July 2023. |
Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations [Table Text Block] | Following is a summary of the uncommitted standby letter of credit facilities as of March 31, 2023: Company Amount of Letter of Credit Fee Letters of Credit Entergy Arkansas $25 million 0.78% $5.6 million Entergy Louisiana $125 million 0.78% $20 million Entergy Mississippi $65 million 0.78% $6.7 million Entergy New Orleans $15 million 1.625% $1 million Entergy Texas $80 million 0.875% $8.8 million (a) As of March 31, 2023, letters of credit posted with MISO covered financial transmission right exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of March 31, 2023, in addition to the $6.7 million MISO letters of credit, Entergy Mississippi had $9.2 million in non-MISO letters of credit outstanding under this facility. |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Texas [Member] | |
Summary Of The Borrowings Outstanding And Capacity Available Under The Facility | Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of March 31, 2023 as follows: Company Expiration Amount of Interest Rate Amount Drawn Letters of Credit Entergy Arkansas April 2023 (e) $25 million (b) 6.56% $— $— Entergy Arkansas June 2027 $150 million (c) 6.03% $— $— Entergy Louisiana June 2027 $350 million (c) 6.16% $— $— Entergy Mississippi April 2023 (f) $45 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $40 million (d) 6.41% $— $— Entergy Mississippi April 2023 (f) $10 million (d) 6.41% $— $— Entergy Mississippi July 2024 $150 million 5.98% $100 million $— Entergy New Orleans June 2024 $25 million (c) 6.47% $— $— Entergy Texas June 2027 $150 million (c) 6.16% $— $1.1 million (a) The interest rate is the estimated interest rate as of March 31, 2023 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the short-term Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. (e) In April 2023, Entergy Arkansas renewed and extended the expiration of the credit facility to April 2024. (f) In April 2023, Entergy Mississippi extended the expiration of the credit facilities to July 2023. |
Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations [Table Text Block] | Following is a summary of the uncommitted standby letter of credit facilities as of March 31, 2023: Company Amount of Letter of Credit Fee Letters of Credit Entergy Arkansas $25 million 0.78% $5.6 million Entergy Louisiana $125 million 0.78% $20 million Entergy Mississippi $65 million 0.78% $6.7 million Entergy New Orleans $15 million 1.625% $1 million Entergy Texas $80 million 0.875% $8.8 million (a) As of March 31, 2023, letters of credit posted with MISO covered financial transmission right exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of March 31, 2023, in addition to the $6.7 million MISO letters of credit, Entergy Mississippi had $9.2 million in non-MISO letters of credit outstanding under this facility. |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
System Energy [Member] | |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of March 31, 2023 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $— Entergy Louisiana $450 $— Entergy Mississippi $200 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $— |
Issuance Of Commercial Paper To Finance Acquisition And Ownership Of Nuclear Fuel | To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs also issue commercial paper, details of which follow as of March 31, 2023: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE June 2025 $80 5.70% $31.5 Entergy Louisiana River Bend VIE June 2025 $105 5.67% $58.5 Entergy Louisiana Waterford VIE June 2025 $105 5.59% $52.1 System Energy VIE June 2025 $120 5.59% $55.9 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances by the nuclear fuel company VIEs for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company VIE for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. |
Notes Payable By Variable Interest Entities | The nuclear fuel company VIEs had notes payable that were included in debt on the respective balance sheets as of March 31, 2023 as follows: Company Description Amount Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Arkansas VIE 1.84% Series N due July 2026 $90 million Entergy Louisiana River Bend VIE 2.51% Series V due June 2027 $70 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 2.05% Series K due September 2027 $90 million |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of March 31, 2023 were as follows: Book Value Fair Value (In Thousands) Entergy $26,723,309 $24,057,455 Entergy Arkansas $4,620,604 $4,126,440 Entergy Louisiana $10,690,832 $9,718,246 Entergy Mississippi $2,431,365 $2,156,919 Entergy New Orleans $766,242 $711,545 Entergy Texas $2,896,522 $2,566,690 System Energy $1,020,211 $979,621 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2022 were as follows: Book Value Fair Value (In Thousands) Entergy $25,932,549 $22,573,837 Entergy Arkansas $4,166,500 $3,538,930 Entergy Louisiana $10,698,922 $9,444,665 Entergy Mississippi $2,331,096 $1,987,154 Entergy New Orleans $775,632 $707,872 Entergy Texas $2,895,913 $2,485,705 System Energy $777,905 $702,473 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) - Entergy Corporation [Member] | 3 Months Ended |
Mar. 31, 2023 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |
Financial Information For Stock Options | The following table includes financial information for outstanding stock options for the three months ended March 31, 2023 and 2022: 2023 2022 (In Millions) Compensation expense included in Entergy’s consolidated net income $1.1 $1.1 Tax benefit recognized in Entergy’s consolidated net income $0.3 $0.3 Compensation cost capitalized as part of fixed assets and materials and supplies $0.5 $0.4 |
Financial Information For Restricted Stock | The following table includes financial information for other outstanding equity awards for the three months ended March 31, 2023 and 2022: 2023 2022 (In Millions) Compensation expense included in Entergy’s consolidated net income $7.7 $11.4 Tax benefit recognized in Entergy’s consolidated net income $2.0 $2.9 Compensation cost capitalized as part of fixed assets and materials and supplies $3.2 $4.4 |
Retirement And Other Postreti_2
Retirement And Other Postretirement Benefits (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Defined Benefit Plan Disclosure [Line Items] | |
Reclassification out of Accumulated Other Comprehensive Income, amortization | Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the three months ended March 31, 2023 and 2022: 2023 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $3,510 ($113) $3,397 Amortization of net gain (loss) (1,040) 2,898 (197) 1,661 Settlement loss (6,647) — (1,169) (7,816) ($7,687) $6,408 ($1,479) ($2,758) Entergy Louisiana Amortization of prior service credit $— $951 $— $951 Amortization of net gain (loss) (199) 1,764 — 1,565 Settlement loss (1,440) — — (1,440) ($1,639) $2,715 $— $1,076 2022 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $4,014 ($177) $3,837 Amortization of net loss (12,910) (596) (419) (13,925) Settlement loss — — (782) (782) ($12,910) $3,418 ($1,378) ($10,870) Entergy Louisiana Amortization of prior service credit $— $1,158 $— $1,158 Amortization of net gain (loss) (504) 186 (1) (319) ($504) $1,344 ($1) $839 |
Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | Entergy’s qualified pension costs, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $25,678 $37,660 Interest cost on projected benefit obligation 75,701 51,119 Expected return on assets (98,133) (103,607) Amortization of net loss 22,347 60,579 Settlement charges 138,427 — Net pension costs $164,020 $45,751 |
Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | Entergy’s other postretirement benefit income, including amounts capitalized, for the first quarters of 2023 and 2022, included the following components: 2023 2022 (In Thousands) Service cost - benefits earned during the period $3,664 $6,184 Interest cost on accumulated postretirement benefit obligation (APBO) 10,568 6,827 Expected return on assets (9,183) (10,855) Amortization of prior service credit (5,640) (6,388) Amortization of net (gain)/loss (2,862) 1,083 Net other postretirement benefit income ($3,453) ($3,149) |
Entergy Arkansas [Member] | Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $4,749 $6,280 $1,482 $491 $1,107 $1,467 Interest cost on projected benefit obligation 14,280 15,379 3,930 1,715 3,242 3,528 Expected return on assets (18,076) (19,233) (4,884) (2,267) (4,152) (4,538) Amortization of net loss 6,969 4,964 1,765 513 990 1,461 Settlement charges 22,174 35,999 11,655 1,693 9,678 4,799 Net pension cost $30,096 $43,389 $13,948 $2,145 $10,865 $6,717 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,858 $9,137 $2,130 $752 $1,632 $2,045 Interest cost on projected benefit obligation 9,317 10,499 2,678 1,139 2,175 2,338 Expected return on assets (19,247) (21,133) (5,203) (2,515) (4,937) (4,623) Amortization of net loss 13,426 12,597 3,810 1,368 2,555 3,266 Net pension cost $10,354 $11,100 $3,415 $744 $1,425 $3,026 |
Expected Employer Contributions | Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2023: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2023 pension contributions $54,468 $44,565 $21,110 $1,420 $5,314 $15,543 Pension contributions made through March 2023 $6,436 $3,169 $2,470 $— $146 $2,191 Remaining estimated pension contributions to be made in 2023 $48,032 $41,396 $18,640 $1,420 $5,168 $13,352 |
Entergy Arkansas [Member] | Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $741 $845 $220 $59 $202 $189 Interest cost on APBO 2,001 2,233 543 290 649 432 Expected return on assets (3,778) — (1,179) (1,316) (2,194) (634) Amortization of prior service cost/(credit) 524 (951) (239) (229) (1,093) (73) Amortization of net (gain) loss 43 (1,764) 21 117 229 — Net other postretirement benefit cost (income) ($469) $363 ($634) ($1,079) ($2,207) ($86) 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,114 $1,408 $339 $99 $331 $310 Interest cost on APBO 1,263 1,443 350 174 399 279 Expected return on assets (4,483) — (1,394) (1,499) (2,568) (791) Amortization of prior service cost/(credit) 471 (1,158) (443) (229) (1,093) (80) Amortization of net (gain) loss 218 (186) 56 (225) 162 30 Net other postretirement benefit cost (income) ($1,417) $1,507 ($1,092) ($1,680) ($2,769) ($252) |
Entergy Arkansas [Member] | Non Qualified Pension Plans [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the first quarters of 2023 and 2022: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2023 $450 $27 $552 $33 $63 2022 $72 $27 $80 $29 $215 Reflected in Entergy Arkansas’ non-qualified pension costs in the first quarter of 2023 were settlement charges of $379 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Mississippi’s non-qualified pension costs in the first quarter of 2023 were settlement charges of $453 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Texas’ non-qualified pension costs in the first quarter of 2022 were settlement charges of $119 thousand related to the payment of lump sum benefits out of the plan. |
Entergy Louisiana [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Reclassification out of Accumulated Other Comprehensive Income, amortization | Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the three months ended March 31, 2023 and 2022: 2023 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $3,510 ($113) $3,397 Amortization of net gain (loss) (1,040) 2,898 (197) 1,661 Settlement loss (6,647) — (1,169) (7,816) ($7,687) $6,408 ($1,479) ($2,758) Entergy Louisiana Amortization of prior service credit $— $951 $— $951 Amortization of net gain (loss) (199) 1,764 — 1,565 Settlement loss (1,440) — — (1,440) ($1,639) $2,715 $— $1,076 2022 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $4,014 ($177) $3,837 Amortization of net loss (12,910) (596) (419) (13,925) Settlement loss — — (782) (782) ($12,910) $3,418 ($1,378) ($10,870) Entergy Louisiana Amortization of prior service credit $— $1,158 $— $1,158 Amortization of net gain (loss) (504) 186 (1) (319) ($504) $1,344 ($1) $839 |
Entergy Louisiana [Member] | Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $4,749 $6,280 $1,482 $491 $1,107 $1,467 Interest cost on projected benefit obligation 14,280 15,379 3,930 1,715 3,242 3,528 Expected return on assets (18,076) (19,233) (4,884) (2,267) (4,152) (4,538) Amortization of net loss 6,969 4,964 1,765 513 990 1,461 Settlement charges 22,174 35,999 11,655 1,693 9,678 4,799 Net pension cost $30,096 $43,389 $13,948 $2,145 $10,865 $6,717 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,858 $9,137 $2,130 $752 $1,632 $2,045 Interest cost on projected benefit obligation 9,317 10,499 2,678 1,139 2,175 2,338 Expected return on assets (19,247) (21,133) (5,203) (2,515) (4,937) (4,623) Amortization of net loss 13,426 12,597 3,810 1,368 2,555 3,266 Net pension cost $10,354 $11,100 $3,415 $744 $1,425 $3,026 |
Expected Employer Contributions | Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2023: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2023 pension contributions $54,468 $44,565 $21,110 $1,420 $5,314 $15,543 Pension contributions made through March 2023 $6,436 $3,169 $2,470 $— $146 $2,191 Remaining estimated pension contributions to be made in 2023 $48,032 $41,396 $18,640 $1,420 $5,168 $13,352 |
Entergy Louisiana [Member] | Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $741 $845 $220 $59 $202 $189 Interest cost on APBO 2,001 2,233 543 290 649 432 Expected return on assets (3,778) — (1,179) (1,316) (2,194) (634) Amortization of prior service cost/(credit) 524 (951) (239) (229) (1,093) (73) Amortization of net (gain) loss 43 (1,764) 21 117 229 — Net other postretirement benefit cost (income) ($469) $363 ($634) ($1,079) ($2,207) ($86) 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,114 $1,408 $339 $99 $331 $310 Interest cost on APBO 1,263 1,443 350 174 399 279 Expected return on assets (4,483) — (1,394) (1,499) (2,568) (791) Amortization of prior service cost/(credit) 471 (1,158) (443) (229) (1,093) (80) Amortization of net (gain) loss 218 (186) 56 (225) 162 30 Net other postretirement benefit cost (income) ($1,417) $1,507 ($1,092) ($1,680) ($2,769) ($252) |
Entergy Louisiana [Member] | Non Qualified Pension Plans [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the first quarters of 2023 and 2022: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2023 $450 $27 $552 $33 $63 2022 $72 $27 $80 $29 $215 Reflected in Entergy Arkansas’ non-qualified pension costs in the first quarter of 2023 were settlement charges of $379 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Mississippi’s non-qualified pension costs in the first quarter of 2023 were settlement charges of $453 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Texas’ non-qualified pension costs in the first quarter of 2022 were settlement charges of $119 thousand related to the payment of lump sum benefits out of the plan. |
Entergy Mississippi [Member] | Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $4,749 $6,280 $1,482 $491 $1,107 $1,467 Interest cost on projected benefit obligation 14,280 15,379 3,930 1,715 3,242 3,528 Expected return on assets (18,076) (19,233) (4,884) (2,267) (4,152) (4,538) Amortization of net loss 6,969 4,964 1,765 513 990 1,461 Settlement charges 22,174 35,999 11,655 1,693 9,678 4,799 Net pension cost $30,096 $43,389 $13,948 $2,145 $10,865 $6,717 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,858 $9,137 $2,130 $752 $1,632 $2,045 Interest cost on projected benefit obligation 9,317 10,499 2,678 1,139 2,175 2,338 Expected return on assets (19,247) (21,133) (5,203) (2,515) (4,937) (4,623) Amortization of net loss 13,426 12,597 3,810 1,368 2,555 3,266 Net pension cost $10,354 $11,100 $3,415 $744 $1,425 $3,026 |
Expected Employer Contributions | Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2023: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2023 pension contributions $54,468 $44,565 $21,110 $1,420 $5,314 $15,543 Pension contributions made through March 2023 $6,436 $3,169 $2,470 $— $146 $2,191 Remaining estimated pension contributions to be made in 2023 $48,032 $41,396 $18,640 $1,420 $5,168 $13,352 |
Entergy Mississippi [Member] | Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $741 $845 $220 $59 $202 $189 Interest cost on APBO 2,001 2,233 543 290 649 432 Expected return on assets (3,778) — (1,179) (1,316) (2,194) (634) Amortization of prior service cost/(credit) 524 (951) (239) (229) (1,093) (73) Amortization of net (gain) loss 43 (1,764) 21 117 229 — Net other postretirement benefit cost (income) ($469) $363 ($634) ($1,079) ($2,207) ($86) 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,114 $1,408 $339 $99 $331 $310 Interest cost on APBO 1,263 1,443 350 174 399 279 Expected return on assets (4,483) — (1,394) (1,499) (2,568) (791) Amortization of prior service cost/(credit) 471 (1,158) (443) (229) (1,093) (80) Amortization of net (gain) loss 218 (186) 56 (225) 162 30 Net other postretirement benefit cost (income) ($1,417) $1,507 ($1,092) ($1,680) ($2,769) ($252) |
Entergy Mississippi [Member] | Non Qualified Pension Plans [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the first quarters of 2023 and 2022: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2023 $450 $27 $552 $33 $63 2022 $72 $27 $80 $29 $215 Reflected in Entergy Arkansas’ non-qualified pension costs in the first quarter of 2023 were settlement charges of $379 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Mississippi’s non-qualified pension costs in the first quarter of 2023 were settlement charges of $453 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Texas’ non-qualified pension costs in the first quarter of 2022 were settlement charges of $119 thousand related to the payment of lump sum benefits out of the plan. |
Entergy New Orleans [Member] | Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $4,749 $6,280 $1,482 $491 $1,107 $1,467 Interest cost on projected benefit obligation 14,280 15,379 3,930 1,715 3,242 3,528 Expected return on assets (18,076) (19,233) (4,884) (2,267) (4,152) (4,538) Amortization of net loss 6,969 4,964 1,765 513 990 1,461 Settlement charges 22,174 35,999 11,655 1,693 9,678 4,799 Net pension cost $30,096 $43,389 $13,948 $2,145 $10,865 $6,717 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,858 $9,137 $2,130 $752 $1,632 $2,045 Interest cost on projected benefit obligation 9,317 10,499 2,678 1,139 2,175 2,338 Expected return on assets (19,247) (21,133) (5,203) (2,515) (4,937) (4,623) Amortization of net loss 13,426 12,597 3,810 1,368 2,555 3,266 Net pension cost $10,354 $11,100 $3,415 $744 $1,425 $3,026 |
Expected Employer Contributions | Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2023: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2023 pension contributions $54,468 $44,565 $21,110 $1,420 $5,314 $15,543 Pension contributions made through March 2023 $6,436 $3,169 $2,470 $— $146 $2,191 Remaining estimated pension contributions to be made in 2023 $48,032 $41,396 $18,640 $1,420 $5,168 $13,352 |
Entergy New Orleans [Member] | Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $741 $845 $220 $59 $202 $189 Interest cost on APBO 2,001 2,233 543 290 649 432 Expected return on assets (3,778) — (1,179) (1,316) (2,194) (634) Amortization of prior service cost/(credit) 524 (951) (239) (229) (1,093) (73) Amortization of net (gain) loss 43 (1,764) 21 117 229 — Net other postretirement benefit cost (income) ($469) $363 ($634) ($1,079) ($2,207) ($86) 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,114 $1,408 $339 $99 $331 $310 Interest cost on APBO 1,263 1,443 350 174 399 279 Expected return on assets (4,483) — (1,394) (1,499) (2,568) (791) Amortization of prior service cost/(credit) 471 (1,158) (443) (229) (1,093) (80) Amortization of net (gain) loss 218 (186) 56 (225) 162 30 Net other postretirement benefit cost (income) ($1,417) $1,507 ($1,092) ($1,680) ($2,769) ($252) |
Entergy New Orleans [Member] | Non Qualified Pension Plans [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the first quarters of 2023 and 2022: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2023 $450 $27 $552 $33 $63 2022 $72 $27 $80 $29 $215 Reflected in Entergy Arkansas’ non-qualified pension costs in the first quarter of 2023 were settlement charges of $379 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Mississippi’s non-qualified pension costs in the first quarter of 2023 were settlement charges of $453 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Texas’ non-qualified pension costs in the first quarter of 2022 were settlement charges of $119 thousand related to the payment of lump sum benefits out of the plan. |
Entergy Texas [Member] | Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $4,749 $6,280 $1,482 $491 $1,107 $1,467 Interest cost on projected benefit obligation 14,280 15,379 3,930 1,715 3,242 3,528 Expected return on assets (18,076) (19,233) (4,884) (2,267) (4,152) (4,538) Amortization of net loss 6,969 4,964 1,765 513 990 1,461 Settlement charges 22,174 35,999 11,655 1,693 9,678 4,799 Net pension cost $30,096 $43,389 $13,948 $2,145 $10,865 $6,717 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,858 $9,137 $2,130 $752 $1,632 $2,045 Interest cost on projected benefit obligation 9,317 10,499 2,678 1,139 2,175 2,338 Expected return on assets (19,247) (21,133) (5,203) (2,515) (4,937) (4,623) Amortization of net loss 13,426 12,597 3,810 1,368 2,555 3,266 Net pension cost $10,354 $11,100 $3,415 $744 $1,425 $3,026 |
Expected Employer Contributions | Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2023: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2023 pension contributions $54,468 $44,565 $21,110 $1,420 $5,314 $15,543 Pension contributions made through March 2023 $6,436 $3,169 $2,470 $— $146 $2,191 Remaining estimated pension contributions to be made in 2023 $48,032 $41,396 $18,640 $1,420 $5,168 $13,352 |
Entergy Texas [Member] | Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $741 $845 $220 $59 $202 $189 Interest cost on APBO 2,001 2,233 543 290 649 432 Expected return on assets (3,778) — (1,179) (1,316) (2,194) (634) Amortization of prior service cost/(credit) 524 (951) (239) (229) (1,093) (73) Amortization of net (gain) loss 43 (1,764) 21 117 229 — Net other postretirement benefit cost (income) ($469) $363 ($634) ($1,079) ($2,207) ($86) 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,114 $1,408 $339 $99 $331 $310 Interest cost on APBO 1,263 1,443 350 174 399 279 Expected return on assets (4,483) — (1,394) (1,499) (2,568) (791) Amortization of prior service cost/(credit) 471 (1,158) (443) (229) (1,093) (80) Amortization of net (gain) loss 218 (186) 56 (225) 162 30 Net other postretirement benefit cost (income) ($1,417) $1,507 ($1,092) ($1,680) ($2,769) ($252) |
Entergy Texas [Member] | Non Qualified Pension Plans [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the first quarters of 2023 and 2022: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2023 $450 $27 $552 $33 $63 2022 $72 $27 $80 $29 $215 Reflected in Entergy Arkansas’ non-qualified pension costs in the first quarter of 2023 were settlement charges of $379 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Mississippi’s non-qualified pension costs in the first quarter of 2023 were settlement charges of $453 thousand related to the payment of lump sum benefits out of the plan. Reflected in Entergy Texas’ non-qualified pension costs in the first quarter of 2022 were settlement charges of $119 thousand related to the payment of lump sum benefits out of the plan. |
System Energy [Member] | Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ qualified pension costs, including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $4,749 $6,280 $1,482 $491 $1,107 $1,467 Interest cost on projected benefit obligation 14,280 15,379 3,930 1,715 3,242 3,528 Expected return on assets (18,076) (19,233) (4,884) (2,267) (4,152) (4,538) Amortization of net loss 6,969 4,964 1,765 513 990 1,461 Settlement charges 22,174 35,999 11,655 1,693 9,678 4,799 Net pension cost $30,096 $43,389 $13,948 $2,145 $10,865 $6,717 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,858 $9,137 $2,130 $752 $1,632 $2,045 Interest cost on projected benefit obligation 9,317 10,499 2,678 1,139 2,175 2,338 Expected return on assets (19,247) (21,133) (5,203) (2,515) (4,937) (4,623) Amortization of net loss 13,426 12,597 3,810 1,368 2,555 3,266 Net pension cost $10,354 $11,100 $3,415 $744 $1,425 $3,026 |
Expected Employer Contributions | Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2023: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2023 pension contributions $54,468 $44,565 $21,110 $1,420 $5,314 $15,543 Pension contributions made through March 2023 $6,436 $3,169 $2,470 $— $146 $2,191 Remaining estimated pension contributions to be made in 2023 $48,032 $41,396 $18,640 $1,420 $5,168 $13,352 |
System Energy [Member] | Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the first quarters of 2023 and 2022, included the following components: 2023 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $741 $845 $220 $59 $202 $189 Interest cost on APBO 2,001 2,233 543 290 649 432 Expected return on assets (3,778) — (1,179) (1,316) (2,194) (634) Amortization of prior service cost/(credit) 524 (951) (239) (229) (1,093) (73) Amortization of net (gain) loss 43 (1,764) 21 117 229 — Net other postretirement benefit cost (income) ($469) $363 ($634) ($1,079) ($2,207) ($86) 2022 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,114 $1,408 $339 $99 $331 $310 Interest cost on APBO 1,263 1,443 350 174 399 279 Expected return on assets (4,483) — (1,394) (1,499) (2,568) (791) Amortization of prior service cost/(credit) 471 (1,158) (443) (229) (1,093) (80) Amortization of net (gain) loss 218 (186) 56 (225) 162 30 Net other postretirement benefit cost (income) ($1,417) $1,507 ($1,092) ($1,680) ($2,769) ($252) |
Business Segment Information (T
Business Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Restructuring and Related Costs [Table Text Block] | |
Entergy Corporation [Member] | |
Segment Financial Information | Entergy’s segment financial information for the first quarters of 2023 and 2022 were as follows: Utility Parent & Other Eliminations Consolidated (In Thousands) 2023 Operating revenues $2,947,992 $33,070 ($3) $2,981,059 Income taxes ($66,126) ($12,849) $— ($78,975) Consolidated net income (loss) $398,167 ($30,394) ($55,474) $312,299 Total assets as of March 31, 2023 $63,443,534 $860,341 ($5,100,599) $59,203,276 2022 Operating revenues $2,728,156 $149,777 ($8) $2,877,925 Income taxes $75,359 ($8,862) $— $66,497 Consolidated net income (loss) $343,156 ($31,617) ($31,946) $279,593 Total assets as of December 31, 2022 $61,399,243 $884,442 ($3,688,494) $58,595,191 Eliminations are primarily intersegment activity. Almost all of Entergy’s goodwill is related to the Utility segment. |
Risk Management And Fair Valu_2
Risk Management And Fair Values (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Fair Values Of Derivative Instruments | The fair values of Entergy’s derivative instruments not designated as hedging instruments on the consolidated balance sheet as of March 31, 2023 and December 31, 2022 are shown in the tables below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) (In Millions) 2023 Assets: Natural gas swaps and options Prepayments and other $2 $— $ 2 Financial transmission rights Prepayments and other $8 ($1) $ 7 Liabilities: Natural gas swaps and options Other current liabilities $22 $— $ 22 2022 Assets: Natural gas swaps and options Prepayments and other $13 $— $ 13 Natural gas swaps and options Other deferred debits and other assets $3 $— $ 3 Financial transmission rights Prepayments and other $21 ($2) $ 19 Liabilities: Natural gas swaps and options Other current liabilities $25 $— $ 25 (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheets (d) Excludes cash collateral in the amount of $8 million posted as of December 31, 2022. Also excludes letters of credit in the amount of $1 million posted as of March 31, 2023 and $3 million posted as of December 31, 2022. |
Derivative Instruments Designated As Cash Flow Hedges On Consolidated Statements Of Income | |
Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income | The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($37) Financial transmission rights Purchased power expense (b) $ 16 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) $ 55 Financial transmission rights Purchased power expense (b) $ 23 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. |
Assets and liabilities at fair value on a recurring basis | The following tables set forth, by level within the fair value hierarchy, Entergy’s assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,908 $— $— $1,908 Decommissioning trust funds (a): Temporary cash investments 1 — — 1 Equity securities 26 — — 26 Debt securities 571 1,136 — 1,707 Common trusts (b) 2,616 Securitization recovery trust account 17 — — 17 Escrow accounts 406 — — 406 Gas hedge contracts 2 — — 2 Financial transmission rights — — 7 7 $2,931 $1,136 $7 $6,690 Liabilities: Gas hedge contracts $22 $— $— $22 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $109 $— $— $109 Decommissioning trust funds (a): Equity securities 24 — — 24 Debt securities 534 1,122 — 1,656 Common trusts (b) 2,442 Securitization recovery trust account 13 — — 13 Escrow accounts 402 — — 402 Gas hedge contracts 13 3 — 16 Financial transmission rights — — 19 19 $1,095 $1,125 $19 $4,681 Liabilities: Gas hedge contracts $25 $— $— $25 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. |
Reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy | The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of financial transmission rights classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023 and 2022: 2023 2022 (In Millions) Balance as of January 1, $19 $4 Total gains (losses) for the period Included as a regulatory liability/asset 4 20 Settlements (16) (23) Balance as of March 31, $7 $1 |
Entergy Arkansas [Member] | |
Fair Values Of Derivative Instruments | The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of March 31, 2023 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $2.4 $— $ 2.4 Entergy Louisiana Financial transmission rights Prepayments and other $4.0 $— $ 4.0 Entergy Arkansas Financial transmission rights Prepayments and other $2.7 ($0.2) $ 2.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.2 $— $ 0.2 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $ 0.3 Entergy New Orleans Liabilities: Natural gas swaps Other current liabilities ($21.8) $— ($21.8) Entergy Mississippi Financial transmission rights Other current liabilities $0.4 ($0.5) ($0.1) Entergy Texas The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2022 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $13.1 $— $ 13.1 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets $3.4 $— $ 3.4 Entergy Louisiana Financial transmission rights Prepayments and other $10.3 $— $ 10.3 Entergy Arkansas Financial transmission rights Prepayments and other $7.7 ($0.4) $ 7.3 Entergy Louisiana Financial transmission rights Prepayments and other $0.6 $— $ 0.6 Entergy Mississippi Financial transmission rights Prepayments and other $0.8 $— $ 0.8 Entergy New Orleans Financial transmission rights Prepayments and other $1.2 ($1.1) $ 0.1 Entergy Texas Liabilities: Natural gas swaps Other current liabilities $24.0 $— $ 24.0 Entergy Mississippi Natural gas swaps Other current liabilities $1.5 $— $ 1.5 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of March 31, 2023, letters of credit posted with MISO covered financial transmission rights exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. As of December 31, 2022, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi, $0.2 million for Entergy New Orleans, and $2.4 million for Entergy Texas. |
Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income | The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($6.6) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($28.6) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.2) (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.9 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 8.8 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.5 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.9 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 0.7 (b) Entergy Texas 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale $ 11.1 (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 42.8 (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 1.1 (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 7.5 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 9.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.0 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.8 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.8 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. |
Assets and liabilities at fair value on a recurring basis | Entergy Arkansas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $156.7 $— $— $156.7 Decommissioning trust funds (a): Equity securities 10.4 — — 10.4 Debt securities 135.9 343.5 — 479.4 Common trusts (b) 775.7 Financial transmission rights — — 4.0 4.0 $303.0 $343.5 $4.0 $1,426.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $3.4 $— $— $3.4 Decommissioning trust funds (a): Equity securities 4.5 — — 4.5 Debt securities 126.8 343.9 — 470.7 Common trusts (b) 724.7 Financial transmission rights — — 10.3 10.3 $134.7 $343.9 $10.3 $1,213.6 |
Reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy | The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $10.3 $7.3 $0.6 $0.8 $0.1 Gains (losses) included as a regulatory liability/asset (2.4) 4.0 1.1 0.4 0.5 Settlements (3.9) (8.8) (1.5) (0.9) (0.7) Balance as of March 31, $4.0 $2.5 $0.2 $0.3 ($0.1) The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2022. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $2.3 $0.6 $0.3 $0.1 $0.8 Gains (losses) included as a regulatory liability/asset 5.6 9.1 0.9 0.8 3.5 Settlements (7.5) (9.4) (1.0) (0.8) (3.8) Balance as of March 31, $0.4 $0.3 $0.2 $0.1 $0.5 |
Entergy Louisiana [Member] | |
Fair Values Of Derivative Instruments | The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of March 31, 2023 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $2.4 $— $ 2.4 Entergy Louisiana Financial transmission rights Prepayments and other $4.0 $— $ 4.0 Entergy Arkansas Financial transmission rights Prepayments and other $2.7 ($0.2) $ 2.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.2 $— $ 0.2 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $ 0.3 Entergy New Orleans Liabilities: Natural gas swaps Other current liabilities ($21.8) $— ($21.8) Entergy Mississippi Financial transmission rights Other current liabilities $0.4 ($0.5) ($0.1) Entergy Texas The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2022 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $13.1 $— $ 13.1 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets $3.4 $— $ 3.4 Entergy Louisiana Financial transmission rights Prepayments and other $10.3 $— $ 10.3 Entergy Arkansas Financial transmission rights Prepayments and other $7.7 ($0.4) $ 7.3 Entergy Louisiana Financial transmission rights Prepayments and other $0.6 $— $ 0.6 Entergy Mississippi Financial transmission rights Prepayments and other $0.8 $— $ 0.8 Entergy New Orleans Financial transmission rights Prepayments and other $1.2 ($1.1) $ 0.1 Entergy Texas Liabilities: Natural gas swaps Other current liabilities $24.0 $— $ 24.0 Entergy Mississippi Natural gas swaps Other current liabilities $1.5 $— $ 1.5 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of March 31, 2023, letters of credit posted with MISO covered financial transmission rights exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. As of December 31, 2022, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi, $0.2 million for Entergy New Orleans, and $2.4 million for Entergy Texas. |
Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income | The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($6.6) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($28.6) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.2) (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.9 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 8.8 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.5 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.9 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 0.7 (b) Entergy Texas 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale $ 11.1 (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 42.8 (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 1.1 (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 7.5 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 9.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.0 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.8 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.8 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. |
Assets and liabilities at fair value on a recurring basis | Entergy Louisiana 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1,079.3 $— $— $1,079.3 Decommissioning trust funds (a): Temporary cash investments 1.5 — — 1.5 Equity securities 7.5 — — 7.5 Debt securities 230.7 528.3 — 759.0 Common trusts (b) 1,111.6 Escrow accounts 296.4 — — 296.4 Gas hedge contracts 2.4 — — 2.4 Financial transmission rights — — 2.5 2.5 $1,617.8 $528.3 $2.5 $3,260.2 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $6.3 $— $— $6.3 Decommissioning trust funds (a): Equity securities 16.8 — — 16.8 Debt securities 209.4 515.7 — 725.1 Common trusts (b) 1,037.2 Escrow accounts 293.4 — — 293.4 Gas hedge contracts 13.1 3.4 — 16.5 Financial transmission rights — — 7.3 7.3 $539.0 $519.1 $7.3 $2,102.6 |
Reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy | The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $10.3 $7.3 $0.6 $0.8 $0.1 Gains (losses) included as a regulatory liability/asset (2.4) 4.0 1.1 0.4 0.5 Settlements (3.9) (8.8) (1.5) (0.9) (0.7) Balance as of March 31, $4.0 $2.5 $0.2 $0.3 ($0.1) The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2022. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $2.3 $0.6 $0.3 $0.1 $0.8 Gains (losses) included as a regulatory liability/asset 5.6 9.1 0.9 0.8 3.5 Settlements (7.5) (9.4) (1.0) (0.8) (3.8) Balance as of March 31, $0.4 $0.3 $0.2 $0.1 $0.5 |
Entergy Mississippi [Member] | |
Fair Values Of Derivative Instruments | The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of March 31, 2023 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $2.4 $— $ 2.4 Entergy Louisiana Financial transmission rights Prepayments and other $4.0 $— $ 4.0 Entergy Arkansas Financial transmission rights Prepayments and other $2.7 ($0.2) $ 2.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.2 $— $ 0.2 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $ 0.3 Entergy New Orleans Liabilities: Natural gas swaps Other current liabilities ($21.8) $— ($21.8) Entergy Mississippi Financial transmission rights Other current liabilities $0.4 ($0.5) ($0.1) Entergy Texas The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2022 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $13.1 $— $ 13.1 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets $3.4 $— $ 3.4 Entergy Louisiana Financial transmission rights Prepayments and other $10.3 $— $ 10.3 Entergy Arkansas Financial transmission rights Prepayments and other $7.7 ($0.4) $ 7.3 Entergy Louisiana Financial transmission rights Prepayments and other $0.6 $— $ 0.6 Entergy Mississippi Financial transmission rights Prepayments and other $0.8 $— $ 0.8 Entergy New Orleans Financial transmission rights Prepayments and other $1.2 ($1.1) $ 0.1 Entergy Texas Liabilities: Natural gas swaps Other current liabilities $24.0 $— $ 24.0 Entergy Mississippi Natural gas swaps Other current liabilities $1.5 $— $ 1.5 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of March 31, 2023, letters of credit posted with MISO covered financial transmission rights exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. As of December 31, 2022, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi, $0.2 million for Entergy New Orleans, and $2.4 million for Entergy Texas. |
Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income | The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($6.6) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($28.6) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.2) (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.9 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 8.8 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.5 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.9 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 0.7 (b) Entergy Texas 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale $ 11.1 (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 42.8 (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 1.1 (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 7.5 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 9.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.0 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.8 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.8 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. |
Assets and liabilities at fair value on a recurring basis | Entergy Mississippi 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $35.3 $— $— $35.3 Escrow accounts 33.9 — — 33.9 Financial transmission rights — — 0.2 0.2 $69.2 $— $0.2 $69.4 Liabilities: Gas hedge contracts $21.8 $— $— $21.8 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $17.0 $— $— $17.0 Escrow accounts 33.5 — — 33.5 Financial transmission rights — — 0.6 0.6 $50.5 $— $0.6 $51.1 Liabilities: Gas hedge contracts $24.0 $— $— $24.0 |
Reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy | The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $10.3 $7.3 $0.6 $0.8 $0.1 Gains (losses) included as a regulatory liability/asset (2.4) 4.0 1.1 0.4 0.5 Settlements (3.9) (8.8) (1.5) (0.9) (0.7) Balance as of March 31, $4.0 $2.5 $0.2 $0.3 ($0.1) The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2022. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $2.3 $0.6 $0.3 $0.1 $0.8 Gains (losses) included as a regulatory liability/asset 5.6 9.1 0.9 0.8 3.5 Settlements (7.5) (9.4) (1.0) (0.8) (3.8) Balance as of March 31, $0.4 $0.3 $0.2 $0.1 $0.5 |
Entergy New Orleans [Member] | |
Fair Values Of Derivative Instruments | The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of March 31, 2023 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $2.4 $— $ 2.4 Entergy Louisiana Financial transmission rights Prepayments and other $4.0 $— $ 4.0 Entergy Arkansas Financial transmission rights Prepayments and other $2.7 ($0.2) $ 2.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.2 $— $ 0.2 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $ 0.3 Entergy New Orleans Liabilities: Natural gas swaps Other current liabilities ($21.8) $— ($21.8) Entergy Mississippi Financial transmission rights Other current liabilities $0.4 ($0.5) ($0.1) Entergy Texas The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2022 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $13.1 $— $ 13.1 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets $3.4 $— $ 3.4 Entergy Louisiana Financial transmission rights Prepayments and other $10.3 $— $ 10.3 Entergy Arkansas Financial transmission rights Prepayments and other $7.7 ($0.4) $ 7.3 Entergy Louisiana Financial transmission rights Prepayments and other $0.6 $— $ 0.6 Entergy Mississippi Financial transmission rights Prepayments and other $0.8 $— $ 0.8 Entergy New Orleans Financial transmission rights Prepayments and other $1.2 ($1.1) $ 0.1 Entergy Texas Liabilities: Natural gas swaps Other current liabilities $24.0 $— $ 24.0 Entergy Mississippi Natural gas swaps Other current liabilities $1.5 $— $ 1.5 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of March 31, 2023, letters of credit posted with MISO covered financial transmission rights exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. As of December 31, 2022, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi, $0.2 million for Entergy New Orleans, and $2.4 million for Entergy Texas. |
Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income | The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($6.6) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($28.6) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.2) (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.9 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 8.8 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.5 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.9 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 0.7 (b) Entergy Texas 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale $ 11.1 (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 42.8 (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 1.1 (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 7.5 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 9.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.0 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.8 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.8 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. |
Assets and liabilities at fair value on a recurring basis | Entergy New Orleans 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $175.5 $— $— $175.5 Securitization recovery trust account 5.3 — — 5.3 Escrow accounts 75.8 — — 75.8 Financial transmission rights — — 0.3 0.3 $256.6 $— $0.3 $256.9 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $4.4 $— $— $4.4 Securitization recovery trust account 2.2 — — 2.2 Escrow accounts 75.0 — — 75.0 Financial transmission rights — — 0.8 0.8 $81.6 $— $0.8 $82.4 Liabilities: Gas hedge contracts $1.5 $— $— $1.5 |
Reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy | The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $10.3 $7.3 $0.6 $0.8 $0.1 Gains (losses) included as a regulatory liability/asset (2.4) 4.0 1.1 0.4 0.5 Settlements (3.9) (8.8) (1.5) (0.9) (0.7) Balance as of March 31, $4.0 $2.5 $0.2 $0.3 ($0.1) The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2022. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $2.3 $0.6 $0.3 $0.1 $0.8 Gains (losses) included as a regulatory liability/asset 5.6 9.1 0.9 0.8 3.5 Settlements (7.5) (9.4) (1.0) (0.8) (3.8) Balance as of March 31, $0.4 $0.3 $0.2 $0.1 $0.5 |
Entergy Texas [Member] | |
Fair Values Of Derivative Instruments | The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of March 31, 2023 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $2.4 $— $ 2.4 Entergy Louisiana Financial transmission rights Prepayments and other $4.0 $— $ 4.0 Entergy Arkansas Financial transmission rights Prepayments and other $2.7 ($0.2) $ 2.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.2 $— $ 0.2 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $ 0.3 Entergy New Orleans Liabilities: Natural gas swaps Other current liabilities ($21.8) $— ($21.8) Entergy Mississippi Financial transmission rights Other current liabilities $0.4 ($0.5) ($0.1) Entergy Texas The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2022 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $13.1 $— $ 13.1 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets $3.4 $— $ 3.4 Entergy Louisiana Financial transmission rights Prepayments and other $10.3 $— $ 10.3 Entergy Arkansas Financial transmission rights Prepayments and other $7.7 ($0.4) $ 7.3 Entergy Louisiana Financial transmission rights Prepayments and other $0.6 $— $ 0.6 Entergy Mississippi Financial transmission rights Prepayments and other $0.8 $— $ 0.8 Entergy New Orleans Financial transmission rights Prepayments and other $1.2 ($1.1) $ 0.1 Entergy Texas Liabilities: Natural gas swaps Other current liabilities $24.0 $— $ 24.0 Entergy Mississippi Natural gas swaps Other current liabilities $1.5 $— $ 1.5 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of March 31, 2023, letters of credit posted with MISO covered financial transmission rights exposure of $0.1 million for Entergy Arkansas, $0.3 million for Entergy Mississippi, and $0.5 million for Entergy Texas. As of December 31, 2022, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi, $0.2 million for Entergy New Orleans, and $2.4 million for Entergy Texas. |
Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income | The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended March 31, 2023 and 2022 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2023 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($6.6) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($28.6) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.2) (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.9 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 8.8 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.5 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.9 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 0.7 (b) Entergy Texas 2022 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale $ 11.1 (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 42.8 (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $ 1.1 (a) Entergy New Orleans Financial transmission rights Purchased power expense $ 7.5 (b) Entergy Arkansas Financial transmission rights Purchased power expense $ 9.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense $ 1.0 (b) Entergy Mississippi Financial transmission rights Purchased power expense $ 0.8 (b) Entergy New Orleans Financial transmission rights Purchased power expense $ 3.8 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. |
Assets and liabilities at fair value on a recurring basis | Entergy Texas 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $91.2 $— $— $91.2 Securitization recovery trust account 11.7 — — 11.7 $102.9 $— $— $102.9 Liabilities: Financial transmission rights $— $— $0.1 $0.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $3.0 $— $— $3.0 Securitization recovery trust account 10.9 — — 10.9 Financial transmission rights — — 0.1 0.1 $13.9 $— $0.1 $14.0 |
Reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy | The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2023. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $10.3 $7.3 $0.6 $0.8 $0.1 Gains (losses) included as a regulatory liability/asset (2.4) 4.0 1.1 0.4 0.5 Settlements (3.9) (8.8) (1.5) (0.9) (0.7) Balance as of March 31, $4.0 $2.5 $0.2 $0.3 ($0.1) The following table sets forth a reconciliation of changes in the net assets for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2022. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $2.3 $0.6 $0.3 $0.1 $0.8 Gains (losses) included as a regulatory liability/asset 5.6 9.1 0.9 0.8 3.5 Settlements (7.5) (9.4) (1.0) (0.8) (3.8) Balance as of March 31, $0.4 $0.3 $0.2 $0.1 $0.5 |
System Energy [Member] | |
Assets and liabilities at fair value on a recurring basis | System Energy 2023 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $259.3 $— $— $259.3 Decommissioning trust funds (a): Equity securities 8.3 — — 8.3 Debt securities 204.0 264.1 — 468.1 Common trusts (b) 728.4 $471.6 $264.1 $— $1,464.1 2022 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $2.9 $— $— $2.9 Decommissioning trust funds (a): Equity securities 2.8 — — 2.8 Debt securities 197.5 262.2 — 459.7 Common trusts (b) 680.4 $203.2 $262.2 $— $1,145.8 |
Decommissioning Trust Funds (Ta
Decommissioning Trust Funds (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Securities Held | The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $1,707 $8 $160 2022 Debt Securities $1,655 $4 $201 |
Available For Sale Securities Continuous Unrealized Loss Position Fair Value | The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $391 $13 $840 $63 More than 12 months 961 147 666 138 Total $1,352 $160 $1,506 $201 |
Fair Value Of Debt Securities By Contractual Maturities | The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $70 $62 1 year - 5 years 516 520 5 years - 10 years 496 461 10 years - 15 years 111 117 15 years - 20 years 161 161 20 years+ 353 334 Total $1,707 $1,655 |
Entergy Arkansas [Member] | |
Securities Held | The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $479.4 $0.9 $56.8 2022 Debt Securities $470.7 $0.2 $69.3 |
Available For Sale Securities Continuous Unrealized Loss Position Fair Value | The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $52.3 $1.4 $197.6 $18.8 More than 12 months 380.4 55.4 260.1 50.5 Total $432.7 $56.8 $457.7 $69.3 |
Fair Value Of Debt Securities By Contractual Maturities | The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $28.7 $21.2 1 year - 5 years 153.6 159.7 5 years - 10 years 194.2 191.7 10 years - 15 years 41.6 38.0 15 years - 20 years 43.0 42.6 20 years+ 18.3 17.5 Total $479.4 $470.7 |
Entergy Louisiana [Member] | |
Securities Held | The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $759.0 $5.4 $50.4 2022 Debt Securities $725.1 $3.5 $67.5 |
Available For Sale Securities Continuous Unrealized Loss Position Fair Value | The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $258.1 $6.7 $409.9 $24.6 More than 12 months 304.8 43.7 207.5 42.9 Total $562.9 $50.4 $617.4 $67.5 |
Fair Value Of Debt Securities By Contractual Maturities | The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $37.1 $33.6 1 year - 5 years 168.4 159.1 5 years - 10 years 176.4 161.7 10 years - 15 years 62.8 67.1 15 years - 20 years 80.0 83.3 20 years+ 234.3 220.3 Total $759.0 $725.1 |
System Energy [Member] | |
Securities Held | The available-for-sale securities held as of March 31, 2023 and December 31, 2022 are summarized as follows: Fair Total Total (In Millions) 2023 Debt Securities $468.1 $2.1 $52.6 2022 Debt Securities $459.7 $0.7 $63.7 |
Available For Sale Securities Continuous Unrealized Loss Position Fair Value | The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 Fair Gross Fair Gross (In Millions) Less than 12 months $80.8 $4.3 $231.9 $19.2 More than 12 months 275.2 48.3 198.0 44.5 Total $356.0 $52.6 $429.9 $63.7 |
Fair Value Of Debt Securities By Contractual Maturities | The fair value of available-for-sale debt securities, summarized by contractual maturities, as of March 31, 2023 and December 31, 2022 were as follows: 2023 2022 (In Millions) Less than 1 year $3.8 $6.8 1 year - 5 years 193.9 201.7 5 years - 10 years 125.2 107.1 10 years - 15 years 6.8 11.7 15 years - 20 years 38.1 35.0 20 years+ 100.3 97.4 Total $468.1 $459.7 |
Revenue Recognition Revenue Rec
Revenue Recognition Revenue Recognition (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Disaggregation of Revenue [Table Text Block] | Entergy’s total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 2022 (In Thousands) Utility: Residential $1,041,460 $986,023 Commercial 714,300 634,626 Industrial 863,723 743,634 Governmental 67,337 57,292 Total billed retail 2,686,820 2,421,575 Sales for resale (a) 107,947 128,959 Other electric revenues (b) 44,457 93,880 Revenues from contracts with customers 2,839,224 2,644,414 Other Utility revenues (c) 44,187 11,362 Electric revenues 2,883,411 2,655,776 Natural gas revenues 64,581 72,361 Other revenues (d) 33,067 149,788 Total operating revenues $2,981,059 $2,877,925 |
Allowance for Doubtful Accounts | The following tables set forth a reconciliation of changes in the allowance for doubtful accounts for the three months ended March 31, 2023 and 2022. Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2022 $30.9 $6.5 $7.6 $2.5 $11.9 $2.4 Provisions 6.1 1.3 4.0 0.7 (1.1) 1.2 Write-offs (34.4) (9.4) (15.1) (1.7) (3.4) (4.8) Recoveries 20.7 6.9 9.2 0.7 0.9 3.0 Balance as of March 31, 2023 $23.3 $5.3 $5.7 $2.2 $8.3 $1.8 Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2021 $68.6 $13.1 $29.2 $7.2 $13.3 $5.8 Provisions (a) (5.9) 3.7 (6.1) (0.9) (2.4) (0.2) Write-offs (45.3) (14.4) (17.5) (4.1) (5.4) (3.9) Recoveries 14.1 4.1 5.5 1.2 2.2 1.1 Balance as of March 31, 2022 $31.5 $6.5 $11.1 $3.4 $7.7 $2.8 (a) Provisions include estimated incremental bad debt expenses, and revisions to those estimates, resulting from the COVID-19 pandemic of ($11.0) million for Entergy, $1.8 million for Entergy Arkansas, ($8.5) million for Entergy Louisiana, ($3.0) million for Entergy New Orleans, and ($1.3) million for Entergy Texas that have been deferred as regulatory assets. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the COVID-19 orders issued by retail regulators. |
Entergy Arkansas [Member] | |
Disaggregation of Revenue [Table Text Block] | The Utility operating companies’ total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $239,499 $360,647 $169,389 $63,566 $208,359 Commercial 125,336 278,178 133,676 54,069 123,041 Industrial 131,237 509,904 51,415 7,413 163,754 Governmental 4,660 23,074 13,883 17,798 7,922 Total billed retail 500,732 1,171,803 368,363 142,846 503,076 Sales for resale (a) 66,018 83,237 38,743 24,910 2,445 Other electric revenues (b) 13,718 26,567 2,874 417 2,224 Revenues from contracts with customers 580,468 1,281,607 409,980 168,173 507,745 Other Utility revenues (c) 2,281 38,145 2,448 1,522 (239) Electric revenues 582,749 1,319,752 412,428 169,695 507,506 Natural gas revenues — 25,456 — 39,125 — Total operating revenues $582,749 $1,345,208 $412,428 $208,820 $507,506 2022 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $227,786 $353,567 $152,939 $58,658 $193,073 Commercial 113,238 257,591 110,661 45,572 107,564 Industrial 109,675 451,954 39,157 6,272 136,576 Governmental 4,460 19,016 12,000 15,033 6,783 Total billed retail 455,159 1,082,128 314,757 125,535 443,996 Sales for resale (a) 70,414 107,701 21,641 26,540 17,644 Other electric revenues (b) 30,572 41,482 10,337 1,393 11,449 Revenues from contracts with customers 556,145 1,231,311 346,735 153,468 473,089 Other Utility revenues (c) 2,811 5,926 2,294 1,178 (607) Electric revenues 558,956 1,237,237 349,029 154,646 472,482 Natural gas revenues — 28,735 — 43,626 — Total operating revenues $558,956 $1,265,972 $349,029 $198,272 $472,482 (a) Sales for resale includes day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market, unbilled revenue, and certain customer credits as directed by regulators. (c) Other Utility revenues include the equity component of carrying costs related to securitization, settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. (d) Other revenues includes competitive business sales including day-ahead sale of energy in a market administered by an ISO, operation and management services fees, and amortization of a below-market power purchase agreement. |
Allowance for Doubtful Accounts | The following tables set forth a reconciliation of changes in the allowance for doubtful accounts for the three months ended March 31, 2023 and 2022. Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2022 $30.9 $6.5 $7.6 $2.5 $11.9 $2.4 Provisions 6.1 1.3 4.0 0.7 (1.1) 1.2 Write-offs (34.4) (9.4) (15.1) (1.7) (3.4) (4.8) Recoveries 20.7 6.9 9.2 0.7 0.9 3.0 Balance as of March 31, 2023 $23.3 $5.3 $5.7 $2.2 $8.3 $1.8 Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2021 $68.6 $13.1 $29.2 $7.2 $13.3 $5.8 Provisions (a) (5.9) 3.7 (6.1) (0.9) (2.4) (0.2) Write-offs (45.3) (14.4) (17.5) (4.1) (5.4) (3.9) Recoveries 14.1 4.1 5.5 1.2 2.2 1.1 Balance as of March 31, 2022 $31.5 $6.5 $11.1 $3.4 $7.7 $2.8 (a) Provisions include estimated incremental bad debt expenses, and revisions to those estimates, resulting from the COVID-19 pandemic of ($11.0) million for Entergy, $1.8 million for Entergy Arkansas, ($8.5) million for Entergy Louisiana, ($3.0) million for Entergy New Orleans, and ($1.3) million for Entergy Texas that have been deferred as regulatory assets. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the COVID-19 orders issued by retail regulators. |
Entergy Louisiana [Member] | |
Disaggregation of Revenue [Table Text Block] | The Utility operating companies’ total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $239,499 $360,647 $169,389 $63,566 $208,359 Commercial 125,336 278,178 133,676 54,069 123,041 Industrial 131,237 509,904 51,415 7,413 163,754 Governmental 4,660 23,074 13,883 17,798 7,922 Total billed retail 500,732 1,171,803 368,363 142,846 503,076 Sales for resale (a) 66,018 83,237 38,743 24,910 2,445 Other electric revenues (b) 13,718 26,567 2,874 417 2,224 Revenues from contracts with customers 580,468 1,281,607 409,980 168,173 507,745 Other Utility revenues (c) 2,281 38,145 2,448 1,522 (239) Electric revenues 582,749 1,319,752 412,428 169,695 507,506 Natural gas revenues — 25,456 — 39,125 — Total operating revenues $582,749 $1,345,208 $412,428 $208,820 $507,506 2022 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $227,786 $353,567 $152,939 $58,658 $193,073 Commercial 113,238 257,591 110,661 45,572 107,564 Industrial 109,675 451,954 39,157 6,272 136,576 Governmental 4,460 19,016 12,000 15,033 6,783 Total billed retail 455,159 1,082,128 314,757 125,535 443,996 Sales for resale (a) 70,414 107,701 21,641 26,540 17,644 Other electric revenues (b) 30,572 41,482 10,337 1,393 11,449 Revenues from contracts with customers 556,145 1,231,311 346,735 153,468 473,089 Other Utility revenues (c) 2,811 5,926 2,294 1,178 (607) Electric revenues 558,956 1,237,237 349,029 154,646 472,482 Natural gas revenues — 28,735 — 43,626 — Total operating revenues $558,956 $1,265,972 $349,029 $198,272 $472,482 (a) Sales for resale includes day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market, unbilled revenue, and certain customer credits as directed by regulators. (c) Other Utility revenues include the equity component of carrying costs related to securitization, settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. (d) Other revenues includes competitive business sales including day-ahead sale of energy in a market administered by an ISO, operation and management services fees, and amortization of a below-market power purchase agreement. |
Allowance for Doubtful Accounts | The following tables set forth a reconciliation of changes in the allowance for doubtful accounts for the three months ended March 31, 2023 and 2022. Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2022 $30.9 $6.5 $7.6 $2.5 $11.9 $2.4 Provisions 6.1 1.3 4.0 0.7 (1.1) 1.2 Write-offs (34.4) (9.4) (15.1) (1.7) (3.4) (4.8) Recoveries 20.7 6.9 9.2 0.7 0.9 3.0 Balance as of March 31, 2023 $23.3 $5.3 $5.7 $2.2 $8.3 $1.8 Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2021 $68.6 $13.1 $29.2 $7.2 $13.3 $5.8 Provisions (a) (5.9) 3.7 (6.1) (0.9) (2.4) (0.2) Write-offs (45.3) (14.4) (17.5) (4.1) (5.4) (3.9) Recoveries 14.1 4.1 5.5 1.2 2.2 1.1 Balance as of March 31, 2022 $31.5 $6.5 $11.1 $3.4 $7.7 $2.8 (a) Provisions include estimated incremental bad debt expenses, and revisions to those estimates, resulting from the COVID-19 pandemic of ($11.0) million for Entergy, $1.8 million for Entergy Arkansas, ($8.5) million for Entergy Louisiana, ($3.0) million for Entergy New Orleans, and ($1.3) million for Entergy Texas that have been deferred as regulatory assets. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the COVID-19 orders issued by retail regulators. |
Entergy Mississippi [Member] | |
Disaggregation of Revenue [Table Text Block] | The Utility operating companies’ total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $239,499 $360,647 $169,389 $63,566 $208,359 Commercial 125,336 278,178 133,676 54,069 123,041 Industrial 131,237 509,904 51,415 7,413 163,754 Governmental 4,660 23,074 13,883 17,798 7,922 Total billed retail 500,732 1,171,803 368,363 142,846 503,076 Sales for resale (a) 66,018 83,237 38,743 24,910 2,445 Other electric revenues (b) 13,718 26,567 2,874 417 2,224 Revenues from contracts with customers 580,468 1,281,607 409,980 168,173 507,745 Other Utility revenues (c) 2,281 38,145 2,448 1,522 (239) Electric revenues 582,749 1,319,752 412,428 169,695 507,506 Natural gas revenues — 25,456 — 39,125 — Total operating revenues $582,749 $1,345,208 $412,428 $208,820 $507,506 2022 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $227,786 $353,567 $152,939 $58,658 $193,073 Commercial 113,238 257,591 110,661 45,572 107,564 Industrial 109,675 451,954 39,157 6,272 136,576 Governmental 4,460 19,016 12,000 15,033 6,783 Total billed retail 455,159 1,082,128 314,757 125,535 443,996 Sales for resale (a) 70,414 107,701 21,641 26,540 17,644 Other electric revenues (b) 30,572 41,482 10,337 1,393 11,449 Revenues from contracts with customers 556,145 1,231,311 346,735 153,468 473,089 Other Utility revenues (c) 2,811 5,926 2,294 1,178 (607) Electric revenues 558,956 1,237,237 349,029 154,646 472,482 Natural gas revenues — 28,735 — 43,626 — Total operating revenues $558,956 $1,265,972 $349,029 $198,272 $472,482 (a) Sales for resale includes day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market, unbilled revenue, and certain customer credits as directed by regulators. (c) Other Utility revenues include the equity component of carrying costs related to securitization, settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. (d) Other revenues includes competitive business sales including day-ahead sale of energy in a market administered by an ISO, operation and management services fees, and amortization of a below-market power purchase agreement. |
Allowance for Doubtful Accounts | The following tables set forth a reconciliation of changes in the allowance for doubtful accounts for the three months ended March 31, 2023 and 2022. Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2022 $30.9 $6.5 $7.6 $2.5 $11.9 $2.4 Provisions 6.1 1.3 4.0 0.7 (1.1) 1.2 Write-offs (34.4) (9.4) (15.1) (1.7) (3.4) (4.8) Recoveries 20.7 6.9 9.2 0.7 0.9 3.0 Balance as of March 31, 2023 $23.3 $5.3 $5.7 $2.2 $8.3 $1.8 Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2021 $68.6 $13.1 $29.2 $7.2 $13.3 $5.8 Provisions (a) (5.9) 3.7 (6.1) (0.9) (2.4) (0.2) Write-offs (45.3) (14.4) (17.5) (4.1) (5.4) (3.9) Recoveries 14.1 4.1 5.5 1.2 2.2 1.1 Balance as of March 31, 2022 $31.5 $6.5 $11.1 $3.4 $7.7 $2.8 (a) Provisions include estimated incremental bad debt expenses, and revisions to those estimates, resulting from the COVID-19 pandemic of ($11.0) million for Entergy, $1.8 million for Entergy Arkansas, ($8.5) million for Entergy Louisiana, ($3.0) million for Entergy New Orleans, and ($1.3) million for Entergy Texas that have been deferred as regulatory assets. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the COVID-19 orders issued by retail regulators. |
Entergy New Orleans [Member] | |
Disaggregation of Revenue [Table Text Block] | The Utility operating companies’ total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $239,499 $360,647 $169,389 $63,566 $208,359 Commercial 125,336 278,178 133,676 54,069 123,041 Industrial 131,237 509,904 51,415 7,413 163,754 Governmental 4,660 23,074 13,883 17,798 7,922 Total billed retail 500,732 1,171,803 368,363 142,846 503,076 Sales for resale (a) 66,018 83,237 38,743 24,910 2,445 Other electric revenues (b) 13,718 26,567 2,874 417 2,224 Revenues from contracts with customers 580,468 1,281,607 409,980 168,173 507,745 Other Utility revenues (c) 2,281 38,145 2,448 1,522 (239) Electric revenues 582,749 1,319,752 412,428 169,695 507,506 Natural gas revenues — 25,456 — 39,125 — Total operating revenues $582,749 $1,345,208 $412,428 $208,820 $507,506 2022 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $227,786 $353,567 $152,939 $58,658 $193,073 Commercial 113,238 257,591 110,661 45,572 107,564 Industrial 109,675 451,954 39,157 6,272 136,576 Governmental 4,460 19,016 12,000 15,033 6,783 Total billed retail 455,159 1,082,128 314,757 125,535 443,996 Sales for resale (a) 70,414 107,701 21,641 26,540 17,644 Other electric revenues (b) 30,572 41,482 10,337 1,393 11,449 Revenues from contracts with customers 556,145 1,231,311 346,735 153,468 473,089 Other Utility revenues (c) 2,811 5,926 2,294 1,178 (607) Electric revenues 558,956 1,237,237 349,029 154,646 472,482 Natural gas revenues — 28,735 — 43,626 — Total operating revenues $558,956 $1,265,972 $349,029 $198,272 $472,482 (a) Sales for resale includes day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market, unbilled revenue, and certain customer credits as directed by regulators. (c) Other Utility revenues include the equity component of carrying costs related to securitization, settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. (d) Other revenues includes competitive business sales including day-ahead sale of energy in a market administered by an ISO, operation and management services fees, and amortization of a below-market power purchase agreement. |
Allowance for Doubtful Accounts | The following tables set forth a reconciliation of changes in the allowance for doubtful accounts for the three months ended March 31, 2023 and 2022. Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2022 $30.9 $6.5 $7.6 $2.5 $11.9 $2.4 Provisions 6.1 1.3 4.0 0.7 (1.1) 1.2 Write-offs (34.4) (9.4) (15.1) (1.7) (3.4) (4.8) Recoveries 20.7 6.9 9.2 0.7 0.9 3.0 Balance as of March 31, 2023 $23.3 $5.3 $5.7 $2.2 $8.3 $1.8 Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2021 $68.6 $13.1 $29.2 $7.2 $13.3 $5.8 Provisions (a) (5.9) 3.7 (6.1) (0.9) (2.4) (0.2) Write-offs (45.3) (14.4) (17.5) (4.1) (5.4) (3.9) Recoveries 14.1 4.1 5.5 1.2 2.2 1.1 Balance as of March 31, 2022 $31.5 $6.5 $11.1 $3.4 $7.7 $2.8 (a) Provisions include estimated incremental bad debt expenses, and revisions to those estimates, resulting from the COVID-19 pandemic of ($11.0) million for Entergy, $1.8 million for Entergy Arkansas, ($8.5) million for Entergy Louisiana, ($3.0) million for Entergy New Orleans, and ($1.3) million for Entergy Texas that have been deferred as regulatory assets. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the COVID-19 orders issued by retail regulators. |
Entergy Texas [Member] | |
Disaggregation of Revenue [Table Text Block] | The Utility operating companies’ total revenues for the three months ended March 31, 2023 and 2022 were as follows: 2023 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $239,499 $360,647 $169,389 $63,566 $208,359 Commercial 125,336 278,178 133,676 54,069 123,041 Industrial 131,237 509,904 51,415 7,413 163,754 Governmental 4,660 23,074 13,883 17,798 7,922 Total billed retail 500,732 1,171,803 368,363 142,846 503,076 Sales for resale (a) 66,018 83,237 38,743 24,910 2,445 Other electric revenues (b) 13,718 26,567 2,874 417 2,224 Revenues from contracts with customers 580,468 1,281,607 409,980 168,173 507,745 Other Utility revenues (c) 2,281 38,145 2,448 1,522 (239) Electric revenues 582,749 1,319,752 412,428 169,695 507,506 Natural gas revenues — 25,456 — 39,125 — Total operating revenues $582,749 $1,345,208 $412,428 $208,820 $507,506 2022 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $227,786 $353,567 $152,939 $58,658 $193,073 Commercial 113,238 257,591 110,661 45,572 107,564 Industrial 109,675 451,954 39,157 6,272 136,576 Governmental 4,460 19,016 12,000 15,033 6,783 Total billed retail 455,159 1,082,128 314,757 125,535 443,996 Sales for resale (a) 70,414 107,701 21,641 26,540 17,644 Other electric revenues (b) 30,572 41,482 10,337 1,393 11,449 Revenues from contracts with customers 556,145 1,231,311 346,735 153,468 473,089 Other Utility revenues (c) 2,811 5,926 2,294 1,178 (607) Electric revenues 558,956 1,237,237 349,029 154,646 472,482 Natural gas revenues — 28,735 — 43,626 — Total operating revenues $558,956 $1,265,972 $349,029 $198,272 $472,482 (a) Sales for resale includes day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market, unbilled revenue, and certain customer credits as directed by regulators. (c) Other Utility revenues include the equity component of carrying costs related to securitization, settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. (d) Other revenues includes competitive business sales including day-ahead sale of energy in a market administered by an ISO, operation and management services fees, and amortization of a below-market power purchase agreement. |
Allowance for Doubtful Accounts | The following tables set forth a reconciliation of changes in the allowance for doubtful accounts for the three months ended March 31, 2023 and 2022. Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2022 $30.9 $6.5 $7.6 $2.5 $11.9 $2.4 Provisions 6.1 1.3 4.0 0.7 (1.1) 1.2 Write-offs (34.4) (9.4) (15.1) (1.7) (3.4) (4.8) Recoveries 20.7 6.9 9.2 0.7 0.9 3.0 Balance as of March 31, 2023 $23.3 $5.3 $5.7 $2.2 $8.3 $1.8 Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2021 $68.6 $13.1 $29.2 $7.2 $13.3 $5.8 Provisions (a) (5.9) 3.7 (6.1) (0.9) (2.4) (0.2) Write-offs (45.3) (14.4) (17.5) (4.1) (5.4) (3.9) Recoveries 14.1 4.1 5.5 1.2 2.2 1.1 Balance as of March 31, 2022 $31.5 $6.5 $11.1 $3.4 $7.7 $2.8 (a) Provisions include estimated incremental bad debt expenses, and revisions to those estimates, resulting from the COVID-19 pandemic of ($11.0) million for Entergy, $1.8 million for Entergy Arkansas, ($8.5) million for Entergy Louisiana, ($3.0) million for Entergy New Orleans, and ($1.3) million for Entergy Texas that have been deferred as regulatory assets. See Note 2 to the financial statements herein and in the Form 10-K for discussion of the COVID-19 orders issued by retail regulators. |
Commitments and Contingencies C
Commitments and Contingencies Commitments and Contingencies (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2023 | Mar. 31, 2022 | |
Loss Contingencies [Line Items] | |||
Litigation proceeds for reimbursement of spent nuclear fuel storage costs | $ 0 | $ 32,367 | |
Entergy Arkansas [Member] | ANO | |||
Loss Contingencies [Line Items] | |||
Litigation Settlement, Amount Awarded from Other Party | $ 41,000 | ||
Damages awarded for previously recorded operation and maintenance | 10,000 | ||
Damages awarded for previously recorded taxes other than income taxes | 2,000 | ||
Damages awarded for previously capitalized nuclear fuel expense [Abstract] | 8,000 | ||
Damages awarded for previously recorded materials and supplies [Abstract] | 3,000 | ||
Damages awarded for previously recorded nuclear fuel expense | $ 18,000 |
Rate And Regulatory Matters (Na
Rate And Regulatory Matters (Narrative) (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | 36 Months Ended | 57 Months Ended | ||||||||||||||
Apr. 30, 2023 | Mar. 31, 2023 | Jan. 31, 2023 | Dec. 31, 2022 | Nov. 30, 2022 | Oct. 31, 2022 | Sep. 30, 2022 | Aug. 31, 2022 | Apr. 30, 2022 | Mar. 31, 2021 | Dec. 31, 1988 | Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2022 | Mar. 31, 2022 | Sep. 30, 2020 | Sep. 30, 2021 | |
Impairment of Long-Lived Assets Held-for-use | $ 0 | $ 744,000 | ||||||||||||||||||
Public Utilities, Property, Plant and Equipment, Construction Work in Progress | $ 2,157,341,000 | $ 1,844,171,000 | 2,157,341,000 | $ 1,844,171,000 | $ 2,157,341,000 | $ 1,844,171,000 | ||||||||||||||
Proceeds from the issuance of long-term debt | 1,614,522,000 | 2,553,369,000 | ||||||||||||||||||
Storm Reserve Escrow Account | 406,150,000 | 401,955,000 | 406,150,000 | 401,955,000 | 406,150,000 | 401,955,000 | ||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Regulatory Assets, Noncurrent | 5,493,703,000 | 6,036,397,000 | 5,493,703,000 | 6,036,397,000 | 5,493,703,000 | 6,036,397,000 | ||||||||||||||
Long-term Transition Bond, Noncurrent | 292,912,000 | 292,760,000 | 292,912,000 | 292,760,000 | 292,912,000 | 292,760,000 | ||||||||||||||
Deferred Fuel Cost | 282,429,000 | 710,401,000 | 282,429,000 | 710,401,000 | 282,429,000 | 710,401,000 | ||||||||||||||
Replacement Reserve Escrow | 406,000,000 | 402,000,000 | 406,000,000 | 402,000,000 | 406,000,000 | 402,000,000 | ||||||||||||||
Entergy Louisiana [Member] | ||||||||||||||||||||
Public Utilities, Property, Plant and Equipment, Construction Work in Progress | 822,944,000 | 736,969,000 | 822,944,000 | 736,969,000 | 822,944,000 | 736,969,000 | ||||||||||||||
Proceeds from the issuance of long-term debt | 526,764,000 | 1,506,637,000 | ||||||||||||||||||
Total Restoration Costs For Repair and Replacement of Electrical System including carrying costs | $ 2,640,000,000 | |||||||||||||||||||
Storm Reserve Escrow Account | 296,443,000 | 293,406,000 | 296,443,000 | 293,406,000 | 296,443,000 | 293,406,000 | ||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Regulatory Assets, Noncurrent | 1,564,124,000 | 2,056,179,000 | 1,564,124,000 | 2,056,179,000 | 1,564,124,000 | 2,056,179,000 | ||||||||||||||
Deferred Fuel Cost | 0 | 159,183,000 | 0 | 159,183,000 | 0 | 159,183,000 | ||||||||||||||
Replacement Reserve Escrow | $ 296,400,000 | 293,400,000 | $ 296,400,000 | 293,400,000 | $ 296,400,000 | 293,400,000 | ||||||||||||||
LURC's percentage of annual dividends | 1% | |||||||||||||||||||
ELL's percentage of annual dividends | 99% | |||||||||||||||||||
Proceeds from Contributed Capital | $ 1,457,676,000 | 0 | ||||||||||||||||||
Regulatory charge recorded as a result of reduction in income tax expense | 103,000,000 | |||||||||||||||||||
Regulatory charge recorded as a result of reduction in income tax expense, net of tax | 76,000,000 | |||||||||||||||||||
Reduction to income tax expense - net of provision for uncertain tax positions | 133,000,000 | |||||||||||||||||||
Reduction to income tax expense - net, offset by other tax charges | $ 129,000,000 | |||||||||||||||||||
Entergy Louisiana [Member] | Restoration Law Trust II (storm trust II) [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
LURC's beneficial interest in the storm trust, percentage | 1% | 1% | 1% | |||||||||||||||||
Preferred Stock, Dividend Rate, Percentage | 7.50% | |||||||||||||||||||
Preferred Stock, Liquidation Preference, Value | $ 100 | $ 100 | $ 100 | |||||||||||||||||
Class preferred non voting membership interest units acquired in wholly owned subsidiary | 14,576,757.48 | 14,576,757.48 | 14,576,757.48 | |||||||||||||||||
Entergy Louisiana [Member] | Deferred COVID 19 Costs | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Regulatory Assets | $ 47,800,000 | $ 47,800,000 | $ 47,800,000 | |||||||||||||||||
Entergy Louisiana [Member] | Hurricanes Laura, Delta, Zeta, and Winter Storm Uri | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Carrying costs associated with storm restoration costs | 3,000,000 | |||||||||||||||||||
Entergy Louisiana [Member] | Hurricane Ida | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Carrying costs associated with storm restoration costs | 57,000,000 | |||||||||||||||||||
Entergy Louisiana [Member] | Hurricane Ida | ||||||||||||||||||||
Total Restoration Costs For Repair and Replacement of Electrical System | $ 2,640,000,000 | 2,540,000,000 | ||||||||||||||||||
Non-capital storm costs | 586,000,000 | |||||||||||||||||||
Deferred Storm and Property Reserve Deficiency, Noncurrent | $ 1,000,000,000 | 1,960,000,000 | $ 1,000,000,000 | |||||||||||||||||
Total Restoration Costs For Repair and Replacement of Electrical System including carrying costs | 2,600,000,000 | |||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Carrying costs associated with storm restoration costs | $ 59,100,000 | |||||||||||||||||||
Entergy Louisiana [Member] | Hurricanes Laura, Delta, Zeta, and Winter Storm Uri | ||||||||||||||||||||
Total Restoration Costs For Repair and Replacement of Electrical System | 2,570,000,000 | |||||||||||||||||||
Total Restoration Costs For Repair and Replacement of Electrical System including carrying costs | $ 32,000,000 | |||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Carrying costs associated with storm restoration costs | 59,200,000 | |||||||||||||||||||
Aggregate principal amount of system restoration bonds authorization requested | $ 1,491,000,000 | 1,657,000,000 | 1,657,000,000 | 1,657,000,000 | ||||||||||||||||
aggregate principal amount of system restoration bond authorization approved | 1,491,000,000 | 1,491,000,000 | 1,491,000,000 | |||||||||||||||||
Entergy Louisiana [Member] | Hurricanes Laura, Delta, Zeta, and Winter Storm Uri | Storm Costs | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Regulatory Assets | 180,000,000 | 180,000,000 | 180,000,000 | |||||||||||||||||
Entergy Louisiana [Member] | Subsequent Event [Member] | Deferred COVID 19 Costs | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Amount of long-term debt proposed to be used to generate earnings to reduce certain regulatory assets | $ 1,600,000,000 | |||||||||||||||||||
Entergy Mississippi [Member] | ||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amount | 39,800,000 | |||||||||||||||||||
Public Utilities, Property, Plant and Equipment, Construction Work in Progress | $ 218,611,000 | 170,191,000 | 218,611,000 | 170,191,000 | 218,611,000 | 170,191,000 | ||||||||||||||
Proceeds from the issuance of long-term debt | 99,916,000 | 0 | ||||||||||||||||||
Public Utilities, Requested Return on Equity, Percentage | 6.67% | |||||||||||||||||||
Storm Reserve Escrow Account | $ 33,896,000 | 33,549,000 | 33,896,000 | 33,549,000 | 33,896,000 | 33,549,000 | ||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Regulatory Assets, Noncurrent | 518,440,000 | 519,460,000 | 518,440,000 | 519,460,000 | 518,440,000 | 519,460,000 | ||||||||||||||
Deferred Fuel Cost | 76,206,000 | 143,211,000 | 76,206,000 | 143,211,000 | 76,206,000 | 143,211,000 | ||||||||||||||
Replacement Reserve Escrow | 33,900,000 | 33,500,000 | 33,900,000 | 33,500,000 | 33,900,000 | 33,500,000 | ||||||||||||||
Entergy New Orleans [Member] | ||||||||||||||||||||
Public Utilities, Property, Plant and Equipment, Construction Work in Progress | 23,011,000 | 39,607,000 | 23,011,000 | 39,607,000 | 23,011,000 | 39,607,000 | ||||||||||||||
Storm Reserve Escrow Account | 75,811,000 | 75,000,000 | 75,811,000 | 75,000,000 | 75,811,000 | 75,000,000 | ||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Regulatory Assets, Noncurrent | 199,845,000 | 202,112,000 | 199,845,000 | 202,112,000 | 199,845,000 | 202,112,000 | ||||||||||||||
Long-term Transition Bond, Noncurrent | 17,757,000 | 17,697,000 | 17,757,000 | 17,697,000 | 17,757,000 | 17,697,000 | ||||||||||||||
Deferred Fuel Cost | 3,188,000 | 10,153,000 | 3,188,000 | 10,153,000 | 3,188,000 | 10,153,000 | ||||||||||||||
Replacement Reserve Escrow | 75,800,000 | 75,000,000 | 75,800,000 | 75,000,000 | 75,800,000 | 75,000,000 | ||||||||||||||
Entergy Texas [Member] | ||||||||||||||||||||
Public Utilities, Property, Plant and Equipment, Construction Work in Progress | 486,164,000 | 339,139,000 | 486,164,000 | 339,139,000 | 486,164,000 | 339,139,000 | ||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Regulatory Assets, Noncurrent | 557,147,000 | 578,682,000 | 557,147,000 | 578,682,000 | 557,147,000 | 578,682,000 | ||||||||||||||
Long-term Transition Bond, Noncurrent | 275,154,000 | 275,064,000 | 275,154,000 | 275,064,000 | 275,154,000 | 275,064,000 | ||||||||||||||
Deferred Fuel Cost | 150,877,000 | 258,115,000 | 150,877,000 | 258,115,000 | 150,877,000 | 258,115,000 | ||||||||||||||
Entergy Texas [Member] | Deferred COVID 19 Costs | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Regulatory Assets | 10,400,000 | 10,400,000 | 10,400,000 | |||||||||||||||||
Entergy Arkansas [Member] | ||||||||||||||||||||
Public Utilities, Property, Plant and Equipment, Construction Work in Progress | 448,820,000 | 417,244,000 | 448,820,000 | 417,244,000 | 448,820,000 | 417,244,000 | ||||||||||||||
Proceeds from the issuance of long-term debt | 514,206,000 | 212,060,000 | ||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Regulatory Assets, Noncurrent | 1,837,282,000 | 1,810,281,000 | 1,837,282,000 | 1,810,281,000 | 1,837,282,000 | 1,810,281,000 | ||||||||||||||
Energy Cost Recovery Rider Rate Per kWh | 0.01639 | |||||||||||||||||||
Deferred Fuel Cost | 52,158,000 | 139,739,000 | 52,158,000 | 139,739,000 | 52,158,000 | 139,739,000 | ||||||||||||||
Entergy Arkansas [Member] | Deferred COVID 19 Costs | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Regulatory Assets | 39,000,000 | 39,000,000 | 39,000,000 | |||||||||||||||||
Entergy Arkansas [Member] | 2021 February Winter Storms | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Deferred Fuel Cost | 32,000,000 | 32,000,000 | 32,000,000 | |||||||||||||||||
Entergy Arkansas [Member] | Subsequent Event [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Energy Cost Recovery Rider Rate Per kWh | $ 0.01883 | |||||||||||||||||||
Requested Energy Cost Recovery Rider Rate Per kWh | $ 0.01883 | |||||||||||||||||||
System Energy [Member] | ||||||||||||||||||||
Public Utilities, Property, Plant and Equipment, Construction Work in Progress | 122,510,000 | 102,987,000 | 122,510,000 | 102,987,000 | 122,510,000 | 102,987,000 | ||||||||||||||
Proceeds from the issuance of long-term debt | 473,687,000 | 225,956,000 | ||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Regulatory Assets, Noncurrent | 418,368,000 | 415,121,000 | $ 418,368,000 | 415,121,000 | 418,368,000 | 415,121,000 | ||||||||||||||
Grand Gulf [Member] | System Energy [Member] | ||||||||||||||||||||
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage | 11.50% | |||||||||||||||||||
Generation Cost Recovery Rider | Entergy Texas [Member] | ||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amount | $ 92,800,000 | |||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Public Utilities, Interim Rate Increase (Decrease), Amount | $ 5,700,000 | |||||||||||||||||||
Grand Gulf Sale-leaseback Renewal Complaint | Entergy Louisiana [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Proceeds from Legal Settlements | 27,800,000 | |||||||||||||||||||
Grand Gulf Sale-leaseback Renewal Complaint | Entergy Mississippi [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Allocated sale-leaseback annual renewal costs | $ 5,700,000 | |||||||||||||||||||
Grand Gulf Sale-leaseback Renewal Complaint | Entergy New Orleans [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Proceeds from Legal Settlements | 34,000,000 | |||||||||||||||||||
Grand Gulf Sale-leaseback Renewal Complaint | Entergy Arkansas [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Proceeds from Legal Settlements | 41,700,000 | |||||||||||||||||||
Grand Gulf Sale-leaseback Renewal Complaint | System Energy [Member] | ||||||||||||||||||||
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage | 11.50% | |||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Payments for Legal Settlements | 103,500,000 | |||||||||||||||||||
Disallowance of future sale-leaseback renewal costs recovery | 11,500,000 | |||||||||||||||||||
Calculated refund of sale-leaseback renewal rental costs, including interest | 89,800,000 | |||||||||||||||||||
One-time accumulated deferred income tax credit | $ 25,200,000 | |||||||||||||||||||
Calculated net refund for excess depreciation expense | 13,700,000 | |||||||||||||||||||
Unit Power Sales Agreement Complaint | Entergy Arkansas [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Proceeds from Legal Settlements | $ 41,700,000 | |||||||||||||||||||
Unit Power Sales Agreement Complaint | System Energy [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Potential settlement refund | $ 18,000,000 | |||||||||||||||||||
Fuel reconciliation | Entergy Texas [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments | $ 1,700,000,000 | |||||||||||||||||||
Deferred fuel under-recovery balance, including interest, for reconciliation period | $ 103,100,000 | $ 103,100,000 | ||||||||||||||||||
Fuel reconciliation | Entergy Texas [Member] | Winter Storm Uri | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Proposed disallowance for fuel purchase | 5,200,000 | |||||||||||||||||||
2022 Look-back Filing [Member] | Entergy Mississippi [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amended, Amount | 19,800,000 | |||||||||||||||||||
Requested refund for true-up of demand-side management costs | 1,300,000 | |||||||||||||||||||
2022 Look-back Filing [Member] | Entergy Mississippi [Member] | Formula Rate Plan Historical Year Rate Adjustment Member | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Regulatory Assets, Noncurrent | $ 18,200,000 | $ 18,200,000 | $ 18,200,000 | |||||||||||||||||
2022 Look-back Filing [Member] | Entergy Mississippi [Member] | Subsequent Event [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Public Utilities, Interim Rate Increase (Decrease), Amount | $ 27,900,000 | |||||||||||||||||||
2022 Look-back Filing [Member] | Entergy Mississippi [Member] | Subsequent Event [Member] | Maximum [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Public Utilities, Interim Rate Increase (Decrease), Percentage | 2% | |||||||||||||||||||
2023 Formula Rate Plan Filing [Member] | Entergy New Orleans [Member] | Subsequent Event [Member] | ||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amount | $ 25,600,000 | |||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Authorized return on common equity | 9.35% | |||||||||||||||||||
2023 Formula Rate Plan Filing [Member] | Entergy New Orleans [Member] | Subsequent Event [Member] | Electricity [Member] | ||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amount | $ 17,400,000 | |||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Earned return on common equity | 7.34% | |||||||||||||||||||
Additional revenue increase due to previously approved amounts | $ 3,400,000 | |||||||||||||||||||
2023 Formula Rate Plan Filing [Member] | Entergy New Orleans [Member] | Subsequent Event [Member] | Natural Gas, US Regulated [Member] | ||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amount | $ 8,200,000 | |||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Earned return on common equity | 3.52% | |||||||||||||||||||
Return on Equity and Capital Structure Complaints [Member] | System Energy [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
Earned return on common equity | 10.94% | |||||||||||||||||||
Recommended adjustment to earned return on equity | 9.32% | |||||||||||||||||||
Return on equity complaint, estimated annual rate reduction | $ 31,000,000 | 31,000,000 | $ 31,000,000 | |||||||||||||||||
Payments for Legal Settlements | $ 38,000,000 | |||||||||||||||||||
Return on Equity and Capital Structure Complaints [Member] | System Energy [Member] | Maximum [Member] | ||||||||||||||||||||
Regulatory Asset [Abstract] | ||||||||||||||||||||
ALJ recommended equity capital structure, percentage | 48.15% |
Equity (Narrative) (Details)
Equity (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | |||||
Apr. 10, 2023 | Nov. 30, 2022 | Mar. 31, 2022 | Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | Jan. 31, 2021 | |
Equity [Abstract] | |||||||
Common stock dividend (in dollars per share) | $ 1.07 | $ 1.01 | |||||
Common Stock, Shares Authorized | 499,000,000 | 499,000,000 | |||||
Preferred Stock, Shares Authorized | 1,000,000 | 1,000,000 | |||||
Forward Sale Agreement, Aggregate Compensation to Sales Agents | $ 1,700 | ||||||
Stock Issued During Period, Shares, Treasury Stock Reissued | 269,546 | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 1,200,000 | 900,000 | |||||
Forward Contract Indexed to Issuer's Equity, Forward Rate Per Share | $ 108.14 | ||||||
Forward Contract Indexed to Equity, Settlement, Cash, Amount | $ 168,000 | $ 168,000 | |||||
Forward Contract Indexed to Issuer's Equity, Indexed Shares | 1,538,010 | 1,538,010 | |||||
Proceeds from Issuance of Common Stock | $ 853,300 | ||||||
Equity Distribution Program | |||||||
Equity [Abstract] | |||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 1,775,251 | ||||||
Forward Contract Indexed to Equity, Settlement, Cash, Amount | $ 1,077,800 | ||||||
Equity Distribution Sales Agreement Increase in Aggregate Gross Sales Price | $ 2,000,000 | ||||||
Common Stock [Member] | |||||||
Equity [Abstract] | |||||||
Forward Contract Indexed to Issuer's Equity, Shares | 7,688,419 | ||||||
Entergy Louisiana [Member] | |||||||
Equity [Abstract] | |||||||
Members' Equity Attributable to Noncontrolling Interest | $ 46,396 | $ 31,735 | |||||
LURC's percentage of annual dividends | 1% | ||||||
ELL's percentage of annual dividends | 99% | ||||||
Entergy Louisiana [Member] | Restoration Law Trust I | |||||||
Equity [Abstract] | |||||||
Members' Equity Attributable to Noncontrolling Interest | $ 31,813 | 31,735 | |||||
Entergy Arkansas [Member] | |||||||
Equity [Abstract] | |||||||
Members' Equity Attributable to Noncontrolling Interest | $ 26,092 | $ 27,825 | |||||
System Energy [Member] | |||||||
Equity [Abstract] | |||||||
Common Stock, Shares Authorized | 1,000,000 | 1,000,000 | |||||
Entergy Texas [Member] | |||||||
Equity [Abstract] | |||||||
Common Stock, Shares Authorized | 200,000,000 | 200,000,000 | |||||
Subsequent Event [Member] | |||||||
Equity [Abstract] | |||||||
Common stock dividend (in dollars per share) | $ 1.07 |
Equity (Schedule Of Earnings Pe
Equity (Schedule Of Earnings Per Share, Basic And Diluted) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Net Income (Loss) Available to Common Stockholders, Basic | $ 310,935 | $ 276,400 |
Net Income Attributable to Entergy Corporation, Shares | 211,350,705 | 202,943,628 |
Net Income Attributable to Entergy Corporation, $/share | $ 1.47 | $ 1.36 |
Net Income (Loss) Available to Common Stockholders, Diluted | $ 310,900 | $ 276,400 |
Diluted earnings per share, Shares | 212,146,507 | 203,888,483 |
Diluted earnings per share $/share | $ 1.47 | $ 1.36 |
Employee Stock Option [Member] | ||
Incremental Common Shares Attributable to Dilutive Effect of Share-based Payment Arrangements | 300,000 | 500,000 |
Average Dilutive Effect Of Stock Options Per Share | $ 0 | $ 0 |
Restricted Stock Units (RSUs) [Member] | ||
Restricted stock, Shares | 400,000 | 400,000 |
Restricted stock $/share | $ 0 | $ 0 |
Forward Contracts [Member] | ||
Incremental Common Shares Attributable to Dilutive Effect of Equity Forward Agreements | 0 | 100,000 |
Average Dilutive Effect Of Equity Forwards | $ 0 | $ 0 |
Equity (Accumulated Other Compr
Equity (Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | $ (189,727) | $ (336,578) | $ (191,754) | $ (332,528) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 11,839 | |||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | (15,889) | |||
Other comprehensive income (loss) | 2,027 | (4,050) | ||
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | (5,248) | 7,154 | ||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 3,473 | |||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | (15,875) | |||
Other comprehensive income (loss) | (12,402) | |||
Accumulated Other Comprehensive Income [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other comprehensive income (loss) | 2,027 | (4,050) | ||
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | (189,727) | (330,319) | (191,754) | (338,647) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 2,027 | 8,328 | ||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | 0 | |||
Other comprehensive income (loss) | 2,027 | 8,328 | ||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | (1,011) | (1,035) | ||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 38 | |||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | (14) | |||
Other comprehensive income (loss) | 24 | |||
Entergy Louisiana [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | 54,584 | 55,370 | ||
Other comprehensive income (loss) | (786) | (613) | ||
Entergy Louisiana [Member] | Accumulated Other Comprehensive Income [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other comprehensive income (loss) | (786) | (613) | ||
Entergy Louisiana [Member] | Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | 54,584 | 7,665 | $ 55,370 | $ 8,278 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | (786) | (613) | ||
Other comprehensive income (loss) | $ (786) | $ (613) |
Equity (Reclassification out of
Equity (Reclassification out of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 2,981,059 | $ 2,877,925 |
Other Nonoperating Income (Expense) | (54,452) | 7,603 |
Income taxes (benefits) | 78,975 | (66,497) |
Consolidated net income | 312,299 | 279,593 |
Competitive Businesses [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 33,067 | 149,788 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Consolidated net income | (2,027) | (11,839) |
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Other Nonoperating Income (Expense) | 0 | (48) |
INCOME (LOSS) BEFORE INCOME TAXES | 0 | (48) |
Income taxes (benefits) | 0 | 10 |
Consolidated net income | 0 | (38) |
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Income taxes (benefits) | 0 | 2,022 |
Consolidated net income | 0 | (3,473) |
Realized Investment Gains (Losses) | 0 | (5,495) |
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Amortization of prior-service credit | 3,397 | 3,837 |
Amortization of loss | 1,661 | (13,925) |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Gain (Loss) Due to Settlement | (7,816) | (782) |
INCOME (LOSS) BEFORE INCOME TAXES | (2,758) | (10,870) |
Income taxes (benefits) | 731 | 2,542 |
Consolidated net income | (2,027) | (8,328) |
Entergy Louisiana [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,345,208 | 1,265,972 |
Other Nonoperating Income (Expense) | (48,085) | 15,517 |
Income taxes (benefits) | 110,829 | (30,789) |
Consolidated net income | 244,024 | 150,860 |
Entergy Louisiana [Member] | Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Amortization of prior-service credit | 951 | 1,158 |
Amortization of loss | 1,565 | (319) |
Defined Benefit Plan, Accumulated Benefit Obligation, (Increase) Decrease for Settlement and Curtailment | (1,440) | 0 |
INCOME (LOSS) BEFORE INCOME TAXES | 1,076 | 839 |
Income taxes (benefits) | (290) | (226) |
Consolidated net income | $ 786 | $ 613 |
Equity (Schedule of Noncontroll
Equity (Schedule of Noncontrolling Interest) (Details) - Entergy Louisiana [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Dec. 31, 2022 | |
Equity [Abstract] | ||
Schedule of noncontrolling interest | The dollar value of noncontrolling interests for Entergy Louisiana as of March 31, 2023 and December 31, 2022 is presented below: 2023 2022 (In Thousands) Entergy Louisiana Noncontrolling Interests Restoration Law Trust I (a) $31,813 $31,735 Restoration Law Trust II (b) 14,583 — Total Noncontrolling Interests $46,396 $31,735 (a) See Note 17 to the financial statements in the Form 10-K for discussion of Restoration Law Trust I. (b) Restoration Law Trust II (the storm trust II) was established as part of the Act 293 securitization of Entergy Louisiana’s Hurricane Ida storm restoration costs. The storm trust II holds preferred membership interests issued by Entergy Finance Company, and Entergy Finance Company is required to make annual distributions (dividends) on the preferred membership interests. These annual dividends paid on the Entergy Finance Company preferred membership interests will be distributed 1% to the LURC and 99% to Entergy Louisiana. Entergy Louisiana, as the primary beneficiary, consolidates the storm trust II and the LURC’s 1% beneficial interest in noncontrolling interests in the consolidated financial statements for Entergy Louisiana and Entergy. See Note 2 to the financial statements herein for a discussion of the Entergy Louisiana March 2023 storm securitization. | |
Members' Equity Attributable to Noncontrolling Interest | $ 46,396 | $ 31,735 |
Restoration Law Trust I | ||
Members' Equity Attributable to Noncontrolling Interest | 31,813 | 31,735 |
Restoration Law Trust II | ||
Members' Equity Attributable to Noncontrolling Interest | $ 14,583 | $ 0 |
Revolving Credit Facilities, _3
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Narrative) (Details) $ in Millions | 1 Months Ended | 3 Months Ended | |
Jan. 31, 2023 USD ($) | Mar. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | |
Debt Instrument [Line Items] | |||
Amount of Facility | $ 3,500 | ||
Amount Drawn/ Outstanding | $ 150 | ||
Commercial Paper Program [Member] | |||
Debt Instrument [Line Items] | |||
Debt, weighted average interest rate | 4.93% | ||
Commercial Paper program limit | $ 2,000 | ||
Commercial Paper Amount Outstanding | 865.6 | ||
Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Amount of Facility | 3,500 | ||
Amount of total borrowing capacity against which fronting commitments exist | $ 20 | ||
Line of credit facility, commitment fee percentage | 0.225% | ||
Line of Credit Facility, Interest Rate During Period | 6.12% | ||
Entergy Arkansas [Member] | |||
Debt Instrument [Line Items] | |||
Authorized Short Term Borrowings | $ 250 | ||
Amount of total borrowing capacity against which fronting commitments exist | 5 | ||
Letters of Credit Outstanding, Amount | 0.1 | ||
Entergy Arkansas [Member] | 5.15% Series mortgage bonds due January 2033 | |||
Debt Instrument [Line Items] | |||
Proceeds from Issuance of Debt | $ 425 | ||
Debt instrument, interest rate, stated percentage | 5.15% | ||
Entergy Arkansas [Member] | Mortgage Bonds Three Point Zero Five Percent Series Due June Two Thousand Twenty Three | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate, stated percentage | 3.05% | ||
Repayments of Debt | $ 250 | ||
Entergy Louisiana [Member] | |||
Debt Instrument [Line Items] | |||
Authorized Short Term Borrowings | 450 | ||
Amount of total borrowing capacity against which fronting commitments exist | 15 | ||
Entergy Mississippi [Member] | |||
Debt Instrument [Line Items] | |||
Authorized Short Term Borrowings | 200 | ||
Letters of Credit Outstanding, Amount | 0.3 | $ 0.2 | |
Non-MISO letter of credit outstanding | 9.2 | ||
Entergy Texas [Member] | |||
Debt Instrument [Line Items] | |||
Authorized Short Term Borrowings | 200 | ||
Amount of total borrowing capacity against which fronting commitments exist | 30 | ||
Letters of Credit Outstanding, Amount | 0.5 | 2.4 | |
System Energy [Member] | |||
Debt Instrument [Line Items] | |||
Authorized Short Term Borrowings | $ 200 | ||
System Energy [Member] | 6.00% Series mortgage bonds due April 2028 | |||
Debt Instrument [Line Items] | |||
Proceeds from Issuance of Debt | 325 | ||
Debt instrument, interest rate, stated percentage | 6% | ||
System Energy [Member] | Unsecured Term Loan due November 2023 | |||
Debt Instrument [Line Items] | |||
Long-Term Debt, Gross | $ 50 | ||
System Energy [Member] | 4.10% Series mortgage bonds due April 2023 | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate, stated percentage | 4.10% | ||
Repayments of Debt | $ 250 | ||
Entergy New Orleans [Member] | |||
Debt Instrument [Line Items] | |||
Authorized Short Term Borrowings | $ 150 | ||
Amount of total borrowing capacity against which fronting commitments exist | 10 | ||
Letters of Credit Outstanding, Amount | $ 0.2 | ||
System Energy VIE [Member] | |||
Debt Instrument [Line Items] | |||
Amount Drawn/ Outstanding | $ 55.9 | ||
Line of Credit Facility, Interest Rate During Period | 5.59% | ||
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% | ||
Entergy Arkansas VIE [Member] | |||
Debt Instrument [Line Items] | |||
Amount Drawn/ Outstanding | $ 31.5 | ||
Line of Credit Facility, Interest Rate During Period | 5.70% | ||
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% | ||
Entergy Louisiana Waterford VIE [Member] | |||
Debt Instrument [Line Items] | |||
Amount Drawn/ Outstanding | $ 52.1 | ||
Line of Credit Facility, Interest Rate During Period | 5.59% | ||
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% | ||
Entergy Louisiana River Bend VIE [Member] | |||
Debt Instrument [Line Items] | |||
Amount Drawn/ Outstanding | $ 58.5 | ||
Line of Credit Facility, Interest Rate During Period | 5.67% | ||
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% | ||
Entergy Nuclear Vermont Yankee | |||
Debt Instrument [Line Items] | |||
Amount of Facility | $ 139 | ||
Amount Drawn/ Outstanding | $ 139 | ||
Debt, weighted average interest rate | 6.14% | ||
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.20% | ||
Maximum [Member] | |||
Debt Instrument [Line Items] | |||
Line of credit facility, commitment fee percentage | 0.375% | ||
Consolidated debt ratio | 0.65 | ||
Maximum [Member] | Entergy Arkansas [Member] | |||
Debt Instrument [Line Items] | |||
Consolidated debt ratio | 0.65 | ||
Consolidated debt ratio of total capitalization | 70% | ||
Maximum [Member] | Entergy Louisiana [Member] | |||
Debt Instrument [Line Items] | |||
Consolidated debt ratio | 0.65 | ||
Consolidated debt ratio of total capitalization | 70% | ||
Maximum [Member] | Entergy Mississippi [Member] | |||
Debt Instrument [Line Items] | |||
Consolidated debt ratio | 0.65 | ||
Maximum [Member] | Entergy Texas [Member] | |||
Debt Instrument [Line Items] | |||
Consolidated debt ratio | 0.65 | ||
Maximum [Member] | System Energy [Member] | |||
Debt Instrument [Line Items] | |||
Consolidated debt ratio | 0.65 | ||
Consolidated debt ratio of total capitalization | 70% | ||
Maximum [Member] | Entergy New Orleans [Member] | |||
Debt Instrument [Line Items] | |||
Consolidated debt ratio | 0.65 | ||
Minimum [Member] | |||
Debt Instrument [Line Items] | |||
Line of credit facility, commitment fee percentage | 0.075% | ||
Credit Facility Of Three Hundred Fifty Million [Member] | Entergy Louisiana [Member] | |||
Debt Instrument [Line Items] | |||
Amount of Facility | $ 350 | ||
Letters of Credit Outstanding, Amount | 0 | ||
Amount Drawn/ Outstanding | $ 0 | ||
Line of Credit Facility, Interest Rate During Period | 6.16% | ||
Credit Facility Of One Hundred And Fifty Million [Member] | Entergy Arkansas [Member] | |||
Debt Instrument [Line Items] | |||
Amount of Facility | $ 150 | ||
Letters of Credit Outstanding, Amount | 0 | ||
Amount Drawn/ Outstanding | $ 0 | ||
Line of Credit Facility, Interest Rate During Period | 6.03% | ||
Credit Facility Of One Hundred And Fifty Million [Member] | Entergy Mississippi [Member] | |||
Debt Instrument [Line Items] | |||
Amount of Facility | $ 150 | ||
Letters of Credit Outstanding, Amount | 0 | ||
Amount Drawn/ Outstanding | $ 100 | ||
Line of Credit Facility, Interest Rate During Period | 5.98% | ||
Credit Facility Of One Hundred And Fifty Million [Member] | Entergy Texas [Member] | |||
Debt Instrument [Line Items] | |||
Amount of Facility | $ 150 | ||
Letters of Credit Outstanding, Amount | 1.1 | ||
Amount Drawn/ Outstanding | $ 0 | ||
Line of Credit Facility, Interest Rate During Period | 6.16% | ||
Credit Facility Of Ten Million [Member] | Entergy Mississippi [Member] | |||
Debt Instrument [Line Items] | |||
Amount of Facility | $ 10 | ||
Letters of Credit Outstanding, Amount | 0 | ||
Amount Drawn/ Outstanding | $ 0 | ||
Line of Credit Facility, Interest Rate During Period | 6.41% | ||
Credit Facility Of Twenty Five Million [Member] | Entergy Arkansas [Member] | |||
Debt Instrument [Line Items] | |||
Amount of Facility | $ 25 | ||
Letters of Credit Outstanding, Amount | 0 | ||
Amount Drawn/ Outstanding | $ 0 | ||
Line of Credit Facility, Interest Rate During Period | 6.56% | ||
Credit Facility Of Twenty Five Million [Member] | Entergy New Orleans [Member] | |||
Debt Instrument [Line Items] | |||
Amount of Facility | $ 25 | ||
Letters of Credit Outstanding, Amount | 0 | ||
Amount Drawn/ Outstanding | $ 0 | ||
Line of Credit Facility, Interest Rate During Period | 6.47% | ||
Credit Facility of Sixty Five Million [Member] | Entergy Mississippi [Member] | |||
Debt Instrument [Line Items] | |||
Letters of Credit Outstanding, Amount | $ 6.7 | ||
Uncommitted Credit Facility | $ 65 |
Revolving Credit Facilities, _4
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Summary Of The Borrowings Outstanding And Capacity Available Under The Facility) (Details) $ in Millions | Mar. 31, 2023 USD ($) |
Summary of the borrowings outstanding and capacity available under the facility | |
Capacity | $ 3,500 |
Amount Drawn/ Outstanding | 150 |
Letters of Credit | 3 |
Capacity Available | 3,347 |
Line of Credit Facility [Line Items] | |
Amount of Facility | 3,500 |
Credit Facility [Member] | |
Summary of the borrowings outstanding and capacity available under the facility | |
Capacity | 3,500 |
Line of Credit Facility [Line Items] | |
Amount of Facility | 3,500 |
Credit Facility Of One Hundred And Fifty Million [Member] | Entergy Mississippi [Member] | |
Summary of the borrowings outstanding and capacity available under the facility | |
Capacity | 150 |
Amount Drawn/ Outstanding | 100 |
Line of Credit Facility [Line Items] | |
Amount of Facility | $ 150 |
Revolving Credit Facilities, _5
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Credit Facilities) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2023 | Dec. 31, 2022 | |
Amount of Facility | $ 3,500 | |
Amount Drawn/ Outstanding | 150 | |
Entergy Arkansas [Member] | ||
Amount of total borrowing capacity against which fronting commitments exist | 5 | |
Letters of Credit Outstanding, Amount | 0.1 | |
Entergy Arkansas [Member] | Credit Facility Of Twenty Five Million [Member] | ||
Amount of Facility | $ 25 | |
Interest Rate | 6.56% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | 0 | |
Entergy Arkansas [Member] | Credit Facility Of One Hundred And Fifty Million [Member] | ||
Amount of Facility | $ 150 | |
Interest Rate | 6.03% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | 0 | |
Entergy Louisiana [Member] | ||
Amount of total borrowing capacity against which fronting commitments exist | 15 | |
Entergy Louisiana [Member] | Credit Facility Of Three Hundred Fifty Million [Member] | ||
Amount of Facility | $ 350 | |
Interest Rate | 6.16% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | 0 | |
Entergy Mississippi [Member] | ||
Letters of Credit Outstanding, Amount | 0.3 | $ 0.2 |
Entergy Mississippi [Member] | Credit Facility Of One Hundred And Fifty Million [Member] | ||
Amount of Facility | $ 150 | |
Interest Rate | 5.98% | |
Amount Drawn/ Outstanding | $ 100 | |
Letters of Credit Outstanding, Amount | 0 | |
Entergy Mississippi [Member] | Credit Facility Of Ten Million [Member] | ||
Amount of Facility | $ 10 | |
Interest Rate | 6.41% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | 0 | |
Entergy Mississippi [Member] | Credit Facility Of Forty Five Million | ||
Amount of Facility | $ 45 | |
Interest Rate | 6.41% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | 0 | |
Entergy Mississippi [Member] | Credit Facility Of Forty Million | ||
Amount of Facility | $ 40 | |
Interest Rate | 6.41% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | 0 | |
Entergy New Orleans [Member] | ||
Amount of total borrowing capacity against which fronting commitments exist | 10 | |
Letters of Credit Outstanding, Amount | 0.2 | |
Entergy New Orleans [Member] | Credit Facility Of Twenty Five Million [Member] | ||
Amount of Facility | $ 25 | |
Interest Rate | 6.47% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | 0 | |
Entergy Texas [Member] | ||
Amount of total borrowing capacity against which fronting commitments exist | 30 | |
Letters of Credit Outstanding, Amount | 0.5 | $ 2.4 |
Entergy Texas [Member] | Credit Facility Of One Hundred And Fifty Million [Member] | ||
Amount of Facility | $ 150 | |
Interest Rate | 6.16% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | $ 1.1 |
Revolving Credit Facilities, _6
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Short-Term Borrowings And The Outstanding Short-Term Borrowings) (Details) $ in Millions | Mar. 31, 2023 USD ($) |
Entergy Arkansas [Member] | |
Short-term borrowings and the outstanding short-term borrowings | |
Authorized | $ 250 |
Borrowings | 0 |
Entergy Louisiana [Member] | |
Short-term borrowings and the outstanding short-term borrowings | |
Authorized | 450 |
Borrowings | 0 |
Entergy Mississippi [Member] | |
Short-term borrowings and the outstanding short-term borrowings | |
Authorized | 200 |
Borrowings | 0 |
Entergy New Orleans [Member] | |
Short-term borrowings and the outstanding short-term borrowings | |
Authorized | 150 |
Borrowings | 0 |
Entergy Texas [Member] | |
Short-term borrowings and the outstanding short-term borrowings | |
Authorized | 200 |
Borrowings | 0 |
System Energy [Member] | |
Short-term borrowings and the outstanding short-term borrowings | |
Authorized | 200 |
Borrowings | $ 0 |
Revolving Credit Facilities, _7
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Issuance Of Commercial Paper To Finance Acquisition And Ownership Of Nuclear Fuel) (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2023 USD ($) | |
Issuance of commercial paper to finance the acquisition and ownership of nuclear fuel | |
Amount Drawn/ Outstanding | $ 150 |
Entergy Arkansas VIE [Member] | |
Issuance of commercial paper to finance the acquisition and ownership of nuclear fuel | |
Amount of Facility | $ 80 |
Line of Credit Facility, Interest Rate During Period | 5.70% |
Amount Drawn/ Outstanding | $ 31.5 |
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% |
System Energy VIE [Member] | |
Issuance of commercial paper to finance the acquisition and ownership of nuclear fuel | |
Amount of Facility | $ 120 |
Line of Credit Facility, Interest Rate During Period | 5.59% |
Amount Drawn/ Outstanding | $ 55.9 |
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% |
Entergy Louisiana River Bend VIE [Member] | |
Issuance of commercial paper to finance the acquisition and ownership of nuclear fuel | |
Amount of Facility | $ 105 |
Line of Credit Facility, Interest Rate During Period | 5.67% |
Amount Drawn/ Outstanding | $ 58.5 |
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% |
Entergy Louisiana Waterford VIE [Member] | |
Issuance of commercial paper to finance the acquisition and ownership of nuclear fuel | |
Amount of Facility | $ 105 |
Line of Credit Facility, Interest Rate During Period | 5.59% |
Amount Drawn/ Outstanding | $ 52.1 |
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% |
Revolving Credit Facilities, _8
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Notes Payable By Variable Interest Entities) (Details) $ in Millions | Mar. 31, 2023 USD ($) |
Three Point One Seven Percent Series M Notes Due December Two Thousand Twenty Three [Member] | Entergy Arkansas VIE [Member] | |
Notes payable by variable interest entities | |
Stated interest rate (percentage) | 3.17% |
Amount | $ 40 |
Three Point Two Two Percent Series I Notes Due December Two Thousand Twenty Three [Domain] | Entergy Louisiana Waterford VIE [Member] | |
Notes payable by variable interest entities | |
Stated interest rate (percentage) | 3.22% |
Amount | $ 20 |
Two Point Fifty One Percent Series V Notes Due June 2027 | Entergy Louisiana River Bend VIE [Member] | |
Notes payable by variable interest entities | |
Stated interest rate (percentage) | 2.51% |
Amount | $ 70 |
Two Point Zero Five Percent Series K Notes Due September 2027 | System Energy VIE [Member] | |
Notes payable by variable interest entities | |
Stated interest rate (percentage) | 2.05% |
Amount | $ 90 |
One Point Eight Four Percent Series N Notes Due July Two Thousand Twenty Six | Entergy Arkansas VIE [Member] | |
Notes payable by variable interest entities | |
Stated interest rate (percentage) | 1.84% |
Amount | $ 90 |
Revolving Credit Facilities, _9
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Book Value And The Fair Value Of Long-Term Debt) (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Long-term Debt, Fair Value | $ 24,057,455 | $ 22,573,837 |
Long-term Debt, Book Value | 26,723,309 | 25,932,549 |
Entergy Arkansas [Member] | ||
Long-term Debt, Fair Value | 4,126,440 | 3,538,930 |
Long-term Debt, Book Value | 4,620,604 | 4,166,500 |
Entergy Louisiana [Member] | ||
Long-term Debt, Fair Value | 9,718,246 | 9,444,665 |
Long-term Debt, Book Value | 10,690,832 | 10,698,922 |
Entergy Mississippi [Member] | ||
Long-term Debt, Fair Value | 2,156,919 | 1,987,154 |
Long-term Debt, Book Value | 2,431,365 | 2,331,096 |
Entergy New Orleans [Member] | ||
Long-term Debt, Fair Value | 711,545 | 707,872 |
Long-term Debt, Book Value | 766,242 | 775,632 |
Entergy Texas [Member] | ||
Long-term Debt, Fair Value | 2,566,690 | 2,485,705 |
Long-term Debt, Book Value | 2,896,522 | 2,895,913 |
System Energy [Member] | ||
Long-term Debt, Fair Value | 979,621 | 702,473 |
Long-term Debt, Book Value | $ 1,020,211 | $ 777,905 |
Revolving Credit Facilities,_10
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations) (Details) - USD ($) $ in Millions | Mar. 31, 2023 | Dec. 31, 2022 |
Entergy Arkansas [Member] | ||
Letters of Credit Outstanding, Amount | $ 0.1 | |
Entergy Mississippi [Member] | ||
Letters of Credit Outstanding, Amount | 0.3 | $ 0.2 |
Non-MISO letter of credit outstanding | 9.2 | |
Entergy New Orleans [Member] | ||
Letters of Credit Outstanding, Amount | 0.2 | |
Entergy Texas [Member] | ||
Letters of Credit Outstanding, Amount | 0.5 | $ 2.4 |
Credit Facility Of Twenty Five Million [Member] | Entergy Arkansas [Member] | ||
Uncommitted Credit Facility | $ 25 | |
Letter of Credit Fee, Percentage | 0.78% | |
Letters of Credit Outstanding, Amount | $ 5.6 | |
Credit Facility of Fifteen Million [Member] | Entergy New Orleans [Member] | ||
Uncommitted Credit Facility | $ 15 | |
Letter of Credit Fee, Percentage | 1.625% | |
Letters of Credit Outstanding, Amount | $ 1 | |
Credit Facility Of One Hundred Twenty Five Million [Member] | Entergy Louisiana [Member] | ||
Uncommitted Credit Facility | $ 125 | |
Letter of Credit Fee, Percentage | 0.78% | |
Letters of Credit Outstanding, Amount | $ 20 | |
Credit Facility of Sixty Five Million [Member] | Entergy Mississippi [Member] | ||
Uncommitted Credit Facility | $ 65 | |
Letter of Credit Fee, Percentage | 0.78% | |
Letters of Credit Outstanding, Amount | $ 6.7 | |
Credit Facility of Eighty Million | Entergy Texas [Member] | ||
Uncommitted Credit Facility | $ 80 | |
Letter of Credit Fee, Percentage | 0.875% | |
Letters of Credit Outstanding, Amount | $ 8.8 |
Stock Based Compensation (Narra
Stock Based Compensation (Narrative) (Details) - 2019 Omnibus Incentive Plan - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | ||
Jan. 26, 2023 | Jan. 27, 2022 | Jan. 31, 2023 | Mar. 31, 2023 | |
Long Term Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percent of performance measure based on relative total shareholder return | 80% | 80% | ||
Percent of performance measure based on cumulative adjusted EPS metric | 20% | 20% | ||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant | 143,212 | |||
Long Term Incentive Plan [Member] | Performance measure based on relative total shareholder return [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted stock awards granted value (in dollars per share) | $ 130.65 | |||
Long Term Incentive Plan [Member] | Performance measure based on cumulative adjusted earnings per share metric [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted stock awards granted value (in dollars per share) | 108.47 | |||
Employee Stock Option [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock option granted (in shares) | 281,874 | |||
Weighted-average grant-date fair value of options granted (in dollars per share) | $ 20.07 | |||
Stock options outstanding | 2,985,788 | |||
Weighted-average exercise price of stock options outstanding (in dollars per share) | $ 97.57 | |||
Intrinsic value in the money stock options | $ 42.8 | |||
Restricted Stock Units (RSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted stock awards granted | 345,983 | |||
Restricted stock awards granted value (in dollars per share) | $ 108.47 |
Stock-Based Compensation (Finan
Stock-Based Compensation (Financial Information For Stock Options) (Details) - Employee Stock Option [Member] - Employee Stock Option [Member] - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Employee service share-based compensation, aggregate disclosures | ||
Compensation expense included in Entergy's net income | $ 1.1 | $ 1.1 |
Tax benefit recognized in Entergy's net income | 0.3 | 0.3 |
Compensation cost capitalized as part of fixed assets and inventory | $ 0.5 | $ 0.4 |
Stock-Based Compensation (Fin_2
Stock-Based Compensation (Financial Information For Other Equity Plans) (Details) - Other Equity Awards [Member] - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Employee service share-based compensation, aggregate disclosures | ||
Compensation expense included in Entergy's net income | $ 7.7 | $ 11.4 |
Tax benefit recognized in Entergy's net income | 2 | 2.9 |
Compensation cost capitalized as part of fixed assets and inventory | $ 3.2 | $ 4.4 |
Retirement And Other Postreti_3
Retirement And Other Postretirement Benefits (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2023 | |
Entergy Arkansas [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | $ 54,468 | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 6,436 | ||
Entergy Louisiana [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 44,565 | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 3,169 | ||
Entergy Mississippi [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 21,110 | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 2,470 | ||
Entergy New Orleans [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 1,420 | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 0 | ||
Entergy Texas [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 5,314 | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 146 | ||
Difference between rate case pension amounts and actuarially determined pension amounts | 39,900 | ||
System Energy [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 15,543 | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 2,191 | ||
Subsequent Event [Member] | Entergy Arkansas [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 48,032 | ||
Subsequent Event [Member] | Entergy Louisiana [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 41,396 | ||
Subsequent Event [Member] | Entergy Mississippi [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 18,640 | ||
Subsequent Event [Member] | Entergy New Orleans [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 1,420 | ||
Subsequent Event [Member] | Entergy Texas [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 5,168 | ||
Subsequent Event [Member] | System Energy [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 13,352 | ||
Non Qualified Pension Plans [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Net other postretirement benefit cost | 9,200 | $ 10,200 | |
Defined Benefit Plan, Plan Assets, Payment for Settlement | 4,800 | 5,300 | |
Non Qualified Pension Plans [Member] | Entergy Arkansas [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Net other postretirement benefit cost | 450 | 72 | |
Defined Benefit Plan, Plan Assets, Payment for Settlement | 379 | ||
Non Qualified Pension Plans [Member] | Entergy Louisiana [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Net other postretirement benefit cost | 27 | 27 | |
Non Qualified Pension Plans [Member] | Entergy Mississippi [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Net other postretirement benefit cost | 552 | 80 | |
Defined Benefit Plan, Plan Assets, Payment for Settlement | 453 | ||
Non Qualified Pension Plans [Member] | Entergy New Orleans [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Net other postretirement benefit cost | 33 | 29 | |
Non Qualified Pension Plans [Member] | Entergy Texas [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Net other postretirement benefit cost | 63 | 215 | |
Defined Benefit Plan, Plan Assets, Payment for Settlement | 119 | ||
Pension Plans Defined Benefit [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 33,000 | ||
Net other postretirement benefit cost | 164,020 | 45,751 | |
Defined Benefit Plan, Benefit Obligation, Payment for Settlement | (138,427) | 0 | |
Defined Benefit Plan, Expected Future Employer Contributions, Next Fiscal Year | 267,000 | ||
Pension Plans Defined Benefit [Member] | Entergy Arkansas [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Net other postretirement benefit cost | 30,096 | 10,354 | |
Defined Benefit Plan, Benefit Obligation, Payment for Settlement | (22,174) | ||
Pension Plans Defined Benefit [Member] | Entergy Louisiana [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Net other postretirement benefit cost | 43,389 | 11,100 | |
Defined Benefit Plan, Benefit Obligation, Payment for Settlement | (35,999) | ||
Pension Plans Defined Benefit [Member] | Entergy Mississippi [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Net other postretirement benefit cost | 13,948 | 3,415 | |
Defined Benefit Plan, Benefit Obligation, Payment for Settlement | (11,655) | ||
Pension Plans Defined Benefit [Member] | Entergy New Orleans [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Net other postretirement benefit cost | 2,145 | 744 | |
Defined Benefit Plan, Benefit Obligation, Payment for Settlement | (1,693) | ||
Pension Plans Defined Benefit [Member] | Entergy Texas [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Net other postretirement benefit cost | 10,865 | 1,425 | |
Defined Benefit Plan, Benefit Obligation, Payment for Settlement | (9,678) | ||
Pension Plans Defined Benefit [Member] | System Energy [Member] | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Net other postretirement benefit cost | 6,717 | $ 3,026 | |
Defined Benefit Plan, Benefit Obligation, Payment for Settlement | $ (4,799) |
Retirement And Other Postreti_4
Retirement And Other Postretirement Benefits (Components Of Qualified Net Pension Cost) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Pension Plans Defined Benefit [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | $ 25,678 | $ 37,660 |
Interest cost on projected benefit obligation | 75,701 | 51,119 |
Expected return on assets | (98,133) | (103,607) |
Amortization of loss | 22,347 | 60,579 |
Net other postretirement benefit cost | 164,020 | 45,751 |
Pension Plans Defined Benefit [Member] | Entergy Arkansas [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 4,749 | 6,858 |
Interest cost on projected benefit obligation | 14,280 | 9,317 |
Expected return on assets | (18,076) | (19,247) |
Amortization of loss | 6,969 | 13,426 |
Net other postretirement benefit cost | 30,096 | 10,354 |
Pension Plans Defined Benefit [Member] | Entergy Louisiana [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 6,280 | 9,137 |
Interest cost on projected benefit obligation | 15,379 | 10,499 |
Expected return on assets | (19,233) | (21,133) |
Amortization of loss | 4,964 | 12,597 |
Net other postretirement benefit cost | 43,389 | 11,100 |
Pension Plans Defined Benefit [Member] | Entergy Mississippi [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 1,482 | 2,130 |
Interest cost on projected benefit obligation | 3,930 | 2,678 |
Expected return on assets | (4,884) | (5,203) |
Amortization of loss | 1,765 | 3,810 |
Net other postretirement benefit cost | 13,948 | 3,415 |
Pension Plans Defined Benefit [Member] | Entergy New Orleans [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 491 | 752 |
Interest cost on projected benefit obligation | 1,715 | 1,139 |
Expected return on assets | (2,267) | (2,515) |
Amortization of loss | 513 | 1,368 |
Net other postretirement benefit cost | 2,145 | 744 |
Pension Plans Defined Benefit [Member] | Entergy Texas [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 1,107 | 1,632 |
Interest cost on projected benefit obligation | 3,242 | 2,175 |
Expected return on assets | (4,152) | (4,937) |
Amortization of loss | 990 | 2,555 |
Net other postretirement benefit cost | 10,865 | 1,425 |
Pension Plans Defined Benefit [Member] | System Energy [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 1,467 | 2,045 |
Interest cost on projected benefit obligation | 3,528 | 2,338 |
Expected return on assets | (4,538) | (4,623) |
Amortization of loss | 1,461 | 3,266 |
Net other postretirement benefit cost | 6,717 | 3,026 |
Other Postretirement [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 3,664 | 6,184 |
Interest cost on projected benefit obligation | 10,568 | 6,827 |
Expected return on assets | (9,183) | (10,855) |
Amortization of prior service cost (credit) | (5,640) | (6,388) |
Amortization of loss | (2,862) | 1,083 |
Net other postretirement benefit cost | (3,453) | (3,149) |
Other Postretirement [Member] | Entergy Arkansas [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 741 | 1,114 |
Interest cost on projected benefit obligation | 2,001 | 1,263 |
Expected return on assets | (3,778) | (4,483) |
Amortization of prior service cost (credit) | 524 | 471 |
Amortization of loss | 43 | 218 |
Net other postretirement benefit cost | (469) | (1,417) |
Other Postretirement [Member] | Entergy Louisiana [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 845 | 1,408 |
Interest cost on projected benefit obligation | 2,233 | 1,443 |
Expected return on assets | 0 | 0 |
Amortization of prior service cost (credit) | (951) | (1,158) |
Amortization of loss | (1,764) | (186) |
Net other postretirement benefit cost | 363 | 1,507 |
Other Postretirement [Member] | Entergy Mississippi [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 220 | 339 |
Interest cost on projected benefit obligation | 543 | 350 |
Expected return on assets | (1,179) | (1,394) |
Amortization of prior service cost (credit) | (239) | (443) |
Amortization of loss | 21 | 56 |
Net other postretirement benefit cost | (634) | (1,092) |
Other Postretirement [Member] | Entergy New Orleans [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 59 | 99 |
Interest cost on projected benefit obligation | 290 | 174 |
Expected return on assets | (1,316) | (1,499) |
Amortization of prior service cost (credit) | (229) | (229) |
Amortization of loss | 117 | (225) |
Net other postretirement benefit cost | (1,079) | (1,680) |
Other Postretirement [Member] | Entergy Texas [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 202 | 331 |
Interest cost on projected benefit obligation | 649 | 399 |
Expected return on assets | (2,194) | (2,568) |
Amortization of prior service cost (credit) | (1,093) | (1,093) |
Amortization of loss | 229 | 162 |
Net other postretirement benefit cost | (2,207) | (2,769) |
Other Postretirement [Member] | System Energy [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 189 | 310 |
Interest cost on projected benefit obligation | 432 | 279 |
Expected return on assets | (634) | (791) |
Amortization of prior service cost (credit) | (73) | (80) |
Amortization of loss | 0 | 30 |
Net other postretirement benefit cost | (86) | (252) |
Non Qualified Pension Plans [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net other postretirement benefit cost | 9,200 | 10,200 |
Non Qualified Pension Plans [Member] | Entergy Arkansas [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net other postretirement benefit cost | 450 | 72 |
Non Qualified Pension Plans [Member] | Entergy Louisiana [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net other postretirement benefit cost | 27 | 27 |
Non Qualified Pension Plans [Member] | Entergy Mississippi [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net other postretirement benefit cost | 552 | 80 |
Non Qualified Pension Plans [Member] | Entergy New Orleans [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net other postretirement benefit cost | 33 | 29 |
Non Qualified Pension Plans [Member] | Entergy Texas [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net other postretirement benefit cost | $ 63 | $ 215 |
Retirement And Other Postreti_5
Retirement And Other Postretirement Benefits (Expected Employer Contributions) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Mar. 31, 2023 | Dec. 31, 2023 | |
Entergy Louisiana [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | $ 44,565 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | 3,169 | |
Entergy Louisiana [Member] | Subsequent Event [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 41,396 | |
Entergy Mississippi [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 21,110 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | 2,470 | |
Entergy Mississippi [Member] | Subsequent Event [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 18,640 | |
Entergy New Orleans [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 1,420 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | 0 | |
Entergy New Orleans [Member] | Subsequent Event [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 1,420 | |
Entergy Texas [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 5,314 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | 146 | |
Entergy Texas [Member] | Subsequent Event [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 5,168 | |
System Energy [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 15,543 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | 2,191 | |
System Energy [Member] | Subsequent Event [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 13,352 | |
Entergy Arkansas [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 54,468 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 6,436 | |
Entergy Arkansas [Member] | Subsequent Event [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 48,032 |
Retirement And Other Postreti_6
Retirement And Other Postretirement Benefits (Reclassification Out Of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Amortization of prior service cost | $ 3,397 | $ 3,837 |
Amortization of loss | 1,661 | (13,925) |
Total | (2,758) | (10,870) |
Recognized Net Gain (Loss) Due To Settlements, Pre Tax | (7,816) | (782) |
Entergy Louisiana [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Amortization of prior service cost | 951 | 1,158 |
Amortization of loss | 1,565 | (319) |
Total | 1,076 | 839 |
Recognized Net Gain (Loss) Due To Settlements, Pre Tax | (1,440) | |
Pension Plans Defined Benefit [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Amortization of prior service cost | 0 | 0 |
Amortization of loss | (1,040) | (12,910) |
Total | (7,687) | (12,910) |
Recognized Net Gain (Loss) Due To Settlements, Pre Tax | (6,647) | 0 |
Pension Plans Defined Benefit [Member] | Entergy Louisiana [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Amortization of prior service cost | 0 | 0 |
Amortization of loss | (199) | (504) |
Total | (1,639) | (504) |
Recognized Net Gain (Loss) Due To Settlements, Pre Tax | (1,440) | |
Other Postretirement [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Amortization of prior service cost | 3,510 | 4,014 |
Amortization of loss | 2,898 | (596) |
Total | 6,408 | 3,418 |
Recognized Net Gain (Loss) Due To Settlements, Pre Tax | 0 | 0 |
Other Postretirement [Member] | Entergy Louisiana [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Amortization of prior service cost | 951 | 1,158 |
Amortization of loss | 1,764 | 186 |
Total | 2,715 | 1,344 |
Recognized Net Gain (Loss) Due To Settlements, Pre Tax | 0 | |
Non Qualified Pension Plans [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Amortization of prior service cost | (113) | (177) |
Amortization of loss | (197) | (419) |
Total | (1,479) | (1,378) |
Recognized Net Gain (Loss) Due To Settlements, Pre Tax | (1,169) | (782) |
Non Qualified Pension Plans [Member] | Entergy Louisiana [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Amortization of prior service cost | 0 | 0 |
Amortization of loss | 0 | (1) |
Total | 0 | $ (1) |
Recognized Net Gain (Loss) Due To Settlements, Pre Tax | $ 0 |
Business Segment Information (S
Business Segment Information (Segment Financial Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | |
Segment Financial Information | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 2,981,059 | $ 2,877,925 | |
Income taxes (benefits) | (78,975) | 66,497 | |
Consolidated net income | 312,299 | 279,593 | |
Assets | 59,203,276 | $ 58,595,191 | |
Utility [Member] | |||
Segment Financial Information | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,947,992 | 2,728,156 | |
Income taxes (benefits) | (66,126) | 75,359 | |
Consolidated net income | 398,167 | 343,156 | |
Assets | 63,443,534 | 61,399,243 | |
All Other [Member] | |||
Segment Financial Information | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 33,070 | 149,777 | |
Income taxes (benefits) | (12,849) | (8,862) | |
Consolidated net income | (30,394) | (31,617) | |
Assets | 860,341 | 884,442 | |
Eliminations | |||
Segment Financial Information | |||
Revenue from Contract with Customer, Excluding Assessed Tax | (3) | (8) | |
Income taxes (benefits) | 0 | 0 | |
Consolidated net income | (55,474) | $ (31,946) | |
Assets | $ (5,100,599) | $ (3,688,494) |
Risk Management and Fair Valu_3
Risk Management and Fair Values (Narrative) (Details) $ in Millions | 3 Months Ended | |
Mar. 31, 2023 USD ($) GWh MMBTU | Dec. 31, 2022 USD ($) | |
Total volume of fixed transmission rights outstanding | GWh | 24,016 | |
Letters Of Credit | $ 3 | |
Entergy Arkansas [Member] | ||
Letters of Credit Outstanding, Amount | $ 0.1 | |
Total volume of fixed transmission rights outstanding | GWh | 5,351 | |
Entergy Louisiana [Member] | ||
Total volume of fixed transmission rights outstanding | GWh | 11,049 | |
Entergy Mississippi [Member] | ||
Letters of Credit Outstanding, Amount | $ 0.3 | $ 0.2 |
Total volume of fixed transmission rights outstanding | GWh | 2,592 | |
Entergy New Orleans [Member] | ||
Letters of Credit Outstanding, Amount | 0.2 | |
Total volume of fixed transmission rights outstanding | GWh | 1,054 | |
Entergy Texas [Member] | ||
Letters of Credit Outstanding, Amount | $ 0.5 | 2.4 |
Total volume of fixed transmission rights outstanding | GWh | 3,939 | |
Gas Hedge Contracts [Member] | ||
Total volume of natural gas swaps outstanding (MMBtu) | MMBTU | 28,141,800 | |
Gas Hedge Contracts [Member] | Entergy Louisiana [Member] | ||
Maximum Length of Time Hedged in Cash Flow Hedge | 1 year | |
Total volume of natural gas swaps outstanding (MMBtu) | MMBTU | 7,320,000 | |
Gas Hedge Contracts [Member] | Entergy Mississippi [Member] | ||
Maximum Length of Time Hedged in Cash Flow Hedge | 1 year | |
Total volume of natural gas swaps outstanding (MMBtu) | MMBTU | 20,821,800 | |
Entergy Wholesale Commodities [Member] | ||
Cash collateral posted | 8 | |
Utility [Member] | ||
Letters Of Credit | $ 1 | $ 3 |
Risk Management and Fair Valu_4
Risk Management and Fair Values (Fair Values Of Derivative Instruments) (Details) - USD ($) $ in Millions | Mar. 31, 2023 | Dec. 31, 2022 |
Entergy Wholesale Commodities [Member] | ||
Liabilities: | ||
Cash collateral posted | $ 8 | |
Other Deferred Debits And Other Assets [Member] | Natural Gas Swaps [Member] | Utility [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Fair Value, Gross Asset | 3 | |
Derivative, Collateral, Obligation to Return Cash | $ 0 | |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets, Noncurrent | |
Prepayments And Other [Member] | Natural Gas Swaps [Member] | Utility [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Fair Value, Gross Asset | $ 2 | $ 13 |
Derivative, Collateral, Obligation to Return Cash | $ 0 | $ 0 |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Prepaid Expense and Other Assets | Prepaid Expense and Other Assets |
Prepayments And Other [Member] | Fixed Transmission Rights (FTRs) [Member] | Utility [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Fair Value, Gross Asset | $ 8 | $ 21 |
Derivative, Collateral, Obligation to Return Cash | $ (1) | $ (2) |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Prepaid Expense and Other Assets | Prepaid Expense and Other Assets |
Other Current Liabilities [Member] | Natural Gas Swaps [Member] | Utility [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Fair Value, Gross Liability | $ 22 | $ 25 |
Derivative, Collateral, Right to Reclaim Cash | $ 0 | $ 0 |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other Liabilities, Current | Other Liabilities, Current |
Entergy Louisiana [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Prepaid Expense and Other Assets | Prepaid Expense and Other Assets |
Entergy Louisiana [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Prepaid Expense and Other Assets | Prepaid Expense and Other Assets |
Entergy Louisiana [Member] | Other Deferred Debits And Other Assets [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Fair Value, Gross Asset | $ 3.4 | |
Derivative, Collateral, Obligation to Return Cash | 0 | |
Entergy Louisiana [Member] | Prepayments And Other [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Fair Value, Gross Asset | $ 2.4 | 13.1 |
Derivative, Collateral, Obligation to Return Cash | 0 | 0 |
Entergy Louisiana [Member] | Prepayments And Other [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Fair Value, Gross Asset | 2.7 | 7.7 |
Derivative, Collateral, Obligation to Return Cash | 0.2 | (0.4) |
Entergy Mississippi [Member] | ||
Liabilities: | ||
Letters of Credit Outstanding, Amount | $ 0.3 | $ 0.2 |
Entergy Mississippi [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other Liabilities, Current | Other Liabilities, Current |
Entergy Mississippi [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Prepaid Expense and Other Assets | Prepaid Expense and Other Assets |
Entergy Mississippi [Member] | Prepayments And Other [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Fair Value, Gross Asset | $ 0.2 | $ 0.6 |
Derivative, Collateral, Obligation to Return Cash | 0 | 0 |
Entergy Mississippi [Member] | Other Current Liabilities [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Fair Value, Gross Liability | (21.8) | 24 |
Derivative, Collateral, Right to Reclaim Cash | $ 0 | 0 |
Entergy New Orleans [Member] | ||
Liabilities: | ||
Letters of Credit Outstanding, Amount | $ 0.2 | |
Entergy New Orleans [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other Liabilities, Current | |
Entergy New Orleans [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Prepaid Expense and Other Assets | Prepaid Expense and Other Assets |
Entergy New Orleans [Member] | Prepayments And Other [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Fair Value, Gross Asset | $ 0.3 | $ 0.8 |
Derivative, Collateral, Obligation to Return Cash | 0 | 0 |
Entergy New Orleans [Member] | Other Current Liabilities [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Fair Value, Gross Liability | 1.5 | |
Derivative, Collateral, Right to Reclaim Cash | $ 0 | |
Entergy Arkansas [Member] | ||
Liabilities: | ||
Letters of Credit Outstanding, Amount | $ 0.1 | |
Entergy Arkansas [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Prepaid Expense and Other Assets | Prepaid Expense and Other Assets |
Entergy Arkansas [Member] | Prepayments And Other [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Fair Value, Gross Asset | $ 4 | $ 10.3 |
Derivative, Collateral, Obligation to Return Cash | 0 | 0 |
Entergy Texas [Member] | ||
Liabilities: | ||
Letters of Credit Outstanding, Amount | $ 0.5 | $ 2.4 |
Entergy Texas [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Prepaid Expense and Other Assets | |
Liabilities: | ||
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other Liabilities, Current | |
Entergy Texas [Member] | Prepayments And Other [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset, Fair Value, Gross Asset | $ 1.2 | |
Derivative, Collateral, Obligation to Return Cash | $ 1.1 | |
Entergy Texas [Member] | Other Current Liabilities [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Fair Value, Gross Liability | $ 0.4 | |
Derivative, Collateral, Right to Reclaim Cash | $ (0.5) |
Risk Management and Fair Valu_5
Risk Management and Fair Values (Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income) (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | |
Fuel, Fuel Related Expenses And Gas Purchased For Resale [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Utilities Operating Expense, Fuel Used | Utilities Operating Expense, Fuel Used | |
Purchased Power Expense [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Utilities Operating Expense, Purchased Power | Utilities Operating Expense, Purchased Power | |
Entergy Arkansas [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Letters of Credit Outstanding, Amount | $ 0.1 | ||
Entergy Arkansas [Member] | Purchased Power Expense [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Utilities Operating Expense, Purchased Power | Utilities Operating Expense, Purchased Power | |
Entergy Louisiana [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative Asset, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other Assets, Noncurrent | ||
Entergy Louisiana [Member] | Fuel, Fuel Related Expenses And Gas Purchased For Resale [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Utilities Operating Expense, Fuel Used | Utilities Operating Expense, Fuel Used | |
Entergy Louisiana [Member] | Purchased Power Expense [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Utilities Operating Expense, Purchased Power | Utilities Operating Expense, Purchased Power | |
Entergy Mississippi [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Letters of Credit Outstanding, Amount | $ 0.3 | $ 0.2 | |
Entergy Mississippi [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | Other Current Liabilities [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative Liability, Fair Value, Gross Liability | (21.8) | 24 | |
Derivative, Collateral, Right to Reclaim Cash | $ 0 | 0 | |
Entergy Mississippi [Member] | Fuel, Fuel Related Expenses And Gas Purchased For Resale [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Utilities Operating Expense, Fuel Used | Utilities Operating Expense, Fuel Used | |
Entergy Mississippi [Member] | Purchased Power Expense [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Utilities Operating Expense, Purchased Power | Utilities Operating Expense, Purchased Power | |
Entergy New Orleans [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Letters of Credit Outstanding, Amount | 0.2 | ||
Entergy New Orleans [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | Other Current Liabilities [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative Liability, Fair Value, Gross Liability | 1.5 | ||
Derivative, Collateral, Right to Reclaim Cash | 0 | ||
Entergy New Orleans [Member] | Fuel, Fuel Related Expenses And Gas Purchased For Resale [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Utilities Operating Expense, Fuel Used | Utilities Operating Expense, Fuel Used | |
Entergy New Orleans [Member] | Purchased Power Expense [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Utilities Operating Expense, Purchased Power | Utilities Operating Expense, Purchased Power | |
Entergy Texas [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Letters of Credit Outstanding, Amount | $ 0.5 | $ 2.4 | |
Entergy Texas [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | Other Current Liabilities [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative Liability, Fair Value, Gross Liability | 0.4 | ||
Derivative, Collateral, Right to Reclaim Cash | $ 0.5 | ||
Entergy Texas [Member] | Purchased Power Expense [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | |||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Utilities Operating Expense, Purchased Power | Utilities Operating Expense, Purchased Power |
Risk Management and Fair Valu_6
Risk Management and Fair Values (Assets And Liabilities At Fair Value On A Recurring Basis) (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | $ 1,907,788 | $ 108,874 |
Assets at fair value on a recurring basis | ||
Securitization recovery trust account | 17,000 | 13,000 |
Replacement Reserve Escrow | 406,000 | 402,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 6,690,000 | 4,681,000 |
Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 22,000 | 25,000 |
Debt Securities [Member] | ||
Assets at fair value on a recurring basis | ||
Decommissioning Fund Investments, Fair Value | 1,707,000 | 1,656,000 |
Common trust funds valued using Net Asset Value [Domain] | ||
Assets at fair value on a recurring basis | ||
Decommissioning Fund Investments, Fair Value | 2,616,000 | 2,442,000 |
Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 2,000 | 16,000 |
Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 7,000 | 19,000 |
Equity Securities [Member] | ||
Assets at fair value on a recurring basis | ||
Decommissioning Fund Investments, Fair Value | 26,000 | 24,000 |
Asset Held in Trust | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 1,000 | |
Fair Value Inputs Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 1,908,000 | 109,000 |
Assets at fair value on a recurring basis | ||
Securitization recovery trust account | 17,000 | 13,000 |
Replacement Reserve Escrow | 406,000 | 402,000 |
Equity Securities, FV-NI | 26,000 | 24,000 |
Debt Securities | 571,000 | 534,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 2,931,000 | 1,095,000 |
Fair Value Inputs Level 1 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 22,000 | 25,000 |
Fair Value Inputs Level 1 [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 2,000 | 13,000 |
Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Fair Value Inputs Level 1 [Member] | Asset Held in Trust | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 1,000 | |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Securitization recovery trust account | 0 | 0 |
Replacement Reserve Escrow | 0 | 0 |
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 1,136,000 | 1,122,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 1,136,000 | 1,125,000 |
Fair Value, Inputs, Level 2 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 3,000 |
Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Asset Held in Trust | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Securitization recovery trust account | 0 | 0 |
Replacement Reserve Escrow | 0 | 0 |
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 7,000 | 19,000 |
Fair Value, Inputs, Level 3 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 7,000 | 19,000 |
Fair Value, Inputs, Level 3 [Member] | Asset Held in Trust | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | |
Entergy New Orleans [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 175,519 | 4,437 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 5,290 | 2,235 |
Replacement Reserve Escrow | 75,800 | 75,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 256,900 | 82,400 |
Entergy New Orleans [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 1,500 | |
Entergy New Orleans [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 300 | 800 |
Entergy New Orleans [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 175,500 | 4,400 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 5,300 | 2,200 |
Replacement Reserve Escrow | 75,800 | 75,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 256,600 | 81,600 |
Entergy New Orleans [Member] | Fair Value Inputs Level 1 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 1,500 | |
Entergy New Orleans [Member] | Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Replacement Reserve Escrow | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 0 | 0 |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 2 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Replacement Reserve Escrow | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 300 | 800 |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 3 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 300 | 800 |
Entergy Mississippi [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 35,264 | 16,953 |
Assets at fair value on a recurring basis | ||
Replacement Reserve Escrow | 33,900 | 33,500 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 69,400 | 51,100 |
Entergy Mississippi [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 21,800 | 24,000 |
Entergy Mississippi [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 200 | 600 |
Entergy Mississippi [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 35,300 | 17,000 |
Assets at fair value on a recurring basis | ||
Replacement Reserve Escrow | 33,900 | 33,500 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 69,200 | 50,500 |
Entergy Mississippi [Member] | Fair Value Inputs Level 1 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 21,800 | 24,000 |
Entergy Mississippi [Member] | Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Mississippi [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Replacement Reserve Escrow | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 0 | 0 |
Entergy Mississippi [Member] | Fair Value, Inputs, Level 2 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | 0 |
Entergy Mississippi [Member] | Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Mississippi [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Replacement Reserve Escrow | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 200 | 600 |
Entergy Mississippi [Member] | Fair Value, Inputs, Level 3 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | 0 |
Entergy Mississippi [Member] | Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 200 | 600 |
Entergy Louisiana [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 1,079,349 | 6,295 |
Assets at fair value on a recurring basis | ||
Replacement Reserve Escrow | 296,400 | 293,400 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 3,260,200 | 2,102,600 |
Entergy Louisiana [Member] | Debt Securities [Member] | ||
Assets at fair value on a recurring basis | ||
Decommissioning Fund Investments, Fair Value | 759,000 | 725,100 |
Entergy Louisiana [Member] | Common trust funds valued using Net Asset Value [Domain] | ||
Assets at fair value on a recurring basis | ||
Decommissioning Fund Investments, Fair Value | 1,111,600 | 1,037,200 |
Entergy Louisiana [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 2,400 | 16,500 |
Entergy Louisiana [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 2,500 | 7,300 |
Entergy Louisiana [Member] | Equity Securities [Member] | ||
Assets at fair value on a recurring basis | ||
Decommissioning Fund Investments, Fair Value | 7,500 | 16,800 |
Entergy Louisiana [Member] | Asset Held in Trust | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 1,500 | |
Entergy Louisiana [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 1,079,300 | 6,300 |
Assets at fair value on a recurring basis | ||
Replacement Reserve Escrow | 296,400 | 293,400 |
Equity Securities, FV-NI | 7,500 | 16,800 |
Debt Securities | 230,700 | 209,400 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 1,617,800 | 539,000 |
Entergy Louisiana [Member] | Fair Value Inputs Level 1 [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 2,400 | 13,100 |
Entergy Louisiana [Member] | Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Louisiana [Member] | Fair Value Inputs Level 1 [Member] | Asset Held in Trust | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 1,500 | |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Replacement Reserve Escrow | 0 | 0 |
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 528,300 | 515,700 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 528,300 | 519,100 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 2 [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 3,400 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 2 [Member] | Asset Held in Trust | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Replacement Reserve Escrow | 0 | 0 |
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 2,500 | 7,300 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 3 [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 2,500 | 7,300 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 3 [Member] | Asset Held in Trust | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | |
Entergy Arkansas [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 156,714 | 3,367 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 1,426,200 | 1,213,600 |
Entergy Arkansas [Member] | Debt Securities [Member] | ||
Assets at fair value on a recurring basis | ||
Decommissioning Fund Investments, Fair Value | 479,400 | 470,700 |
Entergy Arkansas [Member] | Common trust funds valued using Net Asset Value [Domain] | ||
Assets at fair value on a recurring basis | ||
Decommissioning Fund Investments, Fair Value | 775,700 | 724,700 |
Entergy Arkansas [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 4,000 | 10,300 |
Entergy Arkansas [Member] | Equity Securities [Member] | ||
Assets at fair value on a recurring basis | ||
Decommissioning Fund Investments, Fair Value | 10,400 | 4,500 |
Entergy Arkansas [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 156,700 | 3,400 |
Assets at fair value on a recurring basis | ||
Equity Securities, FV-NI | 10,400 | 4,500 |
Debt Securities | 135,900 | 126,800 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 303,000 | 134,700 |
Entergy Arkansas [Member] | Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Arkansas [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 343,500 | 343,900 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 343,500 | 343,900 |
Entergy Arkansas [Member] | Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Arkansas [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 4,000 | 10,300 |
Entergy Arkansas [Member] | Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 4,000 | 10,300 |
Entergy Texas [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 91,160 | 2,997 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 11,728 | 10,879 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 102,900 | 14,000 |
Entergy Texas [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 100 | |
Entergy Texas [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 100 | |
Entergy Texas [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 91,200 | 3,000 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 11,700 | 10,900 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 102,900 | 13,900 |
Entergy Texas [Member] | Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | |
Entergy Texas [Member] | Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | |
Entergy Texas [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 0 | 0 |
Entergy Texas [Member] | Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | |
Entergy Texas [Member] | Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | |
Entergy Texas [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 0 | 100 |
Entergy Texas [Member] | Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 100 | |
Entergy Texas [Member] | Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 100 | |
System Energy [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 259,280 | 2,862 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 1,464,100 | 1,145,800 |
System Energy [Member] | Debt Securities [Member] | ||
Assets at fair value on a recurring basis | ||
Decommissioning Fund Investments, Fair Value | 468,100 | 459,700 |
System Energy [Member] | Common trust funds valued using Net Asset Value [Domain] | ||
Assets at fair value on a recurring basis | ||
Decommissioning Fund Investments, Fair Value | 728,400 | 680,400 |
System Energy [Member] | Equity Securities [Member] | ||
Assets at fair value on a recurring basis | ||
Decommissioning Fund Investments, Fair Value | 8,300 | 2,800 |
System Energy [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 259,300 | 2,900 |
Assets at fair value on a recurring basis | ||
Equity Securities, FV-NI | 8,300 | 2,800 |
Debt Securities | 204,000 | 197,500 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 471,600 | 203,200 |
System Energy [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 264,100 | 262,200 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 264,100 | 262,200 |
System Energy [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | $ 0 | $ 0 |
Risk Management and Fair Valu_7
Risk Management and Fair Values (Reconciliation Of Changes In The Net Assets (Liabilities) For The Fair Value Of Derivatives Classified As Level 3 In The Fair Value Hierarchy) (Details) - Fixed Transmission Rights (FTRs) [Member] - USD ($) $ in Millions | 3 Months Ended | |||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | $ 7 | $ 1 | $ 19 | $ 4 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included as Regulatory Liability/Asset | 4 | 20 | ||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Settlements | 16 | 23 | ||
Entergy Arkansas [Member] | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | 4 | 0.4 | 10.3 | 2.3 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 5.6 | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included as Regulatory Liability/Asset | (2.4) | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Settlements | 3.9 | 7.5 | ||
Entergy Louisiana [Member] | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | 2.5 | 0.3 | 7.3 | 0.6 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 9.1 | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included as Regulatory Liability/Asset | 4 | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Settlements | 8.8 | 9.4 | ||
Entergy Mississippi [Member] | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | 0.2 | 0.2 | 0.6 | 0.3 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0.9 | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included as Regulatory Liability/Asset | 1.1 | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Settlements | (1.5) | (1) | ||
Entergy New Orleans [Member] | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | 0.3 | 0.1 | 0.8 | 0.1 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0.8 | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included as Regulatory Liability/Asset | 0.4 | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Settlements | (0.9) | (0.8) | ||
Entergy Texas [Member] | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | 0.5 | $ 0.1 | $ 0.8 | |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 3.5 | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included as Regulatory Liability/Asset | 0.5 | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Settlements | 0.7 | $ 3.8 | ||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | $ (0.1) |
Risk Management and Fair Valu_8
Risk Management and Fair Values (Schedules Of Valuation Techniques) (Details) - Gas Hedge Contracts [Member] | 3 Months Ended |
Mar. 31, 2023 | |
Entergy Louisiana [Member] | |
Maximum Length of Time Hedged in Cash Flow Hedge | 1 year |
Entergy Mississippi [Member] | |
Maximum Length of Time Hedged in Cash Flow Hedge | 1 year |
Decommissioning Trust Funds (Na
Decommissioning Trust Funds (Narrative) (Details) - USD ($) | 3 Months Ended | |||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | Jun. 28, 2022 | |
Decommissioning Trust Funds [Abstract] | ||||
Deferred taxes on unrealized gains/(losses) recorded in OCI for non-regulated decommissioning trusts | $ 0 | $ 7,221,000 | ||
Amortized cost of debt securities | $ 1,858,000,000 | $ 1,852,000,000 | ||
Average coupon rate of debt securities | 3.07% | |||
Average duration of debt securities, years | 6 years 5 months 12 days | |||
Average maturity of debt securities, years | 10 years 9 months 21 days | |||
Proceeds from the dispositions of debt securities | $ 124,000,000 | 303,000,000 | ||
Equity Securities, FV-NI, Unrealized Loss | 161,000,000 | |||
Debt Securities, Available-for-sale, Realized Gain | 0 | 1,000,000 | ||
Debt Securities, Available-for-sale, Realized Loss | 9,000,000 | 12,000,000 | ||
Other-than-temporary Impairment Loss, Debt Securities, Available-for-sale | 1,500,000 | |||
Entergy Arkansas [Member] | ||||
Decommissioning Trust Funds [Abstract] | ||||
Amortized cost of debt securities | $ 535,400,000 | 539,800,000 | ||
Average coupon rate of debt securities | 2.38% | |||
Average duration of debt securities, years | 6 years 14 days | |||
Average maturity of debt securities, years | 7 years 6 months 3 days | |||
Proceeds from the dispositions of debt securities | $ 15,700,000 | 7,200,000 | ||
Equity Securities, FV-NI, Unrealized Loss | 47,300,000 | |||
Debt Securities, Available-for-sale, Realized Gain | 0 | 30,000 | ||
Debt Securities, Available-for-sale, Realized Loss | 1,600,000 | 200,000 | ||
Entergy Louisiana [Member] | ||||
Decommissioning Trust Funds [Abstract] | ||||
Amortized cost of debt securities | $ 804,100,000 | 789,100,000 | ||
Average coupon rate of debt securities | 3.72% | |||
Average duration of debt securities, years | 6 years 7 months 20 days | |||
Average maturity of debt securities, years | 13 years 1 month 13 days | |||
Proceeds from the dispositions of debt securities | $ 67,400,000 | 120,500,000 | ||
Percentage Interest in River Bend | 30% | |||
Equity Securities, FV-NI, Unrealized Loss | $ 69,400,000 | |||
Debt Securities, Available-for-sale, Realized Gain | 400,000 | 900,000 | ||
Debt Securities, Available-for-sale, Realized Loss | 4,900,000 | 5,500,000 | ||
System Energy [Member] | ||||
Decommissioning Trust Funds [Abstract] | ||||
Amortized cost of debt securities | $ 518,600,000 | $ 522,700,000 | ||
Average coupon rate of debt securities | 2.74% | |||
Average duration of debt securities, years | 6 years 6 months 21 days | |||
Average maturity of debt securities, years | 10 years 6 months 3 days | |||
Proceeds from the dispositions of debt securities | $ 41,300,000 | 36,200,000 | ||
Equity Securities, FV-NI, Unrealized Loss | 44,500,000 | |||
Debt Securities, Available-for-sale, Realized Gain | 0 | 100,000 | ||
Debt Securities, Available-for-sale, Realized Loss | $ 2,300,000 | $ 700,000 | ||
Palisades [Member] | ||||
Decommissioning Trust Funds [Abstract] | ||||
Decommissioning Fund Investments, Fair Value | $ 552,000,000 |
Decommissioning Trust Funds (Se
Decommissioning Trust Funds (Securities Held) (Details) - USD ($) $ in Millions | Mar. 31, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-sale [Line Items] | ||
Total | $ 1,707 | $ 1,655 |
Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Unrealized Loss Position | 160 | 201 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 8 | 4 |
Total | 1,707 | 1,655 |
Entergy Arkansas [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total | 479.4 | 470.7 |
Entergy Arkansas [Member] | Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Unrealized Loss Position | 56.8 | 69.3 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 0.9 | 0.2 |
Total | 479.4 | 470.7 |
Entergy Louisiana [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total | 759 | 725.1 |
Entergy Louisiana [Member] | Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Unrealized Loss Position | 50.4 | 67.5 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 5.4 | 3.5 |
Total | 759 | 725.1 |
System Energy [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total | 468.1 | 459.7 |
System Energy [Member] | Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Unrealized Loss Position | 52.6 | 63.7 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 2.1 | 0.7 |
Total | $ 468.1 | $ 459.7 |
Decommissioning Trust Funds (Av
Decommissioning Trust Funds (Available For Sale Securities Continuous Unrealized Loss Position Fair Value) (Details) - Debt Securities [Member] - USD ($) $ in Millions | Mar. 31, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | $ 391 | $ 840 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 961 | 666 |
Debt Securities, Held-to-maturity, Unrealized Loss Position, Fair Value | 1,352 | 1,506 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 13 | 63 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 147 | 138 |
Debt Securities, Available-for-sale, Unrealized Loss Position | 160 | 201 |
Entergy Arkansas [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | 52.3 | 197.6 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 380.4 | 260.1 |
Debt Securities, Held-to-maturity, Unrealized Loss Position, Fair Value | 432.7 | 457.7 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 1.4 | 18.8 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 55.4 | 50.5 |
Debt Securities, Available-for-sale, Unrealized Loss Position | 56.8 | 69.3 |
Entergy Louisiana [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | 258.1 | 409.9 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 304.8 | 207.5 |
Debt Securities, Held-to-maturity, Unrealized Loss Position, Fair Value | 562.9 | 617.4 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 6.7 | 24.6 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 43.7 | 42.9 |
Debt Securities, Available-for-sale, Unrealized Loss Position | 50.4 | 67.5 |
System Energy [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | 80.8 | 231.9 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 275.2 | 198 |
Debt Securities, Held-to-maturity, Unrealized Loss Position, Fair Value | 356 | 429.9 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 4.3 | 19.2 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 48.3 | 44.5 |
Debt Securities, Available-for-sale, Unrealized Loss Position | $ 52.6 | $ 63.7 |
Decommissioning Trust Funds (Fa
Decommissioning Trust Funds (Fair Value Of Debt Securities By Contractual Maturities) (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Fair value of debt securities by contractual maturities | ||
1 year - 5 years | $ 516,000 | $ 520,000 |
5 years - 10 years | 496,000 | 461,000 |
10 years - 15 years | 111,000 | 117,000 |
15 years - 20 years | 161,000 | 161,000 |
20 years+ | 353,000 | 334,000 |
Total | 1,707,000 | 1,655,000 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, within One Year, Fair Value | 70,000 | 62,000 |
Decommissioning Fund Investments | 4,349,892 | 4,121,864 |
Entergy Arkansas [Member] | ||
Fair value of debt securities by contractual maturities | ||
1 year - 5 years | 153,600 | 159,700 |
5 years - 10 years | 194,200 | 191,700 |
10 years - 15 years | 41,600 | 38,000 |
15 years - 20 years | 43,000 | 42,600 |
20 years+ | 18,300 | 17,500 |
Total | 479,400 | 470,700 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, within One Year, Fair Value | 28,700 | 21,200 |
Decommissioning Fund Investments | 1,265,519 | 1,199,860 |
Entergy Louisiana [Member] | ||
Fair value of debt securities by contractual maturities | ||
1 year - 5 years | 168,400 | 159,100 |
5 years - 10 years | 176,400 | 161,700 |
10 years - 15 years | 62,800 | 67,100 |
15 years - 20 years | 80,000 | 83,300 |
20 years+ | 234,300 | 220,300 |
Total | 759,000 | 725,100 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, within One Year, Fair Value | 37,100 | 33,600 |
Decommissioning Fund Investments | 1,879,612 | 1,779,090 |
System Energy [Member] | ||
Fair value of debt securities by contractual maturities | ||
1 year - 5 years | 193,900 | 201,700 |
5 years - 10 years | 125,200 | 107,100 |
10 years - 15 years | 6,800 | 11,700 |
15 years - 20 years | 38,100 | 35,000 |
20 years+ | 100,300 | 97,400 |
Total | 468,100 | 459,700 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, within One Year, Fair Value | 3,800 | 6,800 |
Decommissioning Fund Investments | $ 1,204,762 | $ 1,142,914 |
Income Taxes Income Taxes (Redu
Income Taxes Income Taxes (Reduction to Regulatory Liability Due to Return of Unprotected Excess ADIT (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2023 | Mar. 31, 2022 | Apr. 01, 2023 | |
Reduction to regulatory liability due to return of unprotected excess accumulated deferred income taxes | $ 0 | $ 17,000,000 | |
Entergy Arkansas [Member] | |||
Reduction to regulatory liability due to return of unprotected excess accumulated deferred income taxes | $ 0 | ||
State Effective Income tax Rate, Percent | 5.30% | ||
Entergy Arkansas [Member] | Subsequent Event [Member] | |||
State Effective Income tax Rate, Percent | 5.10% | ||
Entergy Louisiana [Member] | |||
Reduction to regulatory liability due to return of unprotected excess accumulated deferred income taxes | $ 0 | 9,000,000 | |
Regulatory charge recorded as a result of reduction in income tax expense | 103,000,000 | ||
Regulatory charge recorded as a result of reduction in income tax expense, net of tax | 76,000,000 | ||
Reduction to income tax expense - net of provision for uncertain tax positions | 133,000,000 | ||
Reduction to income tax expense - net, offset by other tax charges | 129,000,000 | ||
Entergy Mississippi [Member] | |||
Reduction to regulatory liability due to return of unprotected excess accumulated deferred income taxes | 0 | ||
Entergy New Orleans [Member] | |||
Reduction to regulatory liability due to return of unprotected excess accumulated deferred income taxes | 0 | 1,000,000 | |
Entergy Texas [Member] | |||
Reduction to regulatory liability due to return of unprotected excess accumulated deferred income taxes | 0 | $ 7,000,000 | |
System Energy [Member] | |||
Reduction to regulatory liability due to return of unprotected excess accumulated deferred income taxes | $ 0 |
Property, Plant, And Equipment
Property, Plant, And Equipment (Narrative) (Details) - USD ($) $ in Millions | Mar. 31, 2023 | Dec. 31, 2022 |
Construction expenditures in accounts payable | $ 426 | $ 459 |
Entergy Arkansas [Member] | ||
Construction expenditures in accounts payable | 64.4 | 93.2 |
Entergy Louisiana [Member] | ||
Construction expenditures in accounts payable | 117.3 | 154.3 |
Entergy Mississippi [Member] | ||
Construction expenditures in accounts payable | 57.6 | 59.5 |
Entergy New Orleans [Member] | ||
Construction expenditures in accounts payable | 5.7 | 11.2 |
Entergy Texas [Member] | ||
Construction expenditures in accounts payable | 104.8 | 68.9 |
System Energy [Member] | ||
Construction expenditures in accounts payable | $ 36.6 | $ 29 |
Variable Interest Entities (Nar
Variable Interest Entities (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | ||
Mar. 31, 2023 | Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | |
Variable Interest Entity [Line Items] | ||||
Assets | $ 59,203,276 | $ 59,203,276 | $ 58,595,191 | |
Entergy New Orleans [Member] | ||||
Variable Interest Entity [Line Items] | ||||
Assets | 2,237,327 | 2,237,327 | 2,212,401 | |
Entergy Louisiana [Member] | ||||
Variable Interest Entity [Line Items] | ||||
Assets | 29,448,873 | 29,448,873 | 28,144,555 | |
Members' Equity Attributable to Noncontrolling Interest | $ 46,396 | $ 46,396 | 31,735 | |
Entergy Louisiana [Member] | Restoration Law Trust I (storm trust I) [Member] | ||||
Variable Interest Entity [Line Items] | ||||
LURC's beneficial interest in the storm trust, percentage | 1% | 1% | ||
Entergy Louisiana [Member] | Restoration Law Trust II (storm trust II) [Member] | ||||
Variable Interest Entity [Line Items] | ||||
LURC's beneficial interest in the storm trust, percentage | 1% | 1% | ||
Entergy Louisiana [Member] | Entergy Finance Company [Member] | Restoration Law Trust I (storm trust I) [Member] | ||||
Variable Interest Entity [Line Items] | ||||
Redeemable Noncontrolling Interest, Equity, Preferred, Fair Value | $ 3,100,000 | $ 3,100,000 | 3,200,000 | |
Members' Equity Attributable to Noncontrolling Interest | 31,800 | 31,800 | 31,700 | |
Entergy Louisiana [Member] | Entergy Finance Company [Member] | Restoration Law Trust II (storm trust II) [Member] | ||||
Variable Interest Entity [Line Items] | ||||
Redeemable Noncontrolling Interest, Equity, Preferred, Fair Value | 1,500,000 | 1,500,000 | ||
Members' Equity Attributable to Noncontrolling Interest | 14,600 | 14,600 | ||
System Energy [Member] | ||||
Variable Interest Entity [Line Items] | ||||
Assets | 4,436,532 | $ 4,436,532 | 4,214,146 | |
System Energy [Member] | Grand Gulf [Member] | ||||
Variable Interest Entity [Line Items] | ||||
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage | 11.50% | |||
Payments on lease, including interest | $ 8,600 | $ 8,600 | ||
Entergy Arkansas [Member] | ||||
Variable Interest Entity [Line Items] | ||||
Assets | 13,280,430 | 13,280,430 | 13,006,576 | |
Members' Equity Attributable to Noncontrolling Interest | 26,092 | 26,092 | 27,825 | |
Entergy Arkansas [Member] | AR Searcy Partnership, LLC | ||||
Variable Interest Entity [Line Items] | ||||
Assets | 137,600 | 137,600 | 138,300 | |
Ownership Interest in Partnership, Carrying Value | 110,000 | 110,000 | 109,000 | |
Entergy Mississippi [Member] | ||||
Variable Interest Entity [Line Items] | ||||
Assets | 6,049,464 | 6,049,464 | 6,078,764 | |
Public Utilities, Requested Rate Increase (Decrease), Amount | 39,800 | |||
Entergy Mississippi [Member] | MS Sunflower Partnership, LLC | ||||
Variable Interest Entity [Line Items] | ||||
Assets | 152,600 | 152,600 | 154,500 | |
Ownership Interest in Partnership, Carrying Value | $ 117,800 | $ 117,800 | $ 117,200 |
Revenue Recognition (Disaggrega
Revenue Recognition (Disaggregation of Revenue) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 2,981,059 | $ 2,877,925 |
Entergy Arkansas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 582,749 | 558,956 |
Entergy Louisiana [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,345,208 | 1,265,972 |
Entergy Mississippi [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 412,428 | 349,029 |
Entergy New Orleans [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 208,820 | 198,272 |
Entergy Texas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 507,506 | 472,482 |
Electricity [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,883,411 | 2,655,776 |
Electricity [Member] | Entergy Arkansas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 582,749 | 558,956 |
Electricity [Member] | Entergy Louisiana [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,319,752 | 1,237,237 |
Electricity [Member] | Entergy Mississippi [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 412,428 | 349,029 |
Electricity [Member] | Entergy New Orleans [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 169,695 | 154,646 |
Electricity [Member] | Entergy Texas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 507,506 | 472,482 |
Natural Gas, US Regulated [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 64,581 | 72,361 |
Natural Gas, US Regulated [Member] | Entergy Arkansas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 |
Natural Gas, US Regulated [Member] | Entergy Louisiana [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 25,456 | 28,735 |
Natural Gas, US Regulated [Member] | Entergy Mississippi [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 |
Natural Gas, US Regulated [Member] | Entergy New Orleans [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 39,125 | 43,626 |
Natural Gas, US Regulated [Member] | Entergy Texas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 |
Competitive Businesses [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 33,067 | 149,788 |
Residential [Member] | Electricity [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,041,460 | 986,023 |
Residential [Member] | Electricity [Member] | Entergy Arkansas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 239,499 | 227,786 |
Residential [Member] | Electricity [Member] | Entergy Louisiana [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 360,647 | 353,567 |
Residential [Member] | Electricity [Member] | Entergy Mississippi [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 169,389 | 152,939 |
Residential [Member] | Electricity [Member] | Entergy New Orleans [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 63,566 | 58,658 |
Residential [Member] | Electricity [Member] | Entergy Texas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 208,359 | 193,073 |
Commercial [Member] | Electricity [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 714,300 | 634,626 |
Commercial [Member] | Electricity [Member] | Entergy Arkansas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 125,336 | 113,238 |
Commercial [Member] | Electricity [Member] | Entergy Louisiana [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 278,178 | 257,591 |
Commercial [Member] | Electricity [Member] | Entergy Mississippi [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 133,676 | 110,661 |
Commercial [Member] | Electricity [Member] | Entergy New Orleans [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 54,069 | 45,572 |
Commercial [Member] | Electricity [Member] | Entergy Texas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 123,041 | 107,564 |
Industrial [Member] | Electricity [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 863,723 | 743,634 |
Industrial [Member] | Electricity [Member] | Entergy Arkansas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 131,237 | 109,675 |
Industrial [Member] | Electricity [Member] | Entergy Louisiana [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 509,904 | 451,954 |
Industrial [Member] | Electricity [Member] | Entergy Mississippi [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 51,415 | 39,157 |
Industrial [Member] | Electricity [Member] | Entergy New Orleans [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 7,413 | 6,272 |
Industrial [Member] | Electricity [Member] | Entergy Texas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 163,754 | 136,576 |
Governmental [Member] | Electricity [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 67,337 | 57,292 |
Governmental [Member] | Electricity [Member] | Entergy Arkansas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 4,660 | 4,460 |
Governmental [Member] | Electricity [Member] | Entergy Louisiana [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 23,074 | 19,016 |
Governmental [Member] | Electricity [Member] | Entergy Mississippi [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 13,883 | 12,000 |
Governmental [Member] | Electricity [Member] | Entergy New Orleans [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 17,798 | 15,033 |
Governmental [Member] | Electricity [Member] | Entergy Texas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 7,922 | 6,783 |
Billed Retail [Member] | Electricity [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,686,820 | 2,421,575 |
Billed Retail [Member] | Electricity [Member] | Entergy Arkansas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 500,732 | 455,159 |
Billed Retail [Member] | Electricity [Member] | Entergy Louisiana [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,171,803 | 1,082,128 |
Billed Retail [Member] | Electricity [Member] | Entergy Mississippi [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 368,363 | 314,757 |
Billed Retail [Member] | Electricity [Member] | Entergy New Orleans [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 142,846 | 125,535 |
Billed Retail [Member] | Electricity [Member] | Entergy Texas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 503,076 | 443,996 |
Sales for Resale [Member] | Electricity [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 107,947 | 128,959 |
Sales for Resale [Member] | Electricity [Member] | Entergy Arkansas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 66,018 | 70,414 |
Sales for Resale [Member] | Electricity [Member] | Entergy Louisiana [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 83,237 | 107,701 |
Sales for Resale [Member] | Electricity [Member] | Entergy Mississippi [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 38,743 | 21,641 |
Sales for Resale [Member] | Electricity [Member] | Entergy New Orleans [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 24,910 | 26,540 |
Sales for Resale [Member] | Electricity [Member] | Entergy Texas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,445 | 17,644 |
Non-Customer [Member] | Electricity [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 44,187 | 11,362 |
Non-Customer [Member] | Electricity [Member] | Entergy Arkansas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,281 | 2,811 |
Non-Customer [Member] | Electricity [Member] | Entergy Louisiana [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 38,145 | 5,926 |
Non-Customer [Member] | Electricity [Member] | Entergy Mississippi [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,448 | 2,294 |
Non-Customer [Member] | Electricity [Member] | Entergy New Orleans [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,522 | 1,178 |
Non-Customer [Member] | Electricity [Member] | Entergy Texas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | (239) | (607) |
Other Electric [Member] | Electricity [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 44,457 | 93,880 |
Other Electric [Member] | Electricity [Member] | Entergy Arkansas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 13,718 | 30,572 |
Other Electric [Member] | Electricity [Member] | Entergy Louisiana [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 26,567 | 41,482 |
Other Electric [Member] | Electricity [Member] | Entergy Mississippi [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,874 | 10,337 |
Other Electric [Member] | Electricity [Member] | Entergy New Orleans [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 417 | 1,393 |
Other Electric [Member] | Electricity [Member] | Entergy Texas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,224 | 11,449 |
Revenues from customers [Member] | Electricity [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,839,224 | 2,644,414 |
Revenues from customers [Member] | Electricity [Member] | Entergy Arkansas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 580,468 | 556,145 |
Revenues from customers [Member] | Electricity [Member] | Entergy Louisiana [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,281,607 | 1,231,311 |
Revenues from customers [Member] | Electricity [Member] | Entergy Mississippi [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 409,980 | 346,735 |
Revenues from customers [Member] | Electricity [Member] | Entergy New Orleans [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 168,173 | 153,468 |
Revenues from customers [Member] | Electricity [Member] | Entergy Texas [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 507,745 | 473,089 |
Competitive Business Sales [Member] | Competitive Businesses [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 33,067 | $ 149,788 |
Revenue Recognition (Allowance
Revenue Recognition (Allowance for Doubtful Accounts) (Details) - USD ($) $ in Millions | 3 Months Ended | |||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Allowance for Doubtful Other Receivables, Current | $ 23.3 | $ 31.5 | $ 30.9 | $ 68.6 |
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 6.1 | (5.9) | ||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (34.4) | (45.3) | ||
Accounts Receivable, Allowance for Credit Loss, Recovery | 20.7 | 14.1 | ||
COVID-19 Pandemic [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | (11) | |||
Entergy Arkansas [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Allowance for Doubtful Other Receivables, Current | 5.3 | 6.5 | 6.5 | 13.1 |
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 1.3 | 3.7 | ||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (9.4) | (14.4) | ||
Accounts Receivable, Allowance for Credit Loss, Recovery | 6.9 | 4.1 | ||
Entergy Arkansas [Member] | COVID-19 Pandemic [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 1.8 | |||
Entergy Louisiana [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Allowance for Doubtful Other Receivables, Current | 5.7 | 11.1 | 7.6 | 29.2 |
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 4 | (6.1) | ||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (15.1) | (17.5) | ||
Accounts Receivable, Allowance for Credit Loss, Recovery | 9.2 | 5.5 | ||
Entergy Louisiana [Member] | COVID-19 Pandemic [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | (8.5) | |||
Entergy Mississippi [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Allowance for Doubtful Other Receivables, Current | 2.2 | 3.4 | 2.5 | 7.2 |
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 0.7 | (0.9) | ||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (1.7) | (4.1) | ||
Accounts Receivable, Allowance for Credit Loss, Recovery | 0.7 | 1.2 | ||
Entergy New Orleans [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Allowance for Doubtful Other Receivables, Current | 8.3 | 7.7 | 11.9 | 13.3 |
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | (1.1) | (2.4) | ||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (3.4) | (5.4) | ||
Accounts Receivable, Allowance for Credit Loss, Recovery | 0.9 | 2.2 | ||
Entergy New Orleans [Member] | COVID-19 Pandemic [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | (3) | |||
Entergy Texas [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Allowance for Doubtful Other Receivables, Current | 1.8 | 2.8 | $ 2.4 | $ 5.8 |
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 1.2 | (0.2) | ||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (4.8) | (3.9) | ||
Accounts Receivable, Allowance for Credit Loss, Recovery | $ 3 | 1.1 | ||
Entergy Texas [Member] | COVID-19 Pandemic [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | $ (1.3) |
Uncategorized Items - etr-20230
Label | Element | Value |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | $ 442,559,000 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | 224,164,000 |
Entergy Texas [Member] | ||
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | 28,000 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | 3,497,000 |
Entergy Louisiana [Member] | ||
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | 18,573,000 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | 56,613,000 |
System Energy [Member] | ||
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | 89,201,000 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | 2,940,000 |
Entergy Mississippi [Member] | ||
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | 47,627,000 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | 16,979,000 |
Entergy Arkansas [Member] | ||
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | 12,915,000 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | 5,278,000 |
Entergy New Orleans [Member] | ||
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | 42,862,000 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | $ 4,464,000 |