Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Jan. 31, 2019 | Jun. 30, 2018 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | Clearway Energy, Inc. | ||
Entity Central Index Key | 1,567,683 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2018 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false | ||
Entity Shell Company | false | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Public Float | $ 1,771,020,875 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Common Class A | |||
Class of Stock | |||
Entity Common Stock, Shares Outstanding | 34,599,645 | ||
Common Class B | |||
Class of Stock | |||
Entity Common Stock, Shares Outstanding | 42,738,750 | ||
Common Class C | |||
Class of Stock | |||
Entity Common Stock, Shares Outstanding | 73,323,463 | ||
Common Class D | |||
Class of Stock | |||
Entity Common Stock, Shares Outstanding | 42,738,750 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |||
Operating Revenues | |||||
Total operating revenues | $ 1,053 | $ 1,009 | [1] | $ 1,035 | |
Operating Costs and Expenses | |||||
Cost of operations | 332 | 326 | [1] | 308 | [1] |
Depreciation and amortization | 331 | 334 | [1] | 303 | [1] |
Impairment losses | 0 | 44 | [1],[2] | 185 | [1],[2] |
General and administrative | 20 | 19 | [1] | 16 | [1] |
Acquisition-related transaction and integration costs | 20 | 3 | [1] | 1 | [1] |
Development costs | 3 | 0 | [1] | 0 | [1] |
Total operating costs and expenses | 706 | 726 | [1] | 813 | [1] |
Operating Income | 347 | 283 | [1] | 222 | [1] |
Other Income (Expense) | |||||
Equity in earnings of unconsolidated affiliates | 74 | 71 | [1],[2] | 60 | [1],[2] |
Other income, net | 8 | 4 | [1] | 3 | [1] |
Loss on debt extinguishment | (7) | (3) | [1],[2] | 0 | [1],[2] |
Interest expense | (306) | (307) | [1] | (284) | [1] |
Total other expense, net | (231) | (235) | [1] | (221) | [1] |
Income before income taxes | 116 | 48 | [1] | 1 | [1] |
Income tax expense (benefit) | 62 | 72 | [1] | (1) | [1] |
Net Income (Loss) | 54 | (24) | [1],[2],[3] | 2 | [1],[2],[3] |
Less: Pre-acquisition net income (loss) of Drop Down Assets | 4 | 7 | [1],[3] | (4) | [1],[3] |
Net Income (Loss) Excluding Pre-acquisition Net Income (Loss) of Drop Down Assets | 50 | (31) | [1] | 6 | [1] |
Less: Net income (loss) attributable to noncontrolling interests | 2 | (15) | [1] | (51) | [1] |
Net Income (Loss) Attributable to Clearway Energy, Inc. | 48 | (16) | [1] | 57 | [1] |
Common Class A | |||||
Other Income (Expense) | |||||
Net Income (Loss) Attributable to Clearway Energy, Inc. | $ 16 | $ (6) | $ 20 | ||
Earnings Per Share Attributable to Clearway Energy, Inc. Class A and Class C Common Stockholders | |||||
Weighted average number of common shares outstanding — basic and diluted | 35 | 35 | [1] | 35 | [1] |
Earnings (Loss) per weighted average common share — basic and diluted | $ 0.46 | $ (0.16) | [1] | $ 0.58 | [1] |
Dividends per common share | $ 1.258 | $ 1.098 | [1] | $ 0.945 | [1] |
Common Class C | |||||
Other Income (Expense) | |||||
Net Income (Loss) Attributable to Clearway Energy, Inc. | $ 32 | $ (10) | $ 37 | ||
Earnings Per Share Attributable to Clearway Energy, Inc. Class A and Class C Common Stockholders | |||||
Weighted average number of common shares outstanding — basic and diluted | 69 | 64 | [1] | 63 | [1] |
Earnings (Loss) per weighted average common share — basic and diluted | $ 0.46 | $ (0.16) | $ 0.58 | ||
Dividends per common share | $ 1.258 | $ 1.098 | [1] | $ 0.945 | [1] |
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | ||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | ||||
[3] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | [3] | Dec. 31, 2016 | [3] | |
Income Statement [Abstract] | |||||
Net loss | $ 54 | $ (24) | [1],[2] | $ 2 | [1],[2] |
Unrealized gain on derivatives, net of income tax expense of $2, $7, and $0 | 22 | 10 | 13 | ||
Other comprehensive income | 22 | 10 | 13 | ||
Comprehensive Income (Loss) | 76 | (14) | 15 | ||
Less: Pre-acquisition net income (loss) of Drop Down Assets | 4 | 7 | [2] | (4) | [2] |
Less: Comprehensive income (loss) attributable to noncontrolling interests | 14 | (5) | (37) | ||
Comprehensive Income (Loss) Attributable to Clearway Energy, Inc. | $ 58 | $ (16) | $ 56 | ||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | ||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | ||||
[3] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | |||
Unrealized gain/loss on derivatives, income tax benefit/(expense) | $ 2 | $ (7) | $ 0 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 | |
Current Assets | |||
Cash and cash equivalents | $ 407 | $ 148 | [1] |
Restricted cash | 176 | 168 | [1] |
Accounts receivable — trade | 104 | 95 | [1] |
Inventory | 40 | 39 | [1] |
Notes receivable — current | 0 | 13 | [1] |
Prepayments and other current assets | 29 | 19 | [1] |
Total current assets | 756 | 482 | [1] |
Property, plant and equipment, net | |||
Property, plant and equipment, net | 5,245 | 5,410 | [1] |
Other Assets | |||
Equity investments in affiliates | 1,172 | 1,178 | [1] |
Intangible assets, net | 1,156 | 1,228 | [1] |
Derivative instruments | 8 | 1 | [1] |
Deferred income taxes | 57 | 128 | [1] |
Other non-current assets | 106 | 62 | [1] |
Total other assets | 2,499 | 2,597 | [1] |
Total Assets | 8,500 | 8,489 | [1] |
Current Liabilities | |||
Less current maturities | 535 | 339 | [1] |
Accounts payable | 45 | 46 | [1] |
Accounts payable — affiliate | 19 | 49 | [1] |
Derivative instruments | 4 | 18 | [1] |
Accrued interest expense | 44 | 38 | [1] |
Accrued expenses and other current liabilities | 57 | 50 | [1] |
Total current liabilities | 704 | 540 | [1] |
Other Liabilities | |||
Long-term debt | 5,447 | 5,659 | [1] |
Derivative instruments | 17 | 31 | [1] |
Other non-current liabilities | 108 | 100 | [1] |
Total non-current liabilities | 5,572 | 5,790 | [1] |
Total Liabilities | 6,276 | 6,330 | [1] |
Commitments and Contingencies | |||
Stockholders' Equity | |||
Preferred stock, $0.01 par value; 10,000,000 shares authorized; none issued | 0 | 0 | [1] |
Common Stock, Value, Issued | 1 | 1 | [1] |
Additional paid-in capital | 1,897 | 1,843 | [1] |
Accumulated deficit | (58) | (69) | [1] |
Accumulated other comprehensive loss | (18) | (28) | [1] |
Noncontrolling interest | 402 | 412 | [1] |
Total Stockholders' Equity | 2,224 | 2,159 | [1] |
Total Liabilities and Stockholders' Equity | $ 8,500 | $ 8,489 | [1] |
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2018 | Dec. 31, 2017 |
Par value - Common Stock, | $ 0.01 | |
Par value - Preferred Stock | $ 0.01 | |
Preferred Stock, authorized | 10,000,000 | |
Preferred Stock, issued | 0 | |
Common Stock, Shares, Issued | 193,251,396 | 184,780,837 |
Common Class A | ||
Par value - Common Stock, | $ 0.01 | |
Common Class B | ||
Par value - Common Stock, | 0.01 | |
Common Class C | ||
Par value - Common Stock, | 0.01 | |
Common Class D | ||
Par value - Common Stock, | 0.01 | |
Clearway Energy, Inc. | ||
Par value - Common Stock, | 0.01 | $ 0.01 |
Par value - Preferred Stock | $ 0.01 | $ 0.01 |
Preferred Stock, authorized | 10,000,000 | 10,000,000 |
Preferred Stock, issued | 0 | 0 |
Clearway Energy, Inc. | Common Class A | ||
Common Stock, Shares Authorized | 500,000,000 | 500,000,000 |
Common Stock, Shares, Issued | 34,586,250 | 34,586,250 |
Clearway Energy, Inc. | Common Class B | ||
Common Stock, Shares Authorized | 500,000,000 | 500,000,000 |
Common Stock, Shares, Issued | 42,738,750 | 42,738,750 |
Clearway Energy, Inc. | Common Class C | ||
Common Stock, Shares Authorized | 1,000,000,000 | 1,000,000,000 |
Common Stock, Shares, Issued | 73,187,646 | 64,717,087 |
Clearway Energy, Inc. | Common Class D | ||
Common Stock, Shares Authorized | 1,000,000,000 | 1,000,000,000 |
Common Stock, Shares, Issued | 42,738,750 | 42,738,750 |
Consolidated Statements Of Cas
Consolidated Statements Of Cash Flows - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||||
Cash Flows from Operating Activities | ||||||
Net loss | $ 54 | $ (24) | [1],[2],[3] | $ 2 | [1],[2],[3] | |
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||
Equity in earnings of unconsolidated affiliates | (74) | (71) | [1],[2] | (60) | [1],[2] | |
Distributions from unconsolidated affiliates | 70 | 72 | [1] | 58 | [1] | |
Depreciation and amortization | 331 | 334 | [1] | 303 | [1] | |
Amortization of financing costs and debt discounts | 24 | 25 | [1] | 20 | [1] | |
Amortization of intangibles and out-of-market contracts | 70 | 70 | [1] | 76 | [1] | |
Loss on debt extinguishment | 7 | 3 | [1],[2] | 0 | [1],[2] | |
Change in deferred income taxes | 62 | 72 | [1] | (1) | [1] | |
Impairment losses | 0 | 44 | [1],[2] | 185 | [1],[2] | |
Changes in derivative instruments | (16) | (15) | [1] | (15) | [1] | |
(Gain) loss on disposal of asset components | 0 | 16 | [1] | 6 | [1] | |
Changes in prepaid and accrued capacity payments | 0 | (4) | [1] | (8) | [1] | |
Changes in other working capital | (30) | (5) | [1] | 11 | [1] | |
Net Cash Provided by Operating Activities | 498 | 517 | [1] | 577 | [1] | |
Cash Flows from Investing Activities | ||||||
Acquisition of business | (11) | 0 | [1] | 0 | [1] | |
Acquisition of Drop Down Assets, net of cash acquired | (126) | (250) | [1] | (77) | [1] | |
Capital expenditures | (83) | (190) | [1] | (20) | [1] | |
Cash receipts from notes receivable | 13 | 17 | [1] | 17 | [1] | |
Return of investment from unconsolidated affiliates | 45 | 47 | [1] | 28 | [1] | |
Investments in unconsolidated affiliates | (34) | (73) | [1] | (83) | [1] | |
Other | 11 | 7 | [1] | 4 | [1] | |
Net Cash Provided by (Used in) Investing Activities | (185) | (442) | [1] | (131) | [1] | |
Cash Flows from Financing Activities | ||||||
Net contributions from noncontrolling interests | 91 | 13 | [1] | 5 | [1] | |
Net distributions and return of capital to NRG prior to the acquisition of Drop Down Assets | 0 | (23) | [1] | (184) | [1] | |
Proceeds from the issuance of common stock | 153 | 34 | [1] | 0 | [1] | |
Payments of dividends and distributions | (238) | (202) | [1] | (173) | [1] | |
Proceeds from the revolving credit facility | 35 | 55 | [1] | 60 | [1] | |
Payments for the revolving credit facility | (90) | 0 | [1] | (366) | [1] | |
Proceeds from issuance of long-term debt | 827 | 210 | [1] | 740 | [1] | |
Payments of debt issuance costs | (14) | (12) | [1] | (15) | [1] | |
Payments for long-term debt | (810) | (332) | [1] | (269) | [1] | |
Net Cash (Used in) Provided by Financing Activities | (46) | (257) | [1] | (202) | [1] | |
Net Increase (Decrease) in Cash, Cash Equivalents and Restricted Cash | 267 | (182) | [1] | 244 | [1] | |
Cash, Cash Equivalents and Restricted Cash at Beginning of Period | [1] | 316 | 498 | 254 | ||
Cash, Cash Equivalents and Restricted Cash at End of Period | 583 | 316 | [1] | 498 | [1] | |
Interest paid, net of amount capitalized | (292) | (297) | [1] | (271) | [1] | |
(Reductions) Additions to fixed assets for accrued capital expenditures | (15) | 22 | [1] | 3 | [1] | |
Non-cash adjustment for change in tax basis of assets | (7) | (20) | [1] | 44 | [1] | |
Non-cash contributions from CEG, NRG, net of distributions | $ 38 | $ (2) | [1] | $ 90 | [1] | |
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||
[3] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders Equity - USD ($) $ in Millions | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interest | Tax Equity Investors [Member] | Tax Equity Investors [Member]Noncontrolling Interest | CEG | CEGNoncontrolling Interest | |||
Total Stockholders' Equity at Dec. 31, 2015 | $ 2,903 | $ 1 | $ 1,855 | $ 12 | $ (27) | $ 1,062 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest, Excluding Net Income Related to Drop Down Asset Acquisitions | 6 | 57 | (51) | ||||||||||
Pre-acquisition net income of Acquired Drop Down Assets | [1] | (4) | (4) | ||||||||||
Unrealized gain on derivatives, net of tax | 13 | (1) | 14 | ||||||||||
Payment for Drop Down Assets | (77) | (77) | |||||||||||
Contributions from NRG, net of distributions, non-cash | 90 | 90 | |||||||||||
Capital contributions | 5 | 5 | |||||||||||
Distributions to CEG, NRG, net of contributions, cash | (184) | (184) | |||||||||||
Stock-based compensation | 1 | 1 | |||||||||||
Non-cash adjustment for change in tax basis of assets | 44 | [2] | 44 | ||||||||||
Common stock dividends | (173) | (21) | (71) | (81) | |||||||||
Total Stockholders' Equity at Dec. 31, 2016 | 2,624 | 1 | 1,879 | (2) | (28) | 774 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest, Excluding Net Income Related to Drop Down Asset Acquisitions | (31) | (16) | [1] | (15) | |||||||||
Pre-acquisition net income of Acquired Drop Down Assets | [1] | 7 | 7 | ||||||||||
Unrealized gain on derivatives, net of tax | 10 | 10 | |||||||||||
Payment for Drop Down Assets | (250) | (250) | |||||||||||
August 2017 Drop Down Assets contingent consideration | (8) | (8) | |||||||||||
Contributions from NRG, net of distributions, non-cash | (2) | (2) | |||||||||||
Capital contributions | 11 | 11 | |||||||||||
Distributions to CEG, NRG, net of contributions, cash | (21) | (21) | |||||||||||
Stock-based compensation | 2 | 2 | |||||||||||
Proceeds of Issuance from Class C Common Stock | 34 | 34 | |||||||||||
Non-cash adjustment for change in tax basis of assets | (20) | [2] | (20) | ||||||||||
Common stock dividends | (202) | (52) | (56) | (94) | |||||||||
Total Stockholders' Equity at Dec. 31, 2017 | 2,159 | [3] | 1 | 1,843 | (69) | (28) | 412 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||
Cumulative effect of change in accounting principle | 5 | 5 | |||||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest, Excluding Net Income Related to Drop Down Asset Acquisitions | 50 | 48 | 2 | ||||||||||
Pre-acquisition net income of Acquired Drop Down Assets | 4 | 4 | |||||||||||
Unrealized gain on derivatives, net of tax | 22 | 10 | 12 | ||||||||||
Payment for Drop Down Assets | (52) | (1) | (53) | ||||||||||
August 2017 Drop Down Assets contingent consideration | (3) | (3) | |||||||||||
Capital contributions | $ 106 | $ 106 | $ 38 | $ 38 | |||||||||
Distributions to CEG, NRG, net of contributions, cash | (11) | (11) | |||||||||||
Stock-based compensation | 3 | 4 | (1) | ||||||||||
Proceeds of Issuance from Class C Common Stock | 153 | 153 | |||||||||||
Non-cash adjustment for change in tax basis of assets | (7) | (7) | |||||||||||
Common stock dividends | (238) | (94) | (36) | (108) | |||||||||
Total Stockholders' Equity at Dec. 31, 2018 | $ 2,224 | $ 1 | $ 1,897 | $ (58) | $ (18) | $ 402 | |||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | ||||||||||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | ||||||||||||
[3] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Nature of Business
Nature of Business | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of business | Nature of Business Clearway Energy, Inc. (formerly NRG Yield, Inc.), together with its consolidated subsidiaries, or the Company, is a publicly-traded energy infrastructure investor in and owner of modern, sustainable and long-term contracted assets across North America. On August 31, 2018, NRG Energy, Inc., or NRG, transferred its full ownership interest in the Company to Clearway Energy Group LLC, or CEG, the holder of NRG's renewable energy development and operations platform, and subsequently sold 100% of its interest in CEG to Global Infrastructure Partners III, or GIP, referred to hereinafter as the GIP Transaction. As a result of the GIP Transaction, GIP indirectly acquired a 45.2% economic interest in Clearway Energy LLC and a 55% voting interest in the Company. GIP is an independent fund manager that invests in infrastructure assets in energy and transport sectors. The Company is sponsored by GIP through GIP's portfolio company, Clearway Energy Group. The Company’s environmentally-sound asset portfolio includes over 5,272 MW of wind, solar and natural gas-fired power generation facilities, as well as district energy systems. Through this diversified and contracted portfolio, the Company endeavors to provide its investors with stable and growing dividend income. Nearly all of these assets sell substantially all of their output pursuant to long-term offtake agreements with creditworthy counterparties. The weighted average remaining contract duration of these offtake agreements was approximately 15 years as of December 31, 2018 based on CAFD. The Company also owns thermal infrastructure assets with an aggregate steam and chilled water capacity of 1,385 net MWt and electric generation capacity of 133 net MW. These thermal infrastructure assets provide steam, hot and/or chilled water, and, in some instances, electricity to commercial businesses, universities, hospitals and governmental units in multiple locations, principally through long-term contracts or pursuant to rates regulated by state utility commissions. The Company consolidates the results of Clearway Energy LLC through its controlling interest, with CEG's interest shown as noncontrolling interest in the financial statements. The holders of the Company's outstanding shares of Class A and Class C common stock are entitled to dividends as declared. CEG receives its distributions from Clearway Energy LLC through its ownership of Clearway Energy LLC Class B and Class D units. As a result of the Class C common stock issuances during the year ended December 31, 2018 , the Company currently owns 55.8% of the economic interests of Clearway Energy LLC, with CEG retaining 44.2% of the economic interests of Clearway Energy LLC. The following table represents the structure of the Company as of December 31, 2018 : On January 29, 2019, Pacific Gas and Electric, or PG&E, filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code. Certain subsidiaries of the Company , holding interests in 6 solar facilities totaling 480 MW and Marsh Landing with capacity of 720 MW, sell the output of their facilities to PG&E, under long-term PPAs. The Company consolidates three of the solar facilities and Marsh Landing and records its interest in the other solar facilities as equity method investments. The related subsidiaries of the Company have entered into financing agreements consisting of non-recourse project level debt and in certain cases, non-recourse holding company debt. The effect of the bankruptcy filing on the Company's operations is further described in Note 2, Summary of Significant Accounting Policies , Note 5, Investments Accounted for by the Equity Method and Variable Interest Entities , and Note 10, Long-Term Debt to the Consolidated Financial Statements. Substantially all of the Company's generation assets are under long-term contractual arrangements for the output or capacity from these assets. The thermal assets are comprised of district energy systems and combined heat and power plants that produce steam, hot water and/or chilled water and, in some instances, electricity at a central plant. Certain district energy systems are subject to rate regulation by state public utility commissions (although they may negotiate certain rates) while the other district energy systems have rates determined by negotiated bilateral contracts. For the complete listing of the company's generation assets, refer to Item 2 - Properties to this Form 10-K. Recast of the Historical Financial Statements Prior to the GIP Transaction on August 31, 2018, the Company completed several acquisitions of Drop Down Assets from NRG, which were accounted for as transfer of entities under common control, and are further described in Note 3, Business Acquisitions . The accounting guidance for transfers of entities under common control requires retrospective combination of the entities for all periods presented as if the combinations had been in effect from the beginning of the financial statement period or from the date the entities were under common control (if later than the beginning of the financial statement period). The recast of the Company's consolidated financial statements for the Drop Down Assets did not affect the historical net income attributable to Clearway Energy, Inc., weighted average number of shares outstanding, earnings per share or dividends. Transition Services Agreement As a result of the GIP Transaction, the Company entered into a Transition Services Agreement with NRG, or the NRG TSA, pursuant to which NRG or certain of its affiliates began providing transitional services to the Company following the consummation of the GIP Transaction, in exchange for the payment of a fee in respect of such services. The agreement is effective until the earlier of June 30, 2019 or the date that all services are terminated by the Company. The Company may extend the term on a month-by-month basis no later than March 31, 2020 for a fixed monthly fee provided for in the agreement. Expenses related to the NRG TSA are recorded in general and administrative expenses in the consolidated statements of operations. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Presentation and Principles of Consolidation The Company's consolidated financial statements have been prepared in accordance with GAAP. The ASC is the source of authoritative GAAP to be applied by nongovernmental entities. In addition, the rules and interpretative releases of the SEC under authority of federal securities laws are also sources of authoritative GAAP for SEC registrants. The consolidated financial statements include the Company's accounts and operations and those of its subsidiaries in which it has a controlling interest. All significant intercompany transactions and balances have been eliminated in consolidation. The usual condition for a controlling financial interest is ownership of a majority of the voting interests of an entity. However, a controlling financial interest may also exist through arrangements that do not involve controlling voting interests. As such, the Company applies the guidance of ASC 810, Consolidations, or ASC 810, to determine when an entity that is insufficiently capitalized or not controlled through its voting interests, referred to as a variable interest entity, or VIE, should be consolidated. Cash and Cash Equivalents, and Restricted Cash Cash and cash equivalents include highly liquid investments with an original maturity of three months or less at the time of purchase. Cash and cash equivalents held at project subsidiaries was $109 million and $124 million as of December 31, 2018 and 2017 , respectively. The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the statements of cash flows. Year ended December 31, 2018 2017 2016 (In millions) Cash and cash equivalents $ 407 $ 148 $ 322 Restricted cash 176 168 176 Cash, cash equivalents and restricted cash shown in the statement of cash flows 583 316 498 Restricted cash consists primarily of funds held to satisfy the requirements of certain debt agreements and funds held within the Company's projects that are restricted in their use. As of December 31, 2018 , these restricted funds comprised of $84 million is designated to fund operating expenses, approximately $26 million designated for current debt service payments, and $32 million restricted for reserves including debt service, performance obligations and other reserves, as well as capital expenditures. The remaining $34 million is held in distributions reserve accounts, of which $31 million related to subsidiaries affected by the PG&E Bankruptcy as discussed further below and may not be distributed during the pendency of the bankruptcy. On January 29, 2019, PG&E filed for reorganization under Chapter 11 of the U.S. Bankruptcy Code. The Company has non-recourse project-level debt related to each of its subsidiaries that sell their output to PG&E under long-term PPAs. The PG&E bankruptcy filing is an event of default under the related financing agreements. As of December 31, 2018, all project level cash balances for these subsidiaries were classified as restricted cash. Trade Receivables and Allowance for Doubtful Accounts Trade receivables are reported on the balance sheet at the invoiced amount adjusted for any write-offs and the allowance for doubtful accounts. The allowance for doubtful accounts is reviewed periodically based on amounts past due and significance. The allowance for doubtful accounts was immaterial as of December 31, 2018 and 2017 . Inventory Inventory consists principally of spare parts and fuel oil. Spare parts inventory is valued at weighted average cost, unless evidence indicates that the weighted average cost will not be recovered with a normal profit in the ordinary course of business. Fuel oil inventory is valued at the lower of weighted average cost or market. The Company removes fuel inventories as they are used in the production of steam, chilled water or electricity. Spare parts inventory are removed when they are used for repairs, maintenance or capital projects. Property, Plant and Equipment Property, plant and equipment are stated at cost or, in the case of third party business acquisitions, fair value; however impairment adjustments are recorded whenever events or changes in circumstances indicate that their carrying values may not be recoverable. Significant additions or improvements extending asset lives are capitalized as incurred, while repairs and maintenance that do not improve or extend the life of the respective asset are charged to expense as incurred. Depreciation is computed using the straight-line method over the estimated useful lives. Certain assets and their related accumulated depreciation amounts are adjusted for asset retirements and disposals with the resulting gain or loss included in cost of operations in the consolidated statements of operations. For further discussion of the Company's property, plant and equipment refer to Note 4 , Property, Plant and Equipment to the Consolidated Financial Statements. Development costs include project development costs, which are expensed in the preliminary stages of a project and capitalized when the project is deemed to be commercially viable. Commercial viability is determined by one or a series of actions including, among others, Board of Director approval pursuant to a formal project plan that subjects the Company to significant future obligations that can only be discharged by the use of a Company asset. When a project is available for operations, capitalized interest and capitalized project development costs are reclassified to property, plant and equipment and depreciated on a straightline basis over the estimated useful life of the project's related assets. Capitalized costs are charged to expense if a project is abandoned or management otherwise determines the costs to be unrecoverable. Asset Impairments Long-lived assets that are held and used are reviewed for impairment whenever events or changes in circumstances indicate carrying values may not be recoverable. Such reviews are performed in accordance with ASC 360. An impairment loss is indicated if the total future estimated undiscounted cash flows expected from an asset are less than its carrying value. An impairment charge is measured by the difference between an asset's carrying amount and fair value with the difference recorded in operating costs and expenses in the statements of operations. Fair values are determined by a variety of valuation methods, including appraisals, sales prices of similar assets and present value techniques. For further discussion of the Company's long-lived asset impairments, refer to Note 9 , Asset Impairments to the Consolidated Financial Statements. Investments accounted for by the equity method are reviewed for impairment in accordance with ASC 323, Investments-Equity Method and Joint Ventures , which requires that a loss in value of an investment that is an other-than-temporary decline should be recognized. The Company identifies and measures losses in the value of equity method investments based upon a comparison of fair value to carrying value. Debt Issuance Costs Debt issuance costs are capitalized and amortized as interest expense on a basis which approximates the effective interest method over the term of the related debt. Debt issuance costs related to the long term debt are presented as a direct deduction from the carrying amount of the related debt in both the current and prior periods. Debt issuance costs related to the senior secured revolving credit facility line of credit are recorded as a non-current asset on the balance sheet and are amortized over the term of the credit facility. Notes Receivable Notes receivable consist of receivables related to the financing of required network upgrades. The notes issued with respect to network upgrades will be repaid within a 5 -year period following the date each facility reached commercial operations. Intangible Assets Intangible assets represent contractual rights held by the Company. The Company recognizes specifically identifiable intangible assets including power purchase agreements, leasehold improvements, customer relationships, customer contracts, and development rights when specific rights and contracts are acquired. These intangible assets are amortized primarily on a straight-line basis. For further discussion of the Company's intangible assets, refer to Note 8 , Intangible Assets to the Consolidated Financial Statements. Revenue Recognition Revenue from Contracts with Customers On January 1, 2018, the Company adopted the guidance in ASC 606, Revenue from Contracts with Customers, or Topic 606, using the modified retrospective method applied to contracts which were not completed as of the adoption date, with no adjustment required to the financial statements upon adoption. Following the adoption of the new standard, the Company’s revenue recognition of its contracts with customers remains materially consistent with its historical practice. The comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. The Company's policies with respect to its various revenue streams are detailed below. In general, the Company applies the invoicing practical expedient to recognize revenue for the revenue streams detailed below, except in circumstances where the invoiced amount does not represent the value transferred to the customer. Thermal Revenues Steam and chilled water revenue is recognized as the Company transfers the product to the customer, based on customer usage as determined by meter readings taken at month-end. Some locations read customer meters throughout the month, and recognize estimated revenue for the period between meter read date and month-end. For thermal contracts, the Company’s performance obligation to deliver steam and chilled water is satisfied over time and revenue is recognized based on the invoiced amount. The Thermal Business subsidiaries collect and remit state and local taxes associated with sales to their customers, as required by governmental authorities. These taxes are presented on a net basis in the income statement. As contracts for steam and chilled water are long-term contracts, the Company has performance obligations under these contracts that have not yet been satisfied. These performance obligations have transaction prices that are both fixed and variable, and that vary based on the contract duration, customer type, inception date and other contract-specific factors. For the fixed price contracts, the Company cannot accurately estimate the amount of its unsatisfied performance obligations as it will vary based on customer usage, which will depend on factors such as weather and customer activity. Power Purchase Agreements, or PPAs The majority of the Company’s revenues are obtained through PPAs or other contractual agreements. Energy, capacity and where applicable, renewable attributes, from the majority of the Company’s renewable energy assets and certain conventional energy plants is sold through long-term PPAs and tolling agreements to a single counterparty, which is often a utility or commercial customer. The majority of these PPAs are accounted for as leases. ASC 840 requires the minimum lease payments received to be amortized over the term of the lease and contingent rentals are recorded when the achievement of the contingency becomes probable. Judgment is required by management in determining the economic life of each generating facility, in evaluating whether certain lease provisions constitute minimum payments or represent contingent rent and other factors in determining whether a contract contains a lease and whether the lease is an operating lease or capital lease. Certain of these leases have no minimum lease payments and all of the rental income under these leases is recorded as contingent rent on an actual basis when the electricity is delivered. The contingent rental income recognized in the years ended December 31, 2018 , 2017 , and 2016 was $583 million , $559 million , and $583 million , respectively. These balances include intercompany revenue for Elbow Creek of $6 million for the eight months ended August 31, 2018 and $8 million for each of the years ended December 31, 2017 and 2016 , as further discussed in Note 15 , Related Party Transactions . Renewable Energy Credits, or RECs As stated above, renewable energy credits, or RECs, are usually sold through long-term PPAs. Revenue from the sale of self-generated RECs is recognized when the related energy is generated and simultaneously delivered even in cases where there is a certification lag as it has been deemed to be perfunctory. In a bundled contract to sell energy, capacity and/or self-generated RECs, all performance obligations are deemed to be delivered at the same time and hence, timing of recognition of revenue for all performance obligations is the same and occurs over time. In such cases, it is often unnecessary to allocate transaction price to multiple performance obligations. Sale of Emission Allowances The Company records its bank of emission allowances as part of intangible assets. From time to time, management may authorize the transfer of emission allowances in excess of usage from the Company's emission bank to intangible assets held-for-sale for trading purposes. The Company records the sale of emission allowances on a net basis within operating revenue in the Company's consolidated statements of operations. Disaggregated Revenues The following tables represent the Company’s disaggregation of revenue from contracts with customers for the year ended December 31, 2018 , along with the reportable segment for each category: Year ended December 31, 2018 (In millions) Conventional Generation Renewables Thermal Corporate Total Energy revenue (a) $ 5 $ 572 $ 4 — $ 581 Capacity revenue (a) 337 — 166 — 503 Other revenues — 16 26 (3 ) 39 Contract amortization (5 ) (62 ) (3 ) — (70 ) Total operating revenue 337 526 193 (3 ) 1,053 Less: Lease revenue (342 ) (534 ) (2 ) — (878 ) Less: Contract amortization 5 62 3 — 70 Total revenue from contracts with customers $ — $ 54 $ 194 (3 ) $ 245 (a) The following amounts of energy and capacity revenue relate to leases and are accounted for under ASC 840: Conventional Generation Renewables Thermal Total Energy Revenue $ 5 $ 534 $ 2 $ 541 Capacity Revenue 337 — — 337 342 534 2 878 Contract Amortization Assets and liabilities recognized from power sales agreements assumed through acquisitions related to the sale of electric capacity and energy in future periods for which the fair value has been determined to be significantly less (more) than market are amortized to revenue over the term of each underlying contract based on actual generation and/or contracted volumes or on a straight-line basis, where applicable. Contract Balances The following table reflects the contract assets and liabilities included on the Company’s balance sheet as of December 31, 2018 : (In millions) December 31, 2018 December 31, 2017 Accounts receivable, net - Contracts with customers $ 35 $ 28 Accounts receivable, net - Leases 69 67 Total accounts receivable, net $ 104 $ 95 Derivative Financial Instruments The Company accounts for derivative financial instruments under ASC 815, Derivatives and Hedging , or ASC 815, which requires the Company to record all derivatives on the balance sheet at fair value unless they qualify for a NPNS exception. Changes in the fair value of non-hedge derivatives are immediately recognized in earnings. Changes in the fair value of derivatives accounted for as hedges, if elected for hedge accounting, are either: • Recognized in earnings as an offset to the changes in the fair value of the related hedged assets, liabilities and firm commitments; or • Deferred and recorded as a component of accumulated OCI until the hedged transactions occur and are recognized in earnings. The Company's primary derivative instruments are interest rate instruments used to mitigate variability in earnings due to fluctuations in interest rates, power purchase or sale contracts used to mitigate variability in earnings due to fluctuations in market prices and fuels purchase contracts used to control customer reimbursable fuel cost. On an ongoing basis, the Company qualitatively assesses the effectiveness of its derivatives that are designated as hedges for accounting purposes in order to determine that each derivative continues to be highly effective in offsetting changes in cash flows of hedged items. If necessary, the Company will perform an analyses to measure the statistical correlation between the derivative and the associated hedged item determine the effectiveness of such a contract designated as a hedge. The Company will discontinue hedge accounting if it is determined that the hedge is no longer effective. In this case, the gain or loss previously deferred in accumulated OCI would be frozen until the underlying hedged item is delivered unless the transaction being hedged is no longer probable of occurring in which case the amount in OCI would be immediately reclassified into earnings. If the derivative instrument is terminated, the effective portion of this derivative deferred in accumulated OCI will be frozen until the underlying hedged item is delivered. Revenues and expenses on contracts that qualify for the NPNS exception are recognized when the underlying physical transaction is delivered. While these contracts are considered derivative financial instruments under ASC 815, they are not recorded at fair value, but on an accrual basis of accounting. If it is determined that a transaction designated as NPNS no longer meets the scope exception, the fair value of the related contract is recorded on the balance sheet and immediately recognized through earnings. Concentrations of Credit Risk Financial instruments which potentially subject the Company to concentrations of credit risk consist primarily of accounts receivable, notes receivable and derivative instruments, which are concentrated within entities engaged in the energy and financial industry. These industry concentrations may impact the overall exposure to credit risk, either positively or negatively, in that the customers may be similarly affected by changes in economic, industry or other conditions. In addition, many of the Company's projects have only one customer. See Item 1A, Risk Factors, Risks related to the PG&E Bankruptcy for a discussion on the Company’s dependence on major customers . See Note 6 , Fair Value of Financial Instruments for a further discussion of derivative concentrations and Note 13 , Segment Reporting , for concentration of counterparties. Fair Value of Financial Instruments The carrying amount of cash and cash equivalents, restricted cash, accounts receivable, accounts receivable - affiliate, accounts payable, current portion of account payable - affiliate, and accrued expenses and other current liabilities approximate fair value because of the short-term maturity of these instruments. See Note 6 , Fair Value of Financial Instruments , for a further discussion of fair value of financial instruments. Asset Retirement Obligations Asset retirement obligations, or AROs, are accounted for in accordance with ASC 410-20, Asset Retirement Obligations, or ASC 410-20. Retirement obligations associated with long-lived assets included within the scope of ASC 410-20 are those for which a legal obligation exists under enacted laws, statutes, and written or oral contracts, including obligations arising under the doctrine of promissory estoppel, and for which the timing and/or method of settlement may be conditional on a future event. ASC 410-20 requires an entity to recognize the fair value of a liability for an ARO in the period in which it is incurred and a reasonable estimate of fair value can be made. Upon initial recognition of a liability for an ARO, the asset retirement cost is capitalized by increasing the carrying amount of the related long-lived asset by the same amount. Over time, the liability is accreted to its future value, while the capitalized cost is depreciated over the useful life of the related asset. The Company's AROs are primarily related to the future dismantlement of equipment on leased property and environmental obligations related to site closures and fuel storage facilities. The Company records AROs as part of other non-current liabilities on its balance sheet. The following table represents the balance of ARO obligations as of December 31, 2018 and 2017 , along with the additions and accretion related to the Company's ARO obligations for the year ended December 31, 2018 : (In millions) Balance as of December 31, 2017 $ 58 Revisions in estimates for current obligations/Additions 5 Accretion — expense 4 Balance as of December 31, 2018 $ 67 Guarantees The Company enters into various contracts that include indemnification and guarantee provisions as a routine part of its business activities. Examples of these contracts include operation and maintenance agreements, service agreements, commercial sales arrangements and other types of contractual agreements with vendors and other third parties, as well as affiliates. These contracts generally indemnify the counterparty for tax, environmental liability, litigation and other matters, as well as breaches of representations, warranties and covenants set forth in these agreements. Because many of the guarantees and indemnities the Company issues to third parties and affiliates do not limit the amount or duration of its obligations to perform under them, there exists a risk that the Company may have obligations in excess of the amounts agreed upon in the contracts mentioned above. For those guarantees and indemnities that do not limit the liability exposure, the Company may not be able to estimate what the liability would be, until a claim is made for payment or performance, due to the contingent nature of these contracts. Investments Accounted for by the Equity Method The Company has investments in various energy projects accounted for by the equity method, several of which are VIEs, where the Company is not a primary beneficiary, as described in Note 5 , Investments Accounted for by the Equity Method and Variable Interest Entities . The equity method of accounting is applied to these investments in affiliates because the ownership structure prevents the Company from exercising a controlling influence over the operating and financial policies of the projects. Under this method, equity in pre-tax income or losses of the investments is reflected as equity in earnings of unconsolidated affiliates. Distributions from equity method investments that represent earnings on the Company's investment are included within cash flows from operating activities and distributions from equity method investments that represent a return of the Company's investment are included within cash flows from investing activities. Sale Leaseback Arrangements The Company is party to sale-leaseback arrangements that provide for the sale of certain assets to a third party and simultaneous leaseback to the Company. In accordance with ASC 840-40, Sale-Leaseback Transactions , if the seller-lessee retains, through the leaseback, substantially all of the benefits and risks incident to the ownership of the property sold, the sale-leaseback transaction is accounted for as a financing arrangement. An example of this type of continuing involvement would include an option to repurchase the assets or the buyer-lessor having the option to sell the assets back to the Company. This provision is included in most of the Company’s sale-leaseback arrangements. As such, the Company accounts for these arrangements as financings. Under the financing method, the Company does not recognize as income any of the sale proceeds received from the lessor that contractually constitutes payment to acquire the assets subject to these arrangements. Instead, the sale proceeds received are accounted for as financing obligations and leaseback payments made by the Company are allocated between interest expense and a reduction to the financing obligation. Interest on the financing obligation is calculated using the Company’s incremental borrowing rate at the inception of the arrangement on the outstanding financing obligation. Judgment is required to determine the appropriate borrowing rate for the arrangement and in determining any gain or loss on the transaction that would be recorded either at the end of or over the lease term. Stock-Based Compensation The Company accounts for its stock-based compensation in accordance with ASC 718, Compensation — Stock Compensation, or ASC 718. The fair value of the Company's relative performance stock units, or RPSUs, are estimated on the date of grant using the Monte Carlo valuation model. The Company uses the Class A and Class C common stock price on the date of grant as the fair value of the Company's restricted stock units, or RSUs. Forfeiture rates are estimated based on an analysis of the Company's historical forfeitures, employment turnover, and expected future behavior. The Company recognizes compensation expense for both graded and cliff vesting awards on a straightline basis over the requisite service period for the entire award. The Company incurred total stock compensation expense of $3 million and $2 million for the years ended December 31, 2018 and December 31, 2017, respectively, which was primarily recorded in general and administrative expense on the Company's consolidated statements of operations. Income Taxes The Company accounts for income taxes using the liability method in accordance with ASC 740, Income Taxes , or ASC 740, which requires that the Company use the asset and liability method of accounting for deferred income taxes and provide deferred income taxes for all significant temporary differences. The Company has two categories of income tax expense or benefit — current and deferred, as follows: • Current income tax expense or benefit consists solely of current taxes payable less applicable tax credits, and • Deferred income tax expense or benefit is the change in the net deferred income tax asset or liability, excluding amounts charged or credited to accumulated other comprehensive income. The Company reports some of its revenues and expenses differently for financial statement purposes than for income tax return purposes, resulting in temporary and permanent differences between the Company's financial statements and income tax returns. The tax effects of such temporary differences are recorded as either deferred income tax assets or deferred income tax liabilities in the Company's consolidated balance sheets. The Company measures its deferred income tax assets and deferred income tax liabilities using income tax rates that are currently in effect. The Company believes it is more likely than not that the results of future operations will generate sufficient taxable income which includes the future reversal of existing taxable temporary differences to realize deferred tax assets, net of valuation allowances. In arriving at this conclusion to utilize projections of future profit before tax in its estimate of future taxable income, including the impact of the Tax Cuts and Jobs Act, the Company considered the profit before tax generated in recent years. A valuation allowance is recorded to reduce the net deferred tax assets to an amount that is more-likely-than-not to be realized. The Company accounts for uncertain tax positions in accordance with ASC 740, which applies to all tax positions related to income taxes. Under ASC 740, tax benefits are recognized when it is more-likely-than-not that a tax position will be sustained upon examination by the authorities. The benefit recognized from a position that has surpassed the more-likely-than-not threshold is the largest amount of benefit that is more than 50% likely to be realized upon settlement. The Company recognizes interest and penalties accrued related to uncertain tax benefits as a component of income tax expense. In accordance with ASC 740 and as discussed further in Note 14 , Income Taxes , changes to existing net deferred tax assets, valuation allowances, or changes to uncertain tax benefits, are recorded to income tax expense. Prior to the GIP Transaction, Clearway Energy, Inc. was included in certain NRG consolidated unitary state tax return filings which was reflected in the Clearway Energy, Inc. state effective tax rate. Following the GIP Transaction, Clearway Energy, Inc. will file under a separate standalone methodology, resulting in a higher state effective tax rate due to a larger percentage of activity allocated to high-tax jurisdictions. Business Combinations The Company accounts for its business combinations in accordance with ASC 805, Business Combinations, or ASC 805. For third party acquisitions, ASC 805 requires an acquirer to recognize and measure in its financial statements the identifiable assets acquired, the liabilities assumed, and any noncontrolling interest in the acquiree at fair value at the acquisition date. It also recognizes and measures the goodwill acquired or a gain from a bargain purchase in the business combination and determines what information to disclose to enable users of an entity's financial statements to evaluate the nature and financial effects of the business combination. In addition, transaction costs are expensed as incurred. For acquisitions that relate to entities under common control, ASC 805 requires retrospective combination of the entities for all periods presented as if the combination has been in effect from the beginning of the financial statement period of from the date the entities were under common control (if later than the beginning of the financial statement period). The difference between the cash paid and historical value of the entities' equity is recorded as a distribution/contribution from/to NRG with the offset to noncontrolling interest. Transaction costs are expensed as incurred. Use of Estimates The preparation of consolidated financial statements in accordance with GAAP requires management to make estimates and assumptions. These estimates and assumptions impact the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities as of the date of the consolidated financial statements. They also impact the reported amounts of net earnings during the reporting periods. Actual results could be different from these estimates. In recording transactions and balances resulting from business operations, the Company uses estimates based on the best information available. Estimates are used for such items as plant depreciable lives, tax provisions, uncollectible accounts, environmental liabilities, acquisition accounting and legal costs incurred in connection with recorded loss contingencies, among others. In addition, estimates are used to test long-lived assets for impairment and to determine the fair value of impaired assets. As better information becomes available or actual amounts are determinable, the recorded estimates are revised. Consequently, operating results can be affected by revisions to prior accounting estimates. Tax Equity Arrangements Certain portions of the Company’s noncontrolling interests in subsidiaries represent third-party interests in the net assets under certain tax equity arrangements, which are consolidated by the Company, that have been entered into to finance the cost of wind facilities eligible for certain tax credits. Additionally, certain portions of the Company’s investments in unconsolidated affiliates reflect the Company’s interests in tax equity arrangements, that are not consolidated by the Company, that have been entered into to finance the cost of distributed solar energy systems under operating leases or PPAs eligible for certain tax credits. The Company has determined that the provisions in the contractual agreements of these structures represent substantive profit sharing arrangements. Further, the Company has determined that the appropriate methodology for calculating the noncontrolling interest and investment in unconsolidated affiliates that reflects the substantive profit sharing arrangements is a balance sheet approach utilizing the hypothetical liquidation at book value, or HLBV, method. Under the HLBV method, the amounts reported as noncontrolling interests and investment in unconsolidated affiliates represent the am |
Business Acquisitions
Business Acquisitions | 12 Months Ended |
Dec. 31, 2018 | |
Business Combinations [Abstract] | |
Business acquisitions | Business Acquisitions 2018 Acquisitions UPMC Thermal Project Asset Acquisition — On June 19, 2018, upon reaching substantial completion, the Company acquired from NRG the UPMC Thermal Project for cash consideration of $84 million , subject to working capital adjustments. The Company had a payable of $4 million to NRG as of December 31,2018, $3 million of which was paid in January 2019 upon final completion of the project pursuant to the EPC agreement. The project adds 73 MWt of thermal equivalent capacity and 7.5 MW of emergency backup electrical capacity to the Company's portfolio. The transaction is reflected in the Company's Thermal segment. The acquisition was funded with the proceeds from the sale of the Series E Notes and Series F Notes, as further described in Note 10 , Long-term Debt . The assets transferred to the Company relate to interests under common control by NRG and were recorded at book value in accordance with ASC 805-50, Business Combinations - Related Issues . The difference between the purchase price and book value of the assets was recorded as a distribution to NRG and decreased the balance of its noncontrolling interest. The acquisition was determined to be an asset acquisition and not a business combination, therefore no recast of the historical financial information was deemed necessary. Central CA Fuel Cell 1, LLC — On April 18, 2018 , the Company acquired the Central CA Fuel Cell 1, LLC project in Tulare, California from FuelCell Energy Finance, Inc., for cash consideration of $11 million , subject to working capital adjustments. The project adds 2.8 MW of thermal capacity to the Company's portfolio, with a 20 -year PPA contract with the City of Tulare. The transaction is reflected in the Company's Thermal segment. Buckthorn Solar Drop Down Asset — On March 30, 2018, the Company acquired 100% of NRG's interests in Buckthorn Renewables, LLC, which owns a 154 MW construction-stage utility-scale solar generation project located in Texas, or the Buckthorn Solar Drop Down Asset, for cash consideration of approximately $42 million , subject to working capital adjustments. The Company also assumed non-recourse debt of $ 183 million and non-controlling interest of $19 million (as of acquisition date) attributable to the Class A member, as further described below. The Company converted $132 million of non-recourse debt to a term loan and the remainder of the outstanding debt was paid down with the contribution from the Class A member in the amount of $80 million upon the project reaching substantial completion in May 2018. The purchase price for the Buckthorn Solar Drop Down Asset was funded with cash on hand and borrowings from the Company's revolving credit facility. The assets and liabilities transferred to the Company related to interests under common control by NRG and were recorded at historical cost in accordance with ASC 805-50, Business Combinations - Related Issues . The difference between the cash paid and historical value of the entities' equity was recorded as a distribution to NRG and decreased the balance of its noncontrolling interest. Since the transaction constituted a transfer of net assets under common control, the guidance requires retrospective combination of the entities for all periods presented as if the combination had been in effect since the inception of common control. Buckthorn Solar Portfolio, LLC, a wholly owned subsidiary of Buckthorn Renewables, LLC, is the Class B member in a tax equity partnership, Buckthorn Holdings, LLC, the owner of the Buckthorn Solar Drop Down Asset. The Class A member is a tax equity investor, or TE investor, who receives 99% of allocations of taxable income and other items through the six month anniversary of the placed in service date, at which time the allocations change to 67% through the last calendar year before the flip point, and then back to 99% through the flip point (which occurs when the TE Investor obtains a specified return on its initial investment), at which time the allocations to the TE Investor change to 5% for all the periods thereafter. Before the flip point, the TE investor would receive a priority distribution of distributable cash, as defined, plus a percentage of remaining distributable cash after the priority distribution subject to a percentage cap. The project sells power under a 25 -year PPA to the City of Georgetown, Texas, which commenced in July 2018. The following is a summary of net assets transferred in connection with the acquisition of the Buckthorn Solar Drop Down Asset as of March 31, 2018: (In millions) Assets: Current assets $ 20 Property, plant and equipment 212 Non-current assets 3 Total assets 235 Liabilities: Debt (Current and non-current) (a) 176 Other current and non-current liabilities 15 Total liabilities 191 Less: noncontrolling interest 19 Net assets acquired $ 25 (a) Net of $7 million of net debt issuance costs. The following table presents a summary of the Company's historical information for the year ended December 31, 2017, which combines the financial information for the Buckthorn Solar Drop Down Asset transferred in connection with the acquisition: Year ended December 31, 2017 As Previously Reported Buckthorn Solar Drop Down Asset As Currently Reported (In millions) Total operating revenues $ 1,009 $ — $ 1,009 Operating income 283 — 283 Net loss (23 ) (1 ) (24 ) Less: Pre-acquisition net income (loss) of Drop Down Assets 8 (1 ) 7 Less: Loss attributable to noncontrolling interests (15 ) — (15 ) Net loss attributable to Clearway Energy, Inc. (16 ) — (16 ) The Buckthorn Solar Drop Down Asset had no impact on the Company's consolidated statements of operations for the year end ended December 31, 2016. 2017 Acquisitions November 2017 Drop Down Assets — On November 1, 2017, the Company acquired a 38 MW solar portfolio primarily comprised of assets from NRG's Solar Power Partners (SPP) funds and other projects developed by NRG, for cash consideration of $74 million , including working capital adjustments, plus assumed non-recourse debt of $26 million . The purchase price for the November 2017 Drop Down Assets was funded with cash on hand. The assets and liabilities transferred to the Company relate to interests under common control by NRG and were recorded at historical cost in accordance with ASC 805-50, Business Combinations - Related Issues . The difference between the cash paid and historical value of the entities' equity was recorded as a contribution from NRG and increased the balance of its noncontrolling interest. Since the transaction constituted a transfer of net assets under common control, the guidance requires retrospective combination of the entities for all periods presented as if the combination has been in effect since the inception of common control. August 2017 Drop Down Assets — On August 1, 2017, the Company acquired the remaining 25% interest in Wind TE Holdco, a portfolio of 12 wind projects, from NRG for total cash consideration of $44 million , including working capital adjustments. The purchase agreement also included potential additional payments to NRG dependent upon actual energy prices for merchant periods beginning in 2027, which were estimated and accrued as contingent consideration in the amount of $8 million . The Company originally acquired 75% of Wind TE Holdco on November 3, 2015, or November 2015 Drop Down Assets, which were consolidated with 25% of the net assets recorded as noncontrolling interest. The assets and liabilities transferred to the Company related to interests under common control by NRG and were recorded at historical cost in accordance with ASC 805-50, Business Combination - Related Issues. As the Company had reflected NRG's 25% ownership of Wind TE Holdco in noncontrolling interest, the difference between the cash paid of $44 million , net of the contingent consideration of $8 million , and the historical value of the remaining 25% of $87 million as of July 31, 2017, was recorded as an adjustment to NRG's noncontrolling interest. Since the transaction constituted a transfer of entities under common control, the accounting guidance requires retrospective combination of the entities for all periods presented as if the combination has been in effect from the beginning of the financial statement period or from the date the entities were under common control (if later than the beginning of the financial statement period). March 2017 Drop Down Assets — On March 27, 2017, the Company acquired the following interests from NRG: (i) Agua Caliente Borrower 2 LLC, which owns a 16% interest (approximately 31% of NRG's 51% interest) in the Agua Caliente solar farm, one of the ROFO Assets, representing ownership of approximately 46 net MW of capacity and (ii) NRG's interests in the Utah Solar Portfolio. Agua Caliente is located in Yuma County, AZ and sells power subject to a 25 -year PPA with Pacific Gas and Electric, with 22 years remaining on that contract. The seven utility-scale solar farms in the Utah Solar Portfolio are owned by the following entities: Four Brothers Capital, LLC, Iron Springs Capital, LLC, and Granite Mountain Capital, LLC. These utility-scale solar farms achieved commercial operations in 2016, sell power subject to 20 -year PPAs with PacifiCorp, a subsidiary of Berkshire Hathaway and are part of a tax equity structure with Dominion Solar Projects III, Inc., or Dominion, through which the Company is entitled to receive 50% of cash to be distributed. The Company paid cash consideration of $128 million , which includes $3 million of final net working capital adjustment received by the Company from NRG. The acquisition of the March 2017 Drop Down Assets was funded with cash on hand. The Company recorded the acquired interests as equity method investments. The Company also assumed non-recourse debt of $41 million and $287 million on Agua Caliente Borrower 2 LLC and the Utah Solar Portfolio, respectively, as well as its pro-rata share of non-recourse project-level debt of Agua Caliente Solar LLC. The assets and liabilities transferred to the Company relate to interests under common control by NRG and were recorded at historical cost in accordance with ASC 805-50, Business Combination - Related Issues. The difference between the cash paid and the historical value of the entities' equity of $8 million was recorded as an adjustment to noncontrolling interest. Since the transaction constituted a transfer of entities under common control, the accounting guidance requires retrospective combination of the entities for all periods presented as if the combination has been in effect from the beginning of the financial statement period or from the date the entities were under common control (if later than the beginning of the financial statement period). 2016 Acquisitions CVSR Drop Down — Prior to September 1, 2016, the Company had a 48.95% interest in CVSR, which was accounted for as an equity method investment. On September 1, 2016, the Company acquired from NRG the remaining 51.05% interest of CVSR Holdco LLC, which indirectly owns the CVSR solar facility, or the CVSR Drop Down, for total cash consideration of $78.5 million , plus an immaterial working capital adjustment. The acquisition was funded with cash on hand. The Company also assumed additional debt of $496 million , which represents 51.05% of the CVSR project level debt and 51.05% of the notes issued under the CVSR Holdco Financing Agreement, as of the closing date. The assets and liabilities transferred to the Company related to interests under common control by NRG and were recorded at historical cost in accordance with ASC 805-50, Business Combinations - Related Issues . The difference between the cash paid and historical value of the CVSR Drop Down of $112 million , as well as $6 million of AOCL, was recorded as a distribution to NRG with the offset to noncontrolling interest. Because the transaction constituted a transfer of net assets under common control, the guidance requires retrospective combination of the entities for all periods presented as if the combination has been in effect since the inception of common control. In connection with the retrospective adjustment of prior periods, the Company now consolidates CVSR and 100% of its debt, consisting of $771 million of project level debt and $200 million of notes issued under the CVSR Holdco Financing Agreement as of September 1, 2016 . In addition, the Company has removed the equity method investment from all prior periods and adjusted its financial statements to reflect its results of operations, financial position and cash flows as if it had consolidated CVSR from the beginning of the financial statement period. |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Property, plant and equipment | Property, Plant and Equipment The Company’s major classes of property, plant, and equipment were as follows: December 31, 2018 December 31, 2017 Depreciable Lives (In millions) Facilities and equipment $ 6,638 $ 6,291 2 - 45 Years Land and improvements 171 166 Construction in progress (a) 26 238 Total property, plant and equipment 6,835 6,695 Accumulated depreciation (1,590 ) (1,285 ) Net property, plant and equipment $ 5,245 $ 5,410 (a) As of December 31, 2018 and 2017 , construction in progress includes $6 million and $24 million of capital expenditures that relate to prepaid long-term service agreements in the Conventional segment, respectively. The Company recorded long-lived asset impairments during the year ended December 31, 2017, as further described in Note 9 , Asset Impairments . |
Investments Accounted for by th
Investments Accounted for by the Equity Method and Variable Interest Entities | 12 Months Ended |
Dec. 31, 2018 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investments accounted for by the equity method and variable interest entities | Investments Accounted for by the Equity Method and Variable Interest Entities Equity Method Investments The following table summarizes the Company's equity method investments as of December 31, 2018 : Name Economic Interest Investment Balance (In millions) Utah Solar Portfolio (a) 50% $317 Desert Sunlight (e) 25% 264 GenConn (b) 50% 98 Agua Caliente Solar (e) 16% 90 Elkhorn Ridge (c) 66.7% 59 San Juan Mesa (c) 75% 57 DGPV Holdco 1 LLC (d) 95% 81 DGPV Holdco 2 LLC (d) 95% 63 DGPV Holdco 3 LLC (d) 99% 116 RPV Holdco 1 LLC (d) 95% 29 Avenal (e) 50% (2) $1,172 (a) Economic interest based on cash to be distributed. Four Brothers Solar, LLC, Granite Mountain Holdings, LLC and Iron Springs Holdings, LLC are tax equity structures and VIEs. The related allocations are described below. (b) GenConn is a variable interest entity. (c) San Juan Mesa and Elkhorn Ridge are part of the Wind TE Holdco tax equity structure, as described below. San Juan Mesa and Elkhorn Ridge are owned 75% and 66.7% , respectively, by Wind TE Holdco. The Company owns 100% of the Class B interests in Wind TE Holdco. (d) Economic interest based on cash to be distributed. DGPV Holdco 1 LLC, DGPV Holdco 2 LLC, DGPV Holdco 3 LLC and RPV Holdco 1 LLC are tax equity structures and VIEs. The related allocations are described below. (e) Entities that have PPAs with PG&E. On January 29, 2019, PG&E filed for bankruptcy under Chapter 11 of the U.S. Bankruptcy Code. The Company has non-recourse project-level debt, and in some cases holding company debt, related to each of its subsidiaries that sell their output to PG&E under long-term PPAs. The PG&E bankruptcy filing is an event of default under the related financing agreements, and as a result, the respective lenders under these arrangements may accelerate the repayment of these debt balances. In addition, the event of default may have an impact on the Company’s ability to distribute cash from the project-level cash accounts to the parent entities. The Company continues to operate the projects in the normal course of business and is currently in the process of negotiating forbearance agreements with the related lenders. As of December 31, 2018 and 2017 , the Company had $ 87 million and $ 57 million , respectively, of undistributed earnings from its equity method investments. The Company acquired its interest in Desert Sunlight on June 30, 2015, for $285 million , which resulted in a difference between the purchase price and the basis of the acquired assets and liabilities of $171 million . The difference is attributable to the fair value of the property, plant and equipment and power purchase agreements. In addition, the difference between the basis of the acquired assets and liabilities and the purchase price for the Utah Solar Portfolio (Four Brothers Solar, LLC, Granite Mountain Holdings, LLC and Iron Springs Holdings, LLC) of $106 million is attributable to the fair value of the property, plant and equipment. The Company is amortizing the related basis differences to equity in earnings (losses) over the related useful life of the underlying assets acquired. Non-recourse project-level debt of unconsolidated affiliates The Company's pro-rata share of non-recourse debt held by unconsolidated affiliates was $878 million as of December 31, 2018 . This included $432 million attributable to Desert Sunlight, Agua Caliente Solar, and Avenal, the unconsolidated affiliates that sell output to PG&E under long-term PPAs. The following tables present summarized financial information for the Company's significant equity method investments: Year Ended December 31, 2018 2017 2016 Income Statement Data: (In millions) GenConn Operating revenues $ 65 $ 71 $ 72 Operating income 32 36 38 Net income 22 26 26 Desert Sunlight Operating revenues 208 207 211 Operating income 129 127 129 Net income 84 80 80 DGPV entities (a) Operating revenues 69 37 14 Operating income 23 7 2 Net income (loss) 11 (3 ) — RPV Holdco Operating revenues 14 16 13 Operating income — 3 2 Net income — 3 2 Other (b) Operating revenues 249 247 193 Operating income 103 89 71 Net income $ 75 $ 56 $ 38 As of December 31, 2018 2017 Balance Sheet Data: (In millions) GenConn Current assets $ 43 $ 38 Non-current assets 358 374 Current liabilities 22 18 Non-current liabilities 182 189 Desert Sunlight Current assets 133 133 Non-current assets 1,298 1,350 Current liabilities 58 64 Non-current liabilities 962 1,003 DGPV entities (a) Current assets 79 74 Non-current assets 784 671 Current liabilities 84 83 Non-current liabilities 314 216 Redeemable Noncontrolling Interest — 44 RPV Holdco Current assets 2 3 Non-current assets 173 183 Current liabilities 1 — Non-current liabilities 8 7 Redeemable Noncontrolling Interest 26 16 Other (b) Current assets 148 139 Non-current assets 2,511 2,621 Current liabilities 58 60 Non-current liabilities $ 889 $ 932 (a) Includes DGPV Holdco 1, DGPV Holdco 2 and DGPV Holdco 3. (b) Includes Agua Caliente, Utah Solar Portfolio, Avenal, Elkhorn Ridge and San Juan Mesa. Variable Interest Entities, or VIEs Entities that are Consolidated The Company has a controlling financial interest in certain entities which have been identified as VIEs under ASC 810, Consolidations, or ASC 810. These arrangements are primarily related to tax equity arrangements entered into with third parties in order to monetize certain tax credits associated with wind facilities and are further described below. Buckthorn Renewables, LLC — As described in Note 3 , Business Acquisitions , on March 30, 2018, the Company acquired 100% of NRG’s interest in a 154 MW construction-stage utility-scale solar generation project, Buckthorn Renewables, LLC, which owns 100% interest in Buckthorn Solar Portfolio, LLC, which in turn owns 100% of the Class B membership interests in Buckthorn Holdings, LLC. Buckthorn Holdings, LLC is a tax equity fund, which is a variable interest entity that is consolidated by Buckthorn Solar Portfolio, LLC. The Company is the primary beneficiary, through its position as managing member, and indirectly consolidates Buckthorn Holdings, LLC through Buckthorn Solar Portfolio, LLC. The Class A member is a tax equity investor who made its initial contribution of $19 million on March 30, 2018, which is reflected as noncontrolling interest on the Company’s consolidated balance sheet. The project achieved substantial completion in May 2018, at which time the remaining tax equity contributions of $80 million were funded. The Company utilizes the HLBV method to determine the net income or loss allocated to the tax equity investor noncontrolling interest. The Company recorded $55 million of loss attributable to noncontrolling interest in Buckthorn Renewables, LLC during the period ended December 31, 2018 . Wind TE Holdco — As of December 31, 2018, Wind TE Holdco was a VIE and the Company, as the holder of Class B shares and the primary beneficiary through its position as managing member consolidated Wind TE Holdco. The Class A shares of Wind TE Holdco were owned by a tax equity investor, who received 99% of allocations of taxable income and other items. On January 2, the Company bought out 100% of the Class A membership interests from the TE Investor, for cash consideration of $19 million . On August 30, 2018, Wind TE Holdco, entered into a partnership with Clearway Renew LLC, an indirect subsidiary of CEG, in order to facilitate the repowering of wind facilities of the two of its indirect subsidiaries, Elbow Creek Wind Project LLC and Wildorado Wind LLC. Wind TE Holdco contributed its interests in the two facilities and Clearway Renew LLC contributed a turbine supply agreement, including title to certain components that qualify for production tax credits. Clearway Renew LLC paid a total of $35 million to the service provider, which was recorded to other non current assets on the Company's consolidated balance sheets as of December 31, 2018. Wind TE Holdco is the managing member of Repowering Partnership LLC and consolidates the entity, which is a VIE. Clearway Renew LLC is entitled to allocations of 21% of income, which is reflected in Wind TE Holdco’s noncontrolling interests. Alta TE Holdco — On June 30, 2015, the Company sold an economic interest in Alta TE Holdco to a financial institution in order to monetize certain cash and tax attributes, primarily PTCs. The financial institution, or Alta Investor, receives 99% of allocations of taxable income and other items until the flip point, which occurs when the Alta Investor obtains a specified return on its initial investment, at which time the allocations to the Alta Investor change to 5% . The Company receives 94.34% until the flip point, at which time the allocations to the Company of CAFD will change to 97.12% , unless the flip point will not have occurred by a specified date, which would result in 100% of CAFD allocated to the Alta Investor until the flip point occurs. Alta TE Holdco is a VIE and the Company is the primary beneficiary through its position as managing member, and therefore consolidates Alta TE Holdco, with the Alta Investor's interest shown as noncontrolling interest. The Company utilizes the HLBV method to determine the net income or loss allocated to the noncontrolling interest. Spring Canyon — The Company holds 90.1% of the Class B interests in Spring Canyon II, a 32 MW wind facility, and Spring Canyon III, a 28 MW wind facility, each located in Logan County, Colorado, and Invenergy Wind Global LLC owns 9.9% of the Class B interests. The projects are financed with a partnership flip tax-equity structure with a financial institution, who owns the Class A interests, to monetize certain cash and tax attributes, primarily PTCs. Until the flip point, the Class A member receives a variable percentage of cash distributions based on the projects’ production level during the prior year. The Class A member received 34.81% of the cash distributions and the Company and Invenergy received 65.19% during the period ended December 31, 2017. After the flip point, cash distributions are allocated 5% to the Class A member and 95% to the Company and Invenergy. Spring Canyon is a VIE and the Company is the primary beneficiary through its position as managing member, and therefore consolidates Spring Canyon. The Class A member and Invenergy's interests are shown as noncontrolling interest. The Company utilizes the HLBV method to determine the net income or loss allocated to the Class A member. Net income or loss attributable to the Class B interests is allocated to Invenergy's noncontrolling interest based on its 9.9% ownership interest. Summarized financial information for the Company's consolidated VIEs consisted of the following as of December 31, 2018 : (In millions) Wind TE Holdco Alta TE Holdco Spring Canyon Buckthorn Renewables, LLC Other current and non-current assets $ 215 $ 17 $ 2 $ 15 Property, plant and equipment 346 410 91 223 Intangible assets 2 249 — — Total assets 563 676 93 238 Current and non-current liabilities 210 9 4 Total liabilities 210 9 4 135 Noncontrolling interest 45 63 49 43 Net assets less noncontrolling interests $ 308 $ 604 $ 40 $ 60 Entities that are not Consolidated The Company has interests in entities that are considered VIEs under ASC 810, Consolidation , but for which it is not considered the primary beneficiary. The Company accounts for its interests in these entities under the equity method of accounting. Utah Solar Portfolio Assets — As described in Note 3, Business Acquisitions , as part of the March 2017 Drop Down Assets acquisition, the Company acquired from NRG 100% of the Class A equity interests in the Utah Solar Portfolio, comprised of Four Brothers Solar, LLC, Granite Mountain Holdings, LLC, and Iron Springs Holdings, LLC. The Class B interests of the Utah Solar Portfolio are owned by a tax equity investor, or TE Investor, who receives 99% of allocations of taxable income and other items until the flip point, which occurs on the last day of the calendar month on which the Class B member does not have an agreed upon adjusted capital account deficit, but not prior to the 10th day after the five year anniversary of the last project to achieve its placed in service date, at which time the allocations to the TE Investor change to 50% . The Company generally receives 50% of distributable cash throughout the term of the tax-equity arrangements. The three entities comprising the Utah Solar Portfolio are VIEs. As the Company is not the primary beneficiary, the Company uses the equity method of accounting to account for its interests in the Utah Solar Portfolio. The Company utilizes the HLBV method to determine its share of the income or losses in the investees. DGPV Holdco 1 LLC — The Company and CEG are parties to the DGPV Holdco 1 LLC partnership, or DGPV Holdco 1, the purpose of which is to own or purchase solar power generation projects and other ancillary related assets from Clearway Energy Group LLC or its subsidiaries via intermediate funds. The Company owns approximately 52 MW of distributed solar capacity, based on cash to be distributed, with a weighted average contract life of 17 years . Under this partnership, the Company committed to fund up to $100 million of capital. DGPV Holdco 2 LLC — The Company and CEG are parties to the DGPV Holdco 2 LLC partnership, or DGPV Holdco 2, the purpose of which is to own or hold solar power generation projects as well as other ancillary related assets from Clearway Energy Group LLC or its subsidiaries. The Company owns approximately 113 MW of distributed solar capacity, based on cash to be distributed, with a weighted average contract life of 20 years . Under this partnership, the Company committed to fund up to $60 million of capital. DGPV Holdco 3 LLC — The Company and CEG are parties to the DGPV Holdco 3 LLC partnership, or DGPV Holdco 3, in which the Company would invest up to $50 million in an operating portfolio of distributed solar assets, primarily comprised of community solar projects, developed by CEG. The Company owns approximately 59 MW of distributed solar capacity, based on cash to be distributed, with a weighted average contract life of approximately 21 years as of December 31, 2018 . In December 2018, the Company and CEG amended the DGPV Holdco 3 partnership agreement to increase the capital commitment of $50 million to $70 million . The Company had a $9 million payable due to DGPV Holdco 3 LLC as of December 31, 2018. The Company's maximum exposure to loss is limited to its equity investment in DGPV Holdco 1, DGPV Holdco 2 and DGPV Holdco 3, which was $260 million on a combined basis. RPV Holdco 1 LLC — The Company and CEG are parties to the RPV Holdco 1 LLC partnership, or RPV Holdco, the purpose of which is to hold operating portfolios of residential solar assets developed by NRG's residential solar business, including: (i) an existing, unlevered portfolio of over 2,200 leases across nine states representing approximately 14 MW, based on cash to be distributed, with a weighted average remaining lease term of approximately 14 years that was acquired outside of the partnership; and (ii) a tax equity-financed portfolio of approximately 5,400 leases representing approximately 30 MW, based on cash to be distributed, with a weighted average remaining lease term for the existing and new leases of approximately 17 years . The Company has fully funded the partnership as of December 31, 2017. The Company's maximum exposure to loss is limited to its equity investment, which was $29 million as of December 31, 2018 . |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair value of financial instruments | Fair Value of Financial Instruments For cash and cash equivalents, restricted cash, accounts receivable — affiliate, accounts receivable, accounts payable, current portion of accounts payable — affiliate, accrued expenses and other liabilities, the carrying amount approximates fair value because of the short-term maturity of those instruments and are classified as Level 1 within the fair value hierarchy. The estimated carrying amounts and fair values of the Company’s recorded financial instruments not carried at fair market value are as follows: As of December 31, 2018 As of December 31, 2017 Carrying Amount Fair Value Carrying Amount Fair Value (In millions) Assets: Notes receivable, including current portion $ — $ — $ 13 $ 13 Liabilities: Long-term debt, including current portion (a) $ 6,043 $ 5,943 $ 6,066 $ 6,099 (a) Carrying amounts are presented net of discounts. Fair Value Accounting under ASC 820 ASC 820 establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three levels as follows: • Level 1—quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access as of the measurement date. • Level 2—inputs other than quoted prices included within Level 1 that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data. • Level 3—unobservable inputs for the asset or liability only used when there is little, if any, market activity for the asset or liability at the measurement date. In accordance with ASC 820, the Company determines the level in the fair value hierarchy within which each fair value measurement in its entirety falls, based on the lowest level input that is significant to the fair value measurement. The fair value of the Company's publicly-traded long-term debt is based on quoted market prices and is classified as Level 2 within the fair value hierarchy. The fair value of debt securities, non-publicly traded long-term debt and certain notes receivable of the Company are based on expected future cash flows discounted at market interest rates, or current interest rates for similar instruments with equivalent credit quality and are classified as Level 3 within the fair value hierarchy. The following table presents the level within the fair value hierarchy for long-term debt, including current portion as of December 31, 2018 and 2017 : As of December 31, 2018 As of December 31, 2017 Level 2 Level 3 Level 2 Level 3 (In millions) Long-term debt, including current portion $ 1,620 $ 4,323 $ 1,502 $ 4,597 Recurring Fair Value Measurements The Company records its derivative assets and liabilities at fair market value on its consolidated balance sheet. The following table presents assets and liabilities measured and recorded at fair value on the Company's consolidated balance sheets on a recurring basis and their level within the fair value hierarchy: As of December 31, 2018 As of December 31, 2017 Fair Value (a) Fair Value (a) (In millions) Level 2 Level 2 Derivative assets: Commodity contracts (b) $ — $ 1 Interest rate contracts 11 1 Total assets $ 11 $ 2 Derivative liabilities: Commodity contracts (b) $ — $ 1 Interest rate contracts 21 48 Total liabilities $ 21 $ 49 (a) There were no derivative assets or liabilities classified as Level 1 or 3 as of December 31, 2018 and 2017 . (b) The fair value of commodities was not material as of December 31, 2018 . Derivative Fair Value Measurements The Company's contracts are non-exchange-traded and valued using prices provided by external sources. For the Company’s energy markets, management receives quotes from multiple sources. To the extent that multiple quotes are received, the prices reflect the average of the bid-ask mid-point prices obtained from all sources believed to provide the most liquid market for the commodity. The fair value of each contract is discounted using a risk free interest rate. In addition, a credit reserve is applied to reflect credit risk, which for interest rate swaps, is calculated based on credit default swaps utilizing the bilateral method. For commodities, to the extent that the Company's net exposure under a specific master agreement is an asset, the Company uses the counterparty's default swap rate. If the exposure under a specific master agreement is a liability, the Company uses its own default swap rate. For interest rate swaps and commodities, the credit reserve is added to the discounted fair value to reflect the exit price that a market participant would be willing to receive to assume the liabilities or that a market participant would be willing to pay for the assets. As of December 31, 2018 , the credit reserve was no t material. It is possible that future market prices could vary from those used in recording assets and liabilities and such variations could be material. Concentration of Credit Risk In addition to the credit risk discussion as disclosed in Note 2 , Summary of Significant Accounting Policies , the following item is a discussion of the concentration of credit risk for the Company's financial instruments. Credit risk relates to the risk of loss resulting from non-performance or non-payment by counterparties pursuant to the terms of their contractual obligations. The Company monitors and manages credit risk through credit policies that include: (i) an established credit approval process; (ii) daily monitoring of counterparties' credit limits; (iii) the use of credit mitigation measures such as margin, collateral, prepayment arrangements, or volumetric limits; (iv) the use of payment netting agreements; and (v) the use of master netting agreements that allow for the netting of positive and negative exposures of various contracts associated with a single counterparty. Risks surrounding counterparty performance and credit could ultimately impact the amount and timing of expected cash flows. The Company seeks to mitigate counterparty risk by having a diversified portfolio of counterparties. Counterparty credit exposure includes credit risk exposure under certain long-term agreements, including solar and other PPAs. As external sources or observable market quotes are not available to estimate such exposure, the Company estimates the exposure related to these contracts based on various techniques including but not limited to internal models based on a fundamental analysis of the market and extrapolation of observable market data with similar characteristics. Based on these valuation techniques, as of December 31, 2018 , credit risk exposure to these counterparties attributable to the Company's ownership interests was approximately $2.3 billion for the next five years . The majority of these power contracts are with utilities with strong credit quality and public utility commission or other regulatory support . However, such regulated utility counterparties can be impacted by changes in government regulations, which the Company is unable to predict. As previously described, on January 29, 2019, PG&E filed for reorganization under Chapter 11 of the U.S. Bankruptcy Code. Certain subsidiaries of the Company sell the output of their facilities to PG&E under long-term PPAs, including interests in 6 solar facilities totaling 480 MW and Marsh Landing with a capacity of 720 MW. The Company consolidates three of the solar facilities and Marsh Landing and records its interest in the other solar facilities as equity method investments. The Company had $17 million in accounts receivable for its consolidated projects as of December 31, 2018. All of these amounts were collected in January 2019. |
Accounting for Derivative Instr
Accounting for Derivative Instruments and Hedging Activities | 12 Months Ended |
Dec. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Accounting for derivative instruments and hedging activities | Accounting for Derivative Instruments and Hedging Activities ASC 815 requires the Company to recognize all derivative instruments on the balance sheet as either assets or liabilities and to measure them at fair value each reporting period unless they qualify for a NPNS exception. The Company may elect to designate certain derivatives as cash flow hedges, if certain conditions are met, and defer the change in fair value of the derivatives to accumulated OCI/OCL, until the hedged transactions occur and are recognized in earnings. For derivatives that are not designated as cash flow hedges or do not qualify for hedge accounting treatment, the changes in the fair value will be immediately recognized in earnings. Certain derivative instruments may qualify for the NPNS exception and are therefore exempt from fair value accounting treatment. ASC 815 applies to the Company's energy related commodity contracts and interest rate swaps. Energy-Related Commodities To manage the commodity price risk associated with its competitive supply activities and the price risk associated with wholesale power sales, the Company may enter into derivative hedging instruments, namely, forward contracts that commit the Company to sell energy commodities or purchase fuels/electricity in the future. The objectives for entering into derivatives contracts designated as hedges include fixing the price for a portion of anticipated future electricity sales and fixing the price of a portion of anticipated fuel/electricity purchases for the operation of its subsidiaries. As of December 31, 2018 , the Company had forward contracts for the purchase of fuel commodities relating to the forecasted usage of the Company’s district energy centers extending through 2020 and electricity contracts to supply retail power to the Company's district energy centers extending through 2020. At December 31, 2018 , these contracts were not designated as cash flow or fair value hedges. Also, as of December 31, 2018 , the Company had other energy-related contracts that did not meet the definition of a derivative instrument or qualified for the NPNS exception and were therefore exempt from fair value accounting treatment as follows: • Power purchase agreements through 2043 , and • Natural gas transportation contracts through 2028 . Interest Rate Swaps The Company is exposed to changes in interest rates through the issuance of variable rate debt. In order to manage interest rate risk, it enters into interest rate swap agreements. As of December 31, 2018 , the Company had interest rate derivative instruments on non-recourse debt extending through 2041 , a portion of which are designated as cash flow hedges. Volumetric Underlying Derivative Transactions The following table summarizes the net notional volume buy/(sell) of the Company's open derivative transactions broken out by commodity as of December 31, 2018 and 2017 : Total Volume December 31, 2018 December 31, 2017 Commodity Units (In millions) Natural Gas MMBtu 1 2 Interest Dollars $ 1,862 $ 2,050 Fair Value of Derivative Instruments The following table summarizes the fair value within the derivative instrument valuation on the balance sheet: Fair Value Derivative Assets (a) Derivative Liabilities December 31, 2018 December 31, 2017 December 31, 2018 December 31, 2017 (In millions) Derivatives Designated as Cash Flow Hedges: Interest rate contracts current $ 2 $ — $ 1 $ 4 Interest rate contracts long-term 3 1 6 9 Total Derivatives Designated as Cash Flow Hedges 5 1 7 13 Derivatives Not Designated as Cash Flow Hedges: Interest rate contracts current 1 — 3 13 Interest rate contracts long-term 5 — 11 22 Commodity contracts current (b) — 1 — 1 Total Derivatives Not Designated as Cash Flow Hedges 6 1 14 36 Total Derivatives $ 11 $ 2 $ 21 $ 49 (a) Derivative Asset balances classified as current are included within the prepayments and other current assets line item of the Consolidated Balance Sheet. (b) The fair value of commodities was not material as of December 31, 2018 The Company has elected to present derivative assets and liabilities on the balance sheet on a trade-by-trade basis and does not offset amounts at the counterparty master agreement level. As of December 31, 2018 and 2017 , there was no outstanding collateral paid or received. As of December 31, 2018 , the commodity balances were not material. The following tables summarize the offsetting of derivatives by counterparty master agreement level: Gross Amounts Not Offset in the Statement of Financial Position As of December 31, 2018 Gross Amounts of Recognized Assets/Liabilities Derivative Instruments Net Amount Interest rate contracts: Derivative assets $ 11 $ (1 ) $ 10 Derivative liabilities (21 ) 1 (20 ) Total interest rate contracts (10 ) — (10 ) Total derivative instruments $ (10 ) $ — $ (10 ) Gross Amounts Not Offset in the Statement of Financial Position As of December 31, 2017 Gross Amounts of Recognized Assets/Liabilities Derivative Instruments Net Amount Commodity contracts: (In millions) Derivative assets $ 1 $ — $ 1 Derivative liabilities (1 ) — (1 ) Total commodity contracts — — — Interest rate contracts: Derivative assets 1 (1 ) — Derivative liabilities (48 ) 1 (47 ) Total interest rate contracts (47 ) — (47 ) Total derivative instruments $ (47 ) $ — $ (47 ) Accumulated Other Comprehensive Loss The following table summarizes the effects on the Company’s accumulated OCL balance attributable to interest rate swaps designated as cash flow hedge derivatives, net of tax: Year ended December 31, 2018 2017 2016 (In millions) Accumulated OCL beginning balance $ (60 ) $ (70 ) $ (83 ) Reclassified from accumulated OCL to income due to realization of previously deferred amounts 14 10 13 Mark-to-market of cash flow hedge accounting contracts 8 — — Accumulated OCL ending balance, net of income tax benefit of $7, $9 and $16, respectively $ (38 ) $ (60 ) $ (70 ) Accumulated OCL attributable to noncontrolling interests (20 ) (32 ) (42 ) Accumulated OCL attributable to Clearway Energy, Inc. $ (18 ) $ (28 ) $ (28 ) Losses expected to be realized from OCL during the next 12 months, net of income tax benefit of $1 $ 8 Amounts reclassified from accumulated OCL into income are recorded to interest expense. The Company's regression analysis for Marsh Landing, Walnut Creek and Avra Valley interest rate swaps, while positively correlated, no longer contain matching terms for cash flow hedge accounting. As a result, the Company voluntarily de-designated the Marsh Landing, Walnut Creek and Avra Valley cash flow hedges as of April 28, 2017, and will prospectively mark these derivatives to market through the income statement. Impact of Derivative Instruments on the Statements of Income The Company has interest rate derivative instruments that are not designated as cash flow hedges. The effect of interest rate hedges is recorded to interest expense. For the years ended December 31, 2018 , 2017 and 2016 the impact to the consolidated statements of income was a gain of $15 million , a gain of $6 million and a loss of $2 million , respectively. A portion of the Company’s derivative commodity contracts relates to its Thermal Business for the purchase of fuel/electricity commodities based on the forecasted usage of the thermal district energy centers. Realized gains and losses on these contracts are reflected in the costs that are permitted to be billed to customers through the related customer contracts or tariffs and, accordingly, no gains or losses are reflected in the consolidated statements of income for these contracts. See Note 6 , Fair Value of Financial Instruments , for a discussion regarding concentration of credit risk. |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible assets | Intangible Assets Intangible Assets — The Company's intangible assets as of December 31, 2018 and 2017 primarily reflect intangible assets established from its business acquisitions and are comprised of the following: • PPAs — Established predominantly with the acquisitions of the Alta Wind Portfolio, Walnut Creek, Tapestry and Laredo Ridge, these represent the fair value of the PPAs acquired. These are amortized, generally on a straight-line basis, over the term of the PPA. • Leasehold Rights — Established with the acquisition of the Alta Wind Portfolio, this represents the fair value of contractual rights to receive royalty payments equal to a percentage of PPA revenue from certain projects. These are amortized on a straight-line basis. • Customer relationships — Established with the acquisition of Energy Center Phoenix and Energy Center Omaha, these intangibles represent the fair value at the acquisition date of the businesses' customer base. The customer relationships are amortized to depreciation and amortization expense based on the expected discounted future net cash flows by year. • Customer contracts — Established with the acquisition of Energy Center Phoenix, these intangibles represent the fair value at the acquisition date of contracts that primarily provide chilled water, steam and electricity to its customers. These contracts are amortized to revenues based on expected volumes. • Emission Allowances — These intangibles primarily consist of SO 2 and NO x emission allowances established with the El Segundo and Walnut Creek acquisitions. These emission allowances are held-for-use and are amortized to cost of operations, with NO x allowances amortized on a straight-line basis and SO 2 allowances amortized based on units of production. • Other — Consists of a) the acquisition date fair value of the contractual rights to a ground lease for South Trent and to utilize certain interconnection facilities for Blythe, as well as land rights acquired in connection with the acquisition of Elbow Creek, and b) development rights related to certain solar businesses acquired in 2010 and 2011. The following tables summarize the components of intangible assets subject to amortization: Year ended December 31, 2018 PPAs Leasehold Rights Customer Customer Contracts Emission Allowances Other Total (In millions) December 31, 2018 $ 1,280 $ 86 $ 66 $ 15 $ 9 $ 8 $ 1,464 Less accumulated amortization (269 ) (18 ) (7 ) (9 ) (2 ) (3 ) (308 ) Net carrying amount $ 1,011 $ 68 $ 59 $ 6 $ 7 $ 5 $ 1,156 Year ended December 31, 2017 PPAs Leasehold Rights Customer Relationships Customer Contracts Emission Allowances Other Total (In millions) January 1, 2017 $ 1,286 $ 86 $ 66 $ 15 $ 9 $ 9 $ 1,471 Asset Impairments (a) (6 ) — — — — — (6 ) December 31, 2017 1,280 86 66 15 9 9 1,465 Less accumulated amortization (205 ) (13 ) (5 ) (8 ) (3 ) (3 ) (237 ) Net carrying amount $ 1,075 $ 73 $ 61 $ 7 $ 6 $ 6 $ 1,228 (a) $6 million of asset impairments relate to one of the November 2017 Drop Down Assets that was recorded by NRG during the quarter ended September 30, 2017, as further described in Note 9 , Asset Impairments . The Company recorded amortization expense of $71 million during the years ended December 31, 2018 , 2017 and 2016 . Of these amounts, $70 million for the years ended December 31, 2018 , 2017 and 2016 were recorded to contract amortization expense and reduced operating revenues in the consolidated statements of operations. The Company estimates the future amortization expense for its intangibles to be $71 million for the next five years through 2023 . Out-of-market contracts — The out-of-market contract liability represents the out-of-market value of the PPAs for the Blythe solar project and Spring Canyon wind projects and the out-of-market value of the land lease for Alta Wind XI, LLC, as of their respective acquisition dates. The Blythe solar project's liability of $7 million was recorded to other non-current liabilities on the consolidated balance sheet and is amortized to revenue in the consolidated statements of income on a units-of-production basis over the twenty -year term of the agreement. Spring Canyon's liability of $3 million was recorded to other non-current liabilities and is amortized to revenue on a straight-line basis over the twenty-five year term of the agreement. The Alta Wind XI, LLC's liability of $5 million was recorded to other non-current liabilities and is amortized as a reduction to cost of operations on a straight-line basis over the thirty-four year term of the land lease. At December 31, 2018 , accumulated amortization of out-of-market contracts was $4 million and amortization expense was $1 million for each of the years ended December 31, 2018 and 2017 . |
Asset Impairments
Asset Impairments | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Asset impairments | Asset Impairments During the fourth quarter of 2017, as the Company updated its estimated cash flows in connection with the preparation and review of the Company's annual budget, the Company determined that the cash flows for Elbow Creek, located in Texas, and the Forward project, located in Pennsylvania, were below the carrying value of the related assets, primarily driven by continued declining merchant power prices in post-contract periods, and that the assets were considered impaired. The fair value of the facilities was determined using an income approach by applying a discounted cash flow methodology to the long-term budgets for each respective plant. The income approach utilized estimates of discounted future cash flows, which were Level 3 fair value measurement and include key inputs, such as forecasted power prices, operations and maintenance expense, and discount rates. The Company measured the impairment loss as the difference between the carrying amount and the fair value of the assets and recorded impairment losses of $26 million and $5 million for Elbow Creek and Forward, respectively. Additionally, during the quarter ended September 30, 2017, in connection with the preparation of the model for sale of the November 2017 Drop Down Assets, it was identified that undiscounted cash flows were lower than the book value of certain SPP funds and NRG recorded an impairment expense of $13 million , $8 million of which relates to property, plant, and equipment and $5 million to PPAs, as described in Note 8 , Intangible Assets . In accordance with the guidance for transfer of assets under common control, the impairment is reflected in the pre-acquisition net income of Drop Down Assets of the Company's consolidated statements of operations for the period ended December 31, 2018 . During the fourth quarter of 2016, as the Company updated its estimated cash flows in connection with the preparation and review of the Company's annual budget, the Company determined that the cash flows for the Elbow Creek and Goat Wind projects and the Forward project were below the carrying value of the related assets, primarily driven by declining merchant power prices in post-contract periods, and that the assets were considered impaired. These projects were acquired in connection with the acquisition of the November 2015 Drop Down Assets and were recorded as part of the Renewables segment of the Company. The projects were recorded at historical cost at acquisition date as they were related to interests under common control by NRG. The fair value of the facilities was determined using an income approach by applying a discounted cash flow methodology to the long-term budgets for each respective plant. The income approach utilized estimates of discounted future cash flows, which were Level 3 fair value measurement and include key inputs, such as forecasted power prices, operations and maintenance expense, and discount rates. The Company measured the impairment loss as the difference between the carrying amount and the fair value of the assets and recorded impairment losses of $117 million , $60 million and $6 million for Elbow Creek, Goat Wind, and Forward, respectively. Other Impairments — During the fourth quarter of 2016, NRG recorded impairment losses of approximately $2 million related to the projects that were part of the November 2017 Drop Down Assets. Since the acquisition by the Company of the November 2017 Drop Down Assets related to transfer of assets under common control, these impairments were reflected in the Company's consolidated statements of operations for the periods ending December 31, 2016. |
Long-term Debt
Long-term Debt | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Long-term Debt | Long-term Debt The Company's borrowings, including short term and long term portions consisted of the following: December 31, 2018 December 31, 2017 Interest rate % (a) Letters of Credit Outstanding at December 31, 2018 (In millions, except rates) 2019 Convertible Notes $ 220 $ 345 3.500 2020 Convertible Notes 45 288 3.250 2024 Senior Notes 500 500 5.375 2025 Senior Notes 600 — 5.750 2026 Senior Notes 350 350 5.000 Clearway Energy LLC and Clearway Energy Operating LLC Revolving Credit Facility, due 2019 (b) — 55 L+1.75 $ 41 Project-level debt: Agua Caliente Borrower 2, due 2038 (d) 39 41 5.430 17 Alpine, due 2022 (d) 127 135 L+1.750 16 Alta Wind I - V lease financing arrangements, due 2034 and 2035 886 926 5.696 - 7.015 44 Buckthorn Solar, due 2025 132 169 L+1.750 26 CVSR, due 2037 (d) 720 746 2.339 - 3.775 — CVSR Holdco Notes, due 2037 (d) 188 194 4.680 13 El Segundo Energy Center, due 2023 352 400 L+1.75 - L+2.375 138 Energy Center Minneapolis Series C, D, E, F, G, H Notes, due 2025-2037 328 208 various — Laredo Ridge, due 2028 89 95 L+1.875 10 Kansas South, due 2030 (d) 26 29 L+2.00 2 Marsh Landing, due 2023 (d) 263 318 L+2.125 60 South Trent Wind, due 2020 50 53 L+1.625 10 Tapestry, due 2021 151 162 L+1.75 20 Utah Solar Portfolio, due 2022 267 278 various 13 Viento, due 2023 146 163 L+2.00 26 Walnut Creek, due 2023 222 267 L+1.75 74 Other 343 361 various 24 Subtotal project-level debt 4,329 4,545 Total debt 6,044 6,083 Less current maturities (535 ) (339 ) Less net debt issuance costs (61 ) (68 ) Less discounts (c) (1 ) (17 ) Total long-term debt $ 5,447 $ 5,659 (a) As of December 31, 2018 , L+ equals 3 month LIBOR plus x%, except for Viento, due 2023 and Kansas South, due 2030 where L+ equals 6 month LIBOR plus 2.00% and Utah Solar Portfolio, where L+equals 1 month LIBOR plus x%. (b) Applicable rate is determined by the borrower leverage ratio, as defined in the credit agreement. (c) Discounts relate to the 2019 Convertible Notes and 2020 Convertible Notes. (d) On January 29, 2019, PG&E filed for bankruptcy under Chapter 11 of the U.S. Bankruptcy Code. The Company has non-recourse project-level debt, and in some cases holding company debt, related to each of its subsidiaries that sell their output to PG&E under long-term PPAs. The PG&E bankruptcy filing is an event of default under the related financing agreements, and as a result, the respective lenders under these arrangements may accelerate the repayment of these debt balances. In addition, the event of default may have an impact on the Company’s ability to distribute cash from the project-level cash accounts to the parent entities. The Company continues to operate the projects in the normal course of business and is currently in the process of negotiating forbearance agreements with the related lenders. The financing arrangements listed above contain certain covenants, including financial covenants that the Company is required to be in compliance with during the term of the respective arrangement. As of December 31, 2018 , the Company was in compliance with all of the required covenants. Clearway Energy LLC and Clearway Energy Operating LLC Revolving Credit Facility The Company borrowed $55 million from the revolving credit facility during the year ended December 31, 2017 for general corporate needs as well as to fund dividend payments. On April 30, 2018, the Company closed on the refinancing of the revolving credit facility, which extended the maturity of the facility to April 28, 2023, and decreased the Company's overall cost of borrowing from L+ 2.50% to L+ 1.75% . The applicable rate is determined by the borrower leverage ratio, as defined in the credit agreement, and was L+ 1.75% as of December 31, 2018 . The facility will continue to be used for general corporate purposes including financing of future acquisitions and posting letters of credit. On October 9, 2018, the Company terminated certain letters of credit relating to certain project PPAs in exchange for a one-time payment, which reduced the outstanding letters of credit under the revolving credit facility. As of December 31, 2018 , there were no outstanding borrowings under the revolving credit facility and the Company had $41 million of letters of credit outstanding. Bridge Credit Agreement On August 31, 2018, the Company entered into a senior unsecured 364-day bridge credit agreement, or the Bridge Credit Agreement, which provided total borrowings of up to a maximum amount of $1.5 billion at a rate per annum equal to LIBOR or a base rate plus an applicable margin equal to 3.00% in the case of LIBOR loans and 2.00% in the case of base rate loans. In October 2018, the Company reduced the lenders' commitments under the bridge agreement from $1.5 billion to $867.5 million following the offering of the 2025 Senior Notes and the convertible notes tender offer results, each described below. On October 31, 2018, the Company terminated the Bridge Credit Agreement. 2025 Senior Notes On October 1, 2018, Clearway Energy Operating LLC issued $600 million of senior unsecured notes, or the 2025 Senior Notes. The 2025 Senior Notes bear interest at 5.750% and mature on October 15, 2025. Interest on the 2025 Senior Notes is payable semi-annually on April 15 and October 15 of each year, and interest payments will commence on April 15, 2019. The 2025 Senior Notes are unsecured obligations of Clearway Energy Operating LLC and are guaranteed by Clearway Energy LLC and by certain of Clearway Energy Operating LLC's wholly owned current and future subsidiaries. The proceeds from the 2025 Senior Notes were partially used to repay the 2019 Convertible Notes. 2020 Convertible Senior Notes The Company has outstanding $45 million aggregate principal amount of 3.25% Convertible Senior Notes due 2020, or the 2020 Convertible Notes. The 2020 Convertible Notes are convertible, under certain circumstances, into the Company’s Class C common stock, cash or a combination thereof at an initial conversion price of $27.50 per Class C common share, which is equivalent to a conversion rate of approximately 36.3636 shares of Class C common stock per$1,000 principal amount of notes. Interest on the 2020 Convertible Notes is payable semi-annually in arrears on June 1 and December 1 of each year. Prior to the close of business on the business day immediately preceding December 1, 2019, the 2020 Convertible Notes will be convertible only upon the occurrence of certain events and during certain periods, and thereafter, at any time until the close of business on the second scheduled trading day immediately preceding the maturity date. The 2020 Convertible Notes are guaranteed by Clearway Energy Operating LLC and Clearway Energy LLC. The Company separately accounts for the liability (debt) and equity (conversion option) components of the 2020 Convertible Notes and recognized $23 million as the value for the equity component in 2015 with the offset to debt discount. The debt discount is amortized to interest expense using the effective interest method through June 2020. As a result of the tender offer, as further described below, a total of $45 million aggregate principal amount of the 2020 Convertible Notes remained outstanding. As of December 31, 2018 , the 2020 Convertible Notes were trading at approximately 95.36% of their face value, resulting in a total market value of $43 million . The actual conversion value of the 2020 Convertible Notes is based on the product of the conversion rate and the market price of the Company's Class C common stock, as defined in the 2020 Convertible Notes indenture. As of December 31, 2018 , the Company's Class C common stock closed at $17.25 per share, resulting in a pro forma conversion value for the 2020 Convertible Notes of approximately $28 million . 2019 Convertible Senior Notes The Company had outstanding $220 million aggregate principal amount of 3.50% Convertible Notes due 2019, or the 2019 Convertible Notes. The 2019 Convertible Notes were convertible, under certain circumstances, into the Company’s Class A common stock, cash or a combination thereof at a conversion rate was of approximately 42.9644 shares of Class A common stock per$1,000 principal amount of 2019 Convertible Notes in accordance with the terms of the related indenture. The 2019 Convertible Notes are guaranteed by Clearway Energy Operating LLC and Clearway Energy LLC. The Company separately accounted for the liability (debt) and equity (conversion option) components of the 2019 Convertible Notes and recognized $23 million as the value for the equity component in 2014 with the offset to debt discount. The debt discount was amortized to interest expense using the effective interest method through February 2019. In August 2018, the Company repurchased an aggregate principal amount of $16 million of the 2019 Convertible Notes in open market transactions. The repurchases were funded through a partial repayment of the intercompany note between Clearway Energy Operating LLC and Clearway Energy, Inc., which was reduced by $16 million . As a result of the tender offer, as further described below, a total of $220 million aggregate principal amount of the 2019 Convertible Notes remained outstanding as of December 31, 2018. As of December 31, 2018 , the 2019 Convertible Notes were trading at approximately 99.81% of their face value, resulting in a total market value of $219.6 million . The actual conversion value of the 2019 Convertible Notes is based on the product of the conversion rate and the market price of the Company's Class A common stock, as defined in the Convertible Debt indenture. As of December 31, 2018 , the Company's Class A common stock closed at $16.92 per share, resulting in a pro forma conversion value for the Convertible Notes of approximately $160 million . In January 2019, the Company repurchased an additional aggregate principal amount of $50 million of the 2019 Convertible Notes in open market transactions. The repurchase was funded through a partial repayment of the intercompany note between Clearway Energy Operating LLC and Clearway Energy, Inc., which was reduced by $50 million . The 2019 Convertible Notes matured on February 1, 2019 and the Company paid off the remaining balance of an aggregate principal amount of $170 million . During the years ended December 31, 2018 and 2017 , the Company recorded the following expenses in relation to the 2020 and 2019 Convertible Notes on a combined basis at the effective rates of 5.10% and 5.00% , respectively: (In millions) December 31, 2018 December 31, 2017 Interest expense (a) $ 19 $ 21 Debt discount amortization 9 9 Debt issuance costs amortization 3 3 $ 31 $ 33 (a) Interest expense is calculated using coupon rate of 3.25% and 3.50% for 2020 and 2019 Convertible Notes, respectively. 2019 Convertible Notes and 2020 Convertible Notes Tender Offer On September 10, 2018, pursuant to the 2019 Convertible Notes and the 2020 Convertible Notes indentures, the Company delivered to the holders of the 2019 Convertible Notes and the 2020 Convertible Notes a fundamental change notice and offer to repurchase any and all of the 2019 Convertible Notes and 2020 Convertible Notes for cash at a price equal to 100% of the principal amount of the Convertible Notes plus any accrued and unpaid interest. An aggregate principal amount of $109 million of the 2019 Convertible Notes and $243 million of the 2020 Convertible Notes were tendered on or prior to the expiration date of October 9, 2018 and accepted by the Company for purchase. The Company recorded a loss on extinguishment in the amount $7 million primarily related to the repurchase of the 2020 Convertible Notes. Project - level Debt Energy Center Minneapolis Series E, F, G, H Notes On June 19, 2018, Energy Center Minneapolis LLC, a subsidiary of the Company, entered into an amended and restated Thermal note purchase and private shelf agreement under which it authorized the issuance of the Series E Notes, Series F Notes, Series G Notes, and Series H Notes, as further described in the table below: (In millions) Amount Interest Rate Energy Center Minneapolis Series E Notes, due 2033 $ 70 4.80 % Energy Center Minneapolis Series F Notes, due 2033 10 4.60 % Energy Center Minneapolis Series G Notes, due 2035 83 5.90 % Energy Center Minneapolis Series H Notes, due 2037 40 4.83 % Total proceeds $ 203 Repayment of Energy Center Minneapolis Series C Notes, due 2025 (83 ) 5.95 % Net borrowings $ 120 The proceeds from the sale of the Series E Notes and the Series F Notes were utilized to finance the acquisition of the UPMC Thermal Project as described in Note 3 , Business Acquisitions . The Series G Notes were used to refinance the Series C Notes as noted above in the table. The Series H Notes were used to make a dividend to Clearway Energy Operating LLC. The amended and restated Thermal note purchase and private shelf agreement also established a private shelf facility for the future issuance of notes in the amount of $40 million . Buckthorn Solar Drop Down Asset Debt As part of the Buckthorn Solar Drop Down Asset acquisition, as further described in Note 3 , Business Acquisitions , the Company assumed non-recourse debt of $183 million relating to Buckthorn Solar Portfolio, LLC as of the date of the acquisition, March 30, 2018. The assumed debt consisted of a construction loan and an Investment Tax Credits, or ITC, bridge loan, both at an interest rate of LIBOR plus 1.75% . On May 31, 2018, $132 million of non-recourse debt was converted to a term loan with an expected maturity of May 2025, and the remainder of the non-recourse debt was repaid with the final contribution from the Class A member in the amount of $80 million upon the project reaching substantial completion in May 2018. Buckthorn Solar entered into a series of fixed for floating interest rate swaps that would fix the interest rate for a minimum of 80% of the outstanding notional amount. All interest rate swap payments by Buckthorn Solar and its counterparties are made quarterly and LIBOR is determined in advance of each interest period. November 2017 Drop Down Assets Debt As part of the November 2017 Drop Down acquisition, the Company assumed non-recourse debt of $26 million relating to certain SPP funds. The assumed debt consisted of the following: a) a term loan under a credit agreement with a bank, with a maturity date of December 31, 2038 and interest rate of 4.69% . The credit agreement includes a letter of credit supporting debt service requirements and a letter of credit in support of the PPA; b) and financing obligation in connection with a sale-leaseback transaction with a bank for a period through March 31, 2032. The company will accrete the financing obligation over the lease term based on the lease's implicit interest rate of 8% . Agua Caliente Borrower 2, due 2038 On February 17, 2017, Agua Caliente Borrower 1 LLC, an indirect subsidiary of NRG, and Agua Caliente Borrower 2 LLC, issued $130 million of senior secured notes under the Agua Caliente Borrower 1 LLC and Agua Caliente Borrower 2 LLC financing agreement, or Agua Caliente Holdco Financing Agreement, that bear interest at 5.43% and mature on December 31, 2038. As described in Note 3, Business Acquisitions , on March 27, 2017, the Company acquired Agua Caliente Borrower 2 LLC from NRG as part of the March 2017 Drop Down Assets acquisition and assumed NRG's portion of senior secured notes under the Agua Caliente Holdco Financing Agreement. Agua Caliente Borrower 2 LLC held $39 million of the Agua Caliente Holdco debt as of December 31, 2018. The debt is joint and several with respect to Agua Caliente Borrower 1 LLC and Agua Caliente Borrower 2 LLC and is secured by the equity interests of each borrower in the Agua Caliente solar facility. Utah Solar Portfolio, due 2022 As part of the March 2017 Drop Down Assets acquisition, the Company assumed non-recourse debt of $287 million relating to the Utah Solar Portfolio at an interest rate of LIBOR plus 2.625% . The debt matures on December 16, 2022. The $287 million consisted of $222 million outstanding at the time of NRG's acquisition of the Utah Solar Portfolio on November 2, 2016, and additional borrowings of $65 million , net of debt issuance costs, incurred during 2016. The Company held $267 million of the Utah Solar Portfolio debt as of December 31, 2018. Interest Rate Swaps — Project Financings Many of the Company's project subsidiaries entered into interest rate swaps, intended to hedge the risks associated with interest rates on non-recourse project level debt. These swaps amortize in proportion to their respective loans and are floating for fixed where the project subsidiary pays its counterparty the equivalent of a fixed interest payment on a predetermined notional value and will receive quarterly the equivalent of a floating interest payment based on the same notional value. All interest rate swap payments by the project subsidiary and its counterparty are made quarterly and the LIBOR is determined in advance of each interest period. The following table summarizes the swaps, some of which are forward starting as indicated, related to the Company's project level debt as of December 31, 2018 : % of Principal Fixed Interest Rate Floating Interest Rate Notional Amount at December 31, 2018 (In millions) Effective Date Maturity Date Alpine 85 % various 3-Month LIBOR $ 108 various various Avra Valley 87 % 2.333 % 3-Month LIBOR 44 November 30, 2012 November 30, 2030 AWAM 100 % 2.47 % 3-Month LIBOR 16 May 22, 2013 May 15, 2031 Blythe 75 % 3.563 % 3-Month LIBOR 12 June 25, 2010 June 25, 2028 Borrego 75 % 1.125 % 3-Month LIBOR 3 April 3, 2013 June 30, 2020 Buckthorn Solar 83 % various 3-Month LIBOR 109 February 28, 2018 December 31, 2041 El Segundo 85 % various 3-Month LIBOR 299 various various Kansas South 75 % 2.368 % 6-Month LIBOR 20 June 28, 2013 December 31, 2030 Laredo Ridge 80 % 2.31 % 3-Month LIBOR 71 March 31, 2011 March 31, 2026 Marsh Landing 94 % 3.244 % 3-Month LIBOR 246 June 28, 2013 June 30, 2023 Roadrunner 75 % 4.313 % 3-Month LIBOR 24 September 30, 2011 December 31, 2029 South Trent 75 % 3.265 % 3-Month LIBOR 37 June 15, 2010 June 14, 2020 South Trent 75 % 4.95 % 3-Month LIBOR 21 June 30, 2020 June 14, 2028 Tapestry 90 % 2.21 % 3-Month LIBOR 136 December 30, 2011 December 21, 2021 Tapestry 50 % 3.57 % 3-Month LIBOR 60 December 21, 2021 December 21, 2029 Utah Solar Portfolio 80 % various 1-Month LIBOR 214 various September 30, 2036 Viento Funding II 91 % various 6-Month LIBOR 134 various various Viento Funding II 90 % 4.985 % 6-Month LIBOR 65 July 11, 2023 June 30, 2028 Walnut Creek Energy 90 % various 3-Month LIBOR 200 June 28, 2013 May 31, 2023 WCEP Holdings 100 % 4.003 % 3-Month LIBOR 43 June 28, 2013 May 31, 2023 Total $ 1,862 Annual Maturities Annual payments based on the maturities of the Company's debt, for the years ending after December 31, 2018 , are as follows: (In millions) 2019 $ 534 2020 406 2021 447 2022 646 2023 389 Thereafter 3,622 Total $ 6,044 |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Share | Earnings (Loss) Per Share Basic earnings per common share is computed by dividing net income by the weighted average number of common shares outstanding. Shares issued during the year are weighted for the portion of the year that they were outstanding. Diluted earnings per share is computed in a manner consistent with that of basic earnings per share while giving effect to all potentially dilutive common shares that were outstanding during the period. The reconciliation of the Company's basic and diluted (loss) earnings per share is shown in the following table: Year Ended December 31, 2018 2017 2016 (In millions, except per share data) (a) Common Class A Common Class C Common Class A Common Class C Common Class A Common Class C Basic and diluted earnings (loss) per share attributable to Clearway Energy, Inc. common stockholders Net income (loss) attributable to Clearway Energy, Inc. $ 16 $ 32 $ (6 ) $ (10 ) $ 20 $ 37 Weighted average number of common shares outstanding — basic and diluted 35 69 35 64 35 63 Earnings (Loss) per weighted average common share — basic and diluted $ 0.46 $ 0.46 $ (0.16 ) $ (0.16 ) $ 0.58 $ 0.58 (a) Net (loss) income attributable to Clearway Energy, Inc. and basic and diluted (loss) earnings per share might not recalculate due to presenting values in millions rather than whole dollars. The following table summarizes the Company's outstanding equity instruments that are anti-dilutive and were not included in the computation of the Company's diluted earnings per share: Year Ended December 31, 2018 2017 2016 (In millions of shares) 2019 Convertible Notes - Common Class A 9 15 15 2020 Convertible Notes - Common Class C 8 10 10 |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2018 | |
Stockholders' Equity Attributable to Parent [Abstract] | |
Stockholders' Equity | Stockholders' Equity Class C Common Stock Issuance On September 27, 2018, Clearway Energy, Inc. issued and sold 3,916,449 shares of Class C common stock for net proceeds of $75 million . The Company utilized the proceeds of the offering to acquire 3,916,449 Class C units of Clearway Energy LLC. At-the-Market Equity Offering Program, or the ATM Program Clearway Energy, Inc. is party to an equity distribution agreement with Barclays Capital Inc., Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC and RBC Capital Markets, LLC, as sales agents. Pursuant to the terms of the equity distribution agreement, Clearway Energy, Inc. may offer and sell shares of its Class C common stock par value $0.01 per share, from time to time through the sales agents up to an aggregate sales price of $150 million through an at-the-market equity offering program, or the ATM Program. Clearway Energy, Inc. may also sell shares of its Class C common stock to any of the sales agents, as principals for its own account, at a price agreed upon at the time of sale. The Company sold a total of 4,492,473 shares of Class C common stock for gross proceeds of $79 million during the year ended December 31, 2018 . The Company incurred commission fees of $790 thousand during the nine months ended December 31, 2018 . The Company sold a total of 6,414,339 shares of Class C common stock for gross proceeds of $114 million since the inception of the ATM Program. Approximately $36 million of Class C common stock remains available for issuance under the ATM Program. Dividends to Class A and Class C common stockholders The following table lists the dividends paid on the Company's Class A and Class C common stock during the year ended December 31, 2018 : Fourth Quarter 2018 Third Quarter 2018 Second Quarter 2018 First Quarter 2018 Dividends per Class A share $ 0.331 $ 0.320 $ 0.309 $ 0.298 Dividends per Class C share $ 0.331 $ 0.320 $ 0.309 $ 0.298 Dividends on the Class A and Class C common stock are subject to available capital, market conditions, and compliance with associated laws, regulations and other contractual obligations. The Company expects that, based on current circumstances, comparable cash dividends will continue to be paid in the foreseeable future. The Company will continue to evaluate its capital allocation approach during the pendency of the PG&E Bankruptcy. On February 12, 2019 , the Company declared a quarterly dividend on its Class A and Class C common stock of $0.20 per share payable on March 15, 2019 , to stockholders of record as of March 1, 2019 . The Company also authorized 10,000,000 shares of preferred stock, par value $0.01 per share. None of the shares of preferred stock have been issued. Distributions/Contributions to/from NRG and CEG The following table lists the distributions paid to NRG during the period from January 1, 2018 through August 31, 2018 and to CEG during the period from September 1, 2018 through December 31, 2018 on Clearway Energy LLC's Class B and D units: Fourth Quarter 2018 Third Quarter 2018 Second Quarter 2018 First Quarter 2018 Distributions per Class B unit $ 0.331 $ 0.320 $ 0.309 $ 0.298 Distributions per Class D unit $ 0.331 $ 0.320 $ 0.309 $ 0.298 The portion of the distributions paid by Clearway Energy LLC to NRG and CEG is recorded as a reduction to the Company's noncontrolling interest balance. The portion of the distributions paid by Clearway Energy LLC to the Company was utilized to fund the dividends to the Class A and Class C common stockholders described above. On February 12, 2019 , Clearway Energy LLC declared a quarterly distribution on its Class B and Class D units of $0.20 per unit payable to CEG on March 15, 2019 . During 2018 , 2017 , and 2016 , the Company acquired the Drop Down Assets from NRG, as described in Note 3 , Business Acquisitions . The difference between the cash paid and historical value of the acquired Drop Down Assets was recorded as a distribution to/contribution from NRG with the offset to noncontrolling interest. As the projects were owned by NRG prior to the Drop Down Assets acquisitions, the pre-acquisition income (loss) of such projects were recorded as attributable to NRG's noncontrolling interest. Prior to the date of acquisition, certain of the projects made distributions to NRG and NRG made contributions into certain projects. These amounts are reflected within the Company’s statement of stockholders’ equity as changes in the noncontrolling interest balance. |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting The Company’s segment structure reflects how management currently operates and allocates resources. The Company's businesses are segregated based on conventional power generation, renewable businesses which consist of solar and wind, and the thermal and chilled water business. The Corporate segment reflects the Company's corporate costs and includes eliminating entries. The Company's chief operating decision maker, its Chief Executive Officer, evaluates the performance of its segments based on operational measures including adjusted earnings before interest, taxes, depreciation and amortization, or Adjusted EBITDA, and CAFD, as well as economic gross margin and net income (loss). The Company generated more than 10% of its revenues from the following customers for the years ended December 31, 2018 , 2017 and 2016 : 2018 2017 2016 Customer Conventional (%) Renewables (%) Conventional (%) Renewables (%) Conventional (%) Renewables (%) SCE 20% 20% 21% 20% 21% 21% PG&E 12% 11% 12% 11% 12% 11% Year ended December 31, 2018 (In millions) Conventional Generation Renewables Thermal Corporate Total Operating revenues (a) $ 337 $ 526 $ 193 $ (3 ) $ 1,053 Cost of operations (a) 62 146 127 (3 ) 332 Depreciation and amortization 101 207 23 — 331 General and administrative — — 1 19 20 Acquisition-related transaction and integration costs — — — 20 20 Development costs — — 2 1 3 Operating income (loss) 174 173 40 (40 ) 347 Equity in earnings of unconsolidated affiliates 11 63 — — 74 Other income, net 1 4 1 2 8 Loss on debt extinguishment — — — (7 ) (7 ) Interest expense (51 ) (154 ) (12 ) (89 ) (306 ) Income (loss) before income taxes 135 86 29 (134 ) 116 Income tax expense — — — 62 62 Net Income (Loss) 135 86 29 (196 ) 54 Less: Net income (loss) attributable to noncontrolling interests and Pre-acquisition net income of Drop Down Assets — (100 ) — 106 6 Net Income (Loss) Attributable to Clearway Energy, Inc. $ 135 $ 186 $ 29 $ (302 ) $ 48 Balance Sheet Equity investment in affiliates $ 98 $ 1,074 $ — $ — $ 1,172 Capital expenditures (b) 14 26 28 — 68 Total Assets $ 1,788 $ 5,836 $ 516 $ 360 $ 8,500 (a) Inter-segment revenues and cost of operations include operations and maintenance fee revenue and related costs recorded in the Renewables segment. (b) Includes accruals. Year ended December 31, 2017 (In millions) Conventional Generation Renewables Thermal Corporate Total Operating revenues $ 336 $ 501 $ 172 $ — $ 1,009 Cost of operations 77 133 116 — 326 Depreciation and amortization 103 210 21 — 334 Impairment losses — 44 — — 44 General and administrative — — — 19 19 Acquisition-related transaction and integration costs — — — 3 3 Operating income (loss) 156 114 35 (22 ) 283 Equity in earnings of unconsolidated affiliates 12 59 — — 71 Other income, net 1 2 — 1 4 Loss on debt extinguishment — (3 ) — — (3 ) Interest expense (49 ) (164 ) (10 ) (84 ) (307 ) Income (loss) before income taxes 120 8 25 (105 ) 48 Income tax benefit — — — 72 72 Net Income (Loss) 120 8 25 (177 ) (24 ) Less: Net (loss) income attributable to noncontrolling interests — (75 ) — 60 (15 ) Net Income (Loss) Attributable to Clearway Energy, Inc. $ 120 $ 76 $ 25 $ (237 ) (16 ) Balance Sheet Equity investments in affiliates $ 102 $ 1,076 $ — $ — $ 1,178 Capital expenditures (a) 15 181 16 — 212 Total Assets $ 1,897 $ 6,017 $ 422 $ 153 $ 8,489 (a) Includes accruals. Year ended December 31, 2016 (In millions) Conventional Generation Renewables Thermal Corporate Total Operating revenues $ 333 $ 532 $ 170 $ — $ 1,035 Cost of operations 66 128 114 — 308 Depreciation and amortization 80 203 20 — 303 Impairment losses — 185 — — 185 General and administrative — — — 16 16 Acquisition-related transaction and integration costs — — — 1 1 Operating income (loss) 187 16 36 (17 ) 222 Equity in earnings of unconsolidated affiliates 13 47 — — 60 Other income, net 1 2 — — 3 Interest expense (48 ) (151 ) (7 ) (78 ) (284 ) Income (loss) before income taxes 153 (86 ) 29 (95 ) 1 Income tax expense — — — (1 ) (1 ) Net Income (Loss) 153 (86 ) 29 (94 ) 2 Less: Net (loss) income attributable to noncontrolling interests — (111 ) — 60 (51 ) Net Income (Loss) Attributable to Clearway Energy, Inc. $ 153 $ 29 $ 29 $ (154 ) 57 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Effective Tax Rate The income tax provision consisted of the following amounts: Year Ended December 31, 2018 2017 2016 (In millions, except percentages) Current U.S. Federal $ — $ — $ — State — — — Total — current — — — Deferred U.S. Federal 28 75 (1 ) State 34 (3 ) — Total — deferred 62 72 (1 ) Total income tax expense (benefit) $ 62 $ 72 $ (1 ) A reconciliation of the U.S. federal statutory rate of 21% and 35% to the Company's effective rate is as follows: Year Ended December 31, 2018 2017 2016 (In millions, except percentages) Income Before Income Taxes $ 116 $ 48 $ 1 Tax at 21%/35% 24 17 — State taxes, net of federal benefit 8 (3 ) — Deferred state rate change due to deconsolidation from NRG 20 — — Tax Cuts and Jobs Act - tax rate change — 68 — Impact of non-taxable equity earnings 8 (9 ) (1 ) Investment tax credits (3 ) (1 ) (1 ) Production tax credits, including prior year true-up (1 ) (1 ) 4 Valuation allowance adjustment 3 — — Other 3 1 (3 ) Income tax expense (benefit) $ 62 $ 72 $ (1 ) Effective income tax rate 53 % 150 % (100 )% For the year ended December 31, 2018 , the overall effective tax rate was different than the statutory rate of 21% primarily due to higher state income tax rate following the Company’s separation from NRG as well as taxable earnings and losses allocated to partners’ interest in Clearway Energy LLC which includes the effects of applying HLBV method of accounting for book purposes of certain partnerships. The Company has completed the accounting for all of the income tax effects related to the Tax Cuts and Jobs Act, which resulted in no material adjustments in 2018 to the provisional amounts recorded. For the year ended December 31, 2017, the overall effective tax rate was different than the statutory rate of 35% primarily due to tax expense recorded from the revaluation of the existing net deferred tax asset pursuant to the reduction in the corporate income tax rate to 21% in accordance with the Tax Cuts and Jobs Act. In December 2017, the SEC staff issued Staff Accounting Bulletin No. 118, which addresses how a company may recognize provisional amounts for the effect of the changes related to the Tax Act. Consistent with that guidance, the Company recognized provisional amounts at December 31, 2017, based upon its interpretation of the tax laws and estimates which require significant judgments. For the year ended December 31, 2016, the overall effective tax rate was different than the statutory rate of 35% primarily due to taxable earnings allocated to NRG resulting from its interest in Clearway Energy LLC and production and investment tax credits generated from certain wind and solar assets, respectively. For tax purposes, Clearway Energy LLC is treated as a partnership; therefore, the Company and NRG each record their respective share of taxable income or loss. The temporary differences, which gave rise to the Company's deferred tax assets, consisted of the following: As of December 31, 2018 2017 (In millions) Deferred tax liabilities: Investment in projects $ 192 $ 70 Total deferred tax liabilities 192 70 Deferred tax assets: Interest expense disallowance carryforward - Investment in Projects 28 Production tax credits 8 7 Investment tax credits 5 1 U.S. Federal net operating loss carryforwards 199 183 Capital loss carryforwards 12 10 State net operating loss carryforwards 12 7 Total deferred tax assets 264 208 Valuation allowance $ (15 ) $ (10 ) Total deferred tax assets, net of valuation allowance $ 249 $ 198 Net deferred noncurrent tax asset $ 57 $ 128 The primary driver for the decrease in the net deferred tax asset from $128 million to $57 million as of December 31, 2018, is the taxable loss generated by the Company’s investment in Clearway Energy LLC, partially offset by an increase in Federal and state tax carryforwards. Tax Receivable and Payable As of December 31, 2018 , the Company has no current or long term tax receivable or payable to be recorded. Deferred Tax Assets and Valuation Allowance Net deferred tax balance — As of December 31, 2018 and 2017 , the Company recorded a net deferred tax asset of $57 million and $128 million , respectively. The Company believes it is more likely than not that the results of future operations will generate sufficient taxable income which includes the future reversal of existing taxable temporary differences to realize deferred tax assets. The Company considered the profit before tax generated in recent years, as well as projections of future earnings and estimates of taxable income in arriving at this conclusion. The Company believes that $15 million , a deferred tax asset, for which there are no existing capital gains or available tax planning strategies to utilize the asset in the future may not be realized, resulting in the recording of a valuation allowance. NOL carryforwards — At December 31, 2018 , the Company had domestic NOLs carryforwards for federal income tax purposes of $199 million and cumulative state NOLs of $12 million tax-effected. Interest disallowance carryforward — Beginning in 2018, the Company had a deferred tax asset of $28 million related to disallowed interest expense under the proposed IRC §163(j) regulation, which was enacted as part of the Tax Cuts and Jobs Act. The disallowed interest deduction has an indefinite carry forward period and any limitations on the utilization of this carryforward have been factored into the valuation allowance analysis. These are proposed regulations which are not final and are subject to change in the regulatory review process. Uncertain Tax Positions The Company had no identified uncertain tax positions that require evaluation as of December 31, 2018 . |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Related Party Transactions with CEG entities Administrative Services Agreements by and between the Company and Clearway Renewable Operation & Maintenance LLC (formerly NRG Renew Operation & Maintenance LLC) Various wholly-owned subsidiaries of the Company in the Renewables segment are party to administrative services agreements with Clearway Renewable Operation & Maintenance LLC (formerly NRG Renew Operation & Maintenance LLC), or RENOM, a wholly-owned subsidiary of CEG, which provides Operation and Maintenance, O&M, services to these subsidiaries. The Company incurred total expenses for these services of $30 million , $23 million and $13 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. There was a balance of $6 million and $5 million due to RENOM as of December 31, 2018 and 2017 , respectively. CEG Master Services Agreements Following the consummation of the GIP Transaction, Clearway Energy, Inc. along with Clearway Energy LLC and Clearway Energy Operating LLC entered into Master Services Agreements with CEG, pursuant to which CEG and certain of its affiliates or third party service providers began providing certain services to the Company, including operational and administrative services, which include human resources, information systems, external affairs, accounting, procurement and risk management services, and the Company began providing certain services to CEG, including accounting, internal audit, tax and treasury services, in exchange for the payment of fees in respect of such services. Amounts due to CEG or its subsidiaries are recorded as accounts payable - affiliate and amounts due to the Company from CEG and subsidiaries are recorded as accounts receivable - affiliate on the Company's consolidated balance sheet. Related Party Transactions with NRG entities prior to the GIP Transaction The following transactions relate to the period prior to sale of NRG's interest in CEG to GIP on August 31, 2018 and therefore were considered to be related party transactions for all the periods prior to August 31, 2018: Power Purchase Agreements (PPAs) between the Company and NRG Power Marketing Elbow Creek and Dover are parties to PPAs with NRG Power Marketing and generate revenue under the PPAs, which are recorded to operating revenues in the Company's consolidated statements of operations. For the eight months ended August 31, 2018, Elbow Creek and Dover, collectively, generated revenues of $8 million . For the years ended December 31, 2017 and 2016 , Elbow Creek and Dover, collectively, generated revenues of $12 million and $13 million , respectively. Energy Marketing Services Agreement by and between Thermal entities and NRG Power Marketing Energy Center Dover LLC, Energy Center Minneapolis, Energy Center Phoenix LLC, and Energy Center Paxton LLC, or Thermal entities, are parties to Energy Marketing Services Agreements with NRG Power Marketing, a wholly-owned subsidiary of NRG. Under the agreements, NRG Power Marketing procures fuel and fuel transportation for the operation of Thermal entities. For the eight months ended August 31, 2018, the Thermal entities purchased $7 million of natural gas from NRG Power Marketing. The Thermal entities purchased a total of $9 million of natural gas during each of the years ended December 31, 2017 and 2016 . Operation and Maintenance (O&M) Services Agreements by and between Company's subsidiaries and NRG Certain of the Company's subsidiaries are party to O&M Services Agreements with NRG, pursuant to which NRG subsidiaries provide necessary and appropriate services to operate and maintain the subsidiaries' plant operations, businesses and thermal facilities. NRG is reimbursed for the provided services, as well as for all reasonable and related expenses and expenditures, and payments to third parties for services and materials rendered to or on behalf of the parties to the agreements. NRG is not entitled to any management fee or mark-up under the agreements. The fees incurred under these agreements was $27 million for the eight months ended August 31, 2018. The fees incurred under this agreement were $39 million and $36 million for the years ended December 31, 2017 and 2016 , respectively. O&M Services Agreements by and between GenConn and NRG GenConn incurs fees under two O&M agreements with wholly-owned subsidiaries of NRG. For the eight months ended August 31, 2018, the aggregate fees incurred under the agreements were $4 million . The fees incurred under the agreements were $5 million during each of the years ended December 31, 2017 and 2016 . Administrative Services Agreement by and between Marsh Landing and NRG West Coast LLC Marsh Landing is a party to an administrative services agreement with NRG West Coast LLC, a wholly owned subsidiary of NRG. The Company reimbursed costs under this agreement of $11 million for the eight months ended August 31, 2018. The Company reimbursed costs under this agreement of approximately $15 million and $14 million for the years ended December 31, 2017 and 2016 , respectively. Project Administrative Services Agreement by and between ESEC and NRG West Coast LLC During 2018, ESEC, NRG West Coast LLC and NRG Power Marketing LLC, or PML, entered into confirmation agreements under the Project Administration Services Agreement between ESEC and NRG West Coast LLC, whereby PML purchased California Carbon Allowances which ESEC could subsequently purchase for the purposes of ESEC’s compliance with the California Cap-and-Trade Program. ESEC reimbursed costs under these agreements of $11 million for the eight months ended August 31, 2018. Management Services Agreement by and between the Company and NRG Prior to the GIP Transaction, NRG provided the Company with various operational, management, and administrative services, which include human resources, accounting, tax, legal, information systems, treasury, and risk management, as set forth in the Management Services Agreement. Costs incurred under this agreement were $7 million for the eight months ended August 31, 2018. Costs incurred under this agreement were approximately $10 million during each of the years ended December 31, 2017 and 2016 , respectively. The costs incurred under the Management Services Agreement included certain direct expenses incurred by NRG on behalf of the Company in addition to the base management fee. On August 31, 2018, in connection with the consummation of the GIP Transaction, the Company entered into a Termination Agreement with Clearway Energy LLC, Clearway Energy Operating LLC and NRG terminating the Management Services Agreement, dated as of July 22, 2013, by and among the Company, Clearway Energy LLC, Clearway Energy Operating LLC and NRG. Subsequent to the GIP Transaction, the Company entered into a Transition Services Agreement with NRG, or the NRG TSA, pursuant to which NRG or certain of its affiliates began providing transitional services to the Company following the consummation of the GIP Transaction, in exchange for the payment of a fee in respect of such services. Expenses related to the NRG TSA are recorded in acquisition-related transaction and integration costs in the consolidated statements of operations. EPC Agreement by and between ECP and NRG NRG Business Services LLC, a subsidiary of NRG, and Energy Center Pittsburgh LLC, or ECP, a wholly owned subsidiary of the Company, entered into an EPC agreement for the construction of a 73 MWt district energy system for ECP to provide 150 kpph of steam, 6,750 tons of chilled water and 7.5 MW of emergency backup power service to UPMC Mercy. The initial term of the energy services agreement with UPMC Mercy will be for a period of twenty years from the service commencement date. On June 19, 2018, as discussed in Note 3 , Business Acquisitions , ECP purchased the UPMC Thermal Project assets from NRG Business Services LLC for cash consideration of $84 million , subject to working capital adjustments. The Company paid an additional $3 million to NRG upon final completion of the project in January 2019 pursuant to the EPC agreement. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Operating Lease Commitments The Company leases certain facilities and equipment under operating leases, some of which include escalation clauses, expiring on various dates through 2048. The effects of these scheduled rent increases, leasehold incentives, and rent concessions are recognized on a straight-line basis over the lease term unless another systematic and rational allocation basis is more representative of the time pattern in which the leased property is physically employed. Lease expense under operating leases was $18 million , $17 million , and $15 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. Future minimum lease commitments under operating leases for the years ending after December 31, 2018 are as follows: (In millions) 2019 $ 13 2020 13 2021 13 2022 13 2023 12 Thereafter 207 Total $ 271 Gas and Transportation Commitments The Company has entered into contractual arrangements to procure power, fuel and associated transportation services. For the years ended December 31, 2018 , 2017 and 2016 , the Company purchased $39 million , $34 million and $32 million , respectively, under such arrangements. As further described in Note 15 , Related Party Transactions , these purchases include intercompany transactions through August 31, 2018 between certain Thermal entities and NRG Power Marketing under the Energy Marketing Services Agreements in the amount of $7 million for the eight months ended August 31, 2018 and $9 million during each of the years ended December 31, 2017 and 2016 . As of December 31, 2018 , the Company's commitments under such outstanding agreements are estimated as follows: Period (In millions) 2019 $ 11 2020 3 2021 3 2022 3 2023 3 Thereafter 13 Total $ 36 Contingencies The Company's material legal proceedings are described below. The Company believes that it has valid defenses to these legal proceedings and intends to defend them vigorously. The Company records reserves for estimated losses from contingencies when information available indicates that a loss is probable and the amount of the loss, or range of loss, can be reasonably estimated. As applicable, the Company has established an adequate reserve for the matters discussed below. In addition, legal costs are expensed as incurred. Management assesses such matters based on current information and makes a judgment concerning its potential outcome, considering the nature of the claim, the amount and nature of damages sought and the probability of success. The Company is unable to predict the outcome of the legal proceedings below or reasonably estimate the scope or amount of any associated costs and potential liabilities. As additional information becomes available, management adjusts its assessment and estimates of such contingencies accordingly. Because litigation is subject to inherent uncertainties and unfavorable rulings or developments, it is possible that the ultimate resolution of the Company's liabilities and contingencies could be at amounts that are different from its currently recorded reserves and that such difference could be material. In addition to the legal proceedings noted below, the Company and its subsidiaries are party to other litigation or legal proceedings arising in the ordinary course of business. In management's opinion, the disposition of these ordinary course matters will not materially adversely affect the Company's consolidated financial position, results of operations, or cash flows. Nebraska Public Power District Litigation On January 11, 2019, Nebraska Public Power District, or NPPD, sent written notice to certain of the Company’s subsidiaries which own the Laredo Ridge and Elkhorn Ridge wind projects alleging an event of default under each of the power purchase agreements between NPPD and the projects. NPPD alleges that Company moved forward with certain transactions without obtaining the consent of NPPD. NPPD threatened to terminate the applicable power purchase agreements by February 11, 2019 if the alleged default was not cured. The Company filed a motion for a temporary restraining order and preliminary injunction in the U.S. District Court for the District of Nebraska relating to the Laredo Ridge project, and a similar motion in the District Court of Knox County, Nebraska for the Elkhorn Ridge project, to enjoin NPPD from taking any actions related to the power purchase agreements. On February 19, 2019, the U.S. District Court in the Laredo Ridge matter approved a stipulation between the parties to provide for an injunction preventing NPPD from terminating the PPA pending disposition of the litigation. On February 26, 2019, the Knox County District Court approved a similar stipulation relating to the Elkhorn Ridge project. The Company believes the allegations of NPPD are meritless and the Company is vigorously defending its rights under the power purchase agreements. |
Unaudited Quarterly Financial D
Unaudited Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Unaudited Quarterly Financial Data | Unaudited Quarterly Data Below is summarized unaudited quarterly financial data for the periods ending December 31, 2018 and 2017 . The Company's historical financial results for the four quarters of 2017 were recast to include the results of the Buckthorn Solar Drop Down Asset acquisition, which took place on March 30, 2018, and is further described in Note 3 , Business Acquisitions . The Company originally recast its historical quarterly financial statements to include the result of the Buckthorn Drop Down Asset acquisition in its Form 10-Q for the period ended September 30, 2018. Additionally, the quarterly results for the period ended December 31, 2017, as presented below in the table, were recast to include the quarterly operating results of the Buckthorn Solar Drop Down Asset for the period ending December 31, 2017. Quarter Ended December 31, September 30, June 30, March 31, 2018 (In millions, except per share data) Operating Revenues $ 229 $ 292 $ 307 $ 225 Operating Income 54 100 144 49 Net (Loss) Income (91 ) 49 96 — Net Income Attributable to Clearway Energy, Inc. $ (68 ) $ 21 $ 79 $ 16 Weighted average number of Class A common shares outstanding — basic 35 35 35 35 Weighted average number of Class A common shares outstanding — diluted 35 35 49 35 Weighted average number of Class C common shares outstanding — basic 73 69 67 65 Weighted average number of Class C common shares outstanding — diluted 73 69 78 65 Earnings per Weighted Average Class A and Class C Common Share - Basic $ (0.63 ) $ 0.20 $ 0.77 $ 0.16 Earnings per Weighted Average Class A Common Share - Diluted $ (0.63 ) $ 0.20 $ 0.61 $ 0.16 Earnings per Weighted Average Class C Common Share - Diluted $ (0.63 ) $ 0.20 $ 0.70 $ 0.16 Quarter Ended December 31, September 30, June 30, March 31, 2017 (In millions, except per share data) Operating Revenues $ 231 $ 269 $ 288 $ 221 Operating (Loss) Income 20 84 125 54 Net (Loss) Income (97 ) (a) 31 44 (2 ) Net (Loss) Income Attributable to Clearway Energy, Inc. $ (70 ) $ 29 $ 28 $ (3 ) Weighted average number of Class A common shares outstanding — basic 35 35 35 35 Weighted average number of Class A common shares outstanding — diluted 35 49 49 35 Weighted average number of Class C common shares outstanding — basic 65 64 63 63 Weighted average number of Class C common shares outstanding — diluted 65 75 74 63 (Loss) Earnings per Weighted Average Class A and Class C Common Share - Basic $ (0.71 ) $ 0.30 $ 0.29 $ (0.03 ) (Loss) Earnings per Weighted Average Class A Common Share - Diluted $ (0.71 ) $ 0.27 $ 0.26 $ (0.03 ) (Loss) Earnings per Weighted Average Class C Common Share - Diluted $ (0.71 ) $ 0.29 $ 0.28 $ (0.03 ) (a) The Company reported Net loss of $98 million for the quarter ending December 31, 2017, as previously reported in the Note 17 , Unaudited Quarterly Financial Data of its Form 2017 10-K. The recast results in the table above include $1 million of Net Income attributable to the Buckthorn Solar Drop Down Asset acquisition. |
Schedule I - Condensed Financia
Schedule I - Condensed Financial Information of Registrant | 12 Months Ended |
Dec. 31, 2018 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Financial Information of Registrant | Clearway Energy, Inc. (Parent) Condensed Financial Information of Registrant Condensed Statements of Operations Year ended December 31, (In millions) 2018 2017 (a) 2016 (a) Total operating expense $ 1 $ 1 $ 2 Equity earnings in consolidated subsidiaries 135 61 15 Loss on debt extinguishment (7 ) — — Interest expense, net (11 ) (12 ) (12 ) Total other income, net 117 49 3 Income Before Income Taxes 116 48 1 Income tax expense (benefit) 62 72 (1 ) Net Income (Loss) 54 (24 ) 2 Less: Pre-acquisition net income (loss) of Drop Down Assets 4 7 (4 ) Less: Net income (loss) attributable to noncontrolling interests 2 (15 ) (51 ) Net Income (Loss) Attributable to Clearway Energy, Inc. $ 48 $ (16 ) $ 57 (a) Retrospectively adjusted as discussed in Note 1 , Nature of Business . Clearway Energy, Inc. (Parent) Condensed Balance Sheets December 31, December 31, 2018 2017 (a) ASSETS (In millions) Current Assets Cash and cash equivalents $ — $ 2 Note receivable - Clearway Energy Operating LLC 215 — Other Assets Investment in consolidated subsidiaries 2,182 2,029 Note receivable - Clearway Energy Operating LLC 44 618 Deferred income taxes 57 128 Total Assets $ 2,498 $ 2,777 LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities Current portion of long-term debt 220 — Accounts payable — affiliate 5 — Other current liabilities — 2 Other Liabilities Long-term debt 44 610 Other non-current liabilities 5 6 Total Liabilities 274 618 Stockholders' Equity Preferred stock, $0.01 par value; 10,000,000 shares authorized; none issued — — Class A, Class B, Class C and Class D common stock, $0.01 par value; 3,000,000,000 shares authorized (Class A 500,000,000, Class B 500,000,000, Class C 1,000,000,000, Class D 1,000,000,000); 193,251,396 shares issued and outstanding (Class A 34,586,250, Class B 42,738,750, Class C 73,187,646, Class D 42,738,750) at December 31, 2018 and 184,780,837 shares issued and outstanding (Class A 34,586,250, Class B 42,738,750, Class C 64,717,087, Class D 42,738,750) at December 31, 2017 1 1 Additional paid-in capital 1,897 1,843 Accumulated deficit (58 ) (69 ) Accumulated other comprehensive loss (18 ) (28 ) Noncontrolling interest 402 412 Total Stockholders' Equity 2,224 2,159 Total Liabilities and Stockholders' Equity $ 2,498 $ 2,777 (a) Retrospectively adjusted as discussed in Note 1 , Nature of Business . Clearway Energy, Inc. (Parent) Condensed Statements of Cash Flows Years ended December 31, 2018 2017 2016 (In millions) Net Cash Provided by (Used in) Operating Activities $ 3 $ — $ (5 ) Cash Flows from Investing Activities Investments in consolidated affiliates (150 ) (33 ) 5 Decrease in notes receivable - affiliate 359 — — Net Cash Provided by (Used in) Investing Activities 209 (33 ) 5 Cash Flows from Financing Activities Payments for long-term debt (367 ) — — Proceeds from the issuance of common stock 153 34 — Cash received from Clearway Energy LLC for the payment of dividends 130 108 92 Payment of dividends (130 ) (108 ) (92 ) Net Cash (Used in) Provided by Financing Activities (214 ) 34 — Net (Decrease) Increase in Cash and Cash Equivalents (2 ) 1 — Cash and Cash Equivalents at Beginning of Period 2 1 1 Cash and Cash Equivalents at End of Period $ — $ 2 $ 1 Background and Basis of Presentation Background Clearway Energy, Inc. (formerly NRG Yield, Inc.), together with its consolidated subsidiaries, or the Company, is a publicly-traded energy infrastructure investor in and owner of modern, sustainable and long-term contracted assets across North America. On August 31, 2018, NRG Energy, Inc., or NRG, transferred its full ownership interest in the Company to Clearway Energy Group LLC, or CEG, the holder of NRG's renewable energy development and operations platform, and subsequently sold 100% of its interest in CEG to Global Infrastructure Partners III, or GIP, referred to hereinafter as the NRG Transaction. As a result of the NRG Transaction, GIP indirectly acquired a 45.2% economic interest in Clearway Energy LLC and a 55% voting interest in the Company. GIP is an independent fund manager that invests in infrastructure assets in energy and transport sectors. The Company is sponsored by GIP through GIP's portfolio company, Clearway Energy Group. The Company’s environmentally-sound asset portfolio includes over 5,272 MW of wind, solar and natural gas-fired power generation facilities, as well as district energy systems. Through this diversified and contracted portfolio, the Company endeavors to provide its investors with stable and growing dividend income. The weighted average remaining contract duration of these offtake agreements was approximately 15 years as of December 31, 2018 based on CAFD. The Company also owns thermal infrastructure assets with an aggregate steam and chilled water capacity of 1,385 net MWt and electric generation capacity of 133 net MW. These thermal infrastructure assets provide steam, hot and/or chilled water, and, in some instances, electricity to commercial businesses, universities, hospitals and governmental units in multiple locations, principally through long-term contracts or pursuant to rates regulated by state utility commissions. The Company consolidates the results of Clearway Energy LLC through its controlling interest, with CEG's interest shown as noncontrolling interest in the financial statements. The holders of the Company's outstanding shares of Class A and Class C common stock are entitled to dividends as declared. CEG receives its distributions from Clearway Energy LLC through its ownership of Clearway Energy LLC Class B and Class D units. As a result of the Class C common stock issuances during the year ended December 31, 2018 , the Company currently owns 55.8% of the economic interests of Clearway Energy LLC, with CEG retaining 44.2% of the economic interests of Clearway Energy LLC. Basis of Presentation The condensed parent-only company financial statements have been prepared in accordance with Rule 12-04 of Regulation S-X, as the restricted net assets of Clearway Energy, Inc.’s subsidiaries exceed 25% of the consolidated net assets of Clearway Energy, Inc. The parent's 100% investment in its subsidiaries has been recorded using the equity basis of accounting in the accompanying condensed parent-only financial statements. These statements should be read in conjunction with the consolidated financial statements and notes thereto of Clearway Energy, Inc. Prior to the GIP Transaction on August 31, 2018, the Company completed several acquisitions of Drop Down Assets from NRG, which were accounted for as transfer of entities under common control. The accounting guidance for transfers of entities under common control requires retrospective combination of the entities for all periods presented as if the combinations had been in effect from the beginning of the financial statement period or from the date the entities were under common control (if later than the beginning of the financial statement period). For further discussion, see Note 3 , Business Acquisitions to the Consolidated Financial Statements. Note 2 — Long-Term Debt For a discussion of Clearway Energy, Inc.’s financing arrangements, see Note 10 , Long-term Debt , to the Company's consolidated financial statements. Note 3 — Commitments, Contingencies and Guarantees See Note 14 , Income Taxes , and Note 16 , Commitments and Contingencies , to the Company's consolidated financial statements for a detailed discussion of Clearway Energy, Inc.’s commitments and contingencies. Note 4 — Dividends Cash distributions paid to Clearway Energy, Inc. by its subsidiary, Clearway Energy LLC, were $130 million , $108 million , and $92 million for the years ended December 31, 2018 , 2017 , and 2016 , respectively. |
Schedule II VALUATION AND QUALI
Schedule II VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Dec. 31, 2018 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS | SCHEDULE II. VALUATION AND QUALIFYING ACCOUNTS For the Years Ended December 31, 2018, 2017, and 2016 Balance at Beginning of Period Charged to Costs and Expenses Charged to Other Accounts Balance at End of Period (In millions) Income tax valuation allowance, deducted from deferred tax assets Year Ended December 31, 2018 $ 10 $ 5 $ — $ 15 Year Ended December 31, 2017 16 (6 ) — 10 Year Ended December 31, 2016 — — 16 16 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | The Company's consolidated financial statements have been prepared in accordance with GAAP. The ASC is the source of authoritative GAAP to be applied by nongovernmental entities. In addition, the rules and interpretative releases of the SEC under authority of federal securities laws are also sources of authoritative GAAP for SEC registrants. |
Principles of Consolidation | The consolidated financial statements include the Company's accounts and operations and those of its subsidiaries in which it has a controlling interest. All significant intercompany transactions and balances have been eliminated in consolidation. The usual condition for a controlling financial interest is ownership of a majority of the voting interests of an entity. However, a controlling financial interest may also exist through arrangements that do not involve controlling voting interests. As such, the Company applies the guidance of ASC 810, Consolidations, or ASC 810, to determine when an entity that is insufficiently capitalized or not controlled through its voting interests, referred to as a variable interest entity, or VIE, should be consolidated. |
Cash and Cash Equivalents | Cash and Cash Equivalents, and Restricted Cash Cash and cash equivalents include highly liquid investments with an original maturity of three months or less at the time of purchase. |
Restricted Cash | The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the statements of cash flows. Year ended December 31, 2018 2017 2016 (In millions) Cash and cash equivalents $ 407 $ 148 $ 322 Restricted cash 176 168 176 Cash, cash equivalents and restricted cash shown in the statement of cash flows 583 316 498 Restricted cash consists primarily of funds held to satisfy the requirements of certain debt agreements and funds held within the Company's projects that are restricted in their use. As of December 31, 2018 , these restricted funds comprised of $84 million is designated to fund operating expenses, approximately $26 million designated for current debt service payments, and $32 million restricted for reserves including debt service, performance obligations and other reserves, as well as capital expenditures. The remaining $34 million is held in distributions reserve accounts, of which $31 million related to subsidiaries affected by the PG&E Bankruptcy as discussed further below and may not be distributed during the pendency of the bankruptcy. |
Trade Receivables and Allowance for Doubtful Accounts | Trade Receivables and Allowance for Doubtful Accounts Trade receivables are reported on the balance sheet at the invoiced amount adjusted for any write-offs and the allowance for doubtful accounts. The allowance for doubtful accounts is reviewed periodically based on amounts past due and significance. The allowance for doubtful accounts was immaterial as of December 31, 2018 and 2017 . Notes Receivable Notes receivable consist of receivables related to the financing of required network upgrades. The notes issued with respect to network upgrades will be repaid within a 5 -year period following the date each facility reached commercial operations. |
Inventory | Inventory Inventory consists principally of spare parts and fuel oil. Spare parts inventory is valued at weighted average cost, unless evidence indicates that the weighted average cost will not be recovered with a normal profit in the ordinary course of business. Fuel oil inventory is valued at the lower of weighted average cost or market. The Company removes fuel inventories as they are used in the production of steam, chilled water or electricity. Spare parts inventory are removed when they are used for repairs, maintenance or capital projects. |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment are stated at cost or, in the case of third party business acquisitions, fair value; however impairment adjustments are recorded whenever events or changes in circumstances indicate that their carrying values may not be recoverable. Significant additions or improvements extending asset lives are capitalized as incurred, while repairs and maintenance that do not improve or extend the life of the respective asset are charged to expense as incurred. Depreciation is computed using the straight-line method over the estimated useful lives. Certain assets and their related accumulated depreciation amounts are adjusted for asset retirements and disposals with the resulting gain or loss included in cost of operations in the consolidated statements of operations. For further discussion of the Company's property, plant and equipment refer to Note 4 , Property, Plant and Equipment to the Consolidated Financial Statements. Development costs include project development costs, which are expensed in the preliminary stages of a project and capitalized when the project is deemed to be commercially viable. Commercial viability is determined by one or a series of actions including, among others, Board of Director approval pursuant to a formal project plan that subjects the Company to significant future obligations that can only be discharged by the use of a Company asset. When a project is available for operations, capitalized interest and capitalized project development costs are reclassified to property, plant and equipment and depreciated on a straightline basis over the estimated useful life of the project's related assets. Capitalized costs are charged to expense if a project is abandoned or management otherwise determines the costs to be unrecoverable. |
Asset Impairments | Asset Impairments Long-lived assets that are held and used are reviewed for impairment whenever events or changes in circumstances indicate carrying values may not be recoverable. Such reviews are performed in accordance with ASC 360. An impairment loss is indicated if the total future estimated undiscounted cash flows expected from an asset are less than its carrying value. An impairment charge is measured by the difference between an asset's carrying amount and fair value with the difference recorded in operating costs and expenses in the statements of operations. Fair values are determined by a variety of valuation methods, including appraisals, sales prices of similar assets and present value techniques. For further discussion of the Company's long-lived asset impairments, refer to Note 9 , Asset Impairments to the Consolidated Financial Statements. Investments accounted for by the equity method are reviewed for impairment in accordance with ASC 323, Investments-Equity Method and Joint Ventures , which requires that a loss in value of an investment that is an other-than-temporary decline should be recognized. The Company identifies and measures losses in the value of equity method investments based upon a comparison of fair value to carrying value. |
Debt Issuance Costs | Debt Issuance Costs Debt issuance costs are capitalized and amortized as interest expense on a basis which approximates the effective interest method over the term of the related debt. Debt issuance costs related to the long term debt are presented as a direct deduction from the carrying amount of the related debt in both the current and prior periods. Debt issuance costs related to the senior secured revolving credit facility line of credit are recorded as a non-current asset on the balance sheet and are amortized over the term of the credit facility. Long-Term Debt For a discussion of Clearway Energy, Inc.’s financing arrangements, see Note 10 , Long-term Debt , to the Company's consolidated financial statements. |
Revenue Recognition | Revenue Recognition Revenue from Contracts with Customers On January 1, 2018, the Company adopted the guidance in ASC 606, Revenue from Contracts with Customers, or Topic 606, using the modified retrospective method applied to contracts which were not completed as of the adoption date, with no adjustment required to the financial statements upon adoption. Following the adoption of the new standard, the Company’s revenue recognition of its contracts with customers remains materially consistent with its historical practice. The comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. The Company's policies with respect to its various revenue streams are detailed below. In general, the Company applies the invoicing practical expedient to recognize revenue for the revenue streams detailed below, except in circumstances where the invoiced amount does not represent the value transferred to the customer. Thermal Revenues Steam and chilled water revenue is recognized as the Company transfers the product to the customer, based on customer usage as determined by meter readings taken at month-end. Some locations read customer meters throughout the month, and recognize estimated revenue for the period between meter read date and month-end. For thermal contracts, the Company’s performance obligation to deliver steam and chilled water is satisfied over time and revenue is recognized based on the invoiced amount. The Thermal Business subsidiaries collect and remit state and local taxes associated with sales to their customers, as required by governmental authorities. These taxes are presented on a net basis in the income statement. As contracts for steam and chilled water are long-term contracts, the Company has performance obligations under these contracts that have not yet been satisfied. These performance obligations have transaction prices that are both fixed and variable, and that vary based on the contract duration, customer type, inception date and other contract-specific factors. For the fixed price contracts, the Company cannot accurately estimate the amount of its unsatisfied performance obligations as it will vary based on customer usage, which will depend on factors such as weather and customer activity. Power Purchase Agreements, or PPAs The majority of the Company’s revenues are obtained through PPAs or other contractual agreements. Energy, capacity and where applicable, renewable attributes, from the majority of the Company’s renewable energy assets and certain conventional energy plants is sold through long-term PPAs and tolling agreements to a single counterparty, which is often a utility or commercial customer. The majority of these PPAs are accounted for as leases. ASC 840 requires the minimum lease payments received to be amortized over the term of the lease and contingent rentals are recorded when the achievement of the contingency becomes probable. Judgment is required by management in determining the economic life of each generating facility, in evaluating whether certain lease provisions constitute minimum payments or represent contingent rent and other factors in determining whether a contract contains a lease and whether the lease is an operating lease or capital lease. Certain of these leases have no minimum lease payments and all of the rental income under these leases is recorded as contingent rent on an actual basis when the electricity is delivered. The contingent rental income recognized in the years ended December 31, 2018 , 2017 , and 2016 was $583 million , $559 million , and $583 million , respectively. These balances include intercompany revenue for Elbow Creek of $6 million for the eight months ended August 31, 2018 and $8 million for each of the years ended December 31, 2017 and 2016 , as further discussed in Note 15 , Related Party Transactions . Renewable Energy Credits, or RECs As stated above, renewable energy credits, or RECs, are usually sold through long-term PPAs. Revenue from the sale of self-generated RECs is recognized when the related energy is generated and simultaneously delivered even in cases where there is a certification lag as it has been deemed to be perfunctory. In a bundled contract to sell energy, capacity and/or self-generated RECs, all performance obligations are deemed to be delivered at the same time and hence, timing of recognition of revenue for all performance obligations is the same and occurs over time. In such cases, it is often unnecessary to allocate transaction price to multiple performance obligations. Sale of Emission Allowances The Company records its bank of emission allowances as part of intangible assets. From time to time, management may authorize the transfer of emission allowances in excess of usage from the Company's emission bank to intangible assets held-for-sale for trading purposes. The Company records the sale of emission allowances on a net basis within operating revenue in the Company's consolidated statements of operations. |
Derivative Financial Instruments | Derivative Financial Instruments The Company accounts for derivative financial instruments under ASC 815, Derivatives and Hedging , or ASC 815, which requires the Company to record all derivatives on the balance sheet at fair value unless they qualify for a NPNS exception. Changes in the fair value of non-hedge derivatives are immediately recognized in earnings. Changes in the fair value of derivatives accounted for as hedges, if elected for hedge accounting, are either: • Recognized in earnings as an offset to the changes in the fair value of the related hedged assets, liabilities and firm commitments; or • Deferred and recorded as a component of accumulated OCI until the hedged transactions occur and are recognized in earnings. The Company's primary derivative instruments are interest rate instruments used to mitigate variability in earnings due to fluctuations in interest rates, power purchase or sale contracts used to mitigate variability in earnings due to fluctuations in market prices and fuels purchase contracts used to control customer reimbursable fuel cost. On an ongoing basis, the Company qualitatively assesses the effectiveness of its derivatives that are designated as hedges for accounting purposes in order to determine that each derivative continues to be highly effective in offsetting changes in cash flows of hedged items. If necessary, the Company will perform an analyses to measure the statistical correlation between the derivative and the associated hedged item determine the effectiveness of such a contract designated as a hedge. The Company will discontinue hedge accounting if it is determined that the hedge is no longer effective. In this case, the gain or loss previously deferred in accumulated OCI would be frozen until the underlying hedged item is delivered unless the transaction being hedged is no longer probable of occurring in which case the amount in OCI would be immediately reclassified into earnings. If the derivative instrument is terminated, the effective portion of this derivative deferred in accumulated OCI will be frozen until the underlying hedged item is delivered. Revenues and expenses on contracts that qualify for the NPNS exception are recognized when the underlying physical transaction is delivered. While these contracts are considered derivative financial instruments under ASC 815, they are not recorded at fair value, but on an accrual basis of accounting. If it is determined that a transaction designated as NPNS no longer meets the scope exception, the fair value of the related contract is recorded on the balance sheet and immediately recognized through earnings. |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments which potentially subject the Company to concentrations of credit risk consist primarily of accounts receivable, notes receivable and derivative instruments, which are concentrated within entities engaged in the energy and financial industry. These industry concentrations may impact the overall exposure to credit risk, either positively or negatively, in that the customers may be similarly affected by changes in economic, industry or other conditions. In addition, many of the Company's projects have only one customer. See Item 1A, Risk Factors, Risks related to the PG&E Bankruptcy for a discussion on the Company’s dependence on major customers . See Note 6 , Fair Value of Financial Instruments for a further discussion of derivative concentrations and Note 13 , Segment Reporting , for concentration of counterparties. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The carrying amount of cash and cash equivalents, restricted cash, accounts receivable, accounts receivable - affiliate, accounts payable, current portion of account payable - affiliate, and accrued expenses and other current liabilities approximate fair value because of the short-term maturity of these instruments. See Note 6 , Fair Value of Financial Instruments , for a further discussion of fair value of financial instruments. |
Asset Retirement Obligations | Asset Retirement Obligations Asset retirement obligations, or AROs, are accounted for in accordance with ASC 410-20, Asset Retirement Obligations, or ASC 410-20. Retirement obligations associated with long-lived assets included within the scope of ASC 410-20 are those for which a legal obligation exists under enacted laws, statutes, and written or oral contracts, including obligations arising under the doctrine of promissory estoppel, and for which the timing and/or method of settlement may be conditional on a future event. ASC 410-20 requires an entity to recognize the fair value of a liability for an ARO in the period in which it is incurred and a reasonable estimate of fair value can be made. Upon initial recognition of a liability for an ARO, the asset retirement cost is capitalized by increasing the carrying amount of the related long-lived asset by the same amount. Over time, the liability is accreted to its future value, while the capitalized cost is depreciated over the useful life of the related asset. The Company's AROs are primarily related to the future dismantlement of equipment on leased property and environmental obligations related to site closures and fuel storage facilities. The Company records AROs as part of other non-current liabilities on its balance sheet. The following table represents the balance of ARO obligations as of December 31, 2018 and 2017 , along with the additions and accretion related to the Company's ARO obligations for the year ended December 31, 2018 : (In millions) Balance as of December 31, 2017 $ 58 Revisions in estimates for current obligations/Additions 5 Accretion — expense 4 Balance as of December 31, 2018 $ 67 |
Guarantees | Guarantees The Company enters into various contracts that include indemnification and guarantee provisions as a routine part of its business activities. Examples of these contracts include operation and maintenance agreements, service agreements, commercial sales arrangements and other types of contractual agreements with vendors and other third parties, as well as affiliates. These contracts generally indemnify the counterparty for tax, environmental liability, litigation and other matters, as well as breaches of representations, warranties and covenants set forth in these agreements. Because many of the guarantees and indemnities the Company issues to third parties and affiliates do not limit the amount or duration of its obligations to perform under them, there exists a risk that the Company may have obligations in excess of the amounts agreed upon in the contracts mentioned above. For those guarantees and indemnities that do not limit the liability exposure, the Company may not be able to estimate what the liability would be, until a claim is made for payment or performance, due to the contingent nature of these contracts. |
Investments Accounted for by the Equity Method | Investments Accounted for by the Equity Method The Company has investments in various energy projects accounted for by the equity method, several of which are VIEs, where the Company is not a primary beneficiary, as described in Note 5 , Investments Accounted for by the Equity Method and Variable Interest Entities . The equity method of accounting is applied to these investments in affiliates because the ownership structure prevents the Company from exercising a controlling influence over the operating and financial policies of the projects. Under this method, equity in pre-tax income or losses of the investments is reflected as equity in earnings of unconsolidated affiliates. Distributions from equity method investments that represent earnings on the Company's investment are included within cash flows from operating activities and distributions from equity method investments that represent a return of the Company's investment are included within cash flows from investing activities. |
Leases | Sale Leaseback Arrangements The Company is party to sale-leaseback arrangements that provide for the sale of certain assets to a third party and simultaneous leaseback to the Company. In accordance with ASC 840-40, Sale-Leaseback Transactions , if the seller-lessee retains, through the leaseback, substantially all of the benefits and risks incident to the ownership of the property sold, the sale-leaseback transaction is accounted for as a financing arrangement. An example of this type of continuing involvement would include an option to repurchase the assets or the buyer-lessor having the option to sell the assets back to the Company. This provision is included in most of the Company’s sale-leaseback arrangements. As such, the Company accounts for these arrangements as financings. Under the financing method, the Company does not recognize as income any of the sale proceeds received from the lessor that contractually constitutes payment to acquire the assets subject to these arrangements. Instead, the sale proceeds received are accounted for as financing obligations and leaseback payments made by the Company are allocated between interest expense and a reduction to the financing obligation. Interest on the financing obligation is calculated using the Company’s incremental borrowing rate at the inception of the arrangement on the outstanding financing obligation. Judgment is required to determine the appropriate borrowing rate for the arrangement and in determining any gain or loss on the transaction that would be recorded either at the end of or over the lease term. |
Business Combinations | Business Combinations The Company accounts for its business combinations in accordance with ASC 805, Business Combinations, or ASC 805. For third party acquisitions, ASC 805 requires an acquirer to recognize and measure in its financial statements the identifiable assets acquired, the liabilities assumed, and any noncontrolling interest in the acquiree at fair value at the acquisition date. It also recognizes and measures the goodwill acquired or a gain from a bargain purchase in the business combination and determines what information to disclose to enable users of an entity's financial statements to evaluate the nature and financial effects of the business combination. In addition, transaction costs are expensed as incurred. For acquisitions that relate to entities under common control, ASC 805 requires retrospective combination of the entities for all periods presented as if the combination has been in effect from the beginning of the financial statement period of from the date the entities were under common control (if later than the beginning of the financial statement period). The difference between the cash paid and historical value of the entities' equity is recorded as a distribution/contribution from/to NRG with the offset to noncontrolling interest. Transaction costs are expensed as incurred. |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in accordance with GAAP requires management to make estimates and assumptions. These estimates and assumptions impact the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities as of the date of the consolidated financial statements. They also impact the reported amounts of net earnings during the reporting periods. Actual results could be different from these estimates. In recording transactions and balances resulting from business operations, the Company uses estimates based on the best information available. Estimates are used for such items as plant depreciable lives, tax provisions, uncollectible accounts, environmental liabilities, acquisition accounting and legal costs incurred in connection with recorded loss contingencies, among others. In addition, estimates are used to test long-lived assets for impairment and to determine the fair value of impaired assets. As better information becomes available or actual amounts are determinable, the recorded estimates are revised. Consequently, operating results can be affected by revisions to prior accounting estimates. |
Tax Equity Arrangements | Tax Equity Arrangements Certain portions of the Company’s noncontrolling interests in subsidiaries represent third-party interests in the net assets under certain tax equity arrangements, which are consolidated by the Company, that have been entered into to finance the cost of wind facilities eligible for certain tax credits. Additionally, certain portions of the Company’s investments in unconsolidated affiliates reflect the Company’s interests in tax equity arrangements, that are not consolidated by the Company, that have been entered into to finance the cost of distributed solar energy systems under operating leases or PPAs eligible for certain tax credits. The Company has determined that the provisions in the contractual agreements of these structures represent substantive profit sharing arrangements. Further, the Company has determined that the appropriate methodology for calculating the noncontrolling interest and investment in unconsolidated affiliates that reflects the substantive profit sharing arrangements is a balance sheet approach utilizing the hypothetical liquidation at book value, or HLBV, method. Under the HLBV method, the amounts reported as noncontrolling interests and investment in unconsolidated affiliates represent the amounts the investors to the tax equity arrangements would hypothetically receive at each balance sheet date under the liquidation provisions of the contractual agreements, assuming the net assets of the funding structures were liquidated at their recorded amounts determined in accordance with GAAP. The investors’ interests in the results of operations of the funding structures are determined as the difference in noncontrolling interests and investment in unconsolidated affiliates at the start and end of each reporting period, after taking into account any capital transactions between the structures and the funds’ investors. The calculations utilized to apply the HLBV method include estimated calculations of taxable income or losses for each reporting period. |
Recent Accounting Developments | Recent Accounting Developments - Adopted in 2019 ASU 2016-02 — In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), or Topic 842, as amended, with the objective to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and to improve financial reporting by expanding the related disclosures. The guidance in Topic 842 provides that a lessee that may have previously accounted for a lease as an operating lease under current GAAP should recognize the assets and liabilities that arise from a lease on the balance sheet. In addition, Topic 842 expands the required quantitative and qualitative disclosures with regards to lease arrangements. The Company adopted the standard effective January 1, 2019 using the modified retrospective transition method and will not restate prior periods for the impact of Topic 842. In addition, the Company elected certain of the permitted practical expedients, including the expedient that permits the Company to retain its existing lease assessment and classification. The company will not record a right-of-use asset and related lease liability for leases with an initial term of 12 months or less and will account for lease and non-lease components for specific asset classes as a single lease component. The Company's leases consist mainly of land leases for many operating asset locations, as well as leases of office space and office equipment. The Company estimates it will record lease liabilities of approximately $160 million to $170 million and right-of-use assets of approximately $155 million to $165 million , as of January 1, 2019, with an immaterial impact estimated to retained earnings. The actual amounts recorded may vary from this estimate as the Company completes its adoption of the guidance. Other than disclosed, the Company does not expect that there will be a material impact to the consolidated statements of operations, comprehensive income or consolidated cash flows as a result of adoption of this new guidance. |
Commitments, Contingencies and Guarantees | Commitments, Contingencies and Guarantees See Note 14 , Income Taxes , and Note 16 , Commitments and Contingencies , to the Company's consolidated financial statements for a detailed discussion of Clearway Energy, Inc.’s commitments and contingencies. |
Dividends | Dividends Cash distributions paid to Clearway Energy, Inc. by its subsidiary, Clearway Energy LLC, were $130 million , $108 million , and $92 million for the years ended December 31, 2018 , 2017 , and 2016 , respectively. |
Nature of Business Nature of Bu
Nature of Business Nature of Business (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Company organization chart | The following table represents the structure of the Company as of December 31, 2018 : |
The Company's operating assets are comprised of the following projects: |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Reconciliation of cash and cash equivalents and restricted cash and funds deposited to cash flow | The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the statements of cash flows. Year ended December 31, 2018 2017 2016 (In millions) Cash and cash equivalents $ 407 $ 148 $ 322 Restricted cash 176 168 176 Cash, cash equivalents and restricted cash shown in the statement of cash flows 583 316 498 |
Disaggregation of revenue | The following tables represent the Company’s disaggregation of revenue from contracts with customers for the year ended December 31, 2018 , along with the reportable segment for each category: Year ended December 31, 2018 (In millions) Conventional Generation Renewables Thermal Corporate Total Energy revenue (a) $ 5 $ 572 $ 4 — $ 581 Capacity revenue (a) 337 — 166 — 503 Other revenues — 16 26 (3 ) 39 Contract amortization (5 ) (62 ) (3 ) — (70 ) Total operating revenue 337 526 193 (3 ) 1,053 Less: Lease revenue (342 ) (534 ) (2 ) — (878 ) Less: Contract amortization 5 62 3 — 70 Total revenue from contracts with customers $ — $ 54 $ 194 (3 ) $ 245 (a) The following amounts of energy and capacity revenue relate to leases and are accounted for under ASC 840: Conventional Generation Renewables Thermal Total Energy Revenue $ 5 $ 534 $ 2 $ 541 Capacity Revenue 337 — — 337 342 534 2 878 |
Contract balances | The following table reflects the contract assets and liabilities included on the Company’s balance sheet as of December 31, 2018 : (In millions) December 31, 2018 December 31, 2017 Accounts receivable, net - Contracts with customers $ 35 $ 28 Accounts receivable, net - Leases 69 67 Total accounts receivable, net $ 104 $ 95 |
Schedule of asset retirement obligations | The following table represents the balance of ARO obligations as of December 31, 2018 and 2017 , along with the additions and accretion related to the Company's ARO obligations for the year ended December 31, 2018 : (In millions) Balance as of December 31, 2017 $ 58 Revisions in estimates for current obligations/Additions 5 Accretion — expense 4 Balance as of December 31, 2018 $ 67 |
Business Acquisitions (Tables)
Business Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Business Combinations [Abstract] | |
Buckthorn solar drop down asset | The following is a summary of net assets transferred in connection with the acquisition of the Buckthorn Solar Drop Down Asset as of March 31, 2018: (In millions) Assets: Current assets $ 20 Property, plant and equipment 212 Non-current assets 3 Total assets 235 Liabilities: Debt (Current and non-current) (a) 176 Other current and non-current liabilities 15 Total liabilities 191 Less: noncontrolling interest 19 Net assets acquired $ 25 (a) Net of $7 million of net debt issuance costs. The following table presents a summary of the Company's historical information for the year ended December 31, 2017, which combines the financial information for the Buckthorn Solar Drop Down Asset transferred in connection with the acquisition: Year ended December 31, 2017 As Previously Reported Buckthorn Solar Drop Down Asset As Currently Reported (In millions) Total operating revenues $ 1,009 $ — $ 1,009 Operating income 283 — 283 Net loss (23 ) (1 ) (24 ) Less: Pre-acquisition net income (loss) of Drop Down Assets 8 (1 ) 7 Less: Loss attributable to noncontrolling interests (15 ) — (15 ) Net loss attributable to Clearway Energy, Inc. (16 ) — (16 ) |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property, plant and equipment | The Company’s major classes of property, plant, and equipment were as follows: December 31, 2018 December 31, 2017 Depreciable Lives (In millions) Facilities and equipment $ 6,638 $ 6,291 2 - 45 Years Land and improvements 171 166 Construction in progress (a) 26 238 Total property, plant and equipment 6,835 6,695 Accumulated depreciation (1,590 ) (1,285 ) Net property, plant and equipment $ 5,245 $ 5,410 (a) As of December 31, 2018 and 2017 , construction in progress includes $6 million and $24 million of capital expenditures that relate to prepaid long-term service agreements in the Conventional segment, respectively. |
Investments Accounted for by _2
Investments Accounted for by the Equity Method and Variable Interest Entities (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity method investments | The following tables present summarized financial information for the Company's significant equity method investments: Year Ended December 31, 2018 2017 2016 Income Statement Data: (In millions) GenConn Operating revenues $ 65 $ 71 $ 72 Operating income 32 36 38 Net income 22 26 26 Desert Sunlight Operating revenues 208 207 211 Operating income 129 127 129 Net income 84 80 80 DGPV entities (a) Operating revenues 69 37 14 Operating income 23 7 2 Net income (loss) 11 (3 ) — RPV Holdco Operating revenues 14 16 13 Operating income — 3 2 Net income — 3 2 Other (b) Operating revenues 249 247 193 Operating income 103 89 71 Net income $ 75 $ 56 $ 38 As of December 31, 2018 2017 Balance Sheet Data: (In millions) GenConn Current assets $ 43 $ 38 Non-current assets 358 374 Current liabilities 22 18 Non-current liabilities 182 189 Desert Sunlight Current assets 133 133 Non-current assets 1,298 1,350 Current liabilities 58 64 Non-current liabilities 962 1,003 DGPV entities (a) Current assets 79 74 Non-current assets 784 671 Current liabilities 84 83 Non-current liabilities 314 216 Redeemable Noncontrolling Interest — 44 RPV Holdco Current assets 2 3 Non-current assets 173 183 Current liabilities 1 — Non-current liabilities 8 7 Redeemable Noncontrolling Interest 26 16 Other (b) Current assets 148 139 Non-current assets 2,511 2,621 Current liabilities 58 60 Non-current liabilities $ 889 $ 932 (a) Includes DGPV Holdco 1, DGPV Holdco 2 and DGPV Holdco 3. (b) Includes Agua Caliente, Utah Solar Portfolio, Avenal, Elkhorn Ridge and San Juan Mesa. The following table summarizes the Company's equity method investments as of December 31, 2018 : Name Economic Interest Investment Balance (In millions) Utah Solar Portfolio (a) 50% $317 Desert Sunlight (e) 25% 264 GenConn (b) 50% 98 Agua Caliente Solar (e) 16% 90 Elkhorn Ridge (c) 66.7% 59 San Juan Mesa (c) 75% 57 DGPV Holdco 1 LLC (d) 95% 81 DGPV Holdco 2 LLC (d) 95% 63 DGPV Holdco 3 LLC (d) 99% 116 RPV Holdco 1 LLC (d) 95% 29 Avenal (e) 50% (2) $1,172 (a) Economic interest based on cash to be distributed. Four Brothers Solar, LLC, Granite Mountain Holdings, LLC and Iron Springs Holdings, LLC are tax equity structures and VIEs. The related allocations are described below. (b) GenConn is a variable interest entity. (c) San Juan Mesa and Elkhorn Ridge are part of the Wind TE Holdco tax equity structure, as described below. San Juan Mesa and Elkhorn Ridge are owned 75% and 66.7% , respectively, by Wind TE Holdco. The Company owns 100% of the Class B interests in Wind TE Holdco. (d) Economic interest based on cash to be distributed. DGPV Holdco 1 LLC, DGPV Holdco 2 LLC, DGPV Holdco 3 LLC and RPV Holdco 1 LLC are tax equity structures and VIEs. The related allocations are described below. (e) Entities that have PPAs with PG&E. On January 29, 2019, PG&E filed for bankruptcy under Chapter 11 of the U.S. Bankruptcy Code. The Company has non-recourse project-level debt, and in some cases holding company debt, related to each of its subsidiaries that sell their output to PG&E under long-term PPAs. The PG&E bankruptcy filing is an event of default under the related financing agreements, and as a result, the respective lenders under these arrangements may accelerate the repayment of these debt balances. In addition, the event of default may have an impact on the Company’s ability to distribute cash from the project-level cash accounts to the parent entities. The Company continues to operate the projects in the normal course of business and is currently in the process of negotiating forbearance agreements with the related lenders. |
Schedule of variable interest entities | Summarized financial information for the Company's consolidated VIEs consisted of the following as of December 31, 2018 : (In millions) Wind TE Holdco Alta TE Holdco Spring Canyon Buckthorn Renewables, LLC Other current and non-current assets $ 215 $ 17 $ 2 $ 15 Property, plant and equipment 346 410 91 223 Intangible assets 2 249 — — Total assets 563 676 93 238 Current and non-current liabilities 210 9 4 Total liabilities 210 9 4 135 Noncontrolling interest 45 63 49 43 Net assets less noncontrolling interests $ 308 $ 604 $ 40 $ 60 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Estimated carrying amounts and fair values | The estimated carrying amounts and fair values of the Company’s recorded financial instruments not carried at fair market value are as follows: As of December 31, 2018 As of December 31, 2017 Carrying Amount Fair Value Carrying Amount Fair Value (In millions) Assets: Notes receivable, including current portion $ — $ — $ 13 $ 13 Liabilities: Long-term debt, including current portion (a) $ 6,043 $ 5,943 $ 6,066 $ 6,099 (a) Carrying amounts are presented net of discounts. |
Level within fair value hierarchy | The following table presents the level within the fair value hierarchy for long-term debt, including current portion as of December 31, 2018 and 2017 : As of December 31, 2018 As of December 31, 2017 Level 2 Level 3 Level 2 Level 3 (In millions) Long-term debt, including current portion $ 1,620 $ 4,323 $ 1,502 $ 4,597 |
Assets and liabilities measured and recorded at fair value | The following table presents assets and liabilities measured and recorded at fair value on the Company's consolidated balance sheets on a recurring basis and their level within the fair value hierarchy: As of December 31, 2018 As of December 31, 2017 Fair Value (a) Fair Value (a) (In millions) Level 2 Level 2 Derivative assets: Commodity contracts (b) $ — $ 1 Interest rate contracts 11 1 Total assets $ 11 $ 2 Derivative liabilities: Commodity contracts (b) $ — $ 1 Interest rate contracts 21 48 Total liabilities $ 21 $ 49 (a) There were no derivative assets or liabilities classified as Level 1 or 3 as of December 31, 2018 and 2017 . (b) The fair value of commodities was not material as of December 31, 2018 . |
Accounting for Derivative Ins_2
Accounting for Derivative Instruments and Hedging Activities (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Net notional volume buy/(sell) of NRG Yield's open derivative transactions broken out by commodity | The following table summarizes the net notional volume buy/(sell) of the Company's open derivative transactions broken out by commodity as of December 31, 2018 and 2017 : Total Volume December 31, 2018 December 31, 2017 Commodity Units (In millions) Natural Gas MMBtu 1 2 Interest Dollars $ 1,862 $ 2,050 |
Fair value within the derivative instrument valuation on the balance sheets | The following table summarizes the fair value within the derivative instrument valuation on the balance sheet: Fair Value Derivative Assets (a) Derivative Liabilities December 31, 2018 December 31, 2017 December 31, 2018 December 31, 2017 (In millions) Derivatives Designated as Cash Flow Hedges: Interest rate contracts current $ 2 $ — $ 1 $ 4 Interest rate contracts long-term 3 1 6 9 Total Derivatives Designated as Cash Flow Hedges 5 1 7 13 Derivatives Not Designated as Cash Flow Hedges: Interest rate contracts current 1 — 3 13 Interest rate contracts long-term 5 — 11 22 Commodity contracts current (b) — 1 — 1 Total Derivatives Not Designated as Cash Flow Hedges 6 1 14 36 Total Derivatives $ 11 $ 2 $ 21 $ 49 (a) Derivative Asset balances classified as current are included within the prepayments and other current assets line item of the Consolidated Balance Sheet. (b) The fair value of commodities was not material as of December 31, 2018 |
Offsetting of derivatives by counterparty master agreement level and collateral received or paid | The following tables summarize the offsetting of derivatives by counterparty master agreement level: Gross Amounts Not Offset in the Statement of Financial Position As of December 31, 2018 Gross Amounts of Recognized Assets/Liabilities Derivative Instruments Net Amount Interest rate contracts: Derivative assets $ 11 $ (1 ) $ 10 Derivative liabilities (21 ) 1 (20 ) Total interest rate contracts (10 ) — (10 ) Total derivative instruments $ (10 ) $ — $ (10 ) Gross Amounts Not Offset in the Statement of Financial Position As of December 31, 2017 Gross Amounts of Recognized Assets/Liabilities Derivative Instruments Net Amount Commodity contracts: (In millions) Derivative assets $ 1 $ — $ 1 Derivative liabilities (1 ) — (1 ) Total commodity contracts — — — Interest rate contracts: Derivative assets 1 (1 ) — Derivative liabilities (48 ) 1 (47 ) Total interest rate contracts (47 ) — (47 ) Total derivative instruments $ (47 ) $ — $ (47 ) |
Effects of NRG Yield's accumulated OCI balance attributable to interest rate swaps designated as cash flow hedge derivatives, net of tax | The following table summarizes the effects on the Company’s accumulated OCL balance attributable to interest rate swaps designated as cash flow hedge derivatives, net of tax: Year ended December 31, 2018 2017 2016 (In millions) Accumulated OCL beginning balance $ (60 ) $ (70 ) $ (83 ) Reclassified from accumulated OCL to income due to realization of previously deferred amounts 14 10 13 Mark-to-market of cash flow hedge accounting contracts 8 — — Accumulated OCL ending balance, net of income tax benefit of $7, $9 and $16, respectively $ (38 ) $ (60 ) $ (70 ) Accumulated OCL attributable to noncontrolling interests (20 ) (32 ) (42 ) Accumulated OCL attributable to Clearway Energy, Inc. $ (18 ) $ (28 ) $ (28 ) Losses expected to be realized from OCL during the next 12 months, net of income tax benefit of $1 $ 8 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of the components of the Company's intangible assets subject to amortization | The following tables summarize the components of intangible assets subject to amortization: Year ended December 31, 2018 PPAs Leasehold Rights Customer Customer Contracts Emission Allowances Other Total (In millions) December 31, 2018 $ 1,280 $ 86 $ 66 $ 15 $ 9 $ 8 $ 1,464 Less accumulated amortization (269 ) (18 ) (7 ) (9 ) (2 ) (3 ) (308 ) Net carrying amount $ 1,011 $ 68 $ 59 $ 6 $ 7 $ 5 $ 1,156 Year ended December 31, 2017 PPAs Leasehold Rights Customer Relationships Customer Contracts Emission Allowances Other Total (In millions) January 1, 2017 $ 1,286 $ 86 $ 66 $ 15 $ 9 $ 9 $ 1,471 Asset Impairments (a) (6 ) — — — — — (6 ) December 31, 2017 1,280 86 66 15 9 9 1,465 Less accumulated amortization (205 ) (13 ) (5 ) (8 ) (3 ) (3 ) (237 ) Net carrying amount $ 1,075 $ 73 $ 61 $ 7 $ 6 $ 6 $ 1,228 (a) $6 million of asset impairments relate to one of the November 2017 Drop Down Assets that was recorded by NRG during the quarter ended September 30, 2017, as further described in Note 9 , Asset Impairments . |
Long-term Debt (Tables)
Long-term Debt (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of long-term debt | During the years ended December 31, 2018 and 2017 , the Company recorded the following expenses in relation to the 2020 and 2019 Convertible Notes on a combined basis at the effective rates of 5.10% and 5.00% , respectively: (In millions) December 31, 2018 December 31, 2017 Interest expense (a) $ 19 $ 21 Debt discount amortization 9 9 Debt issuance costs amortization 3 3 $ 31 $ 33 (a) Interest expense is calculated using coupon rate of 3.25% and 3.50% for 2020 and 2019 Convertible Notes, respectively. The Company's borrowings, including short term and long term portions consisted of the following: December 31, 2018 December 31, 2017 Interest rate % (a) Letters of Credit Outstanding at December 31, 2018 (In millions, except rates) 2019 Convertible Notes $ 220 $ 345 3.500 2020 Convertible Notes 45 288 3.250 2024 Senior Notes 500 500 5.375 2025 Senior Notes 600 — 5.750 2026 Senior Notes 350 350 5.000 Clearway Energy LLC and Clearway Energy Operating LLC Revolving Credit Facility, due 2019 (b) — 55 L+1.75 $ 41 Project-level debt: Agua Caliente Borrower 2, due 2038 (d) 39 41 5.430 17 Alpine, due 2022 (d) 127 135 L+1.750 16 Alta Wind I - V lease financing arrangements, due 2034 and 2035 886 926 5.696 - 7.015 44 Buckthorn Solar, due 2025 132 169 L+1.750 26 CVSR, due 2037 (d) 720 746 2.339 - 3.775 — CVSR Holdco Notes, due 2037 (d) 188 194 4.680 13 El Segundo Energy Center, due 2023 352 400 L+1.75 - L+2.375 138 Energy Center Minneapolis Series C, D, E, F, G, H Notes, due 2025-2037 328 208 various — Laredo Ridge, due 2028 89 95 L+1.875 10 Kansas South, due 2030 (d) 26 29 L+2.00 2 Marsh Landing, due 2023 (d) 263 318 L+2.125 60 South Trent Wind, due 2020 50 53 L+1.625 10 Tapestry, due 2021 151 162 L+1.75 20 Utah Solar Portfolio, due 2022 267 278 various 13 Viento, due 2023 146 163 L+2.00 26 Walnut Creek, due 2023 222 267 L+1.75 74 Other 343 361 various 24 Subtotal project-level debt 4,329 4,545 Total debt 6,044 6,083 Less current maturities (535 ) (339 ) Less net debt issuance costs (61 ) (68 ) Less discounts (c) (1 ) (17 ) Total long-term debt $ 5,447 $ 5,659 (a) As of December 31, 2018 , L+ equals 3 month LIBOR plus x%, except for Viento, due 2023 and Kansas South, due 2030 where L+ equals 6 month LIBOR plus 2.00% and Utah Solar Portfolio, where L+equals 1 month LIBOR plus x%. (b) Applicable rate is determined by the borrower leverage ratio, as defined in the credit agreement. (c) Discounts relate to the 2019 Convertible Notes and 2020 Convertible Notes. (d) On January 29, 2019, PG&E filed for bankruptcy under Chapter 11 of the U.S. Bankruptcy Code. The Company has non-recourse project-level debt, and in some cases holding company debt, related to each of its subsidiaries that sell their output to PG&E under long-term PPAs. The PG&E bankruptcy filing is an event of default under the related financing agreements, and as a result, the respective lenders under these arrangements may accelerate the repayment of these debt balances. In addition, the event of default may have an impact on the Company’s ability to distribute cash from the project-level cash accounts to the parent entities. The Company continues to operate the projects in the normal course of business and is currently in the process of negotiating forbearance agreements with the related lenders. |
Series E,F,G,H interest rates | On June 19, 2018, Energy Center Minneapolis LLC, a subsidiary of the Company, entered into an amended and restated Thermal note purchase and private shelf agreement under which it authorized the issuance of the Series E Notes, Series F Notes, Series G Notes, and Series H Notes, as further described in the table below: (In millions) Amount Interest Rate Energy Center Minneapolis Series E Notes, due 2033 $ 70 4.80 % Energy Center Minneapolis Series F Notes, due 2033 10 4.60 % Energy Center Minneapolis Series G Notes, due 2035 83 5.90 % Energy Center Minneapolis Series H Notes, due 2037 40 4.83 % Total proceeds $ 203 Repayment of Energy Center Minneapolis Series C Notes, due 2025 (83 ) 5.95 % Net borrowings $ 120 |
Summary of swaps related to the Company's project level debt | The following table summarizes the swaps, some of which are forward starting as indicated, related to the Company's project level debt as of December 31, 2018 : % of Principal Fixed Interest Rate Floating Interest Rate Notional Amount at December 31, 2018 (In millions) Effective Date Maturity Date Alpine 85 % various 3-Month LIBOR $ 108 various various Avra Valley 87 % 2.333 % 3-Month LIBOR 44 November 30, 2012 November 30, 2030 AWAM 100 % 2.47 % 3-Month LIBOR 16 May 22, 2013 May 15, 2031 Blythe 75 % 3.563 % 3-Month LIBOR 12 June 25, 2010 June 25, 2028 Borrego 75 % 1.125 % 3-Month LIBOR 3 April 3, 2013 June 30, 2020 Buckthorn Solar 83 % various 3-Month LIBOR 109 February 28, 2018 December 31, 2041 El Segundo 85 % various 3-Month LIBOR 299 various various Kansas South 75 % 2.368 % 6-Month LIBOR 20 June 28, 2013 December 31, 2030 Laredo Ridge 80 % 2.31 % 3-Month LIBOR 71 March 31, 2011 March 31, 2026 Marsh Landing 94 % 3.244 % 3-Month LIBOR 246 June 28, 2013 June 30, 2023 Roadrunner 75 % 4.313 % 3-Month LIBOR 24 September 30, 2011 December 31, 2029 South Trent 75 % 3.265 % 3-Month LIBOR 37 June 15, 2010 June 14, 2020 South Trent 75 % 4.95 % 3-Month LIBOR 21 June 30, 2020 June 14, 2028 Tapestry 90 % 2.21 % 3-Month LIBOR 136 December 30, 2011 December 21, 2021 Tapestry 50 % 3.57 % 3-Month LIBOR 60 December 21, 2021 December 21, 2029 Utah Solar Portfolio 80 % various 1-Month LIBOR 214 various September 30, 2036 Viento Funding II 91 % various 6-Month LIBOR 134 various various Viento Funding II 90 % 4.985 % 6-Month LIBOR 65 July 11, 2023 June 30, 2028 Walnut Creek Energy 90 % various 3-Month LIBOR 200 June 28, 2013 May 31, 2023 WCEP Holdings 100 % 4.003 % 3-Month LIBOR 43 June 28, 2013 May 31, 2023 Total $ 1,862 |
Schedule of annual payments based on the maturities of NRG Yield's debt | Annual payments based on the maturities of the Company's debt, for the years ending after December 31, 2018 , are as follows: (In millions) 2019 $ 534 2020 406 2021 447 2022 646 2023 389 Thereafter 3,622 Total $ 6,044 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
Reconciliation of the Company's basic earnings per share to diluted earnings per share | The reconciliation of the Company's basic and diluted (loss) earnings per share is shown in the following table: Year Ended December 31, 2018 2017 2016 (In millions, except per share data) (a) Common Class A Common Class C Common Class A Common Class C Common Class A Common Class C Basic and diluted earnings (loss) per share attributable to Clearway Energy, Inc. common stockholders Net income (loss) attributable to Clearway Energy, Inc. $ 16 $ 32 $ (6 ) $ (10 ) $ 20 $ 37 Weighted average number of common shares outstanding — basic and diluted 35 69 35 64 35 63 Earnings (Loss) per weighted average common share — basic and diluted $ 0.46 $ 0.46 $ (0.16 ) $ (0.16 ) $ 0.58 $ 0.58 (a) Net (loss) income attributable to Clearway Energy, Inc. and basic and diluted (loss) earnings per share might not recalculate due to presenting values in millions rather than whole dollars. |
Summary of Company's outstanding equity instruments not included in diluted earnings per share | The following table summarizes the Company's outstanding equity instruments that are anti-dilutive and were not included in the computation of the Company's diluted earnings per share: Year Ended December 31, 2018 2017 2016 (In millions of shares) 2019 Convertible Notes - Common Class A 9 15 15 2020 Convertible Notes - Common Class C 8 10 10 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Stockholders' Equity Attributable to Parent [Abstract] | |
Schedule of dividends paid | The following table lists the dividends paid on the Company's Class A and Class C common stock during the year ended December 31, 2018 : Fourth Quarter 2018 Third Quarter 2018 Second Quarter 2018 First Quarter 2018 Dividends per Class A share $ 0.331 $ 0.320 $ 0.309 $ 0.298 Dividends per Class C share $ 0.331 $ 0.320 $ 0.309 $ 0.298 |
Schedule of distributions paid | The following table lists the distributions paid to NRG during the period from January 1, 2018 through August 31, 2018 and to CEG during the period from September 1, 2018 through December 31, 2018 on Clearway Energy LLC's Class B and D units: Fourth Quarter 2018 Third Quarter 2018 Second Quarter 2018 First Quarter 2018 Distributions per Class B unit $ 0.331 $ 0.320 $ 0.309 $ 0.298 Distributions per Class D unit $ 0.331 $ 0.320 $ 0.309 $ 0.298 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Customers accounting for more than 10% of revenue | The Company generated more than 10% of its revenues from the following customers for the years ended December 31, 2018 , 2017 and 2016 : 2018 2017 2016 Customer Conventional (%) Renewables (%) Conventional (%) Renewables (%) Conventional (%) Renewables (%) SCE 20% 20% 21% 20% 21% 21% PG&E 12% 11% 12% 11% 12% 11% |
Segment reporting information | Year ended December 31, 2017 (In millions) Conventional Generation Renewables Thermal Corporate Total Operating revenues $ 336 $ 501 $ 172 $ — $ 1,009 Cost of operations 77 133 116 — 326 Depreciation and amortization 103 210 21 — 334 Impairment losses — 44 — — 44 General and administrative — — — 19 19 Acquisition-related transaction and integration costs — — — 3 3 Operating income (loss) 156 114 35 (22 ) 283 Equity in earnings of unconsolidated affiliates 12 59 — — 71 Other income, net 1 2 — 1 4 Loss on debt extinguishment — (3 ) — — (3 ) Interest expense (49 ) (164 ) (10 ) (84 ) (307 ) Income (loss) before income taxes 120 8 25 (105 ) 48 Income tax benefit — — — 72 72 Net Income (Loss) 120 8 25 (177 ) (24 ) Less: Net (loss) income attributable to noncontrolling interests — (75 ) — 60 (15 ) Net Income (Loss) Attributable to Clearway Energy, Inc. $ 120 $ 76 $ 25 $ (237 ) (16 ) Balance Sheet Equity investments in affiliates $ 102 $ 1,076 $ — $ — $ 1,178 Capital expenditures (a) 15 181 16 — 212 Total Assets $ 1,897 $ 6,017 $ 422 $ 153 $ 8,489 (a) Includes accruals. Year ended December 31, 2016 (In millions) Conventional Generation Renewables Thermal Corporate Total Operating revenues $ 333 $ 532 $ 170 $ — $ 1,035 Cost of operations 66 128 114 — 308 Depreciation and amortization 80 203 20 — 303 Impairment losses — 185 — — 185 General and administrative — — — 16 16 Acquisition-related transaction and integration costs — — — 1 1 Operating income (loss) 187 16 36 (17 ) 222 Equity in earnings of unconsolidated affiliates 13 47 — — 60 Other income, net 1 2 — — 3 Interest expense (48 ) (151 ) (7 ) (78 ) (284 ) Income (loss) before income taxes 153 (86 ) 29 (95 ) 1 Income tax expense — — — (1 ) (1 ) Net Income (Loss) 153 (86 ) 29 (94 ) 2 Less: Net (loss) income attributable to noncontrolling interests — (111 ) — 60 (51 ) Net Income (Loss) Attributable to Clearway Energy, Inc. $ 153 $ 29 $ 29 $ (154 ) 57 Year ended December 31, 2018 (In millions) Conventional Generation Renewables Thermal Corporate Total Operating revenues (a) $ 337 $ 526 $ 193 $ (3 ) $ 1,053 Cost of operations (a) 62 146 127 (3 ) 332 Depreciation and amortization 101 207 23 — 331 General and administrative — — 1 19 20 Acquisition-related transaction and integration costs — — — 20 20 Development costs — — 2 1 3 Operating income (loss) 174 173 40 (40 ) 347 Equity in earnings of unconsolidated affiliates 11 63 — — 74 Other income, net 1 4 1 2 8 Loss on debt extinguishment — — — (7 ) (7 ) Interest expense (51 ) (154 ) (12 ) (89 ) (306 ) Income (loss) before income taxes 135 86 29 (134 ) 116 Income tax expense — — — 62 62 Net Income (Loss) 135 86 29 (196 ) 54 Less: Net income (loss) attributable to noncontrolling interests and Pre-acquisition net income of Drop Down Assets — (100 ) — 106 6 Net Income (Loss) Attributable to Clearway Energy, Inc. $ 135 $ 186 $ 29 $ (302 ) $ 48 Balance Sheet Equity investment in affiliates $ 98 $ 1,074 $ — $ — $ 1,172 Capital expenditures (b) 14 26 28 — 68 Total Assets $ 1,788 $ 5,836 $ 516 $ 360 $ 8,500 (a) Inter-segment revenues and cost of operations include Year ended December 31, 2016 (In millions) Conventional Generation Renewables Thermal Corporate Total Operating revenues $ 333 $ 532 $ 170 $ — $ 1,035 Cost of operations 66 128 114 — 308 Depreciation and amortization 80 203 20 — 303 Impairment losses — 185 — — 185 General and administrative — — — 16 16 Acquisition-related transaction and integration costs — — — 1 1 Operating income (loss) 187 16 36 (17 ) 222 Equity in earnings of unconsolidated affiliates 13 47 — — 60 Other income, net 1 2 — — 3 Interest expense (48 ) (151 ) (7 ) (78 ) (284 ) Income (loss) before income taxes 153 (86 ) 29 (95 ) 1 Income tax expense — — — (1 ) (1 ) Net Income (Loss) 153 (86 ) 29 (94 ) 2 Less: Net (loss) income attributable to noncontrolling interests — (111 ) — 60 (51 ) Net Income (Loss) Attributable to Clearway Energy, Inc. $ 153 $ 29 $ 29 $ (154 ) 57 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income tax provision from continuing operations | The income tax provision consisted of the following amounts: Year Ended December 31, 2018 2017 2016 (In millions, except percentages) Current U.S. Federal $ — $ — $ — State — — — Total — current — — — Deferred U.S. Federal 28 75 (1 ) State 34 (3 ) — Total — deferred 62 72 (1 ) Total income tax expense (benefit) $ 62 $ 72 $ (1 ) |
Reconciliation of the U.S. federal statutory rate to the Company's effective rate | A reconciliation of the U.S. federal statutory rate of 21% and 35% to the Company's effective rate is as follows: Year Ended December 31, 2018 2017 2016 (In millions, except percentages) Income Before Income Taxes $ 116 $ 48 $ 1 Tax at 21%/35% 24 17 — State taxes, net of federal benefit 8 (3 ) — Deferred state rate change due to deconsolidation from NRG 20 — — Tax Cuts and Jobs Act - tax rate change — 68 — Impact of non-taxable equity earnings 8 (9 ) (1 ) Investment tax credits (3 ) (1 ) (1 ) Production tax credits, including prior year true-up (1 ) (1 ) 4 Valuation allowance adjustment 3 — — Other 3 1 (3 ) Income tax expense (benefit) $ 62 $ 72 $ (1 ) Effective income tax rate 53 % 150 % (100 )% |
Company's deferred tax assets and liabilities | The temporary differences, which gave rise to the Company's deferred tax assets, consisted of the following: As of December 31, 2018 2017 (In millions) Deferred tax liabilities: Investment in projects $ 192 $ 70 Total deferred tax liabilities 192 70 Deferred tax assets: Interest expense disallowance carryforward - Investment in Projects 28 Production tax credits 8 7 Investment tax credits 5 1 U.S. Federal net operating loss carryforwards 199 183 Capital loss carryforwards 12 10 State net operating loss carryforwards 12 7 Total deferred tax assets 264 208 Valuation allowance $ (15 ) $ (10 ) Total deferred tax assets, net of valuation allowance $ 249 $ 198 Net deferred noncurrent tax asset $ 57 $ 128 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Long-term purchase commitment | As of December 31, 2018 , the Company's commitments under such outstanding agreements are estimated as follows: Period (In millions) 2019 $ 11 2020 3 2021 3 2022 3 2023 3 Thereafter 13 Total $ 36 |
Unaudited Quarterly Financial_2
Unaudited Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Summary of unaudited quarterly financial data | Below is summarized unaudited quarterly financial data for the periods ending December 31, 2018 and 2017 . The Company's historical financial results for the four quarters of 2017 were recast to include the results of the Buckthorn Solar Drop Down Asset acquisition, which took place on March 30, 2018, and is further described in Note 3 , Business Acquisitions . The Company originally recast its historical quarterly financial statements to include the result of the Buckthorn Drop Down Asset acquisition in its Form 10-Q for the period ended September 30, 2018. Additionally, the quarterly results for the period ended December 31, 2017, as presented below in the table, were recast to include the quarterly operating results of the Buckthorn Solar Drop Down Asset for the period ending December 31, 2017. Quarter Ended December 31, September 30, June 30, March 31, 2018 (In millions, except per share data) Operating Revenues $ 229 $ 292 $ 307 $ 225 Operating Income 54 100 144 49 Net (Loss) Income (91 ) 49 96 — Net Income Attributable to Clearway Energy, Inc. $ (68 ) $ 21 $ 79 $ 16 Weighted average number of Class A common shares outstanding — basic 35 35 35 35 Weighted average number of Class A common shares outstanding — diluted 35 35 49 35 Weighted average number of Class C common shares outstanding — basic 73 69 67 65 Weighted average number of Class C common shares outstanding — diluted 73 69 78 65 Earnings per Weighted Average Class A and Class C Common Share - Basic $ (0.63 ) $ 0.20 $ 0.77 $ 0.16 Earnings per Weighted Average Class A Common Share - Diluted $ (0.63 ) $ 0.20 $ 0.61 $ 0.16 Earnings per Weighted Average Class C Common Share - Diluted $ (0.63 ) $ 0.20 $ 0.70 $ 0.16 Quarter Ended December 31, September 30, June 30, March 31, 2017 (In millions, except per share data) Operating Revenues $ 231 $ 269 $ 288 $ 221 Operating (Loss) Income 20 84 125 54 Net (Loss) Income (97 ) (a) 31 44 (2 ) Net (Loss) Income Attributable to Clearway Energy, Inc. $ (70 ) $ 29 $ 28 $ (3 ) Weighted average number of Class A common shares outstanding — basic 35 35 35 35 Weighted average number of Class A common shares outstanding — diluted 35 49 49 35 Weighted average number of Class C common shares outstanding — basic 65 64 63 63 Weighted average number of Class C common shares outstanding — diluted 65 75 74 63 (Loss) Earnings per Weighted Average Class A and Class C Common Share - Basic $ (0.71 ) $ 0.30 $ 0.29 $ (0.03 ) (Loss) Earnings per Weighted Average Class A Common Share - Diluted $ (0.71 ) $ 0.27 $ 0.26 $ (0.03 ) (Loss) Earnings per Weighted Average Class C Common Share - Diluted $ (0.71 ) $ 0.29 $ 0.28 $ (0.03 ) (a) The Company reported Net loss of $98 million for the quarter ending December 31, 2017, as previously reported in the Note 17 , Unaudited Quarterly Financial Data of its Form 2017 10-K. The recast results in the table above include $1 million of Net Income attributable to the Buckthorn Solar Drop Down Asset acquisition. |
Nature of Business - Narrative
Nature of Business - Narrative (Details) - MW | 12 Months Ended | ||
Dec. 31, 2018 | Aug. 31, 2018 | Mar. 30, 2018 | |
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Ownership interest acquired | 100.00% | ||
Weighted average remaining PPA term | 15 years | ||
Clearway Energy, Inc. | NRG | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Ownership interest sold | 100.00% | ||
Clearway Energy LLC | GIP | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Ownership interest acquired | 45.20% | ||
Clearway Energy, Inc. | GIP | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Ownership interest acquired | 55.00% | ||
Conventional Generation, Utility-Scale Solar, Distributed Solar, and Wind | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Power generation gapacity, megawatts | 5,272 | ||
Thermal | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Power generation gapacity, megawatts | 133 | ||
Steam and chilled water capacity, megawatts thermal equivalent | 1,385 | ||
Shareholders | Clearway Energy LLC | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Limited liability company (LLC) or limited partnership (LP), members or limited partners, voting interest | 45.00% | ||
Limited liability company or limited partnership, members or limited partners, ownership interest | 55.80% | ||
GIP | Clearway Energy LLC | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Limited liability company (LLC) or limited partnership (LP), members or limited partners, voting interest | 55.00% | ||
Limited liability company or limited partnership, members or limited partners, ownership interest | 44.20% | ||
CEG | Clearway Energy LLC | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Limited liability company or limited partnership, members or limited partners, ownership interest | 44.20% | ||
Clearway Energy, Inc. | Clearway Energy LLC | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Limited liability company or limited partnership, members or limited partners, ownership interest | 55.80% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - USD ($) | 3 Months Ended | 8 Months Ended | 12 Months Ended | |||||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Aug. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 01, 2019 | Dec. 31, 2015 | [2] | ||||
Summary of Significant Accounting Policies [Line Items] | ||||||||||||||||||
Cash and cash equivalents | $ 407,000,000 | $ 148,000,000 | [1] | $ 407,000,000 | $ 148,000,000 | [1] | $ 322,000,000 | |||||||||||
Restricted cash | 176,000,000 | 168,000,000 | [1] | 176,000,000 | 168,000,000 | [1] | 176,000,000 | |||||||||||
Cash, cash equivalents and restricted cash shown in the statement of cash flows | 583,000,000 | 316,000,000 | [2] | 583,000,000 | 316,000,000 | [2] | 498,000,000 | [2] | $ 254,000,000 | |||||||||
Contingent rental income | 583,000,000 | 559,000,000 | 583,000,000 | |||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Asset Retirement Obligation | $ 58,000,000 | $ 58,000,000 | 58,000,000 | |||||||||||||||
Revisions in estimates for current obligations/Additions | 5,000,000 | |||||||||||||||||
Accretion — expense | 4,000,000 | |||||||||||||||||
Asset Retirement Obligation | 67,000,000 | 58,000,000 | 67,000,000 | 58,000,000 | ||||||||||||||
Total operating revenue | 229,000,000 | $ 292,000,000 | $ 307,000,000 | $ 225,000,000 | 231,000,000 | $ 269,000,000 | $ 288,000,000 | $ 221,000,000 | 1,053,000,000 | 1,009,000,000 | [3] | 1,035,000,000 | ||||||
Less: Lease revenue | 878,000,000 | |||||||||||||||||
Contract amortization | (70,000,000) | |||||||||||||||||
Disaggregation of revenue from contracts with customers | 245,000,000 | |||||||||||||||||
Accounts receivable | 104,000,000 | 95,000,000 | 104,000,000 | 95,000,000 | ||||||||||||||
General and administrative | $ 3,000,000 | 2,000,000 | ||||||||||||||||
Income Taxes, Threshold Percentage | 50.00% | |||||||||||||||||
Project Level Subsidiaries | ||||||||||||||||||
Summary of Significant Accounting Policies [Line Items] | ||||||||||||||||||
Cash and cash equivalents held at project subsidiaries | 109,000,000 | 124,000,000 | $ 109,000,000 | 124,000,000 | ||||||||||||||
Operating Funds | ||||||||||||||||||
Summary of Significant Accounting Policies [Line Items] | ||||||||||||||||||
Restricted cash | 84,000,000 | 84,000,000 | ||||||||||||||||
Long-Term Debt, Current | ||||||||||||||||||
Summary of Significant Accounting Policies [Line Items] | ||||||||||||||||||
Restricted cash | 26,000,000 | 26,000,000 | ||||||||||||||||
Debt Service Obligations | ||||||||||||||||||
Summary of Significant Accounting Policies [Line Items] | ||||||||||||||||||
Restricted cash | 32,000,000 | 32,000,000 | ||||||||||||||||
Cash Distribution | ||||||||||||||||||
Summary of Significant Accounting Policies [Line Items] | ||||||||||||||||||
Restricted cash | 34,000,000 | 34,000,000 | ||||||||||||||||
Subsidiaries Affected By Bankruptcy | ||||||||||||||||||
Summary of Significant Accounting Policies [Line Items] | ||||||||||||||||||
Restricted cash | 31,000,000 | 31,000,000 | ||||||||||||||||
NRG | ||||||||||||||||||
Summary of Significant Accounting Policies [Line Items] | ||||||||||||||||||
Intercompany revenue | 8,000,000 | 12,000,000 | 13,000,000 | |||||||||||||||
NRG | Elbow Creek | ||||||||||||||||||
Summary of Significant Accounting Policies [Line Items] | ||||||||||||||||||
Intercompany revenue | $ 6,000,000 | 8,000,000 | ||||||||||||||||
Customer Contracts | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Accounts receivable | 35,000,000 | 28,000,000 | 35,000,000 | 28,000,000 | ||||||||||||||
Lease Agreements | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Accounts receivable | $ 69,000,000 | $ 67,000,000 | 69,000,000 | 67,000,000 | ||||||||||||||
Energy Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 581,000,000 | |||||||||||||||||
Less: Lease revenue | 541,000,000 | |||||||||||||||||
Capacity Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 503,000,000 | |||||||||||||||||
Less: Lease revenue | 337,000,000 | |||||||||||||||||
Other revenues | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 39,000,000 | |||||||||||||||||
Conventional Generation | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 337,000,000 | 336,000,000 | 333,000,000 | |||||||||||||||
Less: Lease revenue | 342,000,000 | |||||||||||||||||
Conventional Generation | Energy Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Less: Lease revenue | 5,000,000 | |||||||||||||||||
Conventional Generation | Capacity Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Less: Lease revenue | 337,000,000 | |||||||||||||||||
Renewables | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 526,000,000 | 501,000,000 | 532,000,000 | |||||||||||||||
Less: Lease revenue | 534,000,000 | |||||||||||||||||
Renewables | Energy Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Less: Lease revenue | 534,000,000 | |||||||||||||||||
Renewables | Capacity Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Less: Lease revenue | 0 | |||||||||||||||||
Thermal | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 193,000,000 | $ 172,000,000 | $ 170,000,000 | |||||||||||||||
Less: Lease revenue | 2,000,000 | |||||||||||||||||
Thermal | Energy Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Less: Lease revenue | 2,000,000 | |||||||||||||||||
Thermal | Capacity Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Less: Lease revenue | 0 | |||||||||||||||||
Operating Segments | Conventional Generation | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 337,000,000 | |||||||||||||||||
Less: Lease revenue | 342,000,000 | |||||||||||||||||
Contract amortization | (5,000,000) | |||||||||||||||||
Disaggregation of revenue from contracts with customers | 0 | |||||||||||||||||
Operating Segments | Conventional Generation | Energy Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 5,000,000 | |||||||||||||||||
Operating Segments | Conventional Generation | Capacity Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 337,000,000 | |||||||||||||||||
Operating Segments | Conventional Generation | Other revenues | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 0 | |||||||||||||||||
Operating Segments | Renewables | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 526,000,000 | |||||||||||||||||
Less: Lease revenue | 534,000,000 | |||||||||||||||||
Contract amortization | (62,000,000) | |||||||||||||||||
Disaggregation of revenue from contracts with customers | 54,000,000 | |||||||||||||||||
Operating Segments | Renewables | Energy Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 572,000,000 | |||||||||||||||||
Operating Segments | Renewables | Capacity Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 0 | |||||||||||||||||
Operating Segments | Renewables | Other revenues | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 16,000,000 | |||||||||||||||||
Operating Segments | Thermal | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 193,000,000 | |||||||||||||||||
Less: Lease revenue | 2,000,000 | |||||||||||||||||
Contract amortization | (3,000,000) | |||||||||||||||||
Disaggregation of revenue from contracts with customers | 194,000,000 | |||||||||||||||||
Operating Segments | Thermal | Energy Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 4,000,000 | |||||||||||||||||
Operating Segments | Thermal | Capacity Revenue | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 166,000,000 | |||||||||||||||||
Operating Segments | Thermal | Other revenues | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | 26,000,000 | |||||||||||||||||
Eliminations | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | (3,000,000) | |||||||||||||||||
Disaggregation of revenue from contracts with customers | (3,000,000) | |||||||||||||||||
Eliminations | Other revenues | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Total operating revenue | $ (3,000,000) | |||||||||||||||||
Scenario, Forecast | Minimum | Accounting Standards Update 2016-02 | Subsequent Event | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Lease liability | $ 160,000,000 | |||||||||||||||||
Right-of-Use Asset | 155,000,000 | |||||||||||||||||
Scenario, Forecast | Maximum | Accounting Standards Update 2016-02 | Subsequent Event | ||||||||||||||||||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||||||||||||||||
Lease liability | 170,000,000 | |||||||||||||||||
Right-of-Use Asset | $ 165,000,000 | |||||||||||||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||||||||||||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||||||||||||||
[3] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Business Acquisitions - Additio
Business Acquisitions - Additional Information (Details) | Jun. 19, 2018USD ($) | May 31, 2018USD ($) | Apr. 18, 2018USD ($)MW | Mar. 31, 2018USD ($) | Nov. 02, 2017USD ($) | Aug. 02, 2017USD ($) | Mar. 27, 2017USD ($)MW | Sep. 02, 2016USD ($) | Jan. 31, 2019USD ($) | Dec. 31, 2018USD ($)MW | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | [1] | Mar. 30, 2018USD ($)MW | Nov. 01, 2017USD ($)MW | Aug. 01, 2017USD ($) | Sep. 01, 2016USD ($) | Aug. 31, 2016 | Nov. 03, 2015USD ($) | |
Business Acquisition [Line Items] | ||||||||||||||||||||
Ownership interest acquired | 100.00% | |||||||||||||||||||
Long-term debt | $ 6,044,000,000 | $ 6,083,000,000 | ||||||||||||||||||
Proceeds from noncontrolling interests | 91,000,000 | 13,000,000 | [1] | $ 5,000,000 | ||||||||||||||||
Non-recourse debt | $ 878,000,000 | |||||||||||||||||||
Central CA Fuel Cell 1 [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
UPMC thermal project cash considerations | $ 11,000,000 | |||||||||||||||||||
Power generation gapacity, megawatts | MW | 2.8 | |||||||||||||||||||
Power purchase agreement period | 20 years | |||||||||||||||||||
Buckthorn Solar Drop Down Asset | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
UPMC thermal project cash considerations | $ 42,000,000 | |||||||||||||||||||
Power generation gapacity, megawatts | MW | 154 | |||||||||||||||||||
Power purchase agreement period | 25 years | |||||||||||||||||||
Non-controlling interest | 19,000,000 | |||||||||||||||||||
Allocations of taxable income from tax equity investor | $ 0.99 | |||||||||||||||||||
Taxable income allocation, pre-flip | 67.00% | |||||||||||||||||||
Taxable income allocation, post-flip | 99.00% | |||||||||||||||||||
Allocations of investor change percent | 5.00% | |||||||||||||||||||
Net assets acquired | $ 25,000,000 | |||||||||||||||||||
UPMC Thermal | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
UPMC thermal project cash considerations | $ 84,000,000 | |||||||||||||||||||
CVSR | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
UPMC thermal project cash considerations | $ 78,500,000 | |||||||||||||||||||
Ownership interest acquired | 51.05% | |||||||||||||||||||
Ownership percentage | 48.95% | |||||||||||||||||||
Historical value | 112,000,000 | |||||||||||||||||||
Additional debt | $ 496,000,000 | |||||||||||||||||||
AOCL | $ 6,000,000 | |||||||||||||||||||
Percentage of debt consolidated | 100.00% | |||||||||||||||||||
August 2017 Drop Down Assets | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
UPMC thermal project cash considerations | $ 44,000,000 | |||||||||||||||||||
Ownership interest acquired | 25.00% | 75.00% | ||||||||||||||||||
Contingent consideration | $ 8,000,000 | |||||||||||||||||||
Business acquisition, percentage of assets recorded as noncontrolling interest | 25.00% | |||||||||||||||||||
Net assets acquired | $ 87,000,000 | |||||||||||||||||||
November 2017 Drop Down Assets | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
UPMC thermal project cash considerations | $ 74,000,000 | |||||||||||||||||||
Power generation gapacity, megawatts | MW | 38 | |||||||||||||||||||
Long-term debt | $ 26,000,000 | |||||||||||||||||||
Buckthorn Solar, due 2025 | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Long-term debt | $ 132,000,000 | $ 132,000,000 | 169,000,000 | |||||||||||||||||
Buckthorn Solar, due 2025 | Buckthorn Solar Drop Down Asset | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Long-term debt | $ 183,000,000 | |||||||||||||||||||
CVSR Financing Agreement | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Long-term debt | 720,000,000 | 746,000,000 | ||||||||||||||||||
CVSR Financing Agreement | CVSR | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Long-term debt | $ 771,000,000 | |||||||||||||||||||
CVSR Holdco due 2037 | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Long-term debt | $ 188,000,000 | $ 194,000,000 | ||||||||||||||||||
CVSR Holdco due 2037 | CVSR | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Long-term debt | $ 200,000,000 | |||||||||||||||||||
Agua Caliente Borrower 2 | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Power generation gapacity, megawatts | MW | 46 | |||||||||||||||||||
Power purchase agreement period | 25 years | |||||||||||||||||||
Ownership percentage | 16.00% | |||||||||||||||||||
Percentage of NRG's ownership | 31.00% | |||||||||||||||||||
Remaining power purchase agreement term | 22 years | |||||||||||||||||||
Non-recourse debt | $ 41,000,000 | |||||||||||||||||||
Utah Portfolio | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Ownership percentage | 50.00% | |||||||||||||||||||
Remaining power purchase agreement term | 20 years | |||||||||||||||||||
Net working capital adjustment | $ 106,000,000 | |||||||||||||||||||
Non-recourse debt | $ 287,000,000 | |||||||||||||||||||
March 2017 Drop Down Assets | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
UPMC thermal project cash considerations | 128,000,000 | |||||||||||||||||||
Net working capital adjustment | $ 3,000,000 | |||||||||||||||||||
Historical value | $ 8,000,000 | |||||||||||||||||||
Buckthorn Solar Drop Down Asset | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Proceeds from noncontrolling interests | $ 80,000,000 | |||||||||||||||||||
NRG | Agua Caliente Borrower 2 | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Percentage of ownership | 51.00% | |||||||||||||||||||
Thermal | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Steam and chilled water capacity, megawatts thermal equivalent | MW | 1,385 | |||||||||||||||||||
Power generation gapacity, megawatts | MW | 133 | |||||||||||||||||||
Thermal | UPMC Thermal | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Steam and chilled water capacity, megawatts thermal equivalent | MW | 73 | |||||||||||||||||||
Power generation gapacity, megawatts | MW | 7.5 | |||||||||||||||||||
Subsequent Event | UPMC Thermal | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
UPMC thermal project cash considerations | $ 3,000,000 | |||||||||||||||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Business Acquisitions - Bucktho
Business Acquisitions - Buckthorn Solar Drop down Asset (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |||
Business Acquisition [Line Items] | |||||||||||||
Less net debt issuance costs | $ 61 | $ 68 | $ 61 | $ 68 | |||||||||
Total operating revenue | 229 | $ 292 | $ 307 | $ 225 | 231 | $ 269 | $ 288 | $ 221 | 1,053 | 1,009 | [1] | $ 1,035 | |
Operating income | 54 | 100 | 144 | 49 | 20 | 84 | 125 | 54 | 347 | 283 | [1] | 222 | [1] |
Net loss | (91) | 49 | 96 | 0 | (97) | 31 | 44 | (2) | 54 | (24) | [1],[2],[3] | 2 | [1],[2],[3] |
Less: Pre-acquisition net income (loss) of Drop Down Assets | 4 | 7 | [1],[3] | (4) | [1],[3] | ||||||||
Less: Net income (loss) attributable to noncontrolling interests | 2 | (15) | [1] | (51) | [1] | ||||||||
Net income (loss) attributable to Clearway Energy, Inc. | $ (68) | $ 21 | $ 79 | 16 | (70) | $ 29 | $ 28 | $ (3) | $ 48 | (16) | [1] | $ 57 | [1] |
Buckthorn Solar Drop Down Asset | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Current assets | 20 | ||||||||||||
Property, plant and equipment | 212 | ||||||||||||
Non-current assets | 3 | ||||||||||||
Total assets | 235 | ||||||||||||
Debt (Current and non-current) (a) | 176 | ||||||||||||
Other current and non-current liabilities | 15 | ||||||||||||
Total liabilities | 191 | ||||||||||||
Less: noncontrolling interest | 19 | ||||||||||||
Net assets acquired | 25 | ||||||||||||
Less net debt issuance costs | $ 7 | ||||||||||||
Total operating revenue | 0 | ||||||||||||
Operating income | 0 | ||||||||||||
Net loss | (1) | (1) | |||||||||||
Less: Pre-acquisition net income (loss) of Drop Down Assets | (1) | ||||||||||||
Less: Net income (loss) attributable to noncontrolling interests | 0 | ||||||||||||
Net income (loss) attributable to Clearway Energy, Inc. | 0 | ||||||||||||
Previously Reported | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Total operating revenue | 1,009 | ||||||||||||
Operating income | 283 | ||||||||||||
Net loss | $ (98) | (23) | |||||||||||
Less: Pre-acquisition net income (loss) of Drop Down Assets | 8 | ||||||||||||
Less: Net income (loss) attributable to noncontrolling interests | (15) | ||||||||||||
Net income (loss) attributable to Clearway Energy, Inc. | $ (16) | ||||||||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | ||||||||||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | ||||||||||||
[3] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | ||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 6,835 | $ 6,695 | |
Accumulated depreciation | (1,590) | (1,285) | |
Net property, plant and equipment | 5,245 | 5,410 | [1] |
Prepaid long term service agreement | 6 | 24 | |
Support Equipment and Facilities | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 6,638 | 6,291 | |
Land and improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 171 | 166 | |
Construction in Progress | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 26 | $ 238 | |
Minimum | Support Equipment and Facilities | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, useful life | 2 years | ||
Maximum | Support Equipment and Facilities | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, useful life | 45 years | ||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Investments Accounted for by _3
Investments Accounted for by the Equity Method and Variable Interest Entities - Additional Information (Details) $ in Millions | May 31, 2018USD ($) | Mar. 31, 2018USD ($) | Jun. 30, 2015USD ($) | Dec. 31, 2018USD ($)generatingunitMW | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Aug. 31, 2018USD ($) | Mar. 30, 2018MW | Oct. 12, 2017USD ($) | Mar. 27, 2017USD ($)MW | ||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Net contributions from noncontrolling interests | $ 91 | $ 13 | [1] | $ 5 | [1] | |||||||
Less: Net income (loss) attributable to noncontrolling interests | 2 | (15) | [2] | $ (51) | [2] | |||||||
Retained earnings, undistributed earnings from equity method investees | 87 | 57 | ||||||||||
Non-recourse debt | 878 | |||||||||||
Ownership interest acquired | 100.00% | |||||||||||
Equity investments in affiliates | 1,172 | 1,178 | [3] | |||||||||
GCE Holding LLC | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Equity investments in affiliates | $ 98 | |||||||||||
Equity method investment, ownership percentage | 50.00% | |||||||||||
Desert Sunlight | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Payments to acquire equity method investments | $ 285 | |||||||||||
Business acquisition, consideration transferred, working capital | $ 171 | |||||||||||
Equity investments in affiliates | $ 264 | |||||||||||
Equity method investment, ownership percentage | 25.00% | |||||||||||
Utah Portfolio | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Business acquisition, consideration transferred, working capital | $ 106 | |||||||||||
Non-recourse debt | $ 287 | |||||||||||
Percentage of cash available for distributions | 50.00% | |||||||||||
Equity investments in affiliates | $ 317 | |||||||||||
Equity method investment, ownership percentage | 50.00% | |||||||||||
PG&E | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Pro-rate share of debt held by unconsolidated affiliates | $ 432 | |||||||||||
DGPV Holdco 1 | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Power generation gapacity, megawatts | MW | 52 | |||||||||||
Equity investments in affiliates | $ 81 | |||||||||||
Equity method investment, ownership percentage | 95.00% | |||||||||||
NRG DGPV Holdco 2 | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Remaining lease term | 20 years | |||||||||||
Equity investments in affiliates | $ 63 | |||||||||||
Equity method investment, ownership percentage | 95.00% | |||||||||||
DGPV Holdco 3 | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Power generation gapacity, megawatts | MW | 59 | |||||||||||
Remaining lease term | 21 years | |||||||||||
Due to related parties | $ 9 | |||||||||||
Equity investments in affiliates | $ 116 | |||||||||||
Equity method investment, ownership percentage | 99.00% | |||||||||||
NRG DGPV Holdco | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Equity investments in affiliates | $ 260 | |||||||||||
RPV Holdco | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Equity investments in affiliates | $ 29 | |||||||||||
Equity method investment, ownership percentage | 95.00% | |||||||||||
Agua Caliente Borrower 2 | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Power generation gapacity, megawatts | MW | 46 | |||||||||||
Non-recourse debt | $ 41 | |||||||||||
Equity investments in affiliates | $ 90 | |||||||||||
Equity method investment, ownership percentage | 16.00% | |||||||||||
Elkhorn Ridge Wind, LLC | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Equity investments in affiliates | $ 59 | |||||||||||
Equity method investment, ownership percentage | 66.70% | |||||||||||
San Juan Mesa Wind Project, LLC | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Equity investments in affiliates | $ 57 | |||||||||||
Equity method investment, ownership percentage | 75.00% | |||||||||||
Avenal | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Equity investments in affiliates | $ (2) | |||||||||||
Equity method investment, ownership percentage | 50.00% | |||||||||||
Buckthorn Solar Drop Down Asset | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Power generation gapacity, megawatts | MW | 154 | |||||||||||
Less: noncontrolling interest | $ 19 | |||||||||||
Less: Net income (loss) attributable to noncontrolling interests | $ 0 | |||||||||||
Taxable income allocation, pre-flip | 67.00% | |||||||||||
Cash considerations | $ 42 | |||||||||||
Taxable income allocation, post-flip | 99.00% | |||||||||||
Financial Institutions | November 2015 Drop Down Assets | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Taxable income allocation, pre-flip | 99.00% | |||||||||||
Ownership interest acquired | 100.00% | |||||||||||
Cash considerations | $ 19 | |||||||||||
Buckthorn Solar Drop Down Asset | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Net contributions from noncontrolling interests | $ 80 | |||||||||||
Less: Net income (loss) attributable to noncontrolling interests | $ (55) | |||||||||||
Alta X and XI TE Holdco | Financial Institutions | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Taxable income allocation, pre-flip | 99.00% | |||||||||||
Taxable income allocation, post-flip | 5.00% | |||||||||||
Spring Canyon | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Noncontrolling interest, ownership percentage by noncontrolling owners | 9.90% | |||||||||||
Second Year through Flip Point | Alta X and XI TE Holdco | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Percentage of cash available for distributions | 94.34% | |||||||||||
Post-Flip Point | Alta X and XI TE Holdco | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Percentage of cash available for distributions | 97.12% | |||||||||||
Post-Flip Point | Spring Canyon | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Percentage of cash available for distributions | 95.00% | |||||||||||
Post-Flip Point | Spring Canyon | Financial Institutions | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Percentage of cash available for distributions | 5.00% | |||||||||||
Pre-determined Date Through Flip Point If Flip Has Not Occured | Alta X and XI TE Holdco | Financial Institutions | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Percentage of cash available for distributions | 100.00% | |||||||||||
Pre-Flip Point | Spring Canyon | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Percentage of cash available for distributions | 65.19% | |||||||||||
Pre-Flip Point | Spring Canyon | Financial Institutions | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Percentage of cash available for distributions | 34.81% | |||||||||||
Wind Farms | Spring Canyon | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Ownership interest acquired | 90.10% | |||||||||||
Wind Farms | Spring Canyon II | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Power generation gapacity, megawatts | MW | 32 | |||||||||||
Wind Farms | Spring Canyon III | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Power generation gapacity, megawatts | MW | 28 | |||||||||||
Capital Unit, Class A | Utah Portfolio | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Percentage of ownership | 100.00% | |||||||||||
Capital Unit, Class B | Financial Institutions | Utah Portfolio | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Taxable income allocation, pre-flip | 99.00% | |||||||||||
Taxable income allocation, post-flip | 50.00% | |||||||||||
Tax Equity Financed Portfolio of Leases - Commercial PV 1 | DGPV Holdco 1 | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Remaining lease term | 17 years | |||||||||||
Tax Equity Financed Portfolio of Leases - Commercial PV 1 | NRG DGPV Holdco 2 | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Power generation gapacity, megawatts | MW | 113 | |||||||||||
Tax Equity Financed Portfolio of Leases | RPV Holdco | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Power generation gapacity, megawatts | MW | 30 | |||||||||||
Number of solar leases in portfolio | generatingunit | 5,400 | |||||||||||
Existing Portfolio of Leases | RPV Holdco | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Power generation gapacity, megawatts | MW | 14 | |||||||||||
Remaining lease term | 14 years | |||||||||||
Number of solar leases in portfolio | generatingunit | 2,200 | |||||||||||
Maximum | Tax Equity Financed Portfolio of Leases | DGPV Holdco 1 | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Equity investments in affiliates | $ 100 | |||||||||||
Maximum | Tax Equity Financed Portfolio of Leases | NRG DGPV Holdco 2 | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Equity investments in affiliates | $ 60 | |||||||||||
Maximum | Tax Equity Financed Portfolio of Leases | DGPV Holdco 3 | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Equity investments in affiliates | $ 70 | |||||||||||
Maximum | Tax Equity Financed Portfolio of Leases | RPV Holdco | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Remaining lease term | 17 years | |||||||||||
Minimum | Tax Equity Financed Portfolio of Leases | DGPV Holdco 3 | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Equity investments in affiliates | $ 50 | |||||||||||
Clearway Energy LLC | CEG | Repowering Partnership LLC | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Business acquisition, consideration transferred, working capital | $ 35 | |||||||||||
Noncontrolling interest, ownership percentage by noncontrolling owners | 21.00% | |||||||||||
Wind Global LLC | Wind Farms | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Noncontrolling interest, ownership percentage by noncontrolling owners | 9.90% | |||||||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||||||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||||||||
[3] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Investments Accounted for by _4
Investments Accounted for by the Equity Method and Variable Interest Entities - Equity Method Investments (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Total operating revenue | $ 229 | $ 292 | $ 307 | $ 225 | $ 231 | $ 269 | $ 288 | $ 221 | $ 1,053 | $ 1,009 | [1] | $ 1,035 | ||
Operating income | 54 | 100 | 144 | 49 | 20 | 84 | 125 | 54 | 347 | 283 | [1] | 222 | [1] | |
Net loss | (91) | $ 49 | $ 96 | $ 0 | (97) | $ 31 | $ 44 | $ (2) | 54 | (24) | [1],[2],[3] | 2 | [1],[2],[3] | |
Current assets | 756 | 482 | [4] | 756 | 482 | [4] | ||||||||
Current liabilities | 704 | 540 | [4] | 704 | 540 | [4] | ||||||||
Non-current liabilities | 5,572 | 5,790 | [4] | 5,572 | 5,790 | [4] | ||||||||
GCE Holding LLC | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Total operating revenue | 65 | 71 | 72 | |||||||||||
Operating income | 32 | 36 | 38 | |||||||||||
Net loss | 22 | 26 | 26 | |||||||||||
Current assets | 43 | 38 | 43 | 38 | ||||||||||
Non-current assets | 358 | 374 | 358 | 374 | ||||||||||
Current liabilities | 22 | 18 | 22 | 18 | ||||||||||
Non-current liabilities | 182 | 189 | 182 | 189 | ||||||||||
Desert Sunlight | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Total operating revenue | 208 | 207 | 211 | |||||||||||
Operating income | 129 | 127 | 129 | |||||||||||
Net loss | 84 | 80 | 80 | |||||||||||
Current assets | 133 | 133 | 133 | 133 | ||||||||||
Non-current assets | 1,298 | 1,350 | 1,298 | 1,350 | ||||||||||
Current liabilities | 58 | 64 | 58 | 64 | ||||||||||
Non-current liabilities | 962 | 1,003 | 962 | 1,003 | ||||||||||
NRG DGPV Holdco | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Total operating revenue | 69 | 37 | 14 | |||||||||||
Operating income | 23 | 7 | 2 | |||||||||||
Net loss | 11 | (3) | 0 | |||||||||||
Current assets | 79 | 74 | 79 | 74 | ||||||||||
Non-current assets | 784 | 671 | 784 | 671 | ||||||||||
Current liabilities | 84 | 83 | 84 | 83 | ||||||||||
Non-current liabilities | 314 | 216 | 314 | 216 | ||||||||||
Redeemable Noncontrolling Interest | 0 | 44 | 0 | 44 | ||||||||||
RPV Holdco | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Total operating revenue | 14 | 16 | 13 | |||||||||||
Operating income | 0 | 3 | 2 | |||||||||||
Net loss | 0 | 3 | 2 | |||||||||||
Current assets | 2 | 3 | 2 | 3 | ||||||||||
Non-current assets | 173 | 183 | 173 | 183 | ||||||||||
Current liabilities | 1 | 0 | 1 | 0 | ||||||||||
Non-current liabilities | 8 | 7 | 8 | 7 | ||||||||||
Redeemable Noncontrolling Interest | 26 | 16 | 26 | 16 | ||||||||||
Investments, Other | ||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||
Total operating revenue | 249 | 247 | 193 | |||||||||||
Operating income | 103 | 89 | 71 | |||||||||||
Net loss | 75 | 56 | $ 38 | |||||||||||
Current assets | 148 | 139 | 148 | 139 | ||||||||||
Non-current assets | 2,511 | 2,621 | 2,511 | 2,621 | ||||||||||
Current liabilities | 58 | 60 | 58 | 60 | ||||||||||
Non-current liabilities | $ 889 | $ 932 | $ 889 | $ 932 | ||||||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||||||||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||||||||||
[3] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||||||||||
[4] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Investments Accounted for by _5
Investments Accounted for by the Equity Method and Variable Interest Entities - VIEs that are consolidated (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 | [1] |
Schedule of Equity Method Investments [Line Items] | |||
Other current and non-current assets | $ 2,499 | $ 2,597 | |
Property, plant and equipment | 5,245 | 5,410 | |
Intangible assets | 1,156 | 1,228 | |
Total Assets | 8,500 | 8,489 | |
Total liabilities | 6,276 | $ 6,330 | |
November 2015 Drop Down Assets | |||
Schedule of Equity Method Investments [Line Items] | |||
Other current and non-current assets | 215 | ||
Property, plant and equipment | 346 | ||
Intangible assets | 2 | ||
Total Assets | 563 | ||
Total liabilities | 210 | ||
Noncontrolling interest | 45 | ||
Net assets less noncontrolling interests | 308 | ||
Alta X and XI TE Holdco | |||
Schedule of Equity Method Investments [Line Items] | |||
Other current and non-current assets | 17 | ||
Property, plant and equipment | 410 | ||
Intangible assets | 249 | ||
Total Assets | 676 | ||
Total liabilities | 9 | ||
Noncontrolling interest | 63 | ||
Net assets less noncontrolling interests | 604 | ||
Spring Canyon | |||
Schedule of Equity Method Investments [Line Items] | |||
Other current and non-current assets | 2 | ||
Property, plant and equipment | 91 | ||
Intangible assets | 0 | ||
Total Assets | 93 | ||
Total liabilities | 4 | ||
Noncontrolling interest | 49 | ||
Net assets less noncontrolling interests | 40 | ||
Buckthorn Solar Drop Down Asset | |||
Schedule of Equity Method Investments [Line Items] | |||
Other current and non-current assets | 15 | ||
Property, plant and equipment | 223 | ||
Intangible assets | 0 | ||
Total Assets | 238 | ||
Total liabilities | 135 | ||
Noncontrolling interest | 43 | ||
Net assets less noncontrolling interests | $ 60 | ||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Balance Sheet Grouping (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Estimate of Fair Value Measurement | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes receivable, including current portion | $ 0 | $ 13 |
Long-term debt, including current portion (a) | 5,943 | 6,099 |
Reported Value Measurement | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes receivable, including current portion | 0 | 13 |
Long-term debt, including current portion (a) | 6,043 | 6,066 |
Fair Value, Inputs, Level 2 | Estimate of Fair Value Measurement | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, including current portion (a) | 1,620 | 1,502 |
Fair Value, Inputs, Level 3 | Estimate of Fair Value Measurement | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, including current portion (a) | $ 4,323 | $ 4,597 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments - Recurring Fair Value Measurements (Details) - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | $ 11,000,000 | $ 2,000,000 |
Derivative liabilities | 21,000,000 | 49,000,000 |
Fair Value, Inputs, Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 11,000,000 | 2,000,000 |
Fair Value, Measurements, Recurring | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities) classified as level 1 or level 3 | 0 | |
Fair Value, Measurements, Recurring | Fair Value, Inputs, Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liabilities | 21,000,000 | 49,000,000 |
Commodity contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 1,000,000 | |
Derivative liabilities | 1,000,000 | |
Commodity contracts | Fair Value, Measurements, Recurring | Fair Value, Inputs, Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 1,000,000 |
Derivative liabilities | 0 | 1,000,000 |
Interest Rate Contract | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 11,000,000 | 1,000,000 |
Derivative liabilities | 21,000,000 | 48,000,000 |
Interest Rate Contract | Fair Value, Measurements, Recurring | Fair Value, Inputs, Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 11,000,000 | 1,000,000 |
Derivative liabilities | $ 21,000,000 | $ 48,000,000 |
Fair Value of Financial Instr_5
Fair Value of Financial Instruments - Derivative FV Measurement and Credit Risk (Details) | 12 Months Ended |
Dec. 31, 2018USD ($)facilityMW | |
Nature of Business [Line Items] | |
Fair value assets, measured on recurring basis, valuation techniques, impact of credit reserve to fair value | $ 0 |
Company ownership interests | $ 2,300,000,000 |
Estimated counterparty credit risk exposure to certain counterparties, period | 5 years |
PG&E | |
Nature of Business [Line Items] | |
Number of solar leases in portfolio | facility | 6 |
Accounts Receivable, Related Parties | $ 17,000,000 |
Solar Facilities | PG&E | |
Nature of Business [Line Items] | |
Steam and chilled water capacity, megawatts thermal equivalent | MW | 480 |
March Landing | PG&E | |
Nature of Business [Line Items] | |
Steam and chilled water capacity, megawatts thermal equivalent | MW | 720 |
Accounting for Derivative Ins_3
Accounting for Derivative Instruments and Hedging Activities - Volume Buy/Sell of Company's Open Derivative Transactions (Details) MMBTU in Millions, $ in Millions | 12 Months Ended | |
Dec. 31, 2018USD ($)MMBTU | Dec. 31, 2017USD ($)MMBTU | |
Natural Gas | ||
Derivative [Line Items] | ||
Notional amount, energy measure | MMBTU | 1 | 2 |
Interest | ||
Derivative [Line Items] | ||
Open derivative transactions | $ | $ 1,862 | $ 2,050 |
Accounting for Derivative Ins_4
Accounting for Derivative Instruments and Hedging Activities - FV of Derivatives (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Derivative [Line Items] | ||
Derivative assets | $ 11 | $ 2 |
Derivative liabilities | 21 | 49 |
Derivatives Designated as Cash Flow Hedges: | ||
Derivative [Line Items] | ||
Derivative assets | 5 | 1 |
Derivative liabilities | 7 | 13 |
Derivatives Not Designated as Cash Flow Hedges: | ||
Derivative [Line Items] | ||
Derivative assets | 6 | 1 |
Derivative liabilities | 14 | 36 |
Interest rate contracts current | Derivatives Designated as Cash Flow Hedges: | ||
Derivative [Line Items] | ||
Derivative assets | 2 | 0 |
Derivative liabilities | 1 | 4 |
Interest rate contracts current | Derivatives Not Designated as Cash Flow Hedges: | ||
Derivative [Line Items] | ||
Derivative assets | 1 | 0 |
Derivative liabilities | 3 | 13 |
Interest rate contracts long-term | Derivatives Designated as Cash Flow Hedges: | ||
Derivative [Line Items] | ||
Derivative assets | 3 | 1 |
Derivative liabilities | 6 | 9 |
Interest rate contracts long-term | Derivatives Not Designated as Cash Flow Hedges: | ||
Derivative [Line Items] | ||
Derivative assets | 5 | 0 |
Derivative liabilities | 11 | 22 |
Commodity contracts current | Derivatives Not Designated as Cash Flow Hedges: | ||
Derivative [Line Items] | ||
Derivative assets | 1 | |
Derivative liabilities | $ 0 | $ 1 |
Accounting for Derivative Ins_5
Accounting for Derivative Instruments and Hedging Activities - Offsetting Derivatives by Counterparty Master Agreement Level (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Derivative [Line Items] | ||
Derivative assets | $ 11 | $ 2 |
Derivative liabilities | 21 | 49 |
Fair value of gross derivative assets/(liabilities), net | (10) | (47) |
Derivative instruments | 0 | 0 |
Net amount | (10) | (47) |
Interest Rate Contract | ||
Derivative [Line Items] | ||
Derivative assets | 11 | 1 |
Derivative instruments | (1) | (1) |
Net amount | 10 | 0 |
Derivative liabilities | 21 | 48 |
Derivative instruments | 1 | 1 |
Net amount | (20) | (47) |
Fair value of gross derivative assets/(liabilities), net | (10) | (47) |
Derivative instruments | 0 | 0 |
Net amount | $ (10) | (47) |
Commodity contracts | ||
Derivative [Line Items] | ||
Derivative assets | 1 | |
Derivative instruments | 0 | |
Net amount | 1 | |
Derivative liabilities | 1 | |
Derivative instruments | 0 | |
Net amount | (1) | |
Fair value of gross derivative assets/(liabilities), net | 0 | |
Derivative instruments | 0 | |
Net amount | $ 0 |
Accounting for Derivative Ins_6
Accounting for Derivative Instruments and Hedging Activities - AOCI (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Accumulated other comprehensive loss | $ (38) | $ (60) | $ (70) | $ (83) | |
Reclassified from accumulated OCL to income due to realization of previously deferred amounts | 14 | 10 | 13 | ||
Mark-to-market of cash flow hedge accounting contracts | 8 | 0 | 0 | ||
Accumulated other comprehensive loss | (18) | (28) | [1] | (28) | |
Losses expected to be realized from OCL during the next 12 months, net of income tax benefit of $1 | 8 | ||||
Noncontrolling Interest | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Accumulated other comprehensive loss | $ (20) | $ (32) | $ (42) | ||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Accounting for Derivative Ins_7
Accounting for Derivative Instruments and Hedging Activities - Impact of Statement of Operations (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Unrealized gain on derivatives, net of tax | $ 22 | $ 10 | $ 13 |
Interest Rate Contract | Interest Expense | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Unrealized gain on derivatives, net of tax | $ 15 | $ 6 | $ (2) |
Accounting for Derivative Ins_8
Accounting for Derivative Instruments and Hedging Activities - Phantom (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||
Accumulated OCL ending balance, net of income tax benefit of $7, $9 and $16, respectively | $ 7 | $ 9 | $ 16 |
Losses expected to be realized from OCL during the next 12 months, net of income tax benefit of $1 | 1 | ||
Paid | 0 | 0 | |
Received | $ 0 | $ 0 |
Intangible Assets (Details)
Intangible Assets (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Finite-Lived Intangible Assets [Line Items] | |||
Amortization expense | $ 71 | $ 71 | $ 71 |
Contract amortization expense | 70 | 70 | $ 70 |
Future amortization expense, next twelve months | 71 | ||
Future amortization expense, year two | 71 | ||
Future amortization expense, year three | 71 | ||
Future amortization expense, year four | 71 | ||
Future amortization expense, year five | 71 | ||
Accumulated amortization of out of market contracts | 4 | ||
Blythe | |||
Finite-Lived Intangible Assets [Line Items] | |||
Out of market contracts | $ 7 | ||
Agreement term | 20 years | ||
Spring Canyon | |||
Finite-Lived Intangible Assets [Line Items] | |||
Out of market contracts | $ 3 | ||
Agreement term | 25 years | ||
Alta Wind XI | |||
Finite-Lived Intangible Assets [Line Items] | |||
Out of market contracts | $ 5 | ||
Out of Market Contracts | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization expense | $ 1 | $ 1 |
Intangible Assets - Components
Intangible Assets - Components Subject to Amortization (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2016 | ||
Finite-lived Intangible Assets [Roll Forward] | ||||
Net carrying amount beginning balance | $ 1,465 | $ 1,464 | $ 1,471 | |
Asset impairments | (6) | |||
Net carrying amount ending balance | 1,465 | 1,464 | 1,471 | |
Less accumulated amortization | (237) | (308) | ||
Ending balance | 1,228 | [1] | 1,156 | |
Supply Commitment Arrangement | ||||
Finite-lived Intangible Assets [Roll Forward] | ||||
Net carrying amount beginning balance | 1,280 | 1,280 | 1,286 | |
Net carrying amount ending balance | 1,280 | 1,280 | 1,286 | |
Less accumulated amortization | (205) | (269) | ||
Ending balance | 1,075 | 1,011 | ||
Leasehold Rights | ||||
Finite-lived Intangible Assets [Roll Forward] | ||||
Net carrying amount beginning balance | 86 | 86 | 86 | |
Asset impairments | 0 | |||
Net carrying amount ending balance | 86 | 86 | 86 | |
Less accumulated amortization | (13) | (18) | ||
Ending balance | 73 | 68 | ||
Customer Relationships | ||||
Finite-lived Intangible Assets [Roll Forward] | ||||
Net carrying amount beginning balance | 66 | 66 | 66 | |
Asset impairments | 0 | |||
Net carrying amount ending balance | 66 | 66 | 66 | |
Less accumulated amortization | (5) | (7) | ||
Ending balance | 61 | 59 | ||
Customer Contracts | ||||
Finite-lived Intangible Assets [Roll Forward] | ||||
Net carrying amount beginning balance | 15 | 15 | 15 | |
Asset impairments | 0 | |||
Net carrying amount ending balance | 15 | 15 | 15 | |
Less accumulated amortization | (8) | (9) | ||
Ending balance | 7 | 6 | ||
Emission Allowances | ||||
Finite-lived Intangible Assets [Roll Forward] | ||||
Net carrying amount beginning balance | 9 | 9 | 9 | |
Asset impairments | 0 | |||
Net carrying amount ending balance | 9 | 9 | 9 | |
Less accumulated amortization | (3) | (2) | ||
Ending balance | 6 | 7 | ||
Other Intangible Assets | ||||
Finite-lived Intangible Assets [Roll Forward] | ||||
Net carrying amount beginning balance | 9 | 8 | 9 | |
Asset impairments | 0 | |||
Net carrying amount ending balance | 9 | 8 | $ 9 | |
Less accumulated amortization | (3) | (3) | ||
Ending balance | $ 6 | $ 5 | ||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Asset Impairments (Details)
Asset Impairments (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||
Dec. 31, 2017 | Sep. 30, 2017 | Dec. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | [1],[2] | Dec. 31, 2016 | [1],[2] | |
Impaired Long-Lived Assets Held and Used [Line Items] | ||||||||
Impairment losses | $ 0 | $ 44 | $ 185 | |||||
Elbow Creek | ||||||||
Impaired Long-Lived Assets Held and Used [Line Items] | ||||||||
Impairment losses | $ 26 | $ 117 | ||||||
Goat Wind | ||||||||
Impaired Long-Lived Assets Held and Used [Line Items] | ||||||||
Impairment losses | 60 | |||||||
Forward | ||||||||
Impaired Long-Lived Assets Held and Used [Line Items] | ||||||||
Impairment losses | $ 5 | 6 | ||||||
November 2017 Drop Down Assets | ||||||||
Impaired Long-Lived Assets Held and Used [Line Items] | ||||||||
Impairment losses | $ 13 | $ 2 | ||||||
Property, Plant and Equipment | November 2017 Drop Down Assets | ||||||||
Impaired Long-Lived Assets Held and Used [Line Items] | ||||||||
Impairment losses | 8 | |||||||
Finite-Lived Intangible Assets | November 2017 Drop Down Assets | ||||||||
Impaired Long-Lived Assets Held and Used [Line Items] | ||||||||
Impairment losses | $ 5 | |||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Long-term Debt - Short and Long
Long-term Debt - Short and Long-term Borrowings (Details) - USD ($) $ in Millions | Apr. 30, 2018 | Apr. 28, 2018 | Dec. 31, 2018 | Oct. 01, 2018 | Jun. 19, 2018 | May 31, 2018 | Dec. 31, 2017 | Mar. 27, 2017 | Feb. 17, 2017 | |
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 6,044 | $ 6,083 | ||||||||
Less current maturities | (535) | (339) | [1] | |||||||
Less net debt issuance costs | (61) | (68) | ||||||||
Less discounts | (1) | (17) | ||||||||
Total long-term debt | $ 5,447 | 5,659 | ||||||||
Revolving Credit Facility due in 2019 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Description of variable rate basis | 3-Month LIBOR | |||||||||
Basis spread on variable rate | 1.75% | |||||||||
3.5% Convertible Notes due 2019 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 220 | 345 | ||||||||
Interest rate, percentage | 3.50% | |||||||||
3.25% Convertible Notes due 2020 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 45 | 288 | ||||||||
Interest rate, percentage | 3.25% | |||||||||
5.375% Senior Notes due in 2024 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Senior Notes | $ 500 | 500 | ||||||||
Interest rate, percentage | 5.375% | |||||||||
5.75% Senior Notes due 2025 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Senior Notes | $ 600 | 0 | ||||||||
Interest rate, percentage | 5.75% | 5.75% | ||||||||
5.00% Senior Notes due in 2026 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Senior Notes | $ 350 | 350 | ||||||||
Interest rate, percentage | 5.00% | |||||||||
Revolving Credit Facility | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 0 | 55 | ||||||||
Basis spread on variable rate | 2.50% | 1.75% | ||||||||
Agua Caliente Borrower 2 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 39 | 41 | $ 130 | |||||||
Interest rate, percentage | 5.43% | 5.43% | ||||||||
Alpine Financing Agreement, due 2022 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 127 | 135 | ||||||||
Description of variable rate basis | 3-Month LIBOR | |||||||||
Alta Wind I-V, lease financing arrangement, due 2034 and 2035 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 886 | 926 | ||||||||
Buckthorn Solar, due 2025 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 132 | $ 132 | 169 | |||||||
Description of variable rate basis | 3-Month LIBOR | |||||||||
Basis spread on variable rate | 1.75% | |||||||||
Marsh Landing Tranche B due 2023 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Description of variable rate basis | 3-Month LIBOR | |||||||||
Basis spread on variable rate | 2.125% | |||||||||
CVSR Financing Agreement | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 720 | 746 | ||||||||
CVSR Holdco due 2037 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 188 | 194 | ||||||||
Interest rate, percentage | 4.68% | |||||||||
El Segundo Energy Center, due 2023 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 352 | 400 | ||||||||
Energy Center Minneapolis Series C Notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | 328 | 208 | ||||||||
Interest rate, percentage | 5.95% | |||||||||
Laredo Ridge Wind, LLC, due in 2026 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 89 | 95 | ||||||||
Description of variable rate basis | 3-Month LIBOR | |||||||||
Basis spread on variable rate | 1.875% | |||||||||
Kansas South, due in 2030 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 26 | 29 | ||||||||
Description of variable rate basis | 6-Month LIBOR | |||||||||
Basis spread on variable rate | 2.00% | |||||||||
Kansas South, due in 2030 | London Interbank Offered Rate (LIBOR) | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 2.00% | |||||||||
Marsh Landing Term Loan Facility | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 263 | 318 | ||||||||
South Trent Wind Due 2020 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 50 | 53 | ||||||||
Description of variable rate basis | 3-Month LIBOR | |||||||||
Basis spread on variable rate | 1.625% | |||||||||
Tapestry Wind LLC due in 2021 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 151 | 162 | ||||||||
Description of variable rate basis | 3-Month LIBOR | |||||||||
Basis spread on variable rate | 1.75% | |||||||||
Utah Solar Portfolio, due 2022 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 267 | 278 | $ 287 | |||||||
Interest rate, percentage | 2.625% | |||||||||
Viento Funding II, Inc., due in 2023 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 146 | 163 | ||||||||
Description of variable rate basis | 6-Month LIBOR | |||||||||
Basis spread on variable rate | 2.00% | |||||||||
Walnut Creek Energy, LLC, due in 2023 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 222 | 267 | ||||||||
Description of variable rate basis | 3-Month LIBOR | |||||||||
Basis spread on variable rate | 1.75% | |||||||||
Other Debt | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | $ 343 | 361 | ||||||||
Project Level Debt | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding aggregate principal amount | 4,329 | $ 4,545 | ||||||||
Letter of Credit | Revolving Credit Facility | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 41 | |||||||||
Letter of Credit | Agua Caliente Borrower 2 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 17 | |||||||||
Letter of Credit | Alpine Financing Agreement, due 2022 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 16 | |||||||||
Letter of Credit | Alta Wind I-V, lease financing arrangement, due 2034 and 2035 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 44 | |||||||||
Letter of Credit | Buckthorn Solar, due 2025 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 26 | |||||||||
Letter of Credit | CVSR Financing Agreement | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 0 | |||||||||
Letter of Credit | CVSR Holdco due 2037 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 13 | |||||||||
Letter of Credit | El Segundo Energy Center, due 2023 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 138 | |||||||||
Letter of Credit | Energy Center Minneapolis Series C Notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 0 | |||||||||
Letter of Credit | Laredo Ridge Wind, LLC, due in 2026 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 10 | |||||||||
Letter of Credit | Kansas South, due in 2030 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 2 | |||||||||
Letter of Credit | Marsh Landing Term Loan Facility | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 60 | |||||||||
Letter of Credit | South Trent Wind Due 2020 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 10 | |||||||||
Letter of Credit | Tapestry Wind LLC due in 2021 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 20 | |||||||||
Letter of Credit | Utah Solar Portfolio, due 2022 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 13 | |||||||||
Letter of Credit | Viento Funding II, Inc., due in 2023 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 26 | |||||||||
Letter of Credit | Walnut Creek Energy, LLC, due in 2023 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | 74 | |||||||||
Letter of Credit | Other Debt | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of credit outstanding | $ 24 | |||||||||
Minimum | Alpine Financing Agreement, due 2022 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 1.75% | |||||||||
Minimum | CVSR Financing Agreement | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Interest rate, percentage | 2.339% | |||||||||
Minimum | Alta Wind I - V Lease financing arrangement | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Interest rate, percentage | 5.696% | |||||||||
Minimum | West Holdings Credit Agreement | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Description of variable rate basis | 3-Month LIBOR | |||||||||
Minimum | West Holdings Credit Agreement due 2023 Tranche B | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 2.375% | |||||||||
Minimum | West Holdings Credit Agreement due 2023 Tranche A | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 1.75% | |||||||||
Maximum | CVSR Financing Agreement | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Interest rate, percentage | 3.775% | |||||||||
Maximum | Alta Wind I - V Lease financing arrangement | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Interest rate, percentage | 7.015% | |||||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Long-term Debt (Details)
Long-term Debt (Details) - USD ($) $ / shares in Units, $ in Millions | Oct. 10, 2018 | Oct. 02, 2018 | Aug. 31, 2018 | May 31, 2018 | Apr. 30, 2018 | Apr. 28, 2018 | Nov. 02, 2017 | Mar. 27, 2017 | Jan. 31, 2019 | Aug. 31, 2018 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | [1] | Feb. 01, 2019 | Oct. 01, 2018 | Mar. 30, 2018 | Nov. 01, 2017 | Feb. 17, 2017 | Sep. 01, 2016 | |
Debt Instrument [Line Items] | ||||||||||||||||||||||
Proceeds from the revolving credit facility | $ 35 | $ 55 | [1] | $ 60 | ||||||||||||||||||
Long-term debt | $ 6,044 | $ 6,083 | ||||||||||||||||||||
Combined basis on effective rates | 5.10% | 5.00% | ||||||||||||||||||||
Interest expense | $ 19 | $ 21 | ||||||||||||||||||||
Debt discount amortization | 9 | 9 | ||||||||||||||||||||
Debt issuance costs amortization | 3 | 3 | ||||||||||||||||||||
Interest expense at effective rate | 31 | 33 | ||||||||||||||||||||
Loss on debt extinguishment | $ (3) | (7) | (3) | [1],[2] | $ 0 | [2] | ||||||||||||||||
Non-recourse debt | $ 878 | |||||||||||||||||||||
Buckthorn Solar, due 2025 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Basis spread on variable rate | 1.75% | |||||||||||||||||||||
Long-term debt | $ 132 | $ 132 | 169 | |||||||||||||||||||
Aggregate principal amount repurchased | $ 80 | |||||||||||||||||||||
Revolving Credit Facility | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Outstanding borrowings | $ 0 | |||||||||||||||||||||
Basis spread on variable rate | 2.50% | 1.75% | ||||||||||||||||||||
Debt Covenant Leverage Ratio | 1.75% | |||||||||||||||||||||
Proceeds from the revolving credit facility | 55 | |||||||||||||||||||||
Long-term debt | $ 0 | 55 | ||||||||||||||||||||
5.75% Senior Notes due 2025 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Borrowings from revolving credit facility | $ 600 | |||||||||||||||||||||
Interest rate, percentage | 5.75% | 5.75% | ||||||||||||||||||||
3.5% Convertible Notes due 2019 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Interest rate, percentage | 3.50% | |||||||||||||||||||||
Long-term debt | $ 220 | 345 | ||||||||||||||||||||
Conversion ratio | 42.9644 | |||||||||||||||||||||
Value of equity component | $ 23 | |||||||||||||||||||||
Percent of face value | 99.81% | |||||||||||||||||||||
Total market value | $ 219.6 | |||||||||||||||||||||
Conversion value of convertible debt | $ 160 | |||||||||||||||||||||
Aggregate principal amount repurchased | $ 109 | $ 16 | ||||||||||||||||||||
Loss on debt extinguishment | 7 | |||||||||||||||||||||
Intercompany Credit Agreement due 2019 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Aggregate principal amount repurchased | 16 | |||||||||||||||||||||
Agua Caliente Borrower 2 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Interest rate, percentage | 5.43% | 5.43% | ||||||||||||||||||||
Long-term debt | $ 39 | 41 | $ 130 | |||||||||||||||||||
3.25% Convertible Notes due 2020 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Interest rate, percentage | 3.25% | |||||||||||||||||||||
Long-term debt | $ 45 | 288 | ||||||||||||||||||||
Conversion price | $ 27.50 | |||||||||||||||||||||
Conversion ratio | 36.3636 | |||||||||||||||||||||
Value of equity component | $ 23 | |||||||||||||||||||||
Percent of face value | 95.36% | |||||||||||||||||||||
Total market value | $ 43 | |||||||||||||||||||||
Conversion value of convertible debt | 28 | |||||||||||||||||||||
Aggregate principal amount repurchased | $ 243 | |||||||||||||||||||||
Thermal | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Bridge credit agreement, borrowing amount | $ 40 | |||||||||||||||||||||
Buckthorn Solar Drop Down Asset | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Basis spread on variable rate | 1.75% | |||||||||||||||||||||
5.375% Senior Notes due in 2024 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Interest rate, percentage | 5.375% | |||||||||||||||||||||
5.00% Senior Notes due in 2026 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Interest rate, percentage | 5.00% | |||||||||||||||||||||
Alpine Financing Agreement, due 2022 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Long-term debt | $ 127 | 135 | ||||||||||||||||||||
Utah Solar Portfolio, due 2022 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Borrowings from revolving credit facility | $ 65 | |||||||||||||||||||||
Interest rate, percentage | 2.625% | |||||||||||||||||||||
Long-term debt | $ 287 | 267 | $ 278 | |||||||||||||||||||
Outstanding debt at time of acquisition | $ 222 | |||||||||||||||||||||
Letter of Credit | Buckthorn Solar, due 2025 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Letters of credit outstanding | 26 | |||||||||||||||||||||
Letter of Credit | Revolving Credit Facility | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Letters of credit outstanding | 41 | |||||||||||||||||||||
Letter of Credit | Agua Caliente Borrower 2 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Letters of credit outstanding | 17 | |||||||||||||||||||||
Letter of Credit | Alpine Financing Agreement, due 2022 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Letters of credit outstanding | 16 | |||||||||||||||||||||
Letter of Credit | Utah Solar Portfolio, due 2022 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Letters of credit outstanding | $ 13 | |||||||||||||||||||||
Bridge Loan | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Basis spread on variable rate | 2.00% | |||||||||||||||||||||
Bridge credit agreement, borrowing amount | $ 1,500 | $ 1,500 | $ 867.5 | |||||||||||||||||||
Base rate and applicable margin for LIBOR loans | 3.00% | 3.00% | ||||||||||||||||||||
Subsequent Event | 3.5% Convertible Notes due 2019 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Long-term debt | $ 170 | |||||||||||||||||||||
Aggregate principal amount repurchased | $ 50 | |||||||||||||||||||||
Common Class C | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Common stock closing price | $ 17.25 | |||||||||||||||||||||
Common Class A | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Common stock closing price | $ 16.92 | |||||||||||||||||||||
November 2017 Drop Down Assets | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Interest rate, percentage | 4.69% | |||||||||||||||||||||
Imputed interest rate | 8.00% | |||||||||||||||||||||
Long-term debt | $ 26 | |||||||||||||||||||||
Buckthorn Solar Drop Down Asset | Buckthorn Solar, due 2025 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Long-term debt | $ 183 | |||||||||||||||||||||
Buckthorn Solar Drop Down Asset | Buckthorn Solar Drop Down Asset | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Outstanding notional amount | 80.00% | |||||||||||||||||||||
CVSR | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Outstanding debt at time of acquisition | $ 496 | |||||||||||||||||||||
Minimum | Alpine Financing Agreement, due 2022 | ||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||
Basis spread on variable rate | 1.75% | |||||||||||||||||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||||||||||||||||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Long-term Debt - Series E,F,G,H
Long-term Debt - Series E,F,G,H Notes (Details) $ in Millions | Jun. 19, 2018USD ($) |
Energy Center Minneapolis Series E Notes | |
Debt Instrument [Line Items] | |
Proceeds from energy center notes | $ 70 |
Interest rate, percentage | 4.80% |
Energy Center Minneapolis Series F Notes | |
Debt Instrument [Line Items] | |
Proceeds from energy center notes | $ 10 |
Interest rate, percentage | 4.60% |
Energy Center Minneapolis Series G Notes | |
Debt Instrument [Line Items] | |
Proceeds from energy center notes | $ 83 |
Interest rate, percentage | 5.90% |
Energy Center Minneapolis Series H Notes | |
Debt Instrument [Line Items] | |
Proceeds from energy center notes | $ 40 |
Interest rate, percentage | 4.83% |
Energy Center Minneapolis Series E, F, G, H Notes | |
Debt Instrument [Line Items] | |
Proceeds from energy center notes | $ 203 |
Net borrowings | $ 120 |
Energy Center Minneapolis Series C Notes | |
Debt Instrument [Line Items] | |
Interest rate, percentage | 5.95% |
Aggregate principal amount repurchased | $ 83 |
Long-term Debt - Interest Rate
Long-term Debt - Interest Rate Swaps (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Interest Rate Swap | |
Debt Instrument [Line Items] | |
Notional amount | $ 1,862 |
Interest Rate Swap | NRG Solar Alpine LLC | |
Debt Instrument [Line Items] | |
Percentage of principal | 85.00% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 108 |
Interest Rate Swap | Avra Valley | Maturity - November 30, 2030 | |
Debt Instrument [Line Items] | |
Percentage of principal | 87.00% |
Fixed interest rate | 2.333% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 44 |
Interest Rate Swap | AWAM | Maturity - May 15, 2031 | |
Debt Instrument [Line Items] | |
Percentage of principal | 100.00% |
Fixed interest rate | 2.47% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 16 |
Interest Rate Swap | Blythe | Maturity - June 25, 2028 | |
Debt Instrument [Line Items] | |
Percentage of principal | 75.00% |
Fixed interest rate | 3.563% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 12 |
Interest Rate Swap | Borrego | Maturity - June 30, 2020 | |
Debt Instrument [Line Items] | |
Percentage of principal | 75.00% |
Fixed interest rate | 1.125% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 3 |
Interest Rate Swap | Buckthorn Solar | Maturity - December 31, 2041 | |
Debt Instrument [Line Items] | |
Percentage of principal | 83.00% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 109 |
Interest Rate Swap | El Segundo | |
Debt Instrument [Line Items] | |
Percentage of principal | 85.00% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 299 |
Interest Rate Swap | Kansas South | Maturity - December 31, 2030 | |
Debt Instrument [Line Items] | |
Percentage of principal | 75.00% |
Fixed interest rate | 2.368% |
Description of variable rate basis | 6-Month LIBOR |
Notional amount | $ 20 |
Interest Rate Swap | Laredo Ridge | Maturity - March 31, 2026 | |
Debt Instrument [Line Items] | |
Percentage of principal | 80.00% |
Fixed interest rate | 2.31% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 71 |
Interest Rate Swap | Marsh Landing | Maturity - June 30, 2023 | |
Debt Instrument [Line Items] | |
Percentage of principal | 94.00% |
Fixed interest rate | 3.244% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 246 |
Interest Rate Swap | Roadrunner | Maturity - December 31, 2029 | |
Debt Instrument [Line Items] | |
Percentage of principal | 75.00% |
Fixed interest rate | 4.313% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 24 |
Interest Rate Swap | South Trent | Maturity - June14, 2020 | |
Debt Instrument [Line Items] | |
Percentage of principal | 75.00% |
Fixed interest rate | 3.265% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 37 |
Interest Rate Swap | South Trent | Maturity - June 14, 2028 | |
Debt Instrument [Line Items] | |
Percentage of principal | 75.00% |
Fixed interest rate | 4.95% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 21 |
Interest Rate Swap | Tapestry Wind | Maturity - December 21, 2021 | |
Debt Instrument [Line Items] | |
Percentage of principal | 90.00% |
Fixed interest rate | 2.21% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 136 |
Interest Rate Swap | Tapestry Wind | Maturity - December 31, 2029 | |
Debt Instrument [Line Items] | |
Percentage of principal | 50.00% |
Fixed interest rate | 3.57% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 60 |
Interest Rate Swap | Utah Portfolio | Maturity - September 30, 2036 | |
Debt Instrument [Line Items] | |
Percentage of principal | 80.00% |
Description of variable rate basis | 1-Month LIBOR |
Notional amount | $ 214 |
Interest Rate Swap | Viento Funding II | |
Debt Instrument [Line Items] | |
Percentage of principal | 91.00% |
Description of variable rate basis | 6-Month LIBOR |
Notional amount | $ 134 |
Interest Rate Swap | Viento Funding II | Maturity - June 30, 2028 | |
Debt Instrument [Line Items] | |
Percentage of principal | 90.00% |
Fixed interest rate | 4.985% |
Description of variable rate basis | 6-Month LIBOR |
Notional amount | $ 65 |
Interest Rate Swap | Walnut Creek | Maturity - May 31, 2023 | |
Debt Instrument [Line Items] | |
Percentage of principal | 90.00% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 200 |
Interest Rate Swap | WCEP Holdings | Maturity - May 31, 2023 | |
Debt Instrument [Line Items] | |
Percentage of principal | 100.00% |
Fixed interest rate | 4.003% |
Description of variable rate basis | 3-Month LIBOR |
Notional amount | $ 43 |
Revolving Credit Facility due in 2019 [Member] | |
Debt Instrument [Line Items] | |
Description of variable rate basis | 3-Month LIBOR |
Basis spread on variable rate | 1.75% |
Alpine Financing Agreement, due 2022 | |
Debt Instrument [Line Items] | |
Description of variable rate basis | 3-Month LIBOR |
Buckthorn Solar, due 2025 | |
Debt Instrument [Line Items] | |
Description of variable rate basis | 3-Month LIBOR |
Basis spread on variable rate | 1.75% |
Marsh Landing Tranche B due 2023 | |
Debt Instrument [Line Items] | |
Description of variable rate basis | 3-Month LIBOR |
Basis spread on variable rate | 2.125% |
Walnut Creek Energy, LLC, due in 2023 | |
Debt Instrument [Line Items] | |
Description of variable rate basis | 3-Month LIBOR |
Basis spread on variable rate | 1.75% |
South Trent Wind Due 2020 | |
Debt Instrument [Line Items] | |
Description of variable rate basis | 3-Month LIBOR |
Basis spread on variable rate | 1.625% |
Kansas South, due in 2030 | |
Debt Instrument [Line Items] | |
Description of variable rate basis | 6-Month LIBOR |
Basis spread on variable rate | 2.00% |
Tapestry Wind LLC due in 2021 | |
Debt Instrument [Line Items] | |
Description of variable rate basis | 3-Month LIBOR |
Basis spread on variable rate | 1.75% |
Laredo Ridge Wind, LLC, due in 2026 | |
Debt Instrument [Line Items] | |
Description of variable rate basis | 3-Month LIBOR |
Basis spread on variable rate | 1.875% |
Viento Funding II, Inc., due in 2023 | |
Debt Instrument [Line Items] | |
Description of variable rate basis | 6-Month LIBOR |
Basis spread on variable rate | 2.00% |
Minimum | Alpine Financing Agreement, due 2022 | |
Debt Instrument [Line Items] | |
Basis spread on variable rate | 1.75% |
Long-term Debt - Annual Maturit
Long-term Debt - Annual Maturities (Details) $ in Millions | Dec. 31, 2018USD ($) |
Debt Disclosure [Abstract] | |
2,019 | $ 534 |
2,020 | 406 |
2,021 | 447 |
2,022 | 646 |
2,023 | 389 |
Thereafter | 3,622 |
Long-term debt, gross | $ 6,044 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |||
Numerator: | |||||||||||||
Net income (loss) attributable to Clearway Energy, Inc. | $ (68) | $ 21 | $ 79 | $ 16 | $ (70) | $ 29 | $ 28 | $ (3) | $ 48 | $ (16) | [1] | $ 57 | [1] |
Common Class A | |||||||||||||
Numerator: | |||||||||||||
Net income (loss) attributable to Clearway Energy, Inc. | $ 16 | $ (6) | $ 20 | ||||||||||
Denominator: | |||||||||||||
Weighted average number of common shares outstanding — basic and diluted | 35 | 35 | [1] | 35 | [1] | ||||||||
Basic and diluted loss per share: | |||||||||||||
Earnings (Loss) per weighted average common share — basic and diluted | $ 0.46 | $ (0.16) | [1] | $ 0.58 | [1] | ||||||||
Common Class C | |||||||||||||
Numerator: | |||||||||||||
Net income (loss) attributable to Clearway Energy, Inc. | $ 32 | $ (10) | $ 37 | ||||||||||
Denominator: | |||||||||||||
Weighted average number of common shares outstanding — basic and diluted | 69 | 64 | [1] | 63 | [1] | ||||||||
Basic and diluted loss per share: | |||||||||||||
Earnings (Loss) per weighted average common share — basic and diluted | $ 0.46 | $ (0.16) | $ 0.58 | ||||||||||
3.5% Convertible Notes due 2019 | Common Class A | |||||||||||||
Basic and diluted loss per share: | |||||||||||||
Diluted earnings per share | 9 | 15 | 15 | ||||||||||
3.25% Convertible Notes due 2020 | Common Class C | |||||||||||||
Basic and diluted loss per share: | |||||||||||||
Diluted earnings per share | 8 | 10 | 10 | ||||||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Stockholders' Equity (Details)
Stockholders' Equity (Details) - USD ($) | Feb. 12, 2019 | Sep. 27, 2018 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | [1] |
Class of Stock | |||||||||
Shares of common stock sold | 3,916,449 | 4,492,473 | |||||||
Proceeds from issuance or sale of equity | $ 75,000,000 | ||||||||
Par value, common stock, (in usd) | $ 0.01 | $ 0.01 | |||||||
Aggregate sales price | $ 150,000,000 | $ 150,000,000 | |||||||
Gross proceeds from sale of class C common stock | 79,000,000 | ||||||||
Commissions incurred | $ 790,000 | ||||||||
Dividends per common share | $ 0.331 | $ 0.320 | $ 0.309 | $ 0.298 | |||||
Quarterly dividend, date declared | Feb. 12, 2019 | ||||||||
Dividends payable, date to be paid | Mar. 15, 2019 | ||||||||
Stockholders, date of record | Mar. 1, 2019 | ||||||||
Preferred Stock, authorized | 10,000,000 | 10,000,000 | |||||||
Par value - Preferred Stock | $ 0.01 | $ 0.01 | |||||||
Preferred stock, $0.01 par value; 10,000,000 shares authorized; none issued | $ 0 | $ 0 | $ 0 | ||||||
Distributions paid to NRG | $ 0.331 | $ 0.320 | $ 0.309 | $ 0.298 | |||||
Clearway Energy LLC | Clearway Energy, Inc. | |||||||||
Class of Stock | |||||||||
Company ownership, percentage | 55.80% | ||||||||
Clearway Energy LLC | CEG | |||||||||
Class of Stock | |||||||||
Company ownership, percentage | 44.20% | ||||||||
ATM Program | |||||||||
Class of Stock | |||||||||
Shares of common stock sold | 6,414,339 | ||||||||
Gross proceeds from sale of class C common stock | $ 114,000,000 | ||||||||
Class C common stock remaining available for issuance | $ 36,000,000 | $ 36,000,000 | |||||||
Subsequent Event | |||||||||
Class of Stock | |||||||||
Class C common stock payable per share | $ 0.20 | ||||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Segment Reporting - (Details)
Segment Reporting - (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||||
Segment Reporting | |||||||||||||||
Total operating revenues | $ 229 | $ 292 | $ 307 | $ 225 | $ 231 | $ 269 | $ 288 | $ 221 | $ 1,053 | $ 1,009 | [1] | $ 1,035 | |||
Cost of operations | 332 | 326 | [1] | 308 | [1] | ||||||||||
Depreciation and amortization | 331 | 334 | [1] | 303 | [1] | ||||||||||
Impairment losses | 0 | 44 | [1],[2] | 185 | [1],[2] | ||||||||||
General and administrative | 20 | 19 | [1] | 16 | [1] | ||||||||||
Acquisition-related transaction and integration costs | 20 | 3 | [1] | 1 | [1] | ||||||||||
Development costs | 3 | 0 | [1] | 0 | [1] | ||||||||||
Operating Income | 54 | 100 | 144 | 49 | 20 | 84 | 125 | 54 | 347 | 283 | [1] | 222 | [1] | ||
Equity in earnings of unconsolidated affiliates | 74 | 71 | [1],[2] | 60 | [1],[2] | ||||||||||
Other income, net | 8 | 4 | [1] | 3 | [1] | ||||||||||
Loss on debt extinguishment | $ (3) | (7) | (3) | [1],[2] | 0 | [1],[2] | |||||||||
Interest expense | (306) | (307) | [1] | (284) | [1] | ||||||||||
Income before income taxes | 116 | 48 | [1] | 1 | [1] | ||||||||||
Income tax expense (benefit) | 62 | 72 | [1] | (1) | [1] | ||||||||||
Net Income (Loss) | (91) | 49 | 96 | 0 | (97) | 31 | 44 | (2) | 54 | (24) | [1],[2],[3] | 2 | [1],[2],[3] | ||
Less: Net income (loss) attributable to noncontrolling interests | 2 | (15) | [1] | (51) | [1] | ||||||||||
Net Income (Loss) Attributable to Clearway Energy, Inc. | (68) | $ 21 | $ 79 | $ 16 | (70) | $ 29 | $ 28 | $ (3) | 48 | (16) | [1] | 57 | [1] | ||
Equity investments in affiliates | 1,172 | 1,178 | [4] | 1,172 | 1,178 | [4] | |||||||||
Capital Expenditures | 68 | 212 | 68 | 212 | |||||||||||
Total Assets | 8,500 | 8,489 | [4] | 8,500 | 8,489 | [4] | |||||||||
Conventional Generation | |||||||||||||||
Segment Reporting | |||||||||||||||
Total operating revenues | 337 | 336 | 333 | ||||||||||||
Cost of operations | 62 | 77 | 66 | ||||||||||||
Depreciation and amortization | 101 | 103 | 80 | ||||||||||||
Impairment losses | 0 | 0 | |||||||||||||
General and administrative | 0 | 0 | 0 | ||||||||||||
Acquisition-related transaction and integration costs | 0 | 0 | 0 | ||||||||||||
Development costs | 0 | ||||||||||||||
Operating Income | 174 | 156 | 187 | ||||||||||||
Equity in earnings of unconsolidated affiliates | 11 | 12 | 13 | ||||||||||||
Other income, net | 1 | 1 | 1 | ||||||||||||
Loss on debt extinguishment | 0 | 0 | |||||||||||||
Interest expense | (51) | (49) | (48) | ||||||||||||
Income before income taxes | 135 | 153 | |||||||||||||
Income tax expense (benefit) | 0 | 0 | 0 | ||||||||||||
Net Income (Loss) | 135 | 120 | 153 | ||||||||||||
Less: Net income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||
Net Income (Loss) Attributable to Clearway Energy, Inc. | 135 | 120 | 153 | ||||||||||||
Equity investments in affiliates | 98 | 102 | 98 | 102 | |||||||||||
Capital Expenditures | 14 | 15 | 14 | 15 | |||||||||||
Total Assets | 1,788 | 1,897 | 1,788 | 1,897 | |||||||||||
Renewables | |||||||||||||||
Segment Reporting | |||||||||||||||
Total operating revenues | 526 | 501 | 532 | ||||||||||||
Cost of operations | 146 | 133 | 128 | ||||||||||||
Depreciation and amortization | 207 | 210 | 203 | ||||||||||||
Impairment losses | 44 | 185 | |||||||||||||
General and administrative | 0 | 0 | 0 | ||||||||||||
Acquisition-related transaction and integration costs | 0 | 0 | 0 | ||||||||||||
Development costs | 0 | ||||||||||||||
Operating Income | 173 | 114 | 16 | ||||||||||||
Equity in earnings of unconsolidated affiliates | 63 | 59 | 47 | ||||||||||||
Other income, net | 4 | 2 | 2 | ||||||||||||
Loss on debt extinguishment | (3) | 0 | |||||||||||||
Interest expense | (154) | (164) | (151) | ||||||||||||
Income before income taxes | 86 | (86) | |||||||||||||
Income tax expense (benefit) | 0 | 0 | 0 | ||||||||||||
Net Income (Loss) | 86 | 8 | (86) | ||||||||||||
Less: Net income (loss) attributable to noncontrolling interests | (104) | (75) | (111) | ||||||||||||
Net Income (Loss) Attributable to Clearway Energy, Inc. | 186 | 76 | 29 | ||||||||||||
Equity investments in affiliates | 1,074 | 1,076 | 1,074 | 1,076 | |||||||||||
Capital Expenditures | 26 | 181 | 26 | 181 | |||||||||||
Total Assets | 5,836 | 6,017 | 5,836 | 6,017 | |||||||||||
Thermal | |||||||||||||||
Segment Reporting | |||||||||||||||
Total operating revenues | 193 | 172 | 170 | ||||||||||||
Cost of operations | 127 | 116 | 114 | ||||||||||||
Depreciation and amortization | 23 | 21 | 20 | ||||||||||||
Impairment losses | 0 | 0 | |||||||||||||
General and administrative | 1 | 0 | 0 | ||||||||||||
Acquisition-related transaction and integration costs | 0 | 0 | 0 | ||||||||||||
Development costs | 2 | ||||||||||||||
Operating Income | 40 | 35 | 36 | ||||||||||||
Equity in earnings of unconsolidated affiliates | 0 | 0 | 0 | ||||||||||||
Other income, net | 1 | 0 | 0 | ||||||||||||
Loss on debt extinguishment | 0 | 0 | |||||||||||||
Interest expense | (12) | (10) | (7) | ||||||||||||
Income before income taxes | 29 | 29 | |||||||||||||
Income tax expense (benefit) | 0 | 0 | 0 | ||||||||||||
Net Income (Loss) | 29 | 25 | 29 | ||||||||||||
Less: Net income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||
Net Income (Loss) Attributable to Clearway Energy, Inc. | 29 | 25 | 29 | ||||||||||||
Equity investments in affiliates | 0 | 0 | 0 | 0 | |||||||||||
Capital Expenditures | 28 | 16 | 28 | 16 | |||||||||||
Total Assets | 516 | 422 | 516 | 422 | |||||||||||
Corporate | |||||||||||||||
Segment Reporting | |||||||||||||||
Total operating revenues | (3) | 0 | 0 | ||||||||||||
Cost of operations | (3) | 0 | 0 | ||||||||||||
Depreciation and amortization | 0 | 0 | 0 | ||||||||||||
Impairment losses | 0 | 0 | |||||||||||||
General and administrative | 19 | 19 | 16 | ||||||||||||
Acquisition-related transaction and integration costs | 20 | 3 | 1 | ||||||||||||
Development costs | 1 | ||||||||||||||
Operating Income | (40) | (22) | (17) | ||||||||||||
Equity in earnings of unconsolidated affiliates | 0 | 0 | 0 | ||||||||||||
Other income, net | 2 | 1 | 0 | ||||||||||||
Loss on debt extinguishment | $ 0 | (7) | |||||||||||||
Interest expense | (89) | (84) | (78) | ||||||||||||
Income before income taxes | (134) | (105) | (95) | ||||||||||||
Income tax expense (benefit) | 62 | 72 | (1) | ||||||||||||
Net Income (Loss) | (196) | (177) | (94) | ||||||||||||
Less: Net income (loss) attributable to noncontrolling interests | 106 | 60 | 60 | ||||||||||||
Net Income (Loss) Attributable to Clearway Energy, Inc. | (302) | (237) | $ (154) | ||||||||||||
Equity investments in affiliates | 0 | 0 | 0 | 0 | |||||||||||
Capital Expenditures | 0 | 0 | 0 | 0 | |||||||||||
Total Assets | $ 360 | $ 153 | $ 360 | $ 153 | |||||||||||
Southern California Edison | Conventional Generation | |||||||||||||||
Segment Reporting | |||||||||||||||
Customer's percentage of total revenue | 20.00% | 21.00% | 21.00% | ||||||||||||
Southern California Edison | Renewables | |||||||||||||||
Segment Reporting | |||||||||||||||
Customer's percentage of total revenue | 20.00% | 20.00% | 21.00% | ||||||||||||
PG&E | Conventional Generation | |||||||||||||||
Segment Reporting | |||||||||||||||
Customer's percentage of total revenue | 12.00% | 12.00% | 12.00% | ||||||||||||
PG&E | Renewables | |||||||||||||||
Segment Reporting | |||||||||||||||
Customer's percentage of total revenue | 11.00% | 11.00% | 11.00% | ||||||||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | ||||||||||||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | ||||||||||||||
[3] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | ||||||||||||||
[4] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Income Taxes (Provision) (Detai
Income Taxes (Provision) (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |||
Current | |||||
U.S. Federal | $ 0 | $ 0 | $ 0 | ||
State | 0 | 0 | 0 | ||
Total — current | 0 | 0 | 0 | ||
Deferred | |||||
U.S. Federal | 28 | 75 | (1) | ||
State | 34 | (3) | 0 | ||
Total — deferred | 62 | 72 | (1) | ||
Income tax (benefit) expense | 62 | 72 | [1] | (1) | [1] |
Reconciliation of the U.S. federal statutory rate to the Company's effective rate from continuing operations | |||||
Income Before Income Taxes | 116 | 48 | [1] | 1 | [1] |
Tax at 21%/35% | 24 | 17 | 0 | ||
State taxes, net of federal benefit | 8 | (3) | 0 | ||
Deferred state rate change due to deconsolidation from NRG | 20 | 0 | 0 | ||
Tax Cuts and Jobs Act - tax rate change | 0 | 68 | 0 | ||
Impact of non-taxable equity earnings | 8 | (9) | (1) | ||
Investment tax credits | (3) | (1) | (1) | ||
Production tax credits, including prior year true-up | (1) | (1) | 4 | ||
Valuation allowance adjustment | 3 | 0 | 0 | ||
Other | $ 3 | $ 1 | $ (3) | ||
Effective income tax rate | 53.00% | 150.00% | (100.00%) | ||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Income Taxes (Deferred) (Detail
Income Taxes (Deferred) (Details) - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 | |
Deferred Tax Liabilities, Gross [Abstract] | |||
Total deferred tax assets, net of valuation allowance | $ 192,000,000 | $ 70,000,000 | |
Deferred Tax Liabilities, Gross | 192,000,000 | 70,000,000 | |
Deferred Tax Assets, Gross [Abstract] | |||
Interest expense disallowance carryforward - Investment in Projects | 28,000,000 | ||
Production tax credits | 8,000,000 | 7,000,000 | |
Investment tax credits | 5,000,000 | 1,000,000 | |
U.S. Federal net operating loss carryforwards | 199,000,000 | 183,000,000 | |
Capital loss carryforwards | 12,000,000 | 10,000,000 | |
State net operating loss carryforwards | 12,000,000 | 7,000,000 | |
Total deferred tax assets | 264,000,000 | 208,000,000 | |
Valuation allowance | 15,000,000 | 10,000,000 | |
Total deferred tax assets, net of valuation allowance | 249,000,000 | 198,000,000 | |
Net deferred noncurrent tax asset | 57,000,000 | 128,000,000 | [1] |
Deferred tax asset, tax cut and job acts disallowed interest | 28,000,000 | ||
Net deferred tax asset | 57,000,000 | $ 128,000,000 | |
Unrecognized tax positions | $ 0 | ||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Related Party Transactions (Det
Related Party Transactions (Details) | Jun. 19, 2018USD ($) | Jan. 31, 2019USD ($) | Aug. 31, 2018USD ($) | Dec. 31, 2018USD ($)kpphMWton | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | ||
Related Party Transaction | ||||||||
General and administrative | $ 20,000,000 | $ 19,000,000 | [1] | $ 16,000,000 | [1] | |||
RENOM | ||||||||
Related Party Transaction | ||||||||
Incurred expenses for transactions with related party | 30,000,000 | 23,000,000 | 13,000,000 | |||||
Due to RENOM | $ 6,000,000 | 5,000,000 | ||||||
NRG | ||||||||
Related Party Transaction | ||||||||
Intercompany revenue | $ 8,000,000 | 12,000,000 | 13,000,000 | |||||
NRG | Operations and Maintenance services | ||||||||
Related Party Transaction | ||||||||
Incurred expenses for transactions with related party | 27,000,000 | 39,000,000 | 36,000,000 | |||||
Thermal | ||||||||
Related Party Transaction | ||||||||
Steam and chilled water capacity, megawatts thermal equivalent | MW | 1,385 | |||||||
Power generation gapacity, megawatts | MW | 133 | |||||||
Thermal | NRG | ||||||||
Related Party Transaction | ||||||||
Incurred expenses for transactions with related party | 7,000,000 | 9,000,000 | 9,000,000 | |||||
GCE Holding LLC | NRG | Operations and Maintenance services | ||||||||
Related Party Transaction | ||||||||
Incurred expenses for transactions with related party | 4,000,000 | 5,000,000 | 5 | |||||
Marsh Landing | NRG | ||||||||
Related Party Transaction | ||||||||
Incurred expenses for transactions with related party | 11,000,000 | 15,000,000 | 14,000,000 | |||||
NRG Yield | NRG | ||||||||
Related Party Transaction | ||||||||
General and administrative | 7,000,000 | $ 10,000,000 | $ 10 | |||||
UPMC Thermal | Thermal | ||||||||
Related Party Transaction | ||||||||
Steam and chilled water capacity, megawatts thermal equivalent | MW | 73 | |||||||
Power generation gapacity, megawatts | MW | 7.5 | |||||||
Steam Energy | kpph | 150 | |||||||
Chilled Water Capacity | ton | 6,750 | |||||||
UPMC Thermal | ||||||||
Related Party Transaction | ||||||||
Related party transaction term | 20 years | |||||||
Cash considerations | $ 84,000,000 | |||||||
UPMC Thermal | Subsequent Event | ||||||||
Related Party Transaction | ||||||||
Cash considerations | $ 3,000,000 | |||||||
Management Service, Base | PML | NRG | ||||||||
Related Party Transaction | ||||||||
Total Emissions Credit Purchases | $ 11,000,000 | |||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Commitments and Contingencies_2
Commitments and Contingencies (Details) - USD ($) $ in Millions | 8 Months Ended | 12 Months Ended | ||
Aug. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Long-term Purchase Commitment [Line Items] | ||||
Lease expense | $ 18 | $ 17 | $ 15 | |
Lease expense, due next twelve months | 13 | |||
Future minimum lease commitments, due in 2019 | 13 | |||
Future minimum lease commitments, due in 2020 | 13 | |||
Future minimum lease commitments, due in 2021 | 13 | |||
Future minimum lease commitments, due in 2022 | 12 | |||
Future minimum lease commitments, due thereafter | 207 | |||
Future minimum lease commitments, total | 271 | |||
Power procurement arrangements | 39 | 34 | 32 | |
Purchase obligation, due in 2019 | 11 | |||
Purchase obligation, due in 2020 | 3 | |||
Purchase obligation, due in 2021 | 3 | |||
Purchase obligation, due in 2022 | 3 | |||
Purchase obligation, due in 2023 | 3 | |||
Purchase obligation, thereafter | 13 | |||
Total | $ 36 | |||
Thermal | NRG | ||||
Long-term Purchase Commitment [Line Items] | ||||
Incurred expenses for transactions with related party | $ 7 | $ 9 | $ 9 |
Unaudited Quarterly Financial_3
Unaudited Quarterly Financial Data (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |||
Total operating revenues | $ 229 | $ 292 | $ 307 | $ 225 | $ 231 | $ 269 | $ 288 | $ 221 | $ 1,053 | $ 1,009 | [1] | $ 1,035 | |
Operating income | 54 | 100 | 144 | 49 | 20 | 84 | 125 | 54 | 347 | 283 | [1] | 222 | [1] |
Net loss | (91) | 49 | 96 | 0 | (97) | 31 | 44 | (2) | 54 | (24) | [1],[2],[3] | 2 | [1],[2],[3] |
Net income (loss) attributable to Clearway Energy, Inc. | $ (68) | $ 21 | $ 79 | $ 16 | $ (70) | $ 29 | $ 28 | $ (3) | 48 | (16) | [1] | 57 | [1] |
Net income/(loss) per weighted average common share - basic (in dollars per share) | $ (0.63) | $ 0.20 | $ 0.77 | $ 0.16 | $ (0.71) | $ 0.30 | $ 0.29 | $ (0.03) | |||||
Common Class A | |||||||||||||
Net income (loss) attributable to Clearway Energy, Inc. | 16 | (6) | 20 | ||||||||||
Weighted average number of shares outstanding, basic | 35 | 35 | 35 | 35 | 35 | 35 | 35 | 35 | |||||
Weighted average number of shares outstanding, diluted | 35 | 35 | 49 | 35 | 35 | 49 | 49 | 35 | |||||
Earnings per share, diluted | $ (0.63) | $ 0.20 | $ 0.61 | $ 0.16 | $ (0.71) | $ 0.27 | $ 0.26 | $ (0.03) | |||||
Common Class C | |||||||||||||
Net income (loss) attributable to Clearway Energy, Inc. | $ 32 | (10) | $ 37 | ||||||||||
Weighted average number of shares outstanding, basic | 73 | 69 | 67 | 65 | 65 | 64 | 63 | 63 | |||||
Weighted average number of shares outstanding, diluted | 73 | 69 | 78 | 65 | 65 | 75 | 74 | 63 | |||||
Earnings per share, diluted | $ (0.63) | $ 0.20 | $ 0.70 | $ 0.16 | $ (0.71) | $ 0.29 | $ 0.28 | $ (0.03) | |||||
Previously Reported | |||||||||||||
Total operating revenues | 1,009 | ||||||||||||
Operating income | 283 | ||||||||||||
Net loss | $ (98) | (23) | |||||||||||
Net income (loss) attributable to Clearway Energy, Inc. | $ (16) | ||||||||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | ||||||||||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | ||||||||||||
[3] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Schedule I - Condensed Financ_2
Schedule I - Condensed Financial Information of Registrant Condensed Financial Information of Registrant B/S (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Condensed Balance Sheet Statements, Captions [Line Items] | |||||
Cash and cash equivalents | $ 407 | $ 148 | [1] | $ 322 | |
Notes receivable — current | 0 | 13 | [1] | ||
Deferred income taxes | 57 | 128 | [1] | ||
Total Assets | 8,500 | 8,489 | [1] | ||
Less current maturities | 535 | 339 | [1] | ||
Accounts payable — affiliate | 19 | 49 | [1] | ||
Long-term debt | 6,044 | 6,083 | |||
Other non-current liabilities | 108 | 100 | [1] | ||
Total Liabilities | 6,276 | 6,330 | [1] | ||
Preferred stock, $0.01 par value; 10,000,000 shares authorized; none issued | 0 | 0 | [1] | ||
Common Stock, Value, Issued | 1 | 1 | [1] | ||
Additional paid-in capital | 1,897 | 1,843 | [1] | ||
Accumulated deficit | (58) | (69) | [1] | ||
Accumulated other comprehensive loss | (18) | (28) | [1] | (28) | |
Noncontrolling interest | 402 | 412 | [1] | ||
Total Stockholders' Equity | 2,224 | 2,159 | [1] | 2,624 | $ 2,903 |
Total Liabilities and Stockholders' Equity | 8,500 | 8,489 | [1] | ||
Clearway Energy, Inc. | |||||
Condensed Balance Sheet Statements, Captions [Line Items] | |||||
Cash and cash equivalents | 0 | 2 | $ 1 | $ 1 | |
Notes receivable — current | 215 | 0 | |||
Investment in consolidated subsidiaries | 2,182 | 2,029 | |||
Note receivable - Clearway Energy Operating LLC | 44 | 618 | |||
Deferred income taxes | 57 | 128 | |||
Total Assets | 2,498 | 2,777 | |||
Less current maturities | 220 | 0 | |||
Accounts payable — affiliate | 5 | 0 | |||
Other current liabilities | 0 | 2 | |||
Long-term debt | 44 | 610 | |||
Other non-current liabilities | 5 | 6 | |||
Total Liabilities | 274 | 618 | |||
Preferred stock, $0.01 par value; 10,000,000 shares authorized; none issued | 0 | 0 | |||
Common Stock, Value, Issued | 1 | 1 | |||
Additional paid-in capital | 1,897 | 1,843 | |||
Accumulated deficit | (58) | (69) | |||
Accumulated other comprehensive loss | (18) | (28) | |||
Noncontrolling interest | 402 | 412 | |||
Total Stockholders' Equity | 2,224 | 2,159 | |||
Total Liabilities and Stockholders' Equity | $ 2,498 | $ 2,777 | |||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Schedule II (Details)
Schedule II (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | $ 10 | $ 16 | $ 0 |
Charged to costs and expenses | 5 | (6) | 0 |
Charged to other accounts | 0 | 0 | 16 |
Balance at end of period | $ 15 | $ 10 | $ 16 |
Schedule I - Condensed Financ_3
Schedule I - Condensed Financial Information of Registrant Condensed Financial Information of Registrant - P/L (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||||
Loss on debt extinguishment | $ (3) | $ (7) | $ (3) | [1],[2] | $ 0 | [1],[2] | ||||||||
Interest expense, net | (306) | (307) | [1] | (284) | [1] | |||||||||
Total other expense, net | (231) | (235) | [1] | (221) | [1] | |||||||||
Income Before Income Taxes | 116 | 48 | [1] | 1 | [1] | |||||||||
Income tax expense (benefit) | 62 | 72 | [1] | (1) | [1] | |||||||||
Net Income (Loss) | $ (91) | $ 49 | $ 96 | $ 0 | $ (97) | $ 31 | $ 44 | $ (2) | 54 | (24) | [1],[2],[3] | 2 | [1],[2],[3] | |
Less: Pre-acquisition net income (loss) of Drop Down Assets | 4 | 7 | [1],[3] | (4) | [1],[3] | |||||||||
Less: Net income (loss) attributable to noncontrolling interests | 2 | (15) | [1] | (51) | [1] | |||||||||
Net Income (Loss) Attributable to Clearway Energy, Inc. | $ (68) | $ 21 | $ 79 | $ 16 | $ (70) | $ 29 | $ 28 | $ (3) | 48 | (16) | [1] | 57 | [1] | |
Clearway Energy, Inc. | ||||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||||
Operating Expenses | 1 | 1 | 2 | |||||||||||
Equity earnings in consolidated subsidiaries | 135 | 61 | 15 | |||||||||||
Loss on debt extinguishment | (7) | 0 | 0 | |||||||||||
Interest expense, net | (11) | (12) | (12) | |||||||||||
Total other expense, net | 117 | 49 | 3 | |||||||||||
Income Before Income Taxes | 116 | 48 | 1 | |||||||||||
Income tax expense (benefit) | 62 | 72 | (1) | |||||||||||
Net Income (Loss) | 54 | (24) | 2 | |||||||||||
Less: Pre-acquisition net income (loss) of Drop Down Assets | 4 | 7 | (4) | |||||||||||
Less: Net income (loss) attributable to noncontrolling interests | 2 | (15) | (51) | |||||||||||
Net Income (Loss) Attributable to Clearway Energy, Inc. | $ 48 | $ (16) | $ 57 | |||||||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||||||||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||||||||||
[3] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Schedule I - Condensed Financ_4
Schedule I - Condensed Financial Information of Registrant Condensed Financial Information of Registrant CF (Details) - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||||
Condensed Cash Flow Statements, Captions [Line Items] | ||||||
Net Cash Provided by (Used in) Operating Activities | $ 498 | $ 517 | [1] | $ 577 | [1] | |
Net Cash Provided by (Used in) Investing Activities | (185) | (442) | [1] | (131) | [1] | |
Payments for long-term debt | (810) | (332) | [1] | (269) | [1] | |
Proceeds from the issuance of common stock | 153 | 34 | [1] | 0 | [1] | |
Net Cash (Used in) Provided by Financing Activities | (46) | (257) | [1] | (202) | [1] | |
Cash, Cash Equivalents and Restricted Cash at Beginning of Period | 148 | [2] | 322 | |||
Cash, Cash Equivalents and Restricted Cash at End of Period | 407 | 148 | [2] | 322 | ||
Clearway Energy, Inc. | ||||||
Condensed Cash Flow Statements, Captions [Line Items] | ||||||
Net Cash Provided by (Used in) Operating Activities | 3 | 0 | (5) | |||
Investments in consolidated affiliates | (150) | (33) | 5 | |||
Increase in notes receivable - affiliate | 359 | 0 | 0 | |||
Net Cash Provided by (Used in) Investing Activities | 209 | (33) | 5 | |||
Payments for long-term debt | (367) | 0 | 0 | |||
Proceeds from the issuance of common stock | 153 | 34 | 0 | |||
Cash received from Clearway Energy LLC for the payment of dividends | 130 | 108 | 92 | |||
Common stock dividends | (130) | (108) | (92) | |||
Net Cash (Used in) Provided by Financing Activities | (214) | 34 | 0 | |||
Net Increase in Cash and Cash Equivalents | (2) | 1 | 0 | |||
Cash, Cash Equivalents and Restricted Cash at Beginning of Period | 2 | 1 | 1 | |||
Cash, Cash Equivalents and Restricted Cash at End of Period | $ 0 | $ 2 | $ 1 | |||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. | |||||
[2] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |
Schedule I - Condensed Financ_5
Schedule I - Condensed Financial Information of Registrant Footnotes (Details) - USD ($) $ in Millions | Sep. 27, 2018 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | [1] | Aug. 31, 2018 | Mar. 30, 2018 | |
Ownership interest acquired | 100.00% | ||||||||
Weighted average remaining PPA term | 15 years | ||||||||
Sale of stock, number of shares issued in transaction | 3,916,449 | 4,492,473 | |||||||
Proceeds from issuance or sale of equity | $ 75 | ||||||||
Cash Distributions | $ 0 | $ 23 | [1] | $ 184 | |||||
Clearway Energy LLC | |||||||||
Cash Distributions | $ 108 | $ 130 | $ 92 | ||||||
Clearway Energy LLC | Clearway Energy, Inc. | |||||||||
Limited liability company or limited partnership, members or limited partners, ownership interest | 55.80% | ||||||||
Clearway Energy LLC | CEG | |||||||||
Limited liability company or limited partnership, members or limited partners, ownership interest | 44.20% | ||||||||
Clearway Energy, Inc. | GIP | |||||||||
Ownership interest acquired | 55.00% | ||||||||
Clearway Energy LLC | GIP | |||||||||
Ownership interest acquired | 45.20% | ||||||||
[1] | Retrospectively adjusted as discussed in Note 1, Nature of Business. |