Exhibit 12
NEXTERA ENERGY PARTNERS, LP
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND
RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED UNIT DISTRIBUTIONS(a)
| Three Months Ended | Years Ended December 31, | |||||||||||||||||||||||
| March 31, 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |||||||||||||||||||
| (millions of dollars) | ||||||||||||||||||||||||
Earnings, as defined: | ||||||||||||||||||||||||
Net income | $ | (21 | ) | $ | 109 | $ | 380 | $ | 107 | $ | 141 | $ | 17 | |||||||||||
Income taxes | 19 | 167 | 57 | 33 | (50 | ) | 4 | |||||||||||||||||
Fixed charges included in the determination of net income, as below | 106 | 212 | 163 | 125 | 103 | 52 | ||||||||||||||||||
Amortization of capitalized interest | 1 | 6 | 6 | 3 | 2 | — | ||||||||||||||||||
Distributed income of equity method investee | 10 | 47 | 50 | 62 | — | — | ||||||||||||||||||
Less: Equity in earnings of equity method investee andnon-economic ownership interests | 9 | (51 | ) | (36 | ) | (34 | ) | (15 | ) | 4 | ||||||||||||||
Total earnings, as defined | $ | 106 | $ | 490 | $ | 620 | $ | 296 | $ | 181 | $ | 77 | ||||||||||||
Fixed charges, as defined: | ||||||||||||||||||||||||
Interest expense | $ | 103 | $ | 199 | $ | 152 | $ | 117 | $ | 100 | $ | 49 | ||||||||||||
Rental interest factor | 3 | 13 | 11 | 8 | 3 | 3 | ||||||||||||||||||
Fixed charges included in the determination of net income | 106 | 212 | 163 | 125 | 103 | 52 | ||||||||||||||||||
Capitalized interest | — | — | 6 | 9 | 4 | 30 | ||||||||||||||||||
Total fixed charges, as defined | $ | 106 | $ | 212 | $ | 169 | $ | 134 | $ | 107 | $ | 82 | ||||||||||||
Preferred unit distributions requirement | $ | 6 | $ | 3 | ||||||||||||||||||||
Ratio of income before income taxes to net income | 0.1 | 2.53 | ||||||||||||||||||||||
Preferred unit distributions requirement before income taxes | $ | 1 | $ | 8 | ||||||||||||||||||||
Combined fixed charges and preferred unit distributions requirement | $ | 107 | $ | 220 | ||||||||||||||||||||
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Ratio of earnings to fixed charges(a) | 1.00 | 2.31 | 3.67 | 2.21 | 1.69 | 0.94 | ||||||||||||||||||
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Ratio of earnings to combined fixed charges and preferred unit distributions(a)(b) | 0.99 | 2.23 | 3.67 | 2.21 | 1.69 | 0.94 | ||||||||||||||||||
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| (a) | For the year ended December 31, 2013, there was a deficit of earnings to fixed charges and of earnings to combined fixed charges and preferred unit distributions of approximately $5 million. |
| (b) | For the three months ended March 31, 2018, there was a deficit of earnings to combined fixed charges and preferred unit distributions of approximately $1 million. Prior to 2017, NextEra Energy Partners, LP had no preference equity securities outstanding; therefore, the ratio of earnings to fixed charges is the same as the ratio of earnings to combined fixed charges and preferred unit distributions. |
