Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2020 | Jul. 31, 2020 | |
Entity Registrant Name | ENTERGY CORPORATION | |
City Area Code | 504 | |
Local Phone Number | 576-4000 | |
Entity Tax Identification Number | 72-1229752 | |
Entity File Number | 1-11299 | |
Entity Central Index Key | 0000065984 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2020 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, State or Province | 639 Loyola Avenue | |
Entity Address, City or Town | New Orleans | |
Entity Address, State or Province | LA | |
Entity Address, Country | US | |
Entity Address, Postal Zip Code | 70113 | |
Entity Common Stock, Shares Outstanding | 200,211,323 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Document Quarterly Report | true | |
Document Transition Report | false | |
NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | ETR | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Common Stock, $0.01 Par Value | |
CHICAGO STOCK EXCHANGE, INC [Member] | ||
Trading Symbol | ETR | |
Security Exchange Name | CHX | |
Title of 12(b) Security | Common Stock, $0.01 Par Value | |
Entergy Arkansas [Member] | ||
Entity Registrant Name | ENTERGY ARKANSAS, LLC | |
City Area Code | 501 | |
Local Phone Number | 377-4000 | |
Entity Tax Identification Number | 83-1918668 | |
Entity File Number | 1-10764 | |
Entity Central Index Key | 0000007323 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Incorporation, State or Country Code | TX | |
Entity Address, State or Province | 425 West Capitol Avenue | |
Entity Address, City or Town | Little Rock | |
Entity Address, State or Province | AR | |
Entity Address, Country | US | |
Entity Address, Postal Zip Code | 72201 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Entergy Louisiana [Member] | ||
Entity Registrant Name | ENTERGY LOUISIANA, LLC | |
City Area Code | 504 | |
Local Phone Number | 576-4000 | |
Entity Tax Identification Number | 47-4469646 | |
Entity File Number | 1-32718 | |
Entity Central Index Key | 0001348952 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Incorporation, State or Country Code | TX | |
Entity Address, State or Province | 4809 Jefferson Highway | |
Entity Address, City or Town | Jefferson | |
Entity Address, State or Province | LA | |
Entity Address, Country | US | |
Entity Address, Postal Zip Code | 70121 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Entergy Mississippi [Member] | ||
Entity Registrant Name | ENTERGY MISSISSIPPI, LLC | |
City Area Code | 601 | |
Local Phone Number | 368-5000 | |
Entity Tax Identification Number | 83-1950019 | |
Entity File Number | 1-31508 | |
Entity Central Index Key | 0000066901 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Incorporation, State or Country Code | TX | |
Entity Address, State or Province | 308 East Pearl Street | |
Entity Address, City or Town | Jackson | |
Entity Address, State or Province | MS | |
Entity Address, Country | US | |
Entity Address, Postal Zip Code | 39201 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Entergy New Orleans [Member] | ||
Entity Registrant Name | ENTERGY NEW ORLEANS, LLC | |
City Area Code | 504 | |
Local Phone Number | 670-3700 | |
Entity Tax Identification Number | 82-2212934 | |
Entity File Number | 1-35747 | |
Entity Central Index Key | 0000071508 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Incorporation, State or Country Code | TX | |
Entity Address, State or Province | 1600 Perdido Street | |
Entity Address, City or Town | New Orleans | |
Entity Address, State or Province | LA | |
Entity Address, Country | US | |
Entity Address, Postal Zip Code | 70112 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Entergy Texas [Member] | ||
Entity Registrant Name | ENTERGY TEXAS, INC. | |
City Area Code | 409 | |
Local Phone Number | 981-2000 | |
Entity Tax Identification Number | 61-1435798 | |
Entity File Number | 1-34360 | |
Entity Central Index Key | 0001427437 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Incorporation, State or Country Code | TX | |
Entity Address, State or Province | 10055 Grogans Mill Road | |
Entity Address, City or Town | The Woodlands | |
Entity Address, State or Province | TX | |
Entity Address, Country | US | |
Entity Address, Postal Zip Code | 77380 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
System Energy [Member] | ||
Entity Registrant Name | SYSTEM ENERGY RESOURCES, INC. | |
City Area Code | 601 | |
Local Phone Number | 368-5000 | |
Entity Tax Identification Number | 72-0752777 | |
Entity File Number | 1-09067 | |
Entity Central Index Key | 0000202584 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Incorporation, State or Country Code | AR | |
Entity Address, State or Province | 1340 Echelon Parkway | |
Entity Address, City or Town | Jackson | |
Entity Address, State or Province | MS | |
Entity Address, Country | US | |
Entity Address, Postal Zip Code | 39213 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Five Point Six Two Five Percent Series First Mortgage Bonds Due June Two Thousand Sixty Four [Member] | Entergy Texas [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | EZT | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 5.625% Series due June 2064 | |
Mortgage Bonds, Five Point Five Percent Series, Due April Two Thousand Sixty Six [Member] | Entergy New Orleans [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | ENO | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 5.50% Series due April 2066 | |
Mortgage Bonds 5.0 Series Due December Two Thousand Fifty Two [Member] | Entergy New Orleans [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | ENJ | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 5.0% Series due December 2052 | |
Mortgage Bonds, Four Point Nine Zero Percent Series, Due October Two Thousand Sixty Six [Member] | Entergy Mississippi [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | EMP | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 4.90% Series due October 2066 | |
Mortgage Bonds Four Point Seven Percent Series Due June Two Thousand Sixty Three [Member] | Entergy Louisiana [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | ELU | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 4.70% Series due June 2063 | |
Mortgage Bonds Five Point Two Five Percent Series Due July Two Thousand Fifty Two [Member] | Entergy Louisiana [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | ELJ | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 5.25% Series due July 2052 | |
Four Point Eight Seven Five Percent Series First Mortgage Bonds Due September Two Thousand Sixty Six [Member] | Entergy Arkansas [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | EAI | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 4.875% Series due September 2066 | |
Four Point Eight Seven Five Percent Series First Mortgage Bonds Due September Two Thousand Sixty Six [Member] | Entergy Louisiana [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | ELC | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 4.875% Series due September 2066 | |
Mortgage Bonds Four Point Seven Five Percent Series Due June Two Thousand Sixty Three [Member] [Member] | Entergy Arkansas [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | EAE | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 4.75% Series due June 2063 | |
Mortgage Bonds Four Point Nine Percent Series Due Decembertwenty Fifty Two [Member] | Entergy Arkansas [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | EAB | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Mortgage Bonds, 4.90% Series due December 2052 | |
5.375% Series A Preferred Stock, Cumulative, No Par Value [Domain] | Entergy Texas [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | ||
Trading Symbol | ETI/PR | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | 5.375% Series A Preferred Stock, Cumulative, No Par Value (Liquidation Value $25 Per Share) |
Consolidated Statements Of Inco
Consolidated Statements Of Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 2,412,788 | $ 2,666,209 | $ 4,839,967 | $ 5,275,792 |
Operation and Maintenance: | ||||
Fuel, fuel-related expenses, and gas purchased for resale | 341,005 | 467,323 | 738,408 | 945,653 |
Nuclear refueling outage expenses | 44,894 | 50,962 | 95,112 | 101,403 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 736,261 | 841,870 | 1,438,345 | 1,624,921 |
Asset Impairment Charges | 6,775 | 16,419 | 11,870 | 90,397 |
Decommissioning | 95,413 | 104,627 | 189,097 | 206,746 |
Taxes, Other | 158,646 | 163,408 | 328,940 | 321,983 |
Other Depreciation and Amortization | 403,769 | 363,496 | 803,478 | 720,770 |
Other regulatory charges (credits) - net | (25,247) | (26,532) | (32,925) | (43,478) |
Costs and Expenses | 1,973,477 | 2,327,434 | 4,000,900 | 4,653,763 |
OPERATING INCOME | 439,311 | 338,775 | 839,067 | 622,029 |
OTHER INCOME | ||||
Allowance for equity funds used during construction | 28,370 | 37,169 | 64,324 | 75,385 |
Investment Income, Net | 284,823 | 96,218 | 67,969 | 324,367 |
Miscellaneous - net | (93,620) | (45,870) | (70,232) | (110,527) |
TOTAL | 219,573 | 87,517 | 62,061 | 289,225 |
INTEREST EXPENSE | ||||
Interest Expense, Debt | 216,799 | 201,112 | 422,388 | 402,105 |
Allowance for borrowed funds used during construction | (12,143) | (16,811) | (27,587) | (34,260) |
TOTAL | 204,656 | 184,301 | 394,801 | 367,845 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 454,228 | 241,991 | 506,327 | 543,409 |
Income taxes | 89,115 | 1,458 | 17,921 | 44,229 |
Consolidated net income | 365,113 | 240,533 | 488,406 | 499,180 |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | $ 4,580 | $ 4,109 | $ 9,159 | $ 8,219 |
Earnings per average common share: | ||||
Basic (in dollars per share) | $ 1.80 | $ 1.22 | $ 2.40 | $ 2.57 |
Diluted (in dollars per share) | $ 1.79 | $ 1.22 | $ 2.39 | $ 2.54 |
Basic average number of common shares outstanding (in shares) | 200,178,010 | 193,019,269 | 199,984,013 | 191,306,742 |
Diluted average number of common shares outstanding (in shares) | 200,886,749 | 194,238,315 | 200,891,134 | 193,243,287 |
Net Income (Loss) Available to Common Stockholders, Basic | $ 360,533 | $ 236,424 | $ 479,247 | $ 490,961 |
Electricity [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,190,557 | 2,345,727 | 4,241,196 | 4,466,751 |
Natural Gas, US Regulated [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 22,495 | 30,699 | 66,471 | 85,647 |
Competitive Businesses [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 199,736 | 289,783 | 532,300 | 723,394 |
Electricity, Purchased [Member] | ||||
Operation and Maintenance: | ||||
Cost of Goods and Services Sold | 211,961 | 345,861 | 428,575 | 685,368 |
Entergy Mississippi [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 297,954 | 302,737 | 591,876 | 584,981 |
Operation and Maintenance: | ||||
Fuel, fuel-related expenses, and gas purchased for resale | 38,730 | 47,391 | 102,027 | 100,620 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 66,343 | 66,921 | 128,680 | 126,104 |
Taxes, Other | 22,697 | 25,813 | 49,887 | 51,940 |
Other Depreciation and Amortization | 52,296 | 39,718 | 103,451 | 78,806 |
Other regulatory charges (credits) - net | (6,496) | 3,567 | (10,377) | 5,937 |
Costs and Expenses | 230,249 | 257,130 | 482,990 | 508,582 |
OPERATING INCOME | 67,705 | 45,607 | 108,886 | 76,399 |
OTHER INCOME | ||||
Allowance for equity funds used during construction | 1,588 | 2,349 | 3,027 | 4,262 |
Investment Income, Net | 135 | 397 | 255 | 549 |
Miscellaneous - net | (2,589) | (327) | (4,885) | (590) |
TOTAL | (866) | 2,419 | (1,603) | 4,221 |
INTEREST EXPENSE | ||||
Interest Expense, Debt | 17,192 | 15,342 | 33,775 | 29,882 |
Allowance for borrowed funds used during construction | (634) | (1,006) | (1,185) | (1,791) |
TOTAL | 16,558 | 14,336 | 32,590 | 28,091 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 50,281 | 33,690 | 74,693 | 52,529 |
Income taxes | 11,388 | 7,023 | 13,274 | 10,464 |
Consolidated net income | 38,893 | 26,667 | 61,419 | 42,065 |
Entergy Mississippi [Member] | Electricity [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 297,954 | 302,737 | 591,876 | 584,981 |
Entergy Mississippi [Member] | Natural Gas, US Regulated [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | 0 | 0 |
Entergy Mississippi [Member] | Electricity, Purchased [Member] | ||||
Operation and Maintenance: | ||||
Cost of Goods and Services Sold | 56,679 | 73,720 | 109,322 | 145,175 |
Entergy Arkansas [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 491,767 | 542,929 | 973,679 | 1,088,741 |
Operation and Maintenance: | ||||
Fuel, fuel-related expenses, and gas purchased for resale | 52,692 | 108,596 | 140,103 | 260,755 |
Nuclear refueling outage expenses | 13,552 | 17,194 | 29,799 | 34,442 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 164,770 | 188,006 | 316,627 | 354,466 |
Decommissioning | 18,206 | 17,168 | 36,147 | 32,929 |
Taxes, Other | 27,172 | 27,181 | 58,232 | 55,544 |
Other Depreciation and Amortization | 84,538 | 77,061 | 168,059 | 152,908 |
Other regulatory charges (credits) - net | (19,283) | (10,336) | (39,284) | (9,891) |
Costs and Expenses | 383,818 | 473,155 | 797,895 | 976,496 |
OPERATING INCOME | 107,949 | 69,774 | 175,784 | 112,245 |
OTHER INCOME | ||||
Allowance for equity funds used during construction | 3,878 | 3,372 | 6,795 | 6,800 |
Investment Income, Net | 8,246 | 4,222 | 16,184 | 10,405 |
Miscellaneous - net | (6,133) | (4,728) | (12,569) | (8,418) |
TOTAL | 5,991 | 2,866 | 10,410 | 8,787 |
INTEREST EXPENSE | ||||
Interest Expense, Debt | 35,969 | 35,827 | 71,592 | 69,210 |
Allowance for borrowed funds used during construction | (1,703) | (1,329) | (2,984) | (2,743) |
TOTAL | 34,266 | 34,498 | 68,608 | 66,467 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 79,674 | 38,142 | 117,586 | 54,565 |
Income taxes | 19,504 | (12,157) | 12,821 | (34,855) |
Consolidated net income | 60,170 | 50,299 | 104,765 | 89,420 |
Entergy Arkansas [Member] | Electricity [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 491,767 | 542,929 | 973,679 | 1,088,741 |
Entergy Arkansas [Member] | Natural Gas, US Regulated [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | 0 | 0 |
Entergy Arkansas [Member] | Electricity, Purchased [Member] | ||||
Operation and Maintenance: | ||||
Cost of Goods and Services Sold | 42,171 | 48,285 | 88,212 | 95,343 |
Entergy Louisiana [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,011,652 | 1,106,317 | 1,942,299 | 2,065,647 |
Operation and Maintenance: | ||||
Fuel, fuel-related expenses, and gas purchased for resale | 161,610 | 220,472 | 306,102 | 367,821 |
Nuclear refueling outage expenses | 13,654 | 13,391 | 27,284 | 26,199 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 226,216 | 250,835 | 448,874 | 476,723 |
Decommissioning | 16,203 | 14,059 | 32,204 | 27,938 |
Taxes, Other | 48,718 | 46,658 | 98,795 | 96,340 |
Other Depreciation and Amortization | 154,255 | 130,246 | 299,390 | 256,380 |
Other regulatory charges (credits) - net | (19,202) | (33,878) | (8,070) | (61,538) |
Costs and Expenses | 755,240 | 864,797 | 1,519,108 | 1,670,183 |
OPERATING INCOME | 256,412 | 241,520 | 423,191 | 395,464 |
OTHER INCOME | ||||
Allowance for equity funds used during construction | 6,055 | 20,671 | 20,942 | 44,585 |
Investment Income, Net | 93,807 | 49,498 | 74,138 | 121,484 |
Miscellaneous - net | (66,811) | (22,306) | (17,210) | (64,650) |
TOTAL | 33,051 | 47,863 | 77,870 | 101,419 |
INTEREST EXPENSE | ||||
Interest Expense, Debt | 86,296 | 77,631 | 165,813 | 152,334 |
Allowance for borrowed funds used during construction | (3,202) | (9,737) | (10,334) | (21,104) |
TOTAL | 83,094 | 67,894 | 155,479 | 131,230 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 206,369 | 221,489 | 345,582 | 365,653 |
Income taxes | 35,910 | 38,405 | (14,273) | 54,936 |
Consolidated net income | 170,459 | 183,084 | 359,855 | 310,717 |
Earnings per average common share: | ||||
Net Income (Loss) Available to Common Stockholders, Basic | 170,459 | 183,084 | 359,855 | 310,717 |
Entergy Louisiana [Member] | Electricity [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,001,601 | 1,094,259 | 1,914,142 | 2,030,952 |
Entergy Louisiana [Member] | Natural Gas, US Regulated [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 10,051 | 12,058 | 28,157 | 34,695 |
Entergy Louisiana [Member] | Electricity, Purchased [Member] | ||||
Operation and Maintenance: | ||||
Cost of Goods and Services Sold | 153,786 | 223,014 | 314,529 | 480,320 |
Entergy New Orleans [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 147,343 | 175,793 | 296,645 | 338,987 |
Operation and Maintenance: | ||||
Fuel, fuel-related expenses, and gas purchased for resale | 16,836 | 27,190 | 44,331 | 57,950 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 29,126 | 32,252 | 59,830 | 62,550 |
Taxes, Other | 15,642 | 13,135 | 28,848 | 26,677 |
Other Depreciation and Amortization | 15,626 | 14,226 | 30,701 | 28,390 |
Other regulatory charges (credits) - net | 4,526 | 4,500 | (1,210) | 2,145 |
Costs and Expenses | 139,741 | 158,284 | 276,952 | 305,342 |
OPERATING INCOME | 7,602 | 17,509 | 19,693 | 33,645 |
OTHER INCOME | ||||
Allowance for equity funds used during construction | 2,048 | 2,686 | 4,533 | 4,976 |
Investment Income, Net | 43 | 64 | 96 | 243 |
Miscellaneous - net | 168 | (942) | (570) | (2,448) |
TOTAL | 2,259 | 1,808 | 4,059 | 2,771 |
INTEREST EXPENSE | ||||
Interest Expense, Debt | 7,635 | 6,019 | 14,275 | 11,955 |
Allowance for borrowed funds used during construction | (985) | (1,073) | (2,180) | (1,987) |
TOTAL | 6,650 | 4,946 | 12,095 | 9,968 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 3,211 | 14,371 | 11,657 | 26,448 |
Income taxes | (1,718) | 1,368 | (4,458) | 4,422 |
Consolidated net income | 4,929 | 13,003 | 16,115 | 22,026 |
Entergy New Orleans [Member] | Electricity [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 134,899 | 157,152 | 258,330 | 288,035 |
Entergy New Orleans [Member] | Natural Gas, US Regulated [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 12,444 | 18,641 | 38,315 | 50,952 |
Entergy New Orleans [Member] | Electricity, Purchased [Member] | ||||
Operation and Maintenance: | ||||
Cost of Goods and Services Sold | 57,985 | 66,981 | 114,452 | 127,630 |
Entergy Texas [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 372,194 | 363,580 | 711,530 | 704,054 |
Operation and Maintenance: | ||||
Fuel, fuel-related expenses, and gas purchased for resale | 47,790 | 16,971 | 89,136 | 65,074 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 60,527 | 61,426 | 119,460 | 121,052 |
Taxes, Other | 20,524 | 21,263 | 39,796 | 39,903 |
Other Depreciation and Amortization | 43,835 | 37,312 | 86,401 | 74,349 |
Other regulatory charges (credits) - net | 18,724 | 19,453 | 40,092 | 38,912 |
Costs and Expenses | 315,751 | 327,558 | 619,027 | 651,291 |
OPERATING INCOME | 56,443 | 36,022 | 92,503 | 52,763 |
OTHER INCOME | ||||
Allowance for equity funds used during construction | 11,601 | 6,413 | 22,242 | 11,494 |
Investment Income, Net | 343 | 374 | 772 | 2,056 |
Miscellaneous - net | (791) | 1,228 | (1,137) | 865 |
TOTAL | 11,153 | 8,015 | 21,877 | 14,415 |
INTEREST EXPENSE | ||||
Interest Expense, Debt | 23,137 | 20,153 | 45,995 | 42,613 |
Allowance for borrowed funds used during construction | (4,985) | (3,256) | (9,558) | (5,836) |
TOTAL | 18,152 | 16,897 | 36,437 | 36,777 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 49,444 | 27,140 | 77,943 | 30,401 |
Income taxes | 2,576 | (11,796) | (1,632) | (29,877) |
Consolidated net income | 46,868 | 38,936 | 79,575 | 60,278 |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 471 | 0 | 941 | 0 |
Earnings per average common share: | ||||
Net Income (Loss) Available to Common Stockholders, Basic | 46,397 | 38,936 | 78,634 | 60,278 |
Entergy Texas [Member] | Electricity [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 372,194 | 363,580 | 711,530 | 704,054 |
Entergy Texas [Member] | Natural Gas, US Regulated [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | 0 | 0 |
Entergy Texas [Member] | Electricity, Purchased [Member] | ||||
Operation and Maintenance: | ||||
Cost of Goods and Services Sold | 124,351 | 171,133 | 244,142 | 312,001 |
System Energy [Member] | ||||
Operation and Maintenance: | ||||
Fuel, fuel-related expenses, and gas purchased for resale | 6,008 | 21,026 | 19,151 | 42,587 |
Nuclear refueling outage expenses | 5,666 | 8,415 | 13,938 | 16,601 |
Utilities Operating Expense, Maintenance, Operations, and Other Costs and Expenses | 42,802 | 52,468 | 83,273 | 97,750 |
Decommissioning | 9,248 | 8,888 | 18,405 | 17,687 |
Taxes, Other | 7,105 | 7,176 | 15,078 | 14,715 |
Other Depreciation and Amortization | 27,501 | 26,574 | 54,400 | 53,148 |
Other regulatory charges (credits) - net | (3,517) | (9,838) | (14,077) | (19,043) |
Costs and Expenses | 94,813 | 114,709 | 190,168 | 223,445 |
OPERATING INCOME | 31,236 | 24,300 | 66,545 | 55,668 |
OTHER INCOME | ||||
Allowance for equity funds used during construction | 3,200 | 1,678 | 6,784 | 3,267 |
Investment Income, Net | 12,108 | 6,371 | 17,446 | 13,362 |
Miscellaneous - net | (2,157) | (1,490) | (4,617) | (2,718) |
TOTAL | 13,151 | 6,559 | 19,613 | 13,911 |
INTEREST EXPENSE | ||||
Interest Expense, Debt | 8,534 | 8,524 | 17,074 | 17,921 |
Allowance for borrowed funds used during construction | (634) | (410) | (1,345) | (799) |
TOTAL | 7,900 | 8,114 | 15,729 | 17,122 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 36,487 | 22,745 | 70,429 | 52,457 |
Income taxes | 7,496 | (1,727) | 12,925 | 4,407 |
Consolidated net income | 28,991 | 24,472 | 57,504 | 48,050 |
Earnings per average common share: | ||||
Net Income (Loss) Available to Common Stockholders, Basic | 28,991 | 24,472 | 57,504 | 48,050 |
System Energy [Member] | Electricity [Member] | ||||
REVENUES | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 126,049 | $ 139,009 | $ 256,713 | $ 279,113 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Proceeds from Sale of Productive Assets | $ 0 | $ 19,801 |
OPERATING ACTIVITIES | ||
Consolidated net income | 488,406 | 499,180 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 1,131,212 | 1,068,807 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | 68,332 | 225,749 |
Impairment of Long-Lived Assets Held-for-use | 11,735 | 26,684 |
Changes in working capital: | ||
Receivables | (30,990) | (127,259) |
Fuel inventory | (19,897) | (13,346) |
Accounts payable | (39,054) | (18,832) |
Taxes accrued | 44,469 | (38,186) |
Interest accrued | 4,188 | (144) |
Deferred fuel costs | 33,298 | 31,796 |
Other working capital accounts | (63,943) | (51,782) |
Changes in provisions for estimated losses | (37,968) | 4,719 |
Changes in other regulatory assets | 74,610 | (135,936) |
Increase (Decrease) in Regulatory Liabilities | (164,158) | 107,882 |
Changes in pension and other postretirement liabilities | (177,224) | (66,033) |
Other Noncash Income (Expense) | 125,291 | (460,209) |
Net cash flow provided by operating activities | 1,448,307 | 1,053,090 |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (2,185,294) | (2,095,520) |
Allowance for equity funds used during construction | 64,324 | 75,607 |
Nuclear fuel purchases | (113,592) | (54,523) |
Payments for Nuclear Fuel | (113,592) | (54,523) |
Payments to storm reserve escrow account | (1,965) | (4,623) |
Receipts from storm reserve escrow account | 40,589 | 0 |
Decrease in other investments | 2,262 | 51,073 |
Litigation proceeds for reimbursement of spent nuclear fuel storage costs | 67,252 | 0 |
Proceeds from nuclear decommissioning trust fund sales | 1,249,548 | 2,487,915 |
Investment in nuclear decommissioning trust funds | (1,309,209) | (2,523,805) |
Proceeds from insurance | 0 | 7,040 |
Changes in securitization account | 12,525 | 12,034 |
Net cash flow used in investing activities | (2,198,193) | (2,025,001) |
Proceeds from the issuance of: | ||
Proceeds from the issuance of long-term debt | 5,201,010 | 5,391,547 |
Proceeds from Sale of Treasury Stock | 41,753 | 57,797 |
Proceeds from Issuance of Common Stock | 0 | 607,650 |
Retirement of long-term debt | (3,592,919) | (4,214,495) |
Payments for Repurchase of Preferred Stock and Preference Stock | 0 | 50,000 |
Changes in credit borrowings and commercial paper - net | (508) | (306,877) |
Dividends paid: | ||
Common stock | (371,914) | (345,452) |
Preferred stock | (8,219) | |
Other | (8,448) | (5,106) |
Net cash flow provided by financing activities | 1,259,632 | 1,126,845 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 509,746 | 154,934 |
Cash and cash equivalents at beginning of period | 425,722 | 480,975 |
Cash and cash equivalents at end of period | 935,468 | 635,909 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | 405,248 | 388,566 |
Income taxes | (10,007) | (6,967) |
Payments to Acquire Buildings | (24,633) | 0 |
Dividends Paid, Preferred Stock | (9,342) | |
Entergy Arkansas [Member] | ||
OPERATING ACTIVITIES | ||
Consolidated net income | 104,765 | 89,420 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 243,126 | 231,968 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | 24,970 | 45,680 |
Changes in working capital: | ||
Receivables | (10,360) | 4,920 |
Fuel inventory | (12,704) | (4,707) |
Accounts payable | (34,009) | (14,280) |
Taxes accrued | (409) | (19,961) |
Interest accrued | 119 | 4,155 |
Deferred fuel costs | 16,322 | 56,182 |
Other working capital accounts | (23,858) | 23,275 |
Changes in provisions for estimated losses | 998 | 11,619 |
Changes in other regulatory assets | (26,191) | (57,516) |
Increase (Decrease) in Regulatory Liabilities | (50,637) | 70,958 |
Changes in pension and other postretirement liabilities | (419) | (12,487) |
Other Noncash Income (Expense) | 55,318 | (75,672) |
Net cash flow provided by operating activities | 287,031 | 353,554 |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (406,940) | (309,696) |
Allowance for equity funds used during construction | 6,795 | 6,964 |
Change in money pool receivable - net | 0 | (25,166) |
Nuclear fuel purchases | (57,781) | (6,691) |
Payments for Nuclear Fuel | (57,781) | (6,691) |
Proceeds from sale of nuclear fuel | 18,107 | 22,834 |
Litigation proceeds for reimbursement of spent nuclear fuel storage costs | 55,001 | 0 |
Proceeds from nuclear decommissioning trust fund sales | 183,474 | 83,407 |
Investment in nuclear decommissioning trust funds | (194,776) | (93,516) |
Changes in securitization account | 1,244 | 834 |
Net cash flow used in investing activities | (400,864) | (321,030) |
Proceeds from the issuance of: | ||
Proceeds from the issuance of long-term debt | 335,902 | 659,913 |
Retirement of long-term debt | (226,366) | (361,823) |
Change in money pool payable - net | 4,231 | (182,738) |
Dividends paid: | ||
Common stock | 0 | (115,000) |
Other | (880) | (1,052) |
Net cash flow provided by financing activities | 112,887 | (700) |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | (946) | 31,824 |
Cash and cash equivalents at beginning of period | 3,519 | 119 |
Cash and cash equivalents at end of period | 2,573 | 31,943 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | 69,276 | 62,486 |
Payments to Acquire Buildings | (5,988) | 0 |
Entergy Louisiana [Member] | ||
OPERATING ACTIVITIES | ||
Consolidated net income | 359,855 | 310,717 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 392,286 | 316,343 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | (1,353) | 99,015 |
Changes in working capital: | ||
Receivables | (38,175) | (75,330) |
Fuel inventory | (2,233) | (1,651) |
Accounts payable | (37,576) | (25,686) |
Taxes accrued | 91,662 | 46,654 |
Interest accrued | 3,689 | 1,918 |
Deferred fuel costs | (763) | (40,096) |
Other working capital accounts | (13,069) | (64,715) |
Changes in provisions for estimated losses | (38,621) | 1,612 |
Changes in other regulatory assets | 48,536 | (88,911) |
Increase (Decrease) in Regulatory Liabilities | (42,203) | 26,565 |
Changes in pension and other postretirement liabilities | (34,280) | (7,513) |
Other Noncash Income (Expense) | 39,034 | (25,702) |
Net cash flow provided by operating activities | 726,789 | 473,220 |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (690,049) | (900,264) |
Allowance for equity funds used during construction | 20,942 | 44,585 |
Change in money pool receivable - net | (87,635) | 9,633 |
Nuclear fuel purchases | (24,086) | (63,026) |
Payments for Nuclear Fuel | (24,086) | (63,026) |
Proceeds from sale of nuclear fuel | 35,041 | 0 |
Payments to storm reserve escrow account | (1,398) | (3,382) |
Receipts from storm reserve escrow account | 40,589 | 0 |
Litigation proceeds for reimbursement of spent nuclear fuel storage costs | 5,090 | 0 |
Proceeds from nuclear decommissioning trust fund sales | 223,736 | 195,433 |
Investment in nuclear decommissioning trust funds | (240,559) | (211,083) |
Proceeds from insurance | 0 | 7,040 |
Changes in securitization account | 755 | 406 |
Net cash flow used in investing activities | (732,085) | (920,658) |
Proceeds from the issuance of: | ||
Proceeds from the issuance of long-term debt | 1,401,887 | 1,883,990 |
Retirement of long-term debt | (826,456) | (1,332,807) |
Change in money pool payable - net | (82,826) | 0 |
Dividends paid: | ||
Common stock | (16,500) | (102,000) |
Other | (9,080) | (370) |
Net cash flow provided by financing activities | 467,025 | 448,813 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 461,729 | 1,375 |
Cash and cash equivalents at beginning of period | 2,006 | 43,364 |
Cash and cash equivalents at end of period | 463,735 | 44,739 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | 157,926 | 146,256 |
Income taxes | (20,684) | 0 |
Payments to Acquire Buildings | (14,511) | 0 |
Entergy Mississippi [Member] | ||
OPERATING ACTIVITIES | ||
Consolidated net income | 61,419 | 42,065 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 103,451 | 78,806 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | 13,126 | 19,924 |
Changes in working capital: | ||
Receivables | 7,076 | (6,288) |
Fuel inventory | (5,747) | (4,265) |
Accounts payable | 9,943 | 4,545 |
Taxes accrued | (34,195) | (46,815) |
Interest accrued | 1,399 | 2,022 |
Deferred fuel costs | (2,840) | 26,126 |
Other working capital accounts | 135 | 1,850 |
Changes in provisions for estimated losses | (1,782) | (6,274) |
Changes in other regulatory assets | (28,290) | (13,248) |
Increase (Decrease) in Regulatory Liabilities | (11,548) | (17,754) |
Changes in pension and other postretirement liabilities | (5,353) | (3,323) |
Other Noncash Income (Expense) | 5,628 | (6,402) |
Net cash flow provided by operating activities | 112,422 | 70,969 |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (267,231) | (210,263) |
Allowance for equity funds used during construction | 3,027 | 4,262 |
Change in money pool receivable - net | 31,382 | (65,380) |
Decrease in other investments | (163) | (310) |
Net cash flow used in investing activities | (261,597) | (271,691) |
Proceeds from the issuance of: | ||
Proceeds from the issuance of long-term debt | 165,408 | 293,051 |
Dividends paid: | ||
Common stock | (2,500) | 0 |
Other | 4,850 | (4,835) |
Net cash flow provided by financing activities | 167,758 | 288,216 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 18,583 | 87,494 |
Cash and cash equivalents at beginning of period | 51,601 | 36,954 |
Cash and cash equivalents at end of period | 70,184 | 124,448 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | 31,196 | 26,563 |
Payments to Acquire Buildings | (28,612) | 0 |
Entergy New Orleans [Member] | ||
OPERATING ACTIVITIES | ||
Consolidated net income | 16,115 | 22,026 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 30,701 | 28,390 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | 1,228 | 15,053 |
Changes in working capital: | ||
Receivables | 5,255 | (9,614) |
Fuel inventory | 1,042 | (336) |
Accounts payable | (1,725) | (3,412) |
Taxes accrued | 1,887 | (6,189) |
Interest accrued | 529 | (289) |
Deferred fuel costs | 3,351 | 2,028 |
Other working capital accounts | (19,793) | (13,204) |
Changes in provisions for estimated losses | 1,521 | 399 |
Changes in other regulatory assets | 3,508 | (16,470) |
Increase (Decrease) in Regulatory Liabilities | (14,151) | (8,574) |
Changes in pension and other postretirement liabilities | (7,523) | (3,627) |
Other Noncash Income (Expense) | 2,715 | 23,184 |
Net cash flow provided by operating activities | 24,660 | 29,365 |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (114,961) | (105,545) |
Allowance for equity funds used during construction | 4,533 | 4,976 |
Change in money pool receivable - net | (586) | 22,016 |
Payments to storm reserve escrow account | (405) | (931) |
Changes in securitization account | 451 | 768 |
Net cash flow used in investing activities | (112,552) | (78,716) |
Proceeds from the issuance of: | ||
Proceeds from the issuance of long-term debt | 138,939 | 0 |
Retirement of long-term debt | (25,616) | (5,420) |
Change in money pool payable - net | 0 | 36,303 |
Dividends paid: | ||
Other | (703) | (910) |
Net cash flow provided by financing activities | 112,620 | 29,973 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 24,728 | (19,378) |
Cash and cash equivalents at beginning of period | 6,017 | 19,677 |
Cash and cash equivalents at end of period | 30,745 | 299 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | 13,132 | 11,726 |
Income taxes | 3,332 | 0 |
Payments to Acquire Buildings | (1,584) | 0 |
Entergy Texas [Member] | ||
OPERATING ACTIVITIES | ||
Consolidated net income | 79,575 | 60,278 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 86,401 | 74,349 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | 9,470 | 8,895 |
Changes in working capital: | ||
Receivables | (20,524) | 25,236 |
Fuel inventory | 1,222 | (589) |
Accounts payable | (3,543) | (15,596) |
Taxes accrued | (11,390) | (9,091) |
Interest accrued | 359 | (7,787) |
Deferred fuel costs | 17,226 | (12,445) |
Other working capital accounts | 9,928 | 1,998 |
Changes in provisions for estimated losses | 91 | (3,294) |
Changes in other regulatory assets | 50,347 | 28,742 |
Increase (Decrease) in Regulatory Liabilities | (23,947) | (50,817) |
Changes in pension and other postretirement liabilities | (13,825) | (3,899) |
Other Noncash Income (Expense) | (10,842) | 10,897 |
Net cash flow provided by operating activities | 170,548 | 106,877 |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (495,560) | (424,229) |
Allowance for equity funds used during construction | 22,242 | 11,551 |
Change in money pool receivable - net | 3,379 | 0 |
Changes in securitization account | 10,075 | 10,027 |
Net cash flow used in investing activities | (464,795) | (402,651) |
Proceeds from the issuance of: | ||
Proceeds from the issuance of long-term debt | 194,256 | 691,808 |
Retirement of long-term debt | (43,376) | (541,442) |
Change in money pool payable - net | 0 | 146,275 |
Dividends paid: | ||
Preferred stock | (1,124) | 0 |
Other | (1,199) | 924 |
Net cash flow provided by financing activities | 323,557 | 297,565 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 29,310 | 1,791 |
Cash and cash equivalents at beginning of period | 12,929 | 56 |
Cash and cash equivalents at end of period | 42,239 | 1,847 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | 44,683 | 49,229 |
Income taxes | 4,031 | 2,292 |
Proceeds from Contributions from Parent | 175,000 | 0 |
Payments to Acquire Buildings | (4,931) | 0 |
System Energy [Member] | ||
OPERATING ACTIVITIES | ||
Consolidated net income | 57,504 | 48,050 |
Adjustments to reconcile consolidated net income to net cash flow provided by operating activities: | ||
Depreciation, amortization, and decommissioning, including nuclear fuel amortization | 88,343 | 106,972 |
Deferred income taxes, investment tax credits, and non-current taxes accrued | 517 | 4,799 |
Changes in working capital: | ||
Receivables | 18,213 | (15,402) |
Accounts payable | (18,591) | (6,770) |
Taxes accrued | 6,020 | (3,196) |
Interest accrued | (12) | (1,275) |
Other working capital accounts | (41,850) | 1,205 |
Changes in other regulatory assets | (21,072) | (7,238) |
Increase (Decrease) in Regulatory Liabilities | (21,672) | 87,502 |
Changes in pension and other postretirement liabilities | (5,354) | (2,121) |
Other Noncash Income (Expense) | 22,690 | (82,150) |
Net cash flow provided by operating activities | 84,736 | 130,376 |
INVESTING ACTIVITIES | ||
Construction/capital expenditures | (147,889) | (58,714) |
Allowance for equity funds used during construction | 6,784 | 3,267 |
Change in money pool receivable - net | 59,298 | 35,588 |
Nuclear fuel purchases | (75,024) | (1,964) |
Payments for Nuclear Fuel | (75,024) | (1,964) |
Proceeds from sale of nuclear fuel | 9,573 | 18,280 |
Proceeds from nuclear decommissioning trust fund sales | 275,563 | 190,975 |
Investment in nuclear decommissioning trust funds | (286,018) | (200,909) |
Net cash flow used in investing activities | (157,713) | (13,477) |
Proceeds from the issuance of: | ||
Proceeds from the issuance of long-term debt | 482,533 | 847,380 |
Retirement of long-term debt | (434,104) | (888,003) |
Change in money pool payable - net | 15,774 | 0 |
Dividends paid: | ||
Common stock | (59,653) | (88,000) |
Net cash flow provided by financing activities | 4,550 | (128,623) |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | (68,427) | (11,724) |
Cash and cash equivalents at beginning of period | 68,534 | 95,685 |
Cash and cash equivalents at end of period | 107 | 83,961 |
Cash paid / (received) during the period for: | ||
Interest - net of amount capitalized | 8,589 | 12,462 |
Income taxes | $ (4,000) | $ 0 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 | Jun. 30, 2019 | Dec. 31, 2018 |
Cash and cash equivalents: | ||||
Cash | $ 55,510 | $ 34,242 | ||
Temporary cash investments | 879,958 | 391,480 | ||
Total cash and cash equivalents | 935,468 | 425,722 | $ 635,909 | $ 480,975 |
Securitization recovery trust account | 35,000 | 47,000 | ||
Accounts receivable: | ||||
Customer | 636,351 | 595,509 | ||
Allowance for doubtful accounts | (43,281) | (7,404) | ||
Other | 119,703 | 219,870 | ||
Accrued unbilled revenues | 464,647 | 400,617 | ||
Total accounts receivable | 1,177,420 | 1,208,592 | ||
Fuel inventory - at average cost | 165,373 | 145,476 | ||
Public Utilities, Inventory | 870,935 | 824,989 | ||
Deferred nuclear refueling outage costs | 154,779 | 157,568 | ||
Prepaid Expense and Other Assets, Current | 243,021 | 283,645 | ||
TOTAL | 3,546,996 | 3,045,992 | ||
OTHER PROPERTY AND INVESTMENTS | ||||
Decommissioning trust funds | 6,486,595 | 6,404,030 | ||
Non-utility property - at cost (less accumulated depreciation) | 337,849 | 332,864 | ||
Other | 462,612 | 496,452 | ||
TOTAL | 7,287,056 | 7,233,346 | ||
PROPERTY, PLANT, AND EQUIPMENT | ||||
Electric | 56,494,877 | 54,271,467 | ||
Natural gas | 559,217 | 547,110 | ||
Construction work in progress | 2,143,909 | 2,823,291 | ||
Nuclear fuel | 636,538 | 677,181 | ||
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 59,834,541 | 58,319,049 | ||
Less - accumulated depreciation and amortization | 23,527,399 | 23,136,356 | ||
PROPERTY, PLANT, AND EQUIPMENT - NET | 36,307,142 | 35,182,693 | ||
Regulatory assets: | ||||
Other regulatory assets | 5,217,445 | 5,292,055 | ||
Deferred Fuel Cost Non Current | 240,157 | 239,892 | ||
Goodwill | 377,172 | 377,172 | ||
Deferred Income Tax Assets, Net | 76,855 | 64,461 | ||
Other | 312,479 | 288,301 | ||
Deferred Costs and Other Assets | 6,224,108 | 6,261,881 | ||
TOTAL ASSETS | 53,365,302 | 51,723,912 | ||
CURRENT LIABILITIES | ||||
Currently maturing long-term debt | 1,205,015 | 795,012 | ||
Short-term borrowings | 1,946,219 | 1,946,727 | ||
Accounts payable | 1,509,355 | 1,499,861 | ||
Taxes Payable, Current | 277,924 | 233,455 | ||
Interest accrued | 198,317 | 194,129 | ||
Deferred fuel costs | 231,250 | 197,687 | ||
Pension and other postretirement liabilities | 60,538 | 66,184 | ||
Current portion of regulatory liability for income taxes - net related to unprotected ADIT | 62,818 | 76,457 | ||
Other | 216,214 | 201,780 | ||
TOTAL | 6,115,901 | 5,620,463 | ||
NON-CURRENT LIABILITIES | ||||
Deferred Income Tax Liabilities, Net | 4,538,706 | 4,401,190 | ||
Accumulated deferred investment tax credits | 202,981 | 207,113 | ||
Regulatory liability for income taxes - net | 1,565,468 | 1,633,159 | ||
Other regulatory liabilities | 1,878,177 | 1,961,005 | ||
Decommissioning and asset retirement cost liabilities | 6,318,786 | 6,159,212 | ||
Loss Contingency Accrual | 496,060 | 534,028 | ||
Pension and other postretirement liabilities | 2,626,687 | 2,798,265 | ||
Long-term debt | 18,278,358 | 17,078,643 | ||
Deferred Credits and Other Liabilities | 663,780 | 852,749 | ||
TOTAL | 36,569,003 | 35,625,364 | ||
Subsidiaries' preferred stock without sinking fund | 219,410 | 219,410 | ||
Common Shareholders' Equity: | ||||
Common Stock, Value, Issued | 2,700 | 2,700 | ||
Additional Paid in Capital, Common Stock | 6,524,330 | 6,564,436 | ||
Accumulated other comprehensive loss | (388,604) | (446,920) | (430,404) | (557,173) |
Less - treasury stock, at cost | 5,076,961 | 5,154,150 | ||
TOTAL | 10,425,988 | 10,223,675 | ||
Stockholders' Equity Attributable to Noncontrolling Interest | 35,000 | 35,000 | ||
Retained Earnings (Accumulated Deficit) | 9,364,523 | 9,257,609 | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 10,460,988 | 10,258,675 | 9,797,503 | 8,844,305 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 53,365,302 | 51,723,912 | ||
Long-term Transition Bond, Noncurrent | $ 231,870 | $ 297,981 | ||
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 | ||
Common Stock, Shares Authorized | 500,000,000 | 500,000,000 | ||
Common Stock, Shares, Issued | 270,035,180 | 270,035,180 | ||
Securitized Regulatory Transition Assets, Noncurrent | $ 183,566 | $ 239,219 | ||
Contract with Customer, Liability, Current | 408,251 | 409,171 | ||
Entergy Arkansas [Member] | ||||
Cash and cash equivalents: | ||||
Cash | 2,563 | 3,519 | ||
Temporary cash investments | 10 | 0 | ||
Total cash and cash equivalents | 2,573 | 3,519 | 31,943 | 119 |
Securitization recovery trust account | 2,792 | 4,036 | ||
Accounts receivable: | ||||
Customer | 136,852 | 117,679 | ||
Allowance for doubtful accounts | (7,340) | (1,169) | ||
Associated companies | 37,835 | 29,178 | ||
Other | 34,069 | 117,653 | ||
Accrued unbilled revenues | 125,773 | 108,489 | ||
Total accounts receivable | 327,189 | 371,830 | ||
Fuel inventory - at average cost | 46,449 | 33,745 | ||
Public Utilities, Inventory | 226,429 | 211,320 | ||
Deferred nuclear refueling outage costs | 57,241 | 48,875 | ||
Prepaid Expense and Other Assets, Current | 18,656 | 14,096 | ||
TOTAL | 681,329 | 687,421 | ||
OTHER PROPERTY AND INVESTMENTS | ||||
Decommissioning trust funds | 1,109,840 | 1,101,283 | ||
Other | 343 | 345 | ||
TOTAL | 1,110,183 | 1,101,628 | ||
PROPERTY, PLANT, AND EQUIPMENT | ||||
Electric | 12,520,703 | 12,293,483 | ||
Construction work in progress | 296,333 | 197,775 | ||
Nuclear fuel | 167,409 | 195,547 | ||
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 12,984,445 | 12,686,805 | ||
Less - accumulated depreciation and amortization | 5,137,471 | 5,019,826 | ||
PROPERTY, PLANT, AND EQUIPMENT - NET | 7,846,974 | 7,666,979 | ||
Regulatory assets: | ||||
Other regulatory assets | 1,693,041 | 1,666,850 | ||
Deferred Fuel Cost Non Current | 67,955 | 67,690 | ||
Other | 17,447 | 15,065 | ||
Deferred Costs and Other Assets | 1,778,443 | 1,749,605 | ||
TOTAL ASSETS | 11,416,929 | 11,205,633 | ||
CURRENT LIABILITIES | ||||
Currently maturing long-term debt | 395,000 | 0 | ||
Associated companies accounts payable | 77,265 | 111,785 | ||
Accounts payable | 189,134 | 202,201 | ||
Taxes Payable, Current | 81,422 | 81,831 | ||
Interest accrued | 22,907 | 22,788 | ||
Deferred fuel costs | 70,308 | 53,721 | ||
Current portion of regulatory liability for income taxes - net related to unprotected ADIT | 0 | 9,296 | ||
Other | 42,901 | 38,760 | ||
TOTAL | 980,612 | 621,793 | ||
NON-CURRENT LIABILITIES | ||||
Deferred Income Tax Liabilities, Net | 1,221,140 | 1,183,126 | ||
Accumulated deferred investment tax credits | 31,101 | 31,701 | ||
Regulatory liability for income taxes - net | 466,850 | 478,174 | ||
Other regulatory liabilities | 529,538 | 559,555 | ||
Decommissioning and asset retirement cost liabilities | 1,276,988 | 1,242,616 | ||
Loss Contingency Accrual | 64,878 | 63,880 | ||
Pension and other postretirement liabilities | 318,642 | 319,075 | ||
Long-term debt | 3,233,588 | 3,517,208 | ||
Deferred Credits and Other Liabilities | 62,890 | 62,568 | ||
TOTAL | 7,205,615 | 7,457,903 | ||
Common Shareholders' Equity: | ||||
Members' Equity | 3,230,702 | 3,125,937 | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 3,230,702 | 3,125,937 | 2,957,523 | 2,983,103 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 11,416,929 | 11,205,633 | ||
Long-term Transition Bond, Noncurrent | 0 | 6,772 | ||
Securitized Regulatory Transition Assets, Noncurrent | 0 | 1,706 | ||
Contract with Customer, Liability, Current | 101,675 | 101,411 | ||
Entergy Louisiana [Member] | ||||
Cash and cash equivalents: | ||||
Cash | 296 | 488 | ||
Temporary cash investments | 463,439 | 1,518 | ||
Total cash and cash equivalents | 463,735 | 2,006 | 44,739 | 43,364 |
Securitization recovery trust account | 2,900 | 3,700 | ||
Accounts receivable: | ||||
Customer | 238,585 | 194,869 | ||
Allowance for doubtful accounts | (14,516) | (1,902) | ||
Associated companies | 151,992 | 77,212 | ||
Other | 47,547 | 42,179 | ||
Accrued unbilled revenues | 183,761 | 169,201 | ||
Total accounts receivable | 607,369 | 481,559 | ||
Fuel inventory - at average cost | 43,846 | 41,613 | ||
Public Utilities, Inventory | 378,623 | 354,020 | ||
Deferred nuclear refueling outage costs | 32,382 | 56,743 | ||
Prepaid Expense and Other Assets, Current | 54,725 | 37,837 | ||
Prepaid Taxes | 0 | 7,959 | ||
TOTAL | 1,580,680 | 981,737 | ||
Investments in and Advances to Affiliates, at Fair Value | 1,390,587 | 1,390,587 | ||
OTHER PROPERTY AND INVESTMENTS | ||||
Decommissioning trust funds | 1,565,006 | 1,563,812 | ||
Non-utility property - at cost (less accumulated depreciation) | 317,337 | 312,896 | ||
Storm Reserve Escrow Account | 256,684 | 295,875 | ||
Other | 13,134 | 13,476 | ||
TOTAL | 3,542,748 | 3,576,646 | ||
PROPERTY, PLANT, AND EQUIPMENT | ||||
Electric | 23,763,970 | 22,620,365 | ||
Natural gas | 241,943 | 235,678 | ||
Construction work in progress | 670,116 | 1,383,603 | ||
Nuclear fuel | 200,277 | 267,779 | ||
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 24,876,306 | 24,507,425 | ||
Less - accumulated depreciation and amortization | 9,183,284 | 9,118,524 | ||
PROPERTY, PLANT, AND EQUIPMENT - NET | 15,693,022 | 15,388,901 | ||
Regulatory assets: | ||||
Other regulatory assets | 1,266,675 | 1,315,211 | ||
Deferred Fuel Cost Non Current | 168,122 | 168,122 | ||
Other | 30,258 | 33,491 | ||
Deferred Costs and Other Assets | 1,465,055 | 1,516,824 | ||
TOTAL ASSETS | 22,281,505 | 21,464,108 | ||
CURRENT LIABILITIES | ||||
Currently maturing long-term debt | 560,002 | 320,002 | ||
Associated companies accounts payable | 78,264 | 187,615 | ||
Accounts payable | 493,796 | 357,206 | ||
Taxes Payable, Current | 83,703 | 0 | ||
Interest accrued | 91,433 | 87,744 | ||
Deferred fuel costs | 54,882 | 55,645 | ||
Current portion of regulatory liability for income taxes - net related to unprotected ADIT | 31,138 | 31,138 | ||
Other | 69,084 | 64,668 | ||
TOTAL | 1,614,895 | 1,257,115 | ||
NON-CURRENT LIABILITIES | ||||
Deferred Income Tax Liabilities, Net | 2,484,034 | 2,464,513 | ||
Accumulated deferred investment tax credits | 109,723 | 112,128 | ||
Regulatory liability for income taxes - net | 478,327 | 500,083 | ||
Other regulatory liabilities | 773,693 | 794,140 | ||
Decommissioning and asset retirement cost liabilities | 1,534,849 | 1,497,349 | ||
Loss Contingency Accrual | 281,798 | 320,419 | ||
Pension and other postretirement liabilities | 644,364 | 677,619 | ||
Long-term debt | 7,319,739 | 6,983,667 | ||
Deferred Credits and Other Liabilities | 291,111 | 459,957 | ||
TOTAL | 13,917,638 | 13,809,875 | ||
Common Shareholders' Equity: | ||||
Accumulated other comprehensive loss | 13,084 | 4,562 | ||
Members' Equity | 6,735,888 | 6,392,556 | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 6,748,972 | 6,397,118 | 6,109,672 | 5,902,918 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 22,281,505 | 21,464,108 | ||
Long-term Transition Bond, Noncurrent | 22,610 | 33,220 | ||
Securitized Regulatory Transition Assets, Noncurrent | 17,413 | 27,596 | ||
Contract with Customer, Liability, Current | 152,593 | 153,097 | ||
Entergy Mississippi [Member] | ||||
Cash and cash equivalents: | ||||
Cash | 12 | 11 | ||
Temporary cash investments | 70,172 | 51,590 | ||
Total cash and cash equivalents | 70,184 | 51,601 | 124,448 | 36,954 |
Accounts receivable: | ||||
Customer | 82,289 | 92,050 | ||
Allowance for doubtful accounts | (7,195) | (636) | ||
Associated companies | 16,750 | 49,257 | ||
Other | 9,549 | 14,986 | ||
Accrued unbilled revenues | 63,232 | 47,426 | ||
Total accounts receivable | 164,625 | 203,083 | ||
Fuel inventory - at average cost | 20,886 | 15,139 | ||
Public Utilities, Inventory | 54,604 | 57,972 | ||
Prepaid Expense and Other Assets, Current | 10,622 | 7,149 | ||
TOTAL | 320,921 | 334,944 | ||
OTHER PROPERTY AND INVESTMENTS | ||||
Non-utility property - at cost (less accumulated depreciation) | 4,552 | 4,560 | ||
Escrow accounts | 80,365 | 80,201 | ||
TOTAL | 84,917 | 84,761 | ||
PROPERTY, PLANT, AND EQUIPMENT | ||||
Electric | 5,832,362 | 5,672,589 | ||
Construction work in progress | 144,951 | 88,373 | ||
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 5,977,313 | 5,760,962 | ||
Less - accumulated depreciation and amortization | 1,941,524 | 1,894,000 | ||
PROPERTY, PLANT, AND EQUIPMENT - NET | 4,035,789 | 3,866,962 | ||
Regulatory assets: | ||||
Other regulatory assets | 406,262 | 377,972 | ||
Other | 16,269 | 10,105 | ||
Deferred Costs and Other Assets | 422,531 | 388,077 | ||
TOTAL ASSETS | 4,864,158 | 4,674,744 | ||
CURRENT LIABILITIES | ||||
Associated companies accounts payable | 38,478 | 48,090 | ||
Accounts payable | 101,418 | 94,729 | ||
Taxes Payable, Current | 56,466 | 90,661 | ||
Interest accrued | 20,299 | 18,900 | ||
Deferred fuel costs | 67,562 | 70,402 | ||
Other | 48,043 | 32,667 | ||
TOTAL | 418,533 | 441,387 | ||
NON-CURRENT LIABILITIES | ||||
Deferred Income Tax Liabilities, Net | 615,383 | 594,832 | ||
Accumulated deferred investment tax credits | 9,522 | 9,602 | ||
Regulatory liability for income taxes - net | 232,053 | 236,988 | ||
Other regulatory liabilities | 14,899 | 21,512 | ||
Decommissioning and asset retirement cost liabilities | 9,497 | 9,727 | ||
Loss Contingency Accrual | 48,239 | 50,021 | ||
Pension and other postretirement liabilities | 94,064 | 99,406 | ||
Long-term debt | 1,780,040 | 1,614,129 | ||
Deferred Credits and Other Liabilities | 40,858 | 54,989 | ||
TOTAL | 2,844,555 | 2,691,206 | ||
Common Shareholders' Equity: | ||||
Members' Equity | 1,601,070 | 1,542,151 | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 1,601,070 | 1,542,151 | 1,334,291 | 1,292,226 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 4,864,158 | 4,674,744 | ||
Contract with Customer, Liability, Current | 86,267 | 85,938 | ||
Entergy New Orleans [Member] | ||||
Cash and cash equivalents: | ||||
Cash | 295 | 26 | ||
Temporary cash investments | 30,450 | 5,991 | ||
Total cash and cash equivalents | 30,745 | 6,017 | 299 | 19,677 |
Securitization recovery trust account | 1,538 | 1,989 | ||
Accounts receivable: | ||||
Customer | 51,468 | 48,265 | ||
Allowance for doubtful accounts | (8,382) | (3,226) | ||
Associated companies | 6,676 | 6,280 | ||
Other | 4,076 | 7,378 | ||
Accrued unbilled revenues | 25,643 | 25,453 | ||
Total accounts receivable | 79,481 | 84,150 | ||
Fuel inventory - at average cost | 878 | 1,920 | ||
Public Utilities, Inventory | 15,003 | 13,522 | ||
Prepaid Expense and Other Assets, Current | 11,898 | 4,846 | ||
TOTAL | 139,543 | 112,444 | ||
OTHER PROPERTY AND INVESTMENTS | ||||
Non-utility property - at cost (less accumulated depreciation) | 1,016 | 1,016 | ||
Storm Reserve Escrow Account | 83,010 | 82,605 | ||
TOTAL | 84,026 | 83,621 | ||
PROPERTY, PLANT, AND EQUIPMENT | ||||
Electric | 1,683,153 | 1,467,215 | ||
Natural gas | 317,273 | 311,432 | ||
Construction work in progress | 68,793 | 201,829 | ||
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 2,069,219 | 1,980,476 | ||
Less - accumulated depreciation and amortization | 728,665 | 715,406 | ||
PROPERTY, PLANT, AND EQUIPMENT - NET | 1,340,554 | 1,265,070 | ||
Regulatory assets: | ||||
Other regulatory assets | 255,855 | 259,363 | ||
Deferred Fuel Cost Non Current | 4,080 | 4,080 | ||
Other | 19,187 | 10,720 | ||
Deferred Costs and Other Assets | 279,122 | 274,163 | ||
TOTAL ASSETS | 1,843,245 | 1,735,298 | ||
CURRENT LIABILITIES | ||||
Currently maturing long-term debt | 25,000 | 25,000 | ||
Notes Payable, Related Parties, Current | 1,838 | 1,838 | ||
Associated companies accounts payable | 40,359 | 43,222 | ||
Accounts payable | 39,837 | 43,963 | ||
Taxes Payable, Current | 6,189 | 4,302 | ||
Interest accrued | 7,445 | 6,916 | ||
Deferred fuel costs | 8,269 | 4,918 | ||
Current portion of regulatory liability for income taxes - net related to unprotected ADIT | 3,663 | 9,470 | ||
Other | 4,900 | 15,827 | ||
TOTAL | 165,555 | 183,949 | ||
NON-CURRENT LIABILITIES | ||||
Deferred Income Tax Liabilities, Net | 358,318 | 354,536 | ||
Accumulated deferred investment tax credits | 2,100 | 2,131 | ||
Regulatory liability for income taxes - net | 47,893 | 49,090 | ||
Decommissioning and asset retirement cost liabilities | 3,643 | 3,522 | ||
Loss Contingency Accrual | 90,063 | 88,542 | ||
Long-term debt | 635,250 | 521,539 | ||
Notes Payable, Related Parties, Noncurrent | 12,529 | 12,529 | ||
Deferred Credits and Other Liabilities | 14,200 | 21,881 | ||
TOTAL | 1,163,996 | 1,053,770 | ||
Common Shareholders' Equity: | ||||
Members' Equity | 513,694 | 497,579 | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 513,694 | 497,579 | 466,976 | 444,950 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 1,843,245 | 1,735,298 | ||
Long-term Transition Bond, Noncurrent | 47,146 | 52,641 | ||
Securitized Regulatory Transition Assets, Noncurrent | 43,790 | 49,542 | ||
Contract with Customer, Liability, Current | 28,055 | 28,493 | ||
Entergy Texas [Member] | ||||
Cash and cash equivalents: | ||||
Cash | 1,113 | 25 | ||
Temporary cash investments | 41,126 | 12,904 | ||
Total cash and cash equivalents | 42,239 | 12,929 | 1,847 | 56 |
Securitization recovery trust account | 27,645 | 37,720 | ||
Accounts receivable: | ||||
Customer | 77,596 | 59,365 | ||
Allowance for doubtful accounts | (5,848) | (471) | ||
Associated companies | 19,656 | 24,001 | ||
Other | 9,496 | 17,050 | ||
Accrued unbilled revenues | 66,238 | 50,048 | ||
Total accounts receivable | 167,138 | 149,993 | ||
Fuel inventory - at average cost | 46,371 | 47,593 | ||
Public Utilities, Inventory | 46,404 | 46,056 | ||
Prepaid Expense and Other Assets, Current | 11,801 | 21,012 | ||
TOTAL | 341,598 | 315,303 | ||
OTHER PROPERTY AND INVESTMENTS | ||||
Investment in affiliates - at equity | 373 | 396 | ||
Non-utility property - at cost (less accumulated depreciation) | 376 | 376 | ||
Other | 20,521 | 20,077 | ||
TOTAL | 21,270 | 20,849 | ||
PROPERTY, PLANT, AND EQUIPMENT | ||||
Electric | 5,515,459 | 5,199,027 | ||
Construction work in progress | 854,846 | 760,354 | ||
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 6,370,305 | 5,959,381 | ||
Less - accumulated depreciation and amortization | 1,816,733 | 1,770,852 | ||
PROPERTY, PLANT, AND EQUIPMENT - NET | 4,553,572 | 4,188,529 | ||
Regulatory assets: | ||||
Other regulatory assets | 462,301 | 512,648 | ||
Other | 55,920 | 33,393 | ||
Deferred Costs and Other Assets | 518,221 | 546,041 | ||
TOTAL ASSETS | 5,434,661 | 5,070,722 | ||
CURRENT LIABILITIES | ||||
Currently maturing long-term debt | 125,000 | 0 | ||
Associated companies accounts payable | 49,231 | 58,055 | ||
Accounts payable | 152,363 | 188,460 | ||
Taxes Payable, Current | 38,318 | 49,708 | ||
Interest accrued | 19,351 | 18,992 | ||
Deferred fuel costs | 30,227 | 13,001 | ||
Current portion of regulatory liability for income taxes - net related to unprotected ADIT | 28,017 | 26,552 | ||
Other | 12,248 | 10,521 | ||
TOTAL | 494,416 | 405,521 | ||
NON-CURRENT LIABILITIES | ||||
Deferred Income Tax Liabilities, Net | 603,479 | 585,413 | ||
Accumulated deferred investment tax credits | 10,250 | 10,559 | ||
Regulatory liability for income taxes - net | 204,006 | 225,980 | ||
Other regulatory liabilities | 38,647 | 42,085 | ||
Decommissioning and asset retirement cost liabilities | 7,844 | 7,631 | ||
Loss Contingency Accrual | 8,199 | 8,108 | ||
Long-term debt | 1,945,503 | 1,922,956 | ||
Deferred Credits and Other Liabilities | 69,286 | 63,062 | ||
TOTAL | 2,887,214 | 2,865,794 | ||
Common Shareholders' Equity: | ||||
Common Stock, Value, Issued | 49,452 | 49,452 | ||
Additional Paid in Capital, Common Stock | 955,172 | 780,182 | ||
TOTAL | 2,018,031 | 1,764,407 | ||
Stockholders' Equity Attributable to Noncontrolling Interest | 35,000 | 35,000 | ||
Retained Earnings (Accumulated Deficit) | 1,013,407 | 934,773 | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 2,053,031 | 1,799,407 | 1,482,680 | 1,422,402 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 5,434,661 | 5,070,722 | ||
Long-term Transition Bond, Noncurrent | $ 162,114 | $ 205,349 | ||
Common Stock, Shares Authorized | 200,000,000 | 200,000,000 | ||
Common Stock, Shares, Issued | 46,525,000 | 46,525,000 | ||
Securitized Regulatory Transition Assets, Noncurrent | $ 125,578 | $ 160,375 | ||
Common Stock, Shares, Outstanding | 46,525,000 | 46,525,000 | ||
Contract with Customer, Liability, Current | $ 39,661 | $ 40,232 | ||
System Energy [Member] | ||||
Cash and cash equivalents: | ||||
Cash | 107 | 93 | ||
Temporary cash investments | 0 | 68,441 | ||
Total cash and cash equivalents | 107 | 68,534 | 83,961 | 95,685 |
Accounts receivable: | ||||
Associated companies | 48,658 | 121,972 | ||
Other | 3,350 | 7,547 | ||
Total accounts receivable | 52,008 | 129,519 | ||
Public Utilities, Inventory | 118,094 | 108,766 | ||
Deferred nuclear refueling outage costs | 46,294 | 14,493 | ||
Prepaid Expense and Other Assets, Current | 6,767 | 6,045 | ||
TOTAL | 223,270 | 327,357 | ||
OTHER PROPERTY AND INVESTMENTS | ||||
Decommissioning trust funds | 1,059,540 | 1,054,098 | ||
TOTAL | 1,059,540 | 1,054,098 | ||
PROPERTY, PLANT, AND EQUIPMENT | ||||
Electric | 5,267,331 | 5,070,859 | ||
Construction work in progress | 67,059 | 164,996 | ||
Nuclear fuel | 201,890 | 149,574 | ||
TOTAL PROPERTY, PLANT, AND EQUIPMENT | 5,536,280 | 5,385,429 | ||
Less - accumulated depreciation and amortization | 3,306,393 | 3,285,487 | ||
PROPERTY, PLANT, AND EQUIPMENT - NET | 2,229,887 | 2,099,942 | ||
Regulatory assets: | ||||
Other regulatory assets | 511,155 | 490,083 | ||
Deferred Income Tax Assets, Net | 0 | 8,023 | ||
Other | 3,218 | 3,192 | ||
Deferred Costs and Other Assets | 514,373 | 501,298 | ||
TOTAL ASSETS | 4,027,070 | 3,982,695 | ||
CURRENT LIABILITIES | ||||
Currently maturing long-term debt | 100,012 | 10 | ||
Associated companies accounts payable | 25,772 | 14,619 | ||
Accounts payable | 54,427 | 64,144 | ||
Taxes Payable, Current | 19,852 | 13,832 | ||
Interest accrued | 11,981 | 11,993 | ||
Other | 3,382 | 3,381 | ||
TOTAL | 215,426 | 107,979 | ||
NON-CURRENT LIABILITIES | ||||
Deferred Income Tax Liabilities, Net | 820,699 | 821,963 | ||
Accumulated deferred investment tax credits | 39,542 | 40,181 | ||
Regulatory liability for income taxes - net | 136,339 | 142,845 | ||
Other regulatory liabilities | 518,249 | 533,415 | ||
Decommissioning and asset retirement cost liabilities | 950,135 | 931,729 | ||
Pension and other postretirement liabilities | 104,462 | 109,816 | ||
Long-term debt | 496,849 | 548,097 | ||
Deferred Credits and Other Liabilities | 35,450 | 34,602 | ||
TOTAL | 3,101,725 | 3,162,648 | ||
Common Shareholders' Equity: | ||||
Common Stock, Value, Issued | 601,850 | 601,850 | ||
Retained Earnings (Accumulated Deficit) | 108,069 | 110,218 | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 709,919 | 712,068 | $ 697,248 | $ 737,198 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 4,027,070 | $ 3,982,695 | ||
Common Stock, Shares Authorized | 1,000,000 | 1,000,000 | ||
Common Stock, Shares, Issued | 789,350 | 789,350 | ||
Common Stock, Shares, Outstanding | 789,350 | 789,350 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Securitization property | $ 183,566 | $ 239,219 |
Securitization bonds | $ 231,870 | $ 297,981 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 270,035,180 | 270,035,180 |
Treasury stock, shares | 69,824,801 | 70,886,400 |
Entergy Arkansas [Member] | ||
Securitization property | $ 0 | $ 1,706 |
Securitization bonds | 0 | 6,772 |
Entergy Louisiana [Member] | ||
Securitization property | 17,413 | 27,596 |
Securitization bonds | 22,610 | 33,220 |
Entergy New Orleans [Member] | ||
Securitization property | 43,790 | 49,542 |
Securitization bonds | 47,146 | 52,641 |
Entergy Texas [Member] | ||
Securitization property | 125,578 | 160,375 |
Securitization bonds | $ 162,114 | $ 205,349 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 46,525,000 | 46,525,000 |
Common stock, shares outstanding | 46,525,000 | 46,525,000 |
System Energy [Member] | ||
Common stock, shares authorized | 1,000,000 | 1,000,000 |
Common stock, shares issued | 789,350 | 789,350 |
Common stock, shares outstanding | 789,350 | 789,350 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Net income | $ 365,113 | $ 240,533 | $ 488,406 | $ 499,180 |
Other comprehensive income (loss) | ||||
Cash flow hedges net unrealized gain (loss) | (25,406) | 94,982 | (47,116) | 82,556 |
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss), Reclassification Adjustment from AOCI, after Tax | 17,224 | 11,496 | 71,123 | 23,046 |
Net unrealized investment gains | 18,565 | 14,270 | 34,309 | 27,973 |
Other comprehensive income (loss) | 10,383 | 120,748 | 58,316 | 133,575 |
Total comprehensive income | 375,496 | 361,281 | 546,722 | 632,755 |
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 4,580 | 4,109 | 9,159 | 8,219 |
Comprehensive Income Attributable to Entergy Corporation | 370,916 | 357,172 | 537,563 | 624,536 |
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | 4,713 | 3,077 | 19,789 | 6,326 |
Other Comprehensive Income (Loss), Securities, Available-for-sale, Tax | 10,812 | 8,096 | 19,555 | 16,169 |
Entergy Louisiana [Member] | ||||
Net income | 170,459 | 183,084 | 359,855 | 310,717 |
Other comprehensive income (loss) | ||||
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss), Reclassification Adjustment from AOCI, after Tax | (945) | (969) | 8,522 | (1,938) |
Other comprehensive income (loss) | (945) | (969) | 8,522 | (1,938) |
Total comprehensive income | 169,514 | 182,115 | 368,377 | 308,779 |
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | (334) | (342) | 3,006 | (684) |
Entergy Arkansas [Member] | ||||
Net income | $ 60,170 | $ 50,299 | $ 104,765 | $ 89,420 |
Consolidated Statements Of Co_2
Consolidated Statements Of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Tax | $ (6,760) | $ 25,242 | $ (12,537) | $ 19,890 |
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | 4,713 | 3,077 | 19,789 | 6,326 |
Other Comprehensive Income (Loss), Securities, Available-for-sale, Tax | 10,812 | 8,096 | 19,555 | 16,169 |
Entergy Louisiana [Member] | ||||
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | $ (334) | $ (342) | $ 3,006 | $ (684) |
Consolidated Statements Of Chan
Consolidated Statements Of Changes In Equity - USD ($) $ in Thousands | Total | Subsidiaries Preferred Stock [Member] | Paid In Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income [Member] | Common Stock [Member] | Treasury Stock [Member] | Entergy Texas [Member] | Entergy Texas [Member]Subsidiaries Preferred Stock [Member] | Entergy Texas [Member]Paid In Capital [Member] | Entergy Texas [Member]Retained Earnings [Member] | Entergy Texas [Member]Common Stock [Member] | Entergy Mississippi [Member] | Entergy Arkansas [Member] | Entergy Louisiana [Member] | Entergy Louisiana [Member]Member's Equity [Member] | Entergy Louisiana [Member]Accumulated Other Comprehensive Income [Member] | Entergy New Orleans [Member] | System Energy [Member] | System Energy [Member]Retained Earnings [Member] | System Energy [Member]Common Stock [Member] |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ 8,844,305 | $ 0 | $ 5,951,431 | $ 8,721,150 | $ (557,173) | $ 2,616 | $ (5,273,719) | $ 1,422,402 | $ 0 | $ 596,994 | $ 775,956 | $ 49,452 | $ 1,292,226 | $ 2,983,103 | $ 5,902,918 | $ 5,909,071 | $ (6,153) | $ 444,950 | $ 737,198 | $ 135,348 | $ 601,850 |
Consolidated net income | 258,646 | 4,109 | 0 | 254,537 | 0 | 0 | 0 | 21,342 | 0 | 0 | 21,342 | 0 | 15,398 | 39,121 | 127,633 | 127,633 | 0 | 9,023 | 23,578 | 23,578 | 0 |
Dividends, Common Stock, Cash | (172,591) | 0 | 0 | (172,591) | 0 | 0 | 0 | (49,000) | (49,000) | 0 | (45,500) | (45,500) | 0 | ||||||||
Dividends, Preferred Stock, Cash | (4,100) | ||||||||||||||||||||
Payments of Ordinary Dividends, Preferred Stock and Preference Stock | (4,109) | (4,109) | 0 | 0 | 0 | 0 | 0 | ||||||||||||||
Other comprehensive income (loss) | 12,827 | 0 | 0 | 0 | 12,827 | 0 | 0 | (969) | 0 | (969) | |||||||||||
Common stock issuances related to stock plans | (31,289) | 0 | 31,248 | 0 | 0 | 0 | (62,537) | ||||||||||||||
Other | (11) | (11) | 0 | ||||||||||||||||||
Consolidated net income | 499,180 | 60,278 | 42,065 | 89,420 | 310,717 | 22,026 | 48,050 | ||||||||||||||
Proceeds from Contributions from Parent | 0 | ||||||||||||||||||||
Payments of Ordinary Dividends, Preferred Stock and Preference Stock | (8,219) | 0 | |||||||||||||||||||
Other comprehensive income (loss) | 133,575 | (1,938) | |||||||||||||||||||
Payments for Repurchase of Preferred Stock and Preference Stock | 50,000 | ||||||||||||||||||||
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 8,219 | 0 | |||||||||||||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 8,970,367 | 0 | 5,920,183 | 8,809,902 | (551,152) | 2,616 | (5,211,182) | 1,443,744 | 0 | 596,994 | 797,298 | 49,452 | 1,307,624 | 3,022,224 | 5,980,571 | 5,987,693 | (7,122) | 453,973 | 715,276 | 113,426 | 601,850 |
Consolidated net income | 240,533 | 4,109 | 0 | 236,424 | 0 | 0 | 0 | 38,936 | 0 | 0 | 38,936 | 0 | 26,667 | 50,299 | 183,084 | 183,084 | 0 | 13,003 | 24,472 | 24,472 | 0 |
Dividends, Common Stock, Cash | (172,861) | 0 | 0 | (172,861) | 0 | 0 | 0 | (115,000) | (53,000) | (53,000) | 0 | (42,500) | (42,500) | 0 | |||||||
Dividends, Preferred Stock, Cash | (4,100) | ||||||||||||||||||||
Payments of Ordinary Dividends, Preferred Stock and Preference Stock | (4,109) | (4,109) | 0 | 0 | 0 | 0 | 0 | ||||||||||||||
Other comprehensive income (loss) | 120,748 | 0 | 0 | 0 | 120,748 | 0 | 0 | (969) | 0 | (969) | |||||||||||
Stock Issued During Period, Value, New Issues | (607,650) | 0 | (607,566) | 0 | 0 | (84) | 0 | ||||||||||||||
Adjustments to Additional Paid in Capital, Stock Issued, Issuance Costs | (7) | 0 | (7) | 0 | 0 | 0 | 0 | ||||||||||||||
Common stock issuances related to stock plans | (35,182) | 0 | (11,791) | 0 | 0 | 0 | (23,391) | ||||||||||||||
Other | (14) | (14) | 0 | ||||||||||||||||||
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 4,109 | 0 | |||||||||||||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 9,797,503 | 0 | 6,539,533 | 8,873,465 | (430,404) | 2,700 | (5,187,791) | 1,482,680 | 0 | 596,994 | 836,234 | 49,452 | 1,334,291 | 2,957,523 | 6,109,672 | 6,117,763 | (8,091) | 466,976 | 697,248 | 95,398 | 601,850 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 10,258,675 | 35,000 | 6,564,436 | 9,257,609 | (446,920) | 2,700 | (5,154,150) | 1,799,407 | 35,000 | 780,182 | 934,773 | 49,452 | 1,542,151 | 3,125,937 | 6,397,118 | 6,392,556 | 4,562 | 497,579 | 712,068 | 110,218 | 601,850 |
Consolidated net income | 123,294 | 4,580 | 0 | 118,714 | 0 | 0 | 0 | 32,707 | 0 | 0 | 32,707 | 0 | 22,526 | 44,595 | 189,396 | 189,396 | 0 | 11,186 | 28,513 | 28,513 | 0 |
Proceeds from Contributions from Parent | 175,000 | 0 | 175,000 | 0 | 0 | ||||||||||||||||
Dividends, Common Stock, Cash | (185,763) | 0 | 0 | (185,763) | 0 | 0 | 0 | (2,500) | (11,500) | (11,500) | 0 | (13,653) | (13,653) | 0 | |||||||
Dividends, Preferred Stock, Cash | (4,100) | (470) | 0 | 0 | (470) | 0 | |||||||||||||||
Payments of Ordinary Dividends, Preferred Stock and Preference Stock | (4,580) | (4,580) | 0 | 0 | 0 | 0 | 0 | ||||||||||||||
Other comprehensive income (loss) | 47,933 | 0 | 0 | 0 | 47,933 | 0 | 0 | 9,467 | 0 | 9,467 | |||||||||||
Common stock issuances related to stock plans | (19,827) | 0 | 53,753 | 0 | 0 | 0 | (73,580) | ||||||||||||||
Other | (10) | (10) | 0 | ||||||||||||||||||
Consolidated net income | 488,406 | 79,575 | 61,419 | 104,765 | 359,855 | 16,115 | 57,504 | ||||||||||||||
Proceeds from Contributions from Parent | 175,000 | ||||||||||||||||||||
Payments of Ordinary Dividends, Preferred Stock and Preference Stock | (1,124) | ||||||||||||||||||||
Other comprehensive income (loss) | 58,316 | 8,522 | |||||||||||||||||||
Payments for Repurchase of Preferred Stock and Preference Stock | 0 | ||||||||||||||||||||
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 9,159 | 941 | |||||||||||||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 10,258,967 | 35,000 | 6,510,683 | 9,190,141 | (398,987) | 2,700 | (5,080,570) | 2,006,644 | 35,000 | 955,182 | 967,010 | 49,452 | 1,562,177 | 3,170,532 | 6,584,471 | 6,570,442 | 14,029 | 508,765 | 726,928 | 125,078 | 601,850 |
Consolidated net income | 365,113 | 4,580 | 0 | 360,533 | 0 | 0 | 0 | 46,868 | 0 | 0 | 46,868 | 0 | 38,893 | 60,170 | 170,459 | 170,459 | 0 | 4,929 | 28,991 | 28,991 | 0 |
Dividends, Common Stock, Cash | (186,151) | 0 | 0 | (186,151) | 0 | 0 | 0 | (5,000) | (5,000) | 0 | (46,000) | (46,000) | 0 | ||||||||
Dividends, Preferred Stock, Cash | (4,100) | (471) | 0 | 0 | (471) | 0 | |||||||||||||||
Payments of Ordinary Dividends, Preferred Stock and Preference Stock | (4,580) | (4,580) | 0 | 0 | 0 | 0 | 0 | ||||||||||||||
Other comprehensive income (loss) | 10,383 | 0 | 0 | 0 | 10,383 | 0 | 0 | (945) | 0 | (945) | |||||||||||
Common stock issuances related to stock plans | (17,256) | 0 | (13,647) | 0 | 0 | 0 | (3,609) | ||||||||||||||
Other | (10) | 0 | (10) | 0 | 0 | (13) | (13) | 0 | |||||||||||||
Net Income (Loss) Attributable to Noncontrolling Interest, Preferred Unit Holders | 4,580 | 471 | |||||||||||||||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ 10,460,988 | $ 35,000 | $ 6,524,330 | $ 9,364,523 | $ (388,604) | $ 2,700 | $ (5,076,961) | $ 2,053,031 | $ 35,000 | $ 955,172 | $ 1,013,407 | $ 49,452 | $ 1,601,070 | $ 3,230,702 | $ 6,748,972 | $ 6,735,888 | $ 13,084 | $ 513,694 | $ 709,919 | $ 108,069 | $ 601,850 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2020 | |
Commitments And Contingencies | NOTE 1. COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory commissions, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. As discussed in the Form 10-K, in December 2019 the U.S. Court of Federal Claims issued a judgment in the amount of $80 million in favor of Entergy Arkansas to resolve claims in the third round ANO damages case and issued a judgment in the amount of $7 million in favor of Entergy FitzPatrick Properties (formerly Entergy Nuclear FitzPatrick) in the second round FitzPatrick damages case. Payment of both judgments was received from the U.S. Treasury in January 2020. In April 2020 the U.S. Court of Federal Claims issued a final judgment in the amount of $33 million in favor of Entergy Louisiana against the DOE in the second round Waterford 3 damages case. Entergy Louisiana received payment from the U.S. Treasury in June 2020. The effects of recording the judgment were reductions to plant, nuclear fuel expense, and other operation and maintenance expense. The Waterford 3 damages awarded included $20 million related to costs previously recorded as nuclear fuel expense, $8 million related to costs previously recorded as other operation and maintenance expenses, and $5 million in costs previously capitalized. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf-Related Agreements |
Entergy Arkansas [Member] | |
Commitments And Contingencies | NOTE 1. COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory commissions, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. As discussed in the Form 10-K, in December 2019 the U.S. Court of Federal Claims issued a judgment in the amount of $80 million in favor of Entergy Arkansas to resolve claims in the third round ANO damages case and issued a judgment in the amount of $7 million in favor of Entergy FitzPatrick Properties (formerly Entergy Nuclear FitzPatrick) in the second round FitzPatrick damages case. Payment of both judgments was received from the U.S. Treasury in January 2020. In April 2020 the U.S. Court of Federal Claims issued a final judgment in the amount of $33 million in favor of Entergy Louisiana against the DOE in the second round Waterford 3 damages case. Entergy Louisiana received payment from the U.S. Treasury in June 2020. The effects of recording the judgment were reductions to plant, nuclear fuel expense, and other operation and maintenance expense. The Waterford 3 damages awarded included $20 million related to costs previously recorded as nuclear fuel expense, $8 million related to costs previously recorded as other operation and maintenance expenses, and $5 million in costs previously capitalized. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf-Related Agreements |
Entergy Louisiana [Member] | |
Commitments And Contingencies | NOTE 1. COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory commissions, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. As discussed in the Form 10-K, in December 2019 the U.S. Court of Federal Claims issued a judgment in the amount of $80 million in favor of Entergy Arkansas to resolve claims in the third round ANO damages case and issued a judgment in the amount of $7 million in favor of Entergy FitzPatrick Properties (formerly Entergy Nuclear FitzPatrick) in the second round FitzPatrick damages case. Payment of both judgments was received from the U.S. Treasury in January 2020. In April 2020 the U.S. Court of Federal Claims issued a final judgment in the amount of $33 million in favor of Entergy Louisiana against the DOE in the second round Waterford 3 damages case. Entergy Louisiana received payment from the U.S. Treasury in June 2020. The effects of recording the judgment were reductions to plant, nuclear fuel expense, and other operation and maintenance expense. The Waterford 3 damages awarded included $20 million related to costs previously recorded as nuclear fuel expense, $8 million related to costs previously recorded as other operation and maintenance expenses, and $5 million in costs previously capitalized. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf-Related Agreements |
Entergy Mississippi [Member] | |
Commitments And Contingencies | NOTE 1. COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory commissions, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. As discussed in the Form 10-K, in December 2019 the U.S. Court of Federal Claims issued a judgment in the amount of $80 million in favor of Entergy Arkansas to resolve claims in the third round ANO damages case and issued a judgment in the amount of $7 million in favor of Entergy FitzPatrick Properties (formerly Entergy Nuclear FitzPatrick) in the second round FitzPatrick damages case. Payment of both judgments was received from the U.S. Treasury in January 2020. In April 2020 the U.S. Court of Federal Claims issued a final judgment in the amount of $33 million in favor of Entergy Louisiana against the DOE in the second round Waterford 3 damages case. Entergy Louisiana received payment from the U.S. Treasury in June 2020. The effects of recording the judgment were reductions to plant, nuclear fuel expense, and other operation and maintenance expense. The Waterford 3 damages awarded included $20 million related to costs previously recorded as nuclear fuel expense, $8 million related to costs previously recorded as other operation and maintenance expenses, and $5 million in costs previously capitalized. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf-Related Agreements |
Entergy New Orleans [Member] | |
Commitments And Contingencies | NOTE 1. COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory commissions, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. As discussed in the Form 10-K, in December 2019 the U.S. Court of Federal Claims issued a judgment in the amount of $80 million in favor of Entergy Arkansas to resolve claims in the third round ANO damages case and issued a judgment in the amount of $7 million in favor of Entergy FitzPatrick Properties (formerly Entergy Nuclear FitzPatrick) in the second round FitzPatrick damages case. Payment of both judgments was received from the U.S. Treasury in January 2020. In April 2020 the U.S. Court of Federal Claims issued a final judgment in the amount of $33 million in favor of Entergy Louisiana against the DOE in the second round Waterford 3 damages case. Entergy Louisiana received payment from the U.S. Treasury in June 2020. The effects of recording the judgment were reductions to plant, nuclear fuel expense, and other operation and maintenance expense. The Waterford 3 damages awarded included $20 million related to costs previously recorded as nuclear fuel expense, $8 million related to costs previously recorded as other operation and maintenance expenses, and $5 million in costs previously capitalized. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf-Related Agreements |
Entergy Texas [Member] | |
Commitments And Contingencies | NOTE 1. COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory commissions, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. As discussed in the Form 10-K, in December 2019 the U.S. Court of Federal Claims issued a judgment in the amount of $80 million in favor of Entergy Arkansas to resolve claims in the third round ANO damages case and issued a judgment in the amount of $7 million in favor of Entergy FitzPatrick Properties (formerly Entergy Nuclear FitzPatrick) in the second round FitzPatrick damages case. Payment of both judgments was received from the U.S. Treasury in January 2020. In April 2020 the U.S. Court of Federal Claims issued a final judgment in the amount of $33 million in favor of Entergy Louisiana against the DOE in the second round Waterford 3 damages case. Entergy Louisiana received payment from the U.S. Treasury in June 2020. The effects of recording the judgment were reductions to plant, nuclear fuel expense, and other operation and maintenance expense. The Waterford 3 damages awarded included $20 million related to costs previously recorded as nuclear fuel expense, $8 million related to costs previously recorded as other operation and maintenance expenses, and $5 million in costs previously capitalized. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf-Related Agreements |
System Energy [Member] | |
Commitments And Contingencies | NOTE 1. COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory commissions, and governmental agencies in the ordinary course of business. While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition, except as otherwise discussed in the Form 10-K or in this report. Entergy discusses regulatory proceedings in Note 2 to the financial statements in the Form 10-K and herein and discusses tax proceedings in Note 3 to the financial statements in the Form 10-K and Note 10 to the financial statements herein. Vidalia Purchased Power Agreement See Note 8 to the financial statements in the Form 10-K for information on Entergy Louisiana’s Vidalia purchased power agreement. ANO Damage, Outage, and NRC Reviews See Note 8 to the financial statements in the Form 10-K for a discussion of the ANO stator incident, subsequent NRC reviews, and the deferral of replacement power costs. Spent Nuclear Fuel Litigation See Note 8 to the financial statements in the Form 10-K for information on Entergy’s spent nuclear fuel litigation. As discussed in the Form 10-K, in December 2019 the U.S. Court of Federal Claims issued a judgment in the amount of $80 million in favor of Entergy Arkansas to resolve claims in the third round ANO damages case and issued a judgment in the amount of $7 million in favor of Entergy FitzPatrick Properties (formerly Entergy Nuclear FitzPatrick) in the second round FitzPatrick damages case. Payment of both judgments was received from the U.S. Treasury in January 2020. In April 2020 the U.S. Court of Federal Claims issued a final judgment in the amount of $33 million in favor of Entergy Louisiana against the DOE in the second round Waterford 3 damages case. Entergy Louisiana received payment from the U.S. Treasury in June 2020. The effects of recording the judgment were reductions to plant, nuclear fuel expense, and other operation and maintenance expense. The Waterford 3 damages awarded included $20 million related to costs previously recorded as nuclear fuel expense, $8 million related to costs previously recorded as other operation and maintenance expenses, and $5 million in costs previously capitalized. Nuclear Insurance See Note 8 to the financial statements in the Form 10-K for information on nuclear liability and property insurance associated with Entergy’s nuclear power plants. Non-Nuclear Property Insurance See Note 8 to the financial statements in the Form 10-K for information on Entergy’s non-nuclear property insurance program. Employment and Labor-related Proceedings See Note 8 to the financial statements in the Form 10-K for information on Entergy’s employment and labor-related proceedings. Asbestos Litigation (Entergy Arkansas, Entergy Louisiana, Entergy New Orleans, and Entergy Texas) See Note 8 to the financial statements in the Form 10-K for information regarding asbestos litigation. Grand Gulf-Related Agreements |
Rate And Regulatory Matters
Rate And Regulatory Matters | 6 Months Ended |
Jun. 30, 2020 | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Regulatory activity regarding the Tax Cuts and Jobs Act System Energy In a filing made with the FERC in March 2018, System Energy proposed revisions to the Unit Power Sales Agreement to reflect the effects of the Tax Act. In the filing System Energy proposed to return identified quantities of unprotected excess accumulated deferred income taxes to its customers by the end of 2018. In May 2018 the FERC accepted System Energy’s proposed tax revisions with an effective date of June 1, 2018, subject to refund and the outcome of settlement and hearing procedures. Settlement discussions were terminated in April 2019, and the hearing was held in March 2020. The retail regulators of the Utility operating companies that are parties to the Unit Power Sales Agreement challenged the treatment and amount of excess accumulated deferred income tax liabilities associated with uncertain tax positions related to nuclear decommissioning. In July 2020 the presiding ALJ in the proceeding issued an initial decision finding that there is an additional $147 million in unprotected excess accumulated deferred income taxes related to System Energy’s uncertain decommissioning tax deduction. The initial decision determined that System Energy should have included the $147 million in its March 2018 filing. System Energy had not included credits related to the effect of the Tax Act on the uncertain decommissioning tax position because it is uncertain whether the IRS will allow the deduction. The initial decision rejected both System Energy’s alternative argument that any crediting should occur over a ten-year period and the retail regulators’ argument that any crediting should occur over a two-year period. Instead, the initial decision concluded that System Energy should credit the additional unprotected excess accumulated deferred income taxes in a single lump sum revenue requirement reduction following a FERC order addressing the initial decision. The ALJ initial decision is an interim step in the FERC litigation process. System Energy plans to file briefs on exceptions to the FERC, re-urging its positions and requesting the reversal of the ALJ’s initial decision. In addition, Entergy expects to concede System Energy’s nuclear decommissioning tax position with the IRS before the end of 2020, which should eliminate the basis of the ALJ’s initial decision regarding the uncertain tax position. Briefs on exceptions are scheduled for September 2020, and briefs opposing exceptions are scheduled for November 2020. The FERC will then review the case and issue an order in the proceeding, and the FERC may accept, reject, or modify the ALJ’s initial decision in whole or in part. Credits, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2020, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected a decrease from $0.01462 per kWh to $0.01052 per kWh. The redetermined rate became effective with the first billing cycle in April 2020 through the normal operation of the tariff. Entergy Louisiana In March 2020 the LPSC staff provided notice of an audit of Entergy Louisiana’s fuel adjustment clause filings. The audit includes a review of the reasonableness of charges flowed through Entergy Louisiana’s fuel adjustment clause for the period from 2016 through 2019. Discovery has not yet commenced. Entergy Mississippi In November 2019, Entergy Mississippi filed its annual redetermination of the annual factor to be applied under the energy cost recovery rider. The calculation included $39.6 million of prior over-recovery flowing back to customers beginning February 2020. Entergy Mississippi’s balance in its deferred fuel account did not decrease as expected after implementation of the new factor. In an effort to assist customers during the COVID-19 pandemic, in May 2020, Entergy Mississippi requested an interim adjustment to the energy cost recovery rider to credit approximately $50 million from the over-recovered balance in the deferred fuel account to customers over four consecutive billing months, June through September 2020. The MPSC approved this interim adjustment in May 2020 effective for June 2020 bills. Entergy Texas In September 2019, Entergy Texas filed an application to reconcile its fuel and purchased power costs for the period from April 2016 through March 2019. During the reconciliation period, Entergy Texas incurred approximately $1.6 billion in Texas jurisdictional eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. Entergy Texas estimated an under-recovery balance of approximately $25.8 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2019. In March 2020 an intervenor filed testimony proposing that the PUCT disallow: (1) $2 million in replacement power costs associated with generation outages during the reconciliation period; and (2) $24.4 million associated with the operation of the Spindletop natural gas storage facility during the reconciliation period. In April 2020, Entergy Texas filed rebuttal testimony refuting all points raised by the intervenor. In June 2020 the parties filed a stipulation and settlement agreement, which included a $1.2 million disallowance not associated with any particular issue raised by any party. The settlement is currently pending before the PUCT. In July 2020, Entergy Texas filed an application with the PUCT to implement an interim fuel refund of $25.5 million, including interest. Entergy Texas proposes that the interim fuel refund be implemented beginning with the first August 2020 billing cycle over a three-month period for smaller customers and in a lump sum amount in the billing month of August 2020 for transmission-level customers. The interim fuel refund was approved in July 2020. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) Retail Rates 2020 Formula Rate Plan Filing In July 2020, Entergy Arkansas filed with the APSC its 2020 formula rate plan filing to set its formula rate for the 2021 calendar year. The filing contained an evaluation of Entergy Arkansas’s earnings for the projected year 2021 and a netting adjustment for the historical year 2019. Entergy Arkansas’s earned rate of return on common equity is 7.84% for the 2021 projected year and 9.07% for the 2019 historical year. The total revenue change is based upon a deficiency of approximately $80.7 million for the 2021 projected year and approximately $23.9 million for the 2019 historical year netting adjustment. The total proposed formula rate plan rider revenue change for 2021 is $104.6 million to produce a target rate of return of 9.75% for the projected year and the historical year. By operation of the formula rate plan, Entergy Arkansas’s recovery of the revenue requirement is subject to a four percent annual revenue constraint. Because Entergy Arkansas’s revenue requirement in this filing exceeds the constraint, the resulting increase is limited to $74.3 million. Also with this filing, Entergy Arkansas is requesting an extension of the formula rate plan rider for a second five-year term. A decision by the APSC is requested by mid-December 2020. COVID-19 Orders In April 2020, in light of the COVID-19 pandemic, the APSC issued an order requiring utilities, to the extent they had not already done so, to suspend service disconnections during the remaining pendency of the Arkansas Governor’s emergency declaration or until the APSC rescinds the directive. The order also authorizes utilities to establish a regulatory asset to record costs resulting from the suspension of service disconnections, directs that in future proceedings the APSC will consider whether the request for recovery of these regulatory assets is reasonable and necessary, and requires utilities to track and report the costs and any savings directly attributable to suspension of disconnects. In May 2020 the APSC approved Entergy Arkansas expanding delayed payment arrangements to assist customers during the pandemic. Entergy Arkansas is still evaluating the recovery provided for by the order and, therefore, did not record as of June 30, 2020 a regulatory asset for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) Retail Rates - Electric 2017 Formula Rate Plan Filing As discussed in the Form 10-K, in May 2019, Entergy Louisiana filed an update to its 2017 formula rate plan evaluation report to include the estimated first-year revenue requirement of $109.5 million associated with the J. Wayne Leonard Power Station (formerly St. Charles Power Station). The resulting interim adjustment to rates became effective with the first billing cycle of June 2019. In June 2020, Entergy Louisiana submitted information to the LPSC to review the prudence of Entergy Louisiana’s management of the project. No procedural schedule has been established. 2018 Formula Rate Plan Filing Commercial operation at Lake Charles Power Station commenced in March 2020. In March 2020, Entergy Louisiana filed an update to its 2018 formula rate plan evaluation report to include the estimated first-year revenue requirement of $108 million associated with the Lake Charles Power Station. The resulting interim adjustment to rates became effective with the first billing cycle of April 2020. 2019 Formula Rate Plan Filing In May 2020, Entergy Louisiana filed with the LPSC its formula rate plan evaluation report for its 2019 calendar year operations. The 2019 test year evaluation report produced an earned return on common equity of 9.66%. As such, no change to base rider formula rate plan revenue is required. Although base rider formula rate plan revenue will not change as a result of this filing, overall formula rate plan revenues will increase by approximately $103 million. This outcome is driven by the removal of prior year credits associated with the sale of the Willow Glen Power Station and an increase in the transmission recovery mechanism. Also contributing to the overall change is an increase in legacy formula rate plan revenue requirements driven by legacy Entergy Louisiana capacity cost true-ups and higher annualized legacy Entergy Gulf States Louisiana revenues due to higher billing determinants, offset by reductions in MISO cost recovery mechanism and tax reform adjustment mechanism revenue requirements. Request for Extension and Modification of Formula Rate Plan In May 2020, Entergy Louisiana filed with the LPSC its application for authority to extend its formula rate plan. In its application, Entergy Louisiana seeks to maintain a 9.8% return on equity, with a bandwidth of 60 basis points above and below the midpoint, with a first-year midpoint reset. Entergy Louisiana also seeks to maintain its existing additional capacity mechanism, tax reform adjustment mechanism, transmission recovery mechanism, and the MISO cost recovery mechanism. Entergy Louisiana also seeks to add a distribution cost recovery mechanism which operates in substantially the same manner as the transmission recovery mechanism and requests a deferral of certain expenses incurred for outside of right-of-way vegetation programs. Retail Rates - Gas 2017 Rate Stabilization Plan Filing As discussed in the Form 10-K, in January 2018 Entergy Louisiana filed with the LPSC its gas rate stabilization plan for the test year ended September 30, 2017. As-filed rates from the supplemental filing were implemented, subject to refund, with customers receiving a cost reduction of approximately $0.7 million effective with bills rendered on and after the first billing cycle of May 2018, as well as a $0.2 million reduction in the gas infrastructure rider effective with bills rendered on and after the first billing cycle of July 2018. In October 2019 the LPSC staff issued its report finding that Entergy Louisiana’s filing complied with the terms of the rate stabilization plan but recommending an additional refund of $0.7 million related to the Tax Act. In June 2020, the LPSC approved a joint report acknowledging Entergy Louisiana’s prior refunds and offsets for flood recovery costs, and required a further refund of $0.8 million, inclusive of carrying costs. COVID-19 Orders In April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In addition, utilities may seek future recovery, subject to LPSC review and approval, of losses and expenses incurred due to compliance with the LPSC’s COVID-19 orders. The suspension of late fees and disconnects for non-payment was extended until the first billing cycle after July 16, 2020. Utilities seeking to recover the regulatory asset must formally petition the LPSC to do so, identifying the direct and indirect costs for which recovery is sought. Any such request is subject to LPSC review and approval. As of June 30, 2020, Entergy Louisiana recorded a regulatory asset of $10.7 million for costs associated with the COVID-19 pandemic. Filings with the MPSC (Entergy Mississippi) Formula Rate Plan Filings See the Form 10-K for revisions to Entergy Mississippi’s formula rate plan approved by the MPSC in December 2019. In January 2020 Entergy Mississippi began billing an interim capacity rate adjustment rider to recover the $59 million first-year annual revenue requirement associated with the non-fuel ownership costs of the Choctaw Generating Station. Also, effective with the April 2020 billing cycle, Entergy Mississippi implemented a rider to recover $22 million in vegetation management costs. Vegetation management costs were previously recovered through the formula rate plan. In March 2020, Entergy Mississippi submitted its formula rate plan 2020 test year filing and 2019 look-back filing showing Entergy Mississippi’s earned return for the historical 2019 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2020 calendar year to be below the formula rate plan bandwidth. The 2020 test year filing shows a $24.6 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. The 2019 look-back filing compares actual 2019 results to the approved benchmark return on rate base and reflects the need for a $7.3 million interim increase in formula rate plan revenues. In accordance with the MPSC-approved revisions to the formula rate plan, Entergy Mississippi implemented a $24.3 million interim rate increase, reflecting a cap equal to 2% of 2019 retail revenues, effective with the April 2020 billing cycle, subject to refund. In June 2020, Entergy Mississippi and the Mississippi Public Utilities Staff entered into a joint stipulation that confirmed that the 2020 test year filing showed that a $23.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. Pursuant to the joint stipulation, Entergy Mississippi’s 2019 look-back filing reflected an earned return on rate base of 6.75% in calendar year 2019, which is within the look-back bandwidth. As a result, there is no change in formula rate plan revenues in the 2019 look-back filing. In June 2020 the MPSC approved the joint stipulation with rates effective for the first billing cycle of July 2020. COVID-19 Orders In March 2020 the MPSC issued an order suspending disconnections for a period of sixty days. The MPSC extended the order on disconnections through May 26, 2020. In April 2020 the MPSC issued an order authorizing utilities to defer incremental costs and expenses associated with COVID-19 compliance and to seek future recovery through rates of the prudently incurred incremental costs and expenses. As of June 30, 2020, Entergy Mississippi recorded a regulatory asset of $6 million for costs associated with the COVID-19 pandemic. Filings with the City Council (Entergy New Orleans) Energy Efficiency As discussed in the Form 10-K, in December 2019, Entergy New Orleans filed an application with the City Council seeking approval of an implementation plan for the Energy Smart energy efficiency program from April 2020 through December 2022. Entergy New Orleans proposed to recover the costs of the program through mechanisms previously approved by the City Council or through the energy efficiency cost recovery rider, which was approved in the 2018 combined rate case resolution. In February 2020 the City Council approved Entergy New Orleans’s application. 2018 Base Rate Case Filing See the Form 10-K for discussion of the electric and gas base rate case filed in September 2018. In response to the City Council’s November 2019 resolution in the rate case, Entergy New Orleans made a compliance filing in December 2019 and also filed timely a petition for appeal and judicial review and for stay of or injunctive relief alleging that the resolution is unlawful in failing to produce just and reasonable rates. A hearing on the requested injunction was scheduled in Civil District Court for February 2020, but by joint motion of the City Council and Entergy New Orleans, the Civil District Court issued an order for a limited remand to the City Council to consider a potential agreement in principle/stipulation at its February 20, 2020 meeting. On February 17, 2020, Entergy New Orleans filed with the City Council an agreement in principle between Entergy New Orleans and the City Council’s advisors. On February 20, 2020, the City Council voted to approve the proposed agreement in principle and issued a resolution modifying the required treatment of certain accumulated deferred income taxes. As a result of the agreement in principle, the total annual revenue requirement reduction will be approximately $45 million ($42 million electric, including $29 million in rider reductions; and $3 million gas). As a result, Entergy New Orleans fully implemented the new rates in April 2020. The merits of the appeal will be subject to a separate procedural schedule issued by the Civil District Court. 2020 Formula Rate Plan Filing In April 2020, Entergy New Orleans filed a motion with the City Council to delay its formula rate plan filing until June 2020. In May 2020 the City Council issued an order extending the filing deadline for Entergy New Orleans’s formula rate plan filing to June 29, 2020. On June 26, 2020, Entergy New Orleans filed a motion with the City Council to further delay the filing of its formula rate plan to August 13, 2020. In July 2020 the City Council issued an order approving the request. COVID-19 Orders In March 2020, Entergy New Orleans voluntarily suspended customer disconnections for non-payment of utility bills through May 2020. Subsequently, the City Council ordered that the moratorium be extended to August 1, 2020. In May 2020 the City Council issued an accounting order authorizing Entergy New Orleans to establish a regulatory asset for incremental COVID-19-related expenses. As of June 30, 2020, Entergy New Orleans recorded a regulatory asset of $4.8 million for costs associated with the COVID-19 pandemic. In June 2020 the City Council established the City Council Cares Program and directed Entergy New Orleans to use the approximately $7 million refund received from the Entergy Arkansas opportunity sales FERC proceeding, currently being held in escrow, and approximately $15 million of non-securitized storm reserves to fund this program, which is intended to provide temporary bill relief to customers who become unemployed during the COVID-19 pandemic. The program became effective July 1, 2020, and offers qualifying residential customers bill credits of $100 per month for up to four months, for a maximum of $400 in residential customer bill credits. Filings with the PUCT (Entergy Texas) Distribution Cost Recovery Factor (DCRF) Rider In March 2020, Entergy Texas filed with the PUCT a request to amend its DCRF rider. The proposed rider is designed to collect from Entergy Texas’s retail customers approximately $23.6 million annually, or $20.4 million in incremental annual DCRF revenue beyond Entergy Texas’s currently effective DCRF rider, based on its capital invested in distribution between January 1, 2019 and December 31, 2019. In May and June 2020 intervenors filed testimony recommending a disallowance to Entergy Texas’s annual revenue requirement ranging from approximately $0.3 million to $4.1 million. In June 2020 the parties agreed to waive the hearing on the merits. The p arties have briefed the contested issues in this matter and are awaiting a proposal for decision. Transmission Cost Recovery Factor (TCRF) Rider As discussed in the Form 10-K, in August 2019, Entergy Texas filed with the PUCT a request to amend its TCRF rider. The new TCRF rider is designed to collect approximately $19.4 million annually from Entergy Texas’s retail customers based on its capital invested in transmission between January 1, 2018 and June 30, 2019. In January 2020 the PUCT issued an order approving an unopposed settlement providing for recovery of the requested revenue requirement. Entergy Texas implemented the amended rider beginning with bills covering usage on and after January 23, 2020. COVID-19 Orders In March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of COVID-19. In future proceedings the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. In March 2020 the PUCT ordered a moratorium on disconnections for nonpayment for all customer classes, but, in April 2020, revised the disconnect moratorium to apply only to residential customers. The PUCT allowed the moratorium to expire on June 13, 2020, but on July 17, 2020, the PUCT re-established the disconnect moratorium for residential customers until August 31, 2020. As of June 30, 2020, Entergy Texas recorded a regulatory asset of $4.1 million for costs associated with the COVID-19 pandemic. System Agreement Cost Equalization Proceedings Rough Production Cost Equalization Rates Consolidated 2011, 2012, 2013, and 2014 Rate Filing Proceedings As discussed in the Form 10-K, in April 2018 the LPSC requested rehearing of the FERC’s March 2018 order affirming the ALJ’s initial decision in the consolidated proceedings. Entergy filed in May 2018 the bandwidth true-up payments and receipts for the 2011-2014 rate filings and the payments were made in May 2018. In April 2020 the FERC issued an order partially granting the LPSC’s rehearing request. In the order the FERC reversed its prior finding and determined that the tax gain portion of the Waterford 3 financing accumulated deferred income tax should be included in the bandwidth calculation. The order requires Entergy Services to redetermine bandwidth true-up payments and receipts for the 2010-2012 test years. In May 2020, Entergy and the LPSC both separately requested rehearing of the FERC’s April 2020 order partially granting the LPSC’s rehearing request. In June 2020 the FERC issued an order accepting the May 2018 true-up filing for the 2011-2014 rate filings. Also in June 2020, Entergy filed bandwidth true-up payments and receipts for the 2010-2012 test years to address the FERC’s April 2020 rehearing order: Payments (Receipts) (In Millions) Entergy Arkansas ($2.8) Entergy Louisiana $2.3 Entergy Mississippi $0.2 Entergy New Orleans ($0.1) Entergy Texas $0.4 Entergy Arkansas Opportunity Sales Proceeding As discussed in the Form 10-K, the FERC’s opportunity sales orders have been appealed to the D.C. Circuit by Entergy, the LPSC, and the APSC. In February 2020 all of the appeals were consolidated and in April 2020 the D.C. Circuit established a briefing schedule. Briefing will occur through September 2020. Also as discussed in the Form 10-K, in May 2019, Entergy Arkansas filed an application with the APSC requesting approval of a special rider tariff to recover the costs of its opportunity sales payments from its retail customers over a 24-month period. In January 2020 the Attorney General and Arkansas Electric Energy Consumers, Inc. filed testimony opposing the recovery by Entergy Arkansas of the opportunity sales payment but also claiming that certain components of the payment should be segregated and refunded to customers. In March 2020, Entergy Arkansas filed rebuttal testimony. In July 2020 the APSC issued a decision concluding that the APSC was not preempted by the federal filed rate doctrine from considering the merits of Entergy Arkansas’s request, denying that the application is barred under the collateral estoppel aspect of res judicata, and finding that the application is not in the public interest. The order also directs Entergy Arkansas to refund to its retail customers within 30 days of the order the FERC-determined over-collection of $13.7 million, plus interest, associated with a recalculated bandwidth remedy. In addition to these primary findings, the order also denied the Attorney General’s request for Entergy Arkansas to prepare a compliance filing detailing all of the retail impacts from the opportunity sales and denied a request by the Arkansas Electric Energy Consumers to recalculate all costs using the revised responsibility ratio. Entergy Arkansas filed a motion for temporary stay of the 30-day requirement to allow Entergy Arkansas a reasonable opportunity to seek rehearing of the APSC order, but in July 2020 the APSC denied Entergy Arkansas’s request for a stay and directed Entergy Arkansas to refund to its retail ratepayers the component of the total FERC-determined opportunity sales payment that was associated with increased bandwidth remedy payments of $13.7 million, plus interest, by July 31, 2020. The APSC recognized Entergy Arkansas’s administrative limitations on processing the full refund by that date and stated that the refund shall be issued over the August 2020 billing cycle. While the APSC has denied Entergy Arkansas’s stay request, Entergy Arkansas believes its actions were prudent and, therefore, the costs are recoverable. In July 2020, Entergy Arkansas requested rehearing of the APSC order. Complaints Against System Energy Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in November 2019, in a proceeding that did not involve System Energy, the FERC issued an order addressing the methodology for determining the return on equity applicable to transmission owners in MISO. Thereafter, the participants in the System Energy proceeding agreed to amend the procedural schedule to allow the participants to file supplemental testimony addressing the order in the MISO transmission owner proceeding (Opinion No. 569). In February 2020 the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569 and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 8.44%; the MPSC and APSC argue for an authorized return on equity of 8.41%; and the FERC trial staff argues for an authorized return on equity of 9.22%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 7.89%; the MPSC and APSC argue that an authorized return on equity of 8.01% may be appropriate; and the FERC trial staff argues for an authorized return on equity of 8.66%. In April 2020, System Energy filed supplemental answering testimony addressing Opinion No. 569. System Energy argues that the Opinion No. 569 methodology is conceptually and analytically defective for purposes of establishing just and reasonable authorized return on equity determinations and proposes an alternative approach. As its primary recommendation, System Energy continues to support the return on equity determinations in its March 2019 testimony for the first refund period and its June 2019 testimony for the second refund period. Under the Opinion No. 569 methodology, System Energy calculates a “presumptively just and reasonable range” for the authorized return on equity for the first refund period of 8.57% to 9.52%, and for the second refund period of 8.28% to 9.11%. System Energy argues that these ranges are not just and reasonable results. Under its proposed alternative methodology, System Energy calculates an authorized return on equity of 10.26% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. In May 2020 the FERC issued an order on rehearing of Opinion No. 569 (Opinion No. 569-A). In June 2020 the procedural schedule was further revised in order to allow parties to the System Energy proceeding to address the Opinion No. 569-A methodology. Pursuant to the revised schedule, in June 2020, the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569-A and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.97%; the MPSC and APSC argue for an authorized return on equity of 9.24%; and the FERC trial staff argues for an authorized return on equity of 9.49%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.78%; the MPSC and APSC argue that an authorized return on equity of 9.15% may be appropriate if the second complaint is not dismissed; and the FERC trial staff argues for an authorized return on equity of 9.09% if the second complaint is not dismissed. Pursuant to the revised procedural schedule, in July 2020, System Energy filed supplemental testimony addressing Opinion No. 569-A. System Energy argues that strict application of the Opinion No. 569-A methodology produces results inconsistent with investor requirements and does not provide a sound basis on which to evaluate System Energy’s authorized return on equity. As its primary recommendation, System Energy argues for the use of a methodology that incorporates four separate financial models, including the constant growth form of the discounted cash flow model and the empirical capital asset pricing model. Based on application of its recommended methodology, System Energy argues for an authorized return on equity of 10.12% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the Opinion No. 569-A methodology, System Energy calculates an authorized return on equity of 9.44% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the revised procedural schedule, System Energy’s supplemental testimony addressing Opinion No. 569-A is due in J |
Entergy Arkansas [Member] | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Regulatory activity regarding the Tax Cuts and Jobs Act System Energy In a filing made with the FERC in March 2018, System Energy proposed revisions to the Unit Power Sales Agreement to reflect the effects of the Tax Act. In the filing System Energy proposed to return identified quantities of unprotected excess accumulated deferred income taxes to its customers by the end of 2018. In May 2018 the FERC accepted System Energy’s proposed tax revisions with an effective date of June 1, 2018, subject to refund and the outcome of settlement and hearing procedures. Settlement discussions were terminated in April 2019, and the hearing was held in March 2020. The retail regulators of the Utility operating companies that are parties to the Unit Power Sales Agreement challenged the treatment and amount of excess accumulated deferred income tax liabilities associated with uncertain tax positions related to nuclear decommissioning. In July 2020 the presiding ALJ in the proceeding issued an initial decision finding that there is an additional $147 million in unprotected excess accumulated deferred income taxes related to System Energy’s uncertain decommissioning tax deduction. The initial decision determined that System Energy should have included the $147 million in its March 2018 filing. System Energy had not included credits related to the effect of the Tax Act on the uncertain decommissioning tax position because it is uncertain whether the IRS will allow the deduction. The initial decision rejected both System Energy’s alternative argument that any crediting should occur over a ten-year period and the retail regulators’ argument that any crediting should occur over a two-year period. Instead, the initial decision concluded that System Energy should credit the additional unprotected excess accumulated deferred income taxes in a single lump sum revenue requirement reduction following a FERC order addressing the initial decision. The ALJ initial decision is an interim step in the FERC litigation process. System Energy plans to file briefs on exceptions to the FERC, re-urging its positions and requesting the reversal of the ALJ’s initial decision. In addition, Entergy expects to concede System Energy’s nuclear decommissioning tax position with the IRS before the end of 2020, which should eliminate the basis of the ALJ’s initial decision regarding the uncertain tax position. Briefs on exceptions are scheduled for September 2020, and briefs opposing exceptions are scheduled for November 2020. The FERC will then review the case and issue an order in the proceeding, and the FERC may accept, reject, or modify the ALJ’s initial decision in whole or in part. Credits, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2020, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected a decrease from $0.01462 per kWh to $0.01052 per kWh. The redetermined rate became effective with the first billing cycle in April 2020 through the normal operation of the tariff. Entergy Louisiana In March 2020 the LPSC staff provided notice of an audit of Entergy Louisiana’s fuel adjustment clause filings. The audit includes a review of the reasonableness of charges flowed through Entergy Louisiana’s fuel adjustment clause for the period from 2016 through 2019. Discovery has not yet commenced. Entergy Mississippi In November 2019, Entergy Mississippi filed its annual redetermination of the annual factor to be applied under the energy cost recovery rider. The calculation included $39.6 million of prior over-recovery flowing back to customers beginning February 2020. Entergy Mississippi’s balance in its deferred fuel account did not decrease as expected after implementation of the new factor. In an effort to assist customers during the COVID-19 pandemic, in May 2020, Entergy Mississippi requested an interim adjustment to the energy cost recovery rider to credit approximately $50 million from the over-recovered balance in the deferred fuel account to customers over four consecutive billing months, June through September 2020. The MPSC approved this interim adjustment in May 2020 effective for June 2020 bills. Entergy Texas In September 2019, Entergy Texas filed an application to reconcile its fuel and purchased power costs for the period from April 2016 through March 2019. During the reconciliation period, Entergy Texas incurred approximately $1.6 billion in Texas jurisdictional eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. Entergy Texas estimated an under-recovery balance of approximately $25.8 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2019. In March 2020 an intervenor filed testimony proposing that the PUCT disallow: (1) $2 million in replacement power costs associated with generation outages during the reconciliation period; and (2) $24.4 million associated with the operation of the Spindletop natural gas storage facility during the reconciliation period. In April 2020, Entergy Texas filed rebuttal testimony refuting all points raised by the intervenor. In June 2020 the parties filed a stipulation and settlement agreement, which included a $1.2 million disallowance not associated with any particular issue raised by any party. The settlement is currently pending before the PUCT. In July 2020, Entergy Texas filed an application with the PUCT to implement an interim fuel refund of $25.5 million, including interest. Entergy Texas proposes that the interim fuel refund be implemented beginning with the first August 2020 billing cycle over a three-month period for smaller customers and in a lump sum amount in the billing month of August 2020 for transmission-level customers. The interim fuel refund was approved in July 2020. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) Retail Rates 2020 Formula Rate Plan Filing In July 2020, Entergy Arkansas filed with the APSC its 2020 formula rate plan filing to set its formula rate for the 2021 calendar year. The filing contained an evaluation of Entergy Arkansas’s earnings for the projected year 2021 and a netting adjustment for the historical year 2019. Entergy Arkansas’s earned rate of return on common equity is 7.84% for the 2021 projected year and 9.07% for the 2019 historical year. The total revenue change is based upon a deficiency of approximately $80.7 million for the 2021 projected year and approximately $23.9 million for the 2019 historical year netting adjustment. The total proposed formula rate plan rider revenue change for 2021 is $104.6 million to produce a target rate of return of 9.75% for the projected year and the historical year. By operation of the formula rate plan, Entergy Arkansas’s recovery of the revenue requirement is subject to a four percent annual revenue constraint. Because Entergy Arkansas’s revenue requirement in this filing exceeds the constraint, the resulting increase is limited to $74.3 million. Also with this filing, Entergy Arkansas is requesting an extension of the formula rate plan rider for a second five-year term. A decision by the APSC is requested by mid-December 2020. COVID-19 Orders In April 2020, in light of the COVID-19 pandemic, the APSC issued an order requiring utilities, to the extent they had not already done so, to suspend service disconnections during the remaining pendency of the Arkansas Governor’s emergency declaration or until the APSC rescinds the directive. The order also authorizes utilities to establish a regulatory asset to record costs resulting from the suspension of service disconnections, directs that in future proceedings the APSC will consider whether the request for recovery of these regulatory assets is reasonable and necessary, and requires utilities to track and report the costs and any savings directly attributable to suspension of disconnects. In May 2020 the APSC approved Entergy Arkansas expanding delayed payment arrangements to assist customers during the pandemic. Entergy Arkansas is still evaluating the recovery provided for by the order and, therefore, did not record as of June 30, 2020 a regulatory asset for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) Retail Rates - Electric 2017 Formula Rate Plan Filing As discussed in the Form 10-K, in May 2019, Entergy Louisiana filed an update to its 2017 formula rate plan evaluation report to include the estimated first-year revenue requirement of $109.5 million associated with the J. Wayne Leonard Power Station (formerly St. Charles Power Station). The resulting interim adjustment to rates became effective with the first billing cycle of June 2019. In June 2020, Entergy Louisiana submitted information to the LPSC to review the prudence of Entergy Louisiana’s management of the project. No procedural schedule has been established. 2018 Formula Rate Plan Filing Commercial operation at Lake Charles Power Station commenced in March 2020. In March 2020, Entergy Louisiana filed an update to its 2018 formula rate plan evaluation report to include the estimated first-year revenue requirement of $108 million associated with the Lake Charles Power Station. The resulting interim adjustment to rates became effective with the first billing cycle of April 2020. 2019 Formula Rate Plan Filing In May 2020, Entergy Louisiana filed with the LPSC its formula rate plan evaluation report for its 2019 calendar year operations. The 2019 test year evaluation report produced an earned return on common equity of 9.66%. As such, no change to base rider formula rate plan revenue is required. Although base rider formula rate plan revenue will not change as a result of this filing, overall formula rate plan revenues will increase by approximately $103 million. This outcome is driven by the removal of prior year credits associated with the sale of the Willow Glen Power Station and an increase in the transmission recovery mechanism. Also contributing to the overall change is an increase in legacy formula rate plan revenue requirements driven by legacy Entergy Louisiana capacity cost true-ups and higher annualized legacy Entergy Gulf States Louisiana revenues due to higher billing determinants, offset by reductions in MISO cost recovery mechanism and tax reform adjustment mechanism revenue requirements. Request for Extension and Modification of Formula Rate Plan In May 2020, Entergy Louisiana filed with the LPSC its application for authority to extend its formula rate plan. In its application, Entergy Louisiana seeks to maintain a 9.8% return on equity, with a bandwidth of 60 basis points above and below the midpoint, with a first-year midpoint reset. Entergy Louisiana also seeks to maintain its existing additional capacity mechanism, tax reform adjustment mechanism, transmission recovery mechanism, and the MISO cost recovery mechanism. Entergy Louisiana also seeks to add a distribution cost recovery mechanism which operates in substantially the same manner as the transmission recovery mechanism and requests a deferral of certain expenses incurred for outside of right-of-way vegetation programs. Retail Rates - Gas 2017 Rate Stabilization Plan Filing As discussed in the Form 10-K, in January 2018 Entergy Louisiana filed with the LPSC its gas rate stabilization plan for the test year ended September 30, 2017. As-filed rates from the supplemental filing were implemented, subject to refund, with customers receiving a cost reduction of approximately $0.7 million effective with bills rendered on and after the first billing cycle of May 2018, as well as a $0.2 million reduction in the gas infrastructure rider effective with bills rendered on and after the first billing cycle of July 2018. In October 2019 the LPSC staff issued its report finding that Entergy Louisiana’s filing complied with the terms of the rate stabilization plan but recommending an additional refund of $0.7 million related to the Tax Act. In June 2020, the LPSC approved a joint report acknowledging Entergy Louisiana’s prior refunds and offsets for flood recovery costs, and required a further refund of $0.8 million, inclusive of carrying costs. COVID-19 Orders In April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In addition, utilities may seek future recovery, subject to LPSC review and approval, of losses and expenses incurred due to compliance with the LPSC’s COVID-19 orders. The suspension of late fees and disconnects for non-payment was extended until the first billing cycle after July 16, 2020. Utilities seeking to recover the regulatory asset must formally petition the LPSC to do so, identifying the direct and indirect costs for which recovery is sought. Any such request is subject to LPSC review and approval. As of June 30, 2020, Entergy Louisiana recorded a regulatory asset of $10.7 million for costs associated with the COVID-19 pandemic. Filings with the MPSC (Entergy Mississippi) Formula Rate Plan Filings See the Form 10-K for revisions to Entergy Mississippi’s formula rate plan approved by the MPSC in December 2019. In January 2020 Entergy Mississippi began billing an interim capacity rate adjustment rider to recover the $59 million first-year annual revenue requirement associated with the non-fuel ownership costs of the Choctaw Generating Station. Also, effective with the April 2020 billing cycle, Entergy Mississippi implemented a rider to recover $22 million in vegetation management costs. Vegetation management costs were previously recovered through the formula rate plan. In March 2020, Entergy Mississippi submitted its formula rate plan 2020 test year filing and 2019 look-back filing showing Entergy Mississippi’s earned return for the historical 2019 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2020 calendar year to be below the formula rate plan bandwidth. The 2020 test year filing shows a $24.6 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. The 2019 look-back filing compares actual 2019 results to the approved benchmark return on rate base and reflects the need for a $7.3 million interim increase in formula rate plan revenues. In accordance with the MPSC-approved revisions to the formula rate plan, Entergy Mississippi implemented a $24.3 million interim rate increase, reflecting a cap equal to 2% of 2019 retail revenues, effective with the April 2020 billing cycle, subject to refund. In June 2020, Entergy Mississippi and the Mississippi Public Utilities Staff entered into a joint stipulation that confirmed that the 2020 test year filing showed that a $23.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. Pursuant to the joint stipulation, Entergy Mississippi’s 2019 look-back filing reflected an earned return on rate base of 6.75% in calendar year 2019, which is within the look-back bandwidth. As a result, there is no change in formula rate plan revenues in the 2019 look-back filing. In June 2020 the MPSC approved the joint stipulation with rates effective for the first billing cycle of July 2020. COVID-19 Orders In March 2020 the MPSC issued an order suspending disconnections for a period of sixty days. The MPSC extended the order on disconnections through May 26, 2020. In April 2020 the MPSC issued an order authorizing utilities to defer incremental costs and expenses associated with COVID-19 compliance and to seek future recovery through rates of the prudently incurred incremental costs and expenses. As of June 30, 2020, Entergy Mississippi recorded a regulatory asset of $6 million for costs associated with the COVID-19 pandemic. Filings with the City Council (Entergy New Orleans) Energy Efficiency As discussed in the Form 10-K, in December 2019, Entergy New Orleans filed an application with the City Council seeking approval of an implementation plan for the Energy Smart energy efficiency program from April 2020 through December 2022. Entergy New Orleans proposed to recover the costs of the program through mechanisms previously approved by the City Council or through the energy efficiency cost recovery rider, which was approved in the 2018 combined rate case resolution. In February 2020 the City Council approved Entergy New Orleans’s application. 2018 Base Rate Case Filing See the Form 10-K for discussion of the electric and gas base rate case filed in September 2018. In response to the City Council’s November 2019 resolution in the rate case, Entergy New Orleans made a compliance filing in December 2019 and also filed timely a petition for appeal and judicial review and for stay of or injunctive relief alleging that the resolution is unlawful in failing to produce just and reasonable rates. A hearing on the requested injunction was scheduled in Civil District Court for February 2020, but by joint motion of the City Council and Entergy New Orleans, the Civil District Court issued an order for a limited remand to the City Council to consider a potential agreement in principle/stipulation at its February 20, 2020 meeting. On February 17, 2020, Entergy New Orleans filed with the City Council an agreement in principle between Entergy New Orleans and the City Council’s advisors. On February 20, 2020, the City Council voted to approve the proposed agreement in principle and issued a resolution modifying the required treatment of certain accumulated deferred income taxes. As a result of the agreement in principle, the total annual revenue requirement reduction will be approximately $45 million ($42 million electric, including $29 million in rider reductions; and $3 million gas). As a result, Entergy New Orleans fully implemented the new rates in April 2020. The merits of the appeal will be subject to a separate procedural schedule issued by the Civil District Court. 2020 Formula Rate Plan Filing In April 2020, Entergy New Orleans filed a motion with the City Council to delay its formula rate plan filing until June 2020. In May 2020 the City Council issued an order extending the filing deadline for Entergy New Orleans’s formula rate plan filing to June 29, 2020. On June 26, 2020, Entergy New Orleans filed a motion with the City Council to further delay the filing of its formula rate plan to August 13, 2020. In July 2020 the City Council issued an order approving the request. COVID-19 Orders In March 2020, Entergy New Orleans voluntarily suspended customer disconnections for non-payment of utility bills through May 2020. Subsequently, the City Council ordered that the moratorium be extended to August 1, 2020. In May 2020 the City Council issued an accounting order authorizing Entergy New Orleans to establish a regulatory asset for incremental COVID-19-related expenses. As of June 30, 2020, Entergy New Orleans recorded a regulatory asset of $4.8 million for costs associated with the COVID-19 pandemic. In June 2020 the City Council established the City Council Cares Program and directed Entergy New Orleans to use the approximately $7 million refund received from the Entergy Arkansas opportunity sales FERC proceeding, currently being held in escrow, and approximately $15 million of non-securitized storm reserves to fund this program, which is intended to provide temporary bill relief to customers who become unemployed during the COVID-19 pandemic. The program became effective July 1, 2020, and offers qualifying residential customers bill credits of $100 per month for up to four months, for a maximum of $400 in residential customer bill credits. Filings with the PUCT (Entergy Texas) Distribution Cost Recovery Factor (DCRF) Rider In March 2020, Entergy Texas filed with the PUCT a request to amend its DCRF rider. The proposed rider is designed to collect from Entergy Texas’s retail customers approximately $23.6 million annually, or $20.4 million in incremental annual DCRF revenue beyond Entergy Texas’s currently effective DCRF rider, based on its capital invested in distribution between January 1, 2019 and December 31, 2019. In May and June 2020 intervenors filed testimony recommending a disallowance to Entergy Texas’s annual revenue requirement ranging from approximately $0.3 million to $4.1 million. In June 2020 the parties agreed to waive the hearing on the merits. The p arties have briefed the contested issues in this matter and are awaiting a proposal for decision. Transmission Cost Recovery Factor (TCRF) Rider As discussed in the Form 10-K, in August 2019, Entergy Texas filed with the PUCT a request to amend its TCRF rider. The new TCRF rider is designed to collect approximately $19.4 million annually from Entergy Texas’s retail customers based on its capital invested in transmission between January 1, 2018 and June 30, 2019. In January 2020 the PUCT issued an order approving an unopposed settlement providing for recovery of the requested revenue requirement. Entergy Texas implemented the amended rider beginning with bills covering usage on and after January 23, 2020. COVID-19 Orders In March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of COVID-19. In future proceedings the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. In March 2020 the PUCT ordered a moratorium on disconnections for nonpayment for all customer classes, but, in April 2020, revised the disconnect moratorium to apply only to residential customers. The PUCT allowed the moratorium to expire on June 13, 2020, but on July 17, 2020, the PUCT re-established the disconnect moratorium for residential customers until August 31, 2020. As of June 30, 2020, Entergy Texas recorded a regulatory asset of $4.1 million for costs associated with the COVID-19 pandemic. System Agreement Cost Equalization Proceedings Rough Production Cost Equalization Rates Consolidated 2011, 2012, 2013, and 2014 Rate Filing Proceedings As discussed in the Form 10-K, in April 2018 the LPSC requested rehearing of the FERC’s March 2018 order affirming the ALJ’s initial decision in the consolidated proceedings. Entergy filed in May 2018 the bandwidth true-up payments and receipts for the 2011-2014 rate filings and the payments were made in May 2018. In April 2020 the FERC issued an order partially granting the LPSC’s rehearing request. In the order the FERC reversed its prior finding and determined that the tax gain portion of the Waterford 3 financing accumulated deferred income tax should be included in the bandwidth calculation. The order requires Entergy Services to redetermine bandwidth true-up payments and receipts for the 2010-2012 test years. In May 2020, Entergy and the LPSC both separately requested rehearing of the FERC’s April 2020 order partially granting the LPSC’s rehearing request. In June 2020 the FERC issued an order accepting the May 2018 true-up filing for the 2011-2014 rate filings. Also in June 2020, Entergy filed bandwidth true-up payments and receipts for the 2010-2012 test years to address the FERC’s April 2020 rehearing order: Payments (Receipts) (In Millions) Entergy Arkansas ($2.8) Entergy Louisiana $2.3 Entergy Mississippi $0.2 Entergy New Orleans ($0.1) Entergy Texas $0.4 Entergy Arkansas Opportunity Sales Proceeding As discussed in the Form 10-K, the FERC’s opportunity sales orders have been appealed to the D.C. Circuit by Entergy, the LPSC, and the APSC. In February 2020 all of the appeals were consolidated and in April 2020 the D.C. Circuit established a briefing schedule. Briefing will occur through September 2020. Also as discussed in the Form 10-K, in May 2019, Entergy Arkansas filed an application with the APSC requesting approval of a special rider tariff to recover the costs of its opportunity sales payments from its retail customers over a 24-month period. In January 2020 the Attorney General and Arkansas Electric Energy Consumers, Inc. filed testimony opposing the recovery by Entergy Arkansas of the opportunity sales payment but also claiming that certain components of the payment should be segregated and refunded to customers. In March 2020, Entergy Arkansas filed rebuttal testimony. In July 2020 the APSC issued a decision concluding that the APSC was not preempted by the federal filed rate doctrine from considering the merits of Entergy Arkansas’s request, denying that the application is barred under the collateral estoppel aspect of res judicata, and finding that the application is not in the public interest. The order also directs Entergy Arkansas to refund to its retail customers within 30 days of the order the FERC-determined over-collection of $13.7 million, plus interest, associated with a recalculated bandwidth remedy. In addition to these primary findings, the order also denied the Attorney General’s request for Entergy Arkansas to prepare a compliance filing detailing all of the retail impacts from the opportunity sales and denied a request by the Arkansas Electric Energy Consumers to recalculate all costs using the revised responsibility ratio. Entergy Arkansas filed a motion for temporary stay of the 30-day requirement to allow Entergy Arkansas a reasonable opportunity to seek rehearing of the APSC order, but in July 2020 the APSC denied Entergy Arkansas’s request for a stay and directed Entergy Arkansas to refund to its retail ratepayers the component of the total FERC-determined opportunity sales payment that was associated with increased bandwidth remedy payments of $13.7 million, plus interest, by July 31, 2020. The APSC recognized Entergy Arkansas’s administrative limitations on processing the full refund by that date and stated that the refund shall be issued over the August 2020 billing cycle. While the APSC has denied Entergy Arkansas’s stay request, Entergy Arkansas believes its actions were prudent and, therefore, the costs are recoverable. In July 2020, Entergy Arkansas requested rehearing of the APSC order. Complaints Against System Energy Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in November 2019, in a proceeding that did not involve System Energy, the FERC issued an order addressing the methodology for determining the return on equity applicable to transmission owners in MISO. Thereafter, the participants in the System Energy proceeding agreed to amend the procedural schedule to allow the participants to file supplemental testimony addressing the order in the MISO transmission owner proceeding (Opinion No. 569). In February 2020 the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569 and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 8.44%; the MPSC and APSC argue for an authorized return on equity of 8.41%; and the FERC trial staff argues for an authorized return on equity of 9.22%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 7.89%; the MPSC and APSC argue that an authorized return on equity of 8.01% may be appropriate; and the FERC trial staff argues for an authorized return on equity of 8.66%. In April 2020, System Energy filed supplemental answering testimony addressing Opinion No. 569. System Energy argues that the Opinion No. 569 methodology is conceptually and analytically defective for purposes of establishing just and reasonable authorized return on equity determinations and proposes an alternative approach. As its primary recommendation, System Energy continues to support the return on equity determinations in its March 2019 testimony for the first refund period and its June 2019 testimony for the second refund period. Under the Opinion No. 569 methodology, System Energy calculates a “presumptively just and reasonable range” for the authorized return on equity for the first refund period of 8.57% to 9.52%, and for the second refund period of 8.28% to 9.11%. System Energy argues that these ranges are not just and reasonable results. Under its proposed alternative methodology, System Energy calculates an authorized return on equity of 10.26% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. In May 2020 the FERC issued an order on rehearing of Opinion No. 569 (Opinion No. 569-A). In June 2020 the procedural schedule was further revised in order to allow parties to the System Energy proceeding to address the Opinion No. 569-A methodology. Pursuant to the revised schedule, in June 2020, the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569-A and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.97%; the MPSC and APSC argue for an authorized return on equity of 9.24%; and the FERC trial staff argues for an authorized return on equity of 9.49%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.78%; the MPSC and APSC argue that an authorized return on equity of 9.15% may be appropriate if the second complaint is not dismissed; and the FERC trial staff argues for an authorized return on equity of 9.09% if the second complaint is not dismissed. Pursuant to the revised procedural schedule, in July 2020, System Energy filed supplemental testimony addressing Opinion No. 569-A. System Energy argues that strict application of the Opinion No. 569-A methodology produces results inconsistent with investor requirements and does not provide a sound basis on which to evaluate System Energy’s authorized return on equity. As its primary recommendation, System Energy argues for the use of a methodology that incorporates four separate financial models, including the constant growth form of the discounted cash flow model and the empirical capital asset pricing model. Based on application of its recommended methodology, System Energy argues for an authorized return on equity of 10.12% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the Opinion No. 569-A methodology, System Energy calculates an authorized return on equity of 9.44% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the revised procedural schedule, System Energy’s supplemental testimony addressing Opinion No. 569-A is due in J |
Entergy Louisiana [Member] | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Regulatory activity regarding the Tax Cuts and Jobs Act System Energy In a filing made with the FERC in March 2018, System Energy proposed revisions to the Unit Power Sales Agreement to reflect the effects of the Tax Act. In the filing System Energy proposed to return identified quantities of unprotected excess accumulated deferred income taxes to its customers by the end of 2018. In May 2018 the FERC accepted System Energy’s proposed tax revisions with an effective date of June 1, 2018, subject to refund and the outcome of settlement and hearing procedures. Settlement discussions were terminated in April 2019, and the hearing was held in March 2020. The retail regulators of the Utility operating companies that are parties to the Unit Power Sales Agreement challenged the treatment and amount of excess accumulated deferred income tax liabilities associated with uncertain tax positions related to nuclear decommissioning. In July 2020 the presiding ALJ in the proceeding issued an initial decision finding that there is an additional $147 million in unprotected excess accumulated deferred income taxes related to System Energy’s uncertain decommissioning tax deduction. The initial decision determined that System Energy should have included the $147 million in its March 2018 filing. System Energy had not included credits related to the effect of the Tax Act on the uncertain decommissioning tax position because it is uncertain whether the IRS will allow the deduction. The initial decision rejected both System Energy’s alternative argument that any crediting should occur over a ten-year period and the retail regulators’ argument that any crediting should occur over a two-year period. Instead, the initial decision concluded that System Energy should credit the additional unprotected excess accumulated deferred income taxes in a single lump sum revenue requirement reduction following a FERC order addressing the initial decision. The ALJ initial decision is an interim step in the FERC litigation process. System Energy plans to file briefs on exceptions to the FERC, re-urging its positions and requesting the reversal of the ALJ’s initial decision. In addition, Entergy expects to concede System Energy’s nuclear decommissioning tax position with the IRS before the end of 2020, which should eliminate the basis of the ALJ’s initial decision regarding the uncertain tax position. Briefs on exceptions are scheduled for September 2020, and briefs opposing exceptions are scheduled for November 2020. The FERC will then review the case and issue an order in the proceeding, and the FERC may accept, reject, or modify the ALJ’s initial decision in whole or in part. Credits, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2020, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected a decrease from $0.01462 per kWh to $0.01052 per kWh. The redetermined rate became effective with the first billing cycle in April 2020 through the normal operation of the tariff. Entergy Louisiana In March 2020 the LPSC staff provided notice of an audit of Entergy Louisiana’s fuel adjustment clause filings. The audit includes a review of the reasonableness of charges flowed through Entergy Louisiana’s fuel adjustment clause for the period from 2016 through 2019. Discovery has not yet commenced. Entergy Mississippi In November 2019, Entergy Mississippi filed its annual redetermination of the annual factor to be applied under the energy cost recovery rider. The calculation included $39.6 million of prior over-recovery flowing back to customers beginning February 2020. Entergy Mississippi’s balance in its deferred fuel account did not decrease as expected after implementation of the new factor. In an effort to assist customers during the COVID-19 pandemic, in May 2020, Entergy Mississippi requested an interim adjustment to the energy cost recovery rider to credit approximately $50 million from the over-recovered balance in the deferred fuel account to customers over four consecutive billing months, June through September 2020. The MPSC approved this interim adjustment in May 2020 effective for June 2020 bills. Entergy Texas In September 2019, Entergy Texas filed an application to reconcile its fuel and purchased power costs for the period from April 2016 through March 2019. During the reconciliation period, Entergy Texas incurred approximately $1.6 billion in Texas jurisdictional eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. Entergy Texas estimated an under-recovery balance of approximately $25.8 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2019. In March 2020 an intervenor filed testimony proposing that the PUCT disallow: (1) $2 million in replacement power costs associated with generation outages during the reconciliation period; and (2) $24.4 million associated with the operation of the Spindletop natural gas storage facility during the reconciliation period. In April 2020, Entergy Texas filed rebuttal testimony refuting all points raised by the intervenor. In June 2020 the parties filed a stipulation and settlement agreement, which included a $1.2 million disallowance not associated with any particular issue raised by any party. The settlement is currently pending before the PUCT. In July 2020, Entergy Texas filed an application with the PUCT to implement an interim fuel refund of $25.5 million, including interest. Entergy Texas proposes that the interim fuel refund be implemented beginning with the first August 2020 billing cycle over a three-month period for smaller customers and in a lump sum amount in the billing month of August 2020 for transmission-level customers. The interim fuel refund was approved in July 2020. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) Retail Rates 2020 Formula Rate Plan Filing In July 2020, Entergy Arkansas filed with the APSC its 2020 formula rate plan filing to set its formula rate for the 2021 calendar year. The filing contained an evaluation of Entergy Arkansas’s earnings for the projected year 2021 and a netting adjustment for the historical year 2019. Entergy Arkansas’s earned rate of return on common equity is 7.84% for the 2021 projected year and 9.07% for the 2019 historical year. The total revenue change is based upon a deficiency of approximately $80.7 million for the 2021 projected year and approximately $23.9 million for the 2019 historical year netting adjustment. The total proposed formula rate plan rider revenue change for 2021 is $104.6 million to produce a target rate of return of 9.75% for the projected year and the historical year. By operation of the formula rate plan, Entergy Arkansas’s recovery of the revenue requirement is subject to a four percent annual revenue constraint. Because Entergy Arkansas’s revenue requirement in this filing exceeds the constraint, the resulting increase is limited to $74.3 million. Also with this filing, Entergy Arkansas is requesting an extension of the formula rate plan rider for a second five-year term. A decision by the APSC is requested by mid-December 2020. COVID-19 Orders In April 2020, in light of the COVID-19 pandemic, the APSC issued an order requiring utilities, to the extent they had not already done so, to suspend service disconnections during the remaining pendency of the Arkansas Governor’s emergency declaration or until the APSC rescinds the directive. The order also authorizes utilities to establish a regulatory asset to record costs resulting from the suspension of service disconnections, directs that in future proceedings the APSC will consider whether the request for recovery of these regulatory assets is reasonable and necessary, and requires utilities to track and report the costs and any savings directly attributable to suspension of disconnects. In May 2020 the APSC approved Entergy Arkansas expanding delayed payment arrangements to assist customers during the pandemic. Entergy Arkansas is still evaluating the recovery provided for by the order and, therefore, did not record as of June 30, 2020 a regulatory asset for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) Retail Rates - Electric 2017 Formula Rate Plan Filing As discussed in the Form 10-K, in May 2019, Entergy Louisiana filed an update to its 2017 formula rate plan evaluation report to include the estimated first-year revenue requirement of $109.5 million associated with the J. Wayne Leonard Power Station (formerly St. Charles Power Station). The resulting interim adjustment to rates became effective with the first billing cycle of June 2019. In June 2020, Entergy Louisiana submitted information to the LPSC to review the prudence of Entergy Louisiana’s management of the project. No procedural schedule has been established. 2018 Formula Rate Plan Filing Commercial operation at Lake Charles Power Station commenced in March 2020. In March 2020, Entergy Louisiana filed an update to its 2018 formula rate plan evaluation report to include the estimated first-year revenue requirement of $108 million associated with the Lake Charles Power Station. The resulting interim adjustment to rates became effective with the first billing cycle of April 2020. 2019 Formula Rate Plan Filing In May 2020, Entergy Louisiana filed with the LPSC its formula rate plan evaluation report for its 2019 calendar year operations. The 2019 test year evaluation report produced an earned return on common equity of 9.66%. As such, no change to base rider formula rate plan revenue is required. Although base rider formula rate plan revenue will not change as a result of this filing, overall formula rate plan revenues will increase by approximately $103 million. This outcome is driven by the removal of prior year credits associated with the sale of the Willow Glen Power Station and an increase in the transmission recovery mechanism. Also contributing to the overall change is an increase in legacy formula rate plan revenue requirements driven by legacy Entergy Louisiana capacity cost true-ups and higher annualized legacy Entergy Gulf States Louisiana revenues due to higher billing determinants, offset by reductions in MISO cost recovery mechanism and tax reform adjustment mechanism revenue requirements. Request for Extension and Modification of Formula Rate Plan In May 2020, Entergy Louisiana filed with the LPSC its application for authority to extend its formula rate plan. In its application, Entergy Louisiana seeks to maintain a 9.8% return on equity, with a bandwidth of 60 basis points above and below the midpoint, with a first-year midpoint reset. Entergy Louisiana also seeks to maintain its existing additional capacity mechanism, tax reform adjustment mechanism, transmission recovery mechanism, and the MISO cost recovery mechanism. Entergy Louisiana also seeks to add a distribution cost recovery mechanism which operates in substantially the same manner as the transmission recovery mechanism and requests a deferral of certain expenses incurred for outside of right-of-way vegetation programs. Retail Rates - Gas 2017 Rate Stabilization Plan Filing As discussed in the Form 10-K, in January 2018 Entergy Louisiana filed with the LPSC its gas rate stabilization plan for the test year ended September 30, 2017. As-filed rates from the supplemental filing were implemented, subject to refund, with customers receiving a cost reduction of approximately $0.7 million effective with bills rendered on and after the first billing cycle of May 2018, as well as a $0.2 million reduction in the gas infrastructure rider effective with bills rendered on and after the first billing cycle of July 2018. In October 2019 the LPSC staff issued its report finding that Entergy Louisiana’s filing complied with the terms of the rate stabilization plan but recommending an additional refund of $0.7 million related to the Tax Act. In June 2020, the LPSC approved a joint report acknowledging Entergy Louisiana’s prior refunds and offsets for flood recovery costs, and required a further refund of $0.8 million, inclusive of carrying costs. COVID-19 Orders In April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In addition, utilities may seek future recovery, subject to LPSC review and approval, of losses and expenses incurred due to compliance with the LPSC’s COVID-19 orders. The suspension of late fees and disconnects for non-payment was extended until the first billing cycle after July 16, 2020. Utilities seeking to recover the regulatory asset must formally petition the LPSC to do so, identifying the direct and indirect costs for which recovery is sought. Any such request is subject to LPSC review and approval. As of June 30, 2020, Entergy Louisiana recorded a regulatory asset of $10.7 million for costs associated with the COVID-19 pandemic. Filings with the MPSC (Entergy Mississippi) Formula Rate Plan Filings See the Form 10-K for revisions to Entergy Mississippi’s formula rate plan approved by the MPSC in December 2019. In January 2020 Entergy Mississippi began billing an interim capacity rate adjustment rider to recover the $59 million first-year annual revenue requirement associated with the non-fuel ownership costs of the Choctaw Generating Station. Also, effective with the April 2020 billing cycle, Entergy Mississippi implemented a rider to recover $22 million in vegetation management costs. Vegetation management costs were previously recovered through the formula rate plan. In March 2020, Entergy Mississippi submitted its formula rate plan 2020 test year filing and 2019 look-back filing showing Entergy Mississippi’s earned return for the historical 2019 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2020 calendar year to be below the formula rate plan bandwidth. The 2020 test year filing shows a $24.6 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. The 2019 look-back filing compares actual 2019 results to the approved benchmark return on rate base and reflects the need for a $7.3 million interim increase in formula rate plan revenues. In accordance with the MPSC-approved revisions to the formula rate plan, Entergy Mississippi implemented a $24.3 million interim rate increase, reflecting a cap equal to 2% of 2019 retail revenues, effective with the April 2020 billing cycle, subject to refund. In June 2020, Entergy Mississippi and the Mississippi Public Utilities Staff entered into a joint stipulation that confirmed that the 2020 test year filing showed that a $23.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. Pursuant to the joint stipulation, Entergy Mississippi’s 2019 look-back filing reflected an earned return on rate base of 6.75% in calendar year 2019, which is within the look-back bandwidth. As a result, there is no change in formula rate plan revenues in the 2019 look-back filing. In June 2020 the MPSC approved the joint stipulation with rates effective for the first billing cycle of July 2020. COVID-19 Orders In March 2020 the MPSC issued an order suspending disconnections for a period of sixty days. The MPSC extended the order on disconnections through May 26, 2020. In April 2020 the MPSC issued an order authorizing utilities to defer incremental costs and expenses associated with COVID-19 compliance and to seek future recovery through rates of the prudently incurred incremental costs and expenses. As of June 30, 2020, Entergy Mississippi recorded a regulatory asset of $6 million for costs associated with the COVID-19 pandemic. Filings with the City Council (Entergy New Orleans) Energy Efficiency As discussed in the Form 10-K, in December 2019, Entergy New Orleans filed an application with the City Council seeking approval of an implementation plan for the Energy Smart energy efficiency program from April 2020 through December 2022. Entergy New Orleans proposed to recover the costs of the program through mechanisms previously approved by the City Council or through the energy efficiency cost recovery rider, which was approved in the 2018 combined rate case resolution. In February 2020 the City Council approved Entergy New Orleans’s application. 2018 Base Rate Case Filing See the Form 10-K for discussion of the electric and gas base rate case filed in September 2018. In response to the City Council’s November 2019 resolution in the rate case, Entergy New Orleans made a compliance filing in December 2019 and also filed timely a petition for appeal and judicial review and for stay of or injunctive relief alleging that the resolution is unlawful in failing to produce just and reasonable rates. A hearing on the requested injunction was scheduled in Civil District Court for February 2020, but by joint motion of the City Council and Entergy New Orleans, the Civil District Court issued an order for a limited remand to the City Council to consider a potential agreement in principle/stipulation at its February 20, 2020 meeting. On February 17, 2020, Entergy New Orleans filed with the City Council an agreement in principle between Entergy New Orleans and the City Council’s advisors. On February 20, 2020, the City Council voted to approve the proposed agreement in principle and issued a resolution modifying the required treatment of certain accumulated deferred income taxes. As a result of the agreement in principle, the total annual revenue requirement reduction will be approximately $45 million ($42 million electric, including $29 million in rider reductions; and $3 million gas). As a result, Entergy New Orleans fully implemented the new rates in April 2020. The merits of the appeal will be subject to a separate procedural schedule issued by the Civil District Court. 2020 Formula Rate Plan Filing In April 2020, Entergy New Orleans filed a motion with the City Council to delay its formula rate plan filing until June 2020. In May 2020 the City Council issued an order extending the filing deadline for Entergy New Orleans’s formula rate plan filing to June 29, 2020. On June 26, 2020, Entergy New Orleans filed a motion with the City Council to further delay the filing of its formula rate plan to August 13, 2020. In July 2020 the City Council issued an order approving the request. COVID-19 Orders In March 2020, Entergy New Orleans voluntarily suspended customer disconnections for non-payment of utility bills through May 2020. Subsequently, the City Council ordered that the moratorium be extended to August 1, 2020. In May 2020 the City Council issued an accounting order authorizing Entergy New Orleans to establish a regulatory asset for incremental COVID-19-related expenses. As of June 30, 2020, Entergy New Orleans recorded a regulatory asset of $4.8 million for costs associated with the COVID-19 pandemic. In June 2020 the City Council established the City Council Cares Program and directed Entergy New Orleans to use the approximately $7 million refund received from the Entergy Arkansas opportunity sales FERC proceeding, currently being held in escrow, and approximately $15 million of non-securitized storm reserves to fund this program, which is intended to provide temporary bill relief to customers who become unemployed during the COVID-19 pandemic. The program became effective July 1, 2020, and offers qualifying residential customers bill credits of $100 per month for up to four months, for a maximum of $400 in residential customer bill credits. Filings with the PUCT (Entergy Texas) Distribution Cost Recovery Factor (DCRF) Rider In March 2020, Entergy Texas filed with the PUCT a request to amend its DCRF rider. The proposed rider is designed to collect from Entergy Texas’s retail customers approximately $23.6 million annually, or $20.4 million in incremental annual DCRF revenue beyond Entergy Texas’s currently effective DCRF rider, based on its capital invested in distribution between January 1, 2019 and December 31, 2019. In May and June 2020 intervenors filed testimony recommending a disallowance to Entergy Texas’s annual revenue requirement ranging from approximately $0.3 million to $4.1 million. In June 2020 the parties agreed to waive the hearing on the merits. The p arties have briefed the contested issues in this matter and are awaiting a proposal for decision. Transmission Cost Recovery Factor (TCRF) Rider As discussed in the Form 10-K, in August 2019, Entergy Texas filed with the PUCT a request to amend its TCRF rider. The new TCRF rider is designed to collect approximately $19.4 million annually from Entergy Texas’s retail customers based on its capital invested in transmission between January 1, 2018 and June 30, 2019. In January 2020 the PUCT issued an order approving an unopposed settlement providing for recovery of the requested revenue requirement. Entergy Texas implemented the amended rider beginning with bills covering usage on and after January 23, 2020. COVID-19 Orders In March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of COVID-19. In future proceedings the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. In March 2020 the PUCT ordered a moratorium on disconnections for nonpayment for all customer classes, but, in April 2020, revised the disconnect moratorium to apply only to residential customers. The PUCT allowed the moratorium to expire on June 13, 2020, but on July 17, 2020, the PUCT re-established the disconnect moratorium for residential customers until August 31, 2020. As of June 30, 2020, Entergy Texas recorded a regulatory asset of $4.1 million for costs associated with the COVID-19 pandemic. System Agreement Cost Equalization Proceedings Rough Production Cost Equalization Rates Consolidated 2011, 2012, 2013, and 2014 Rate Filing Proceedings As discussed in the Form 10-K, in April 2018 the LPSC requested rehearing of the FERC’s March 2018 order affirming the ALJ’s initial decision in the consolidated proceedings. Entergy filed in May 2018 the bandwidth true-up payments and receipts for the 2011-2014 rate filings and the payments were made in May 2018. In April 2020 the FERC issued an order partially granting the LPSC’s rehearing request. In the order the FERC reversed its prior finding and determined that the tax gain portion of the Waterford 3 financing accumulated deferred income tax should be included in the bandwidth calculation. The order requires Entergy Services to redetermine bandwidth true-up payments and receipts for the 2010-2012 test years. In May 2020, Entergy and the LPSC both separately requested rehearing of the FERC’s April 2020 order partially granting the LPSC’s rehearing request. In June 2020 the FERC issued an order accepting the May 2018 true-up filing for the 2011-2014 rate filings. Also in June 2020, Entergy filed bandwidth true-up payments and receipts for the 2010-2012 test years to address the FERC’s April 2020 rehearing order: Payments (Receipts) (In Millions) Entergy Arkansas ($2.8) Entergy Louisiana $2.3 Entergy Mississippi $0.2 Entergy New Orleans ($0.1) Entergy Texas $0.4 Entergy Arkansas Opportunity Sales Proceeding As discussed in the Form 10-K, the FERC’s opportunity sales orders have been appealed to the D.C. Circuit by Entergy, the LPSC, and the APSC. In February 2020 all of the appeals were consolidated and in April 2020 the D.C. Circuit established a briefing schedule. Briefing will occur through September 2020. Also as discussed in the Form 10-K, in May 2019, Entergy Arkansas filed an application with the APSC requesting approval of a special rider tariff to recover the costs of its opportunity sales payments from its retail customers over a 24-month period. In January 2020 the Attorney General and Arkansas Electric Energy Consumers, Inc. filed testimony opposing the recovery by Entergy Arkansas of the opportunity sales payment but also claiming that certain components of the payment should be segregated and refunded to customers. In March 2020, Entergy Arkansas filed rebuttal testimony. In July 2020 the APSC issued a decision concluding that the APSC was not preempted by the federal filed rate doctrine from considering the merits of Entergy Arkansas’s request, denying that the application is barred under the collateral estoppel aspect of res judicata, and finding that the application is not in the public interest. The order also directs Entergy Arkansas to refund to its retail customers within 30 days of the order the FERC-determined over-collection of $13.7 million, plus interest, associated with a recalculated bandwidth remedy. In addition to these primary findings, the order also denied the Attorney General’s request for Entergy Arkansas to prepare a compliance filing detailing all of the retail impacts from the opportunity sales and denied a request by the Arkansas Electric Energy Consumers to recalculate all costs using the revised responsibility ratio. Entergy Arkansas filed a motion for temporary stay of the 30-day requirement to allow Entergy Arkansas a reasonable opportunity to seek rehearing of the APSC order, but in July 2020 the APSC denied Entergy Arkansas’s request for a stay and directed Entergy Arkansas to refund to its retail ratepayers the component of the total FERC-determined opportunity sales payment that was associated with increased bandwidth remedy payments of $13.7 million, plus interest, by July 31, 2020. The APSC recognized Entergy Arkansas’s administrative limitations on processing the full refund by that date and stated that the refund shall be issued over the August 2020 billing cycle. While the APSC has denied Entergy Arkansas’s stay request, Entergy Arkansas believes its actions were prudent and, therefore, the costs are recoverable. In July 2020, Entergy Arkansas requested rehearing of the APSC order. Complaints Against System Energy Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in November 2019, in a proceeding that did not involve System Energy, the FERC issued an order addressing the methodology for determining the return on equity applicable to transmission owners in MISO. Thereafter, the participants in the System Energy proceeding agreed to amend the procedural schedule to allow the participants to file supplemental testimony addressing the order in the MISO transmission owner proceeding (Opinion No. 569). In February 2020 the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569 and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 8.44%; the MPSC and APSC argue for an authorized return on equity of 8.41%; and the FERC trial staff argues for an authorized return on equity of 9.22%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 7.89%; the MPSC and APSC argue that an authorized return on equity of 8.01% may be appropriate; and the FERC trial staff argues for an authorized return on equity of 8.66%. In April 2020, System Energy filed supplemental answering testimony addressing Opinion No. 569. System Energy argues that the Opinion No. 569 methodology is conceptually and analytically defective for purposes of establishing just and reasonable authorized return on equity determinations and proposes an alternative approach. As its primary recommendation, System Energy continues to support the return on equity determinations in its March 2019 testimony for the first refund period and its June 2019 testimony for the second refund period. Under the Opinion No. 569 methodology, System Energy calculates a “presumptively just and reasonable range” for the authorized return on equity for the first refund period of 8.57% to 9.52%, and for the second refund period of 8.28% to 9.11%. System Energy argues that these ranges are not just and reasonable results. Under its proposed alternative methodology, System Energy calculates an authorized return on equity of 10.26% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. In May 2020 the FERC issued an order on rehearing of Opinion No. 569 (Opinion No. 569-A). In June 2020 the procedural schedule was further revised in order to allow parties to the System Energy proceeding to address the Opinion No. 569-A methodology. Pursuant to the revised schedule, in June 2020, the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569-A and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.97%; the MPSC and APSC argue for an authorized return on equity of 9.24%; and the FERC trial staff argues for an authorized return on equity of 9.49%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.78%; the MPSC and APSC argue that an authorized return on equity of 9.15% may be appropriate if the second complaint is not dismissed; and the FERC trial staff argues for an authorized return on equity of 9.09% if the second complaint is not dismissed. Pursuant to the revised procedural schedule, in July 2020, System Energy filed supplemental testimony addressing Opinion No. 569-A. System Energy argues that strict application of the Opinion No. 569-A methodology produces results inconsistent with investor requirements and does not provide a sound basis on which to evaluate System Energy’s authorized return on equity. As its primary recommendation, System Energy argues for the use of a methodology that incorporates four separate financial models, including the constant growth form of the discounted cash flow model and the empirical capital asset pricing model. Based on application of its recommended methodology, System Energy argues for an authorized return on equity of 10.12% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the Opinion No. 569-A methodology, System Energy calculates an authorized return on equity of 9.44% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the revised procedural schedule, System Energy’s supplemental testimony addressing Opinion No. 569-A is due in J |
Entergy Mississippi [Member] | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Regulatory activity regarding the Tax Cuts and Jobs Act System Energy In a filing made with the FERC in March 2018, System Energy proposed revisions to the Unit Power Sales Agreement to reflect the effects of the Tax Act. In the filing System Energy proposed to return identified quantities of unprotected excess accumulated deferred income taxes to its customers by the end of 2018. In May 2018 the FERC accepted System Energy’s proposed tax revisions with an effective date of June 1, 2018, subject to refund and the outcome of settlement and hearing procedures. Settlement discussions were terminated in April 2019, and the hearing was held in March 2020. The retail regulators of the Utility operating companies that are parties to the Unit Power Sales Agreement challenged the treatment and amount of excess accumulated deferred income tax liabilities associated with uncertain tax positions related to nuclear decommissioning. In July 2020 the presiding ALJ in the proceeding issued an initial decision finding that there is an additional $147 million in unprotected excess accumulated deferred income taxes related to System Energy’s uncertain decommissioning tax deduction. The initial decision determined that System Energy should have included the $147 million in its March 2018 filing. System Energy had not included credits related to the effect of the Tax Act on the uncertain decommissioning tax position because it is uncertain whether the IRS will allow the deduction. The initial decision rejected both System Energy’s alternative argument that any crediting should occur over a ten-year period and the retail regulators’ argument that any crediting should occur over a two-year period. Instead, the initial decision concluded that System Energy should credit the additional unprotected excess accumulated deferred income taxes in a single lump sum revenue requirement reduction following a FERC order addressing the initial decision. The ALJ initial decision is an interim step in the FERC litigation process. System Energy plans to file briefs on exceptions to the FERC, re-urging its positions and requesting the reversal of the ALJ’s initial decision. In addition, Entergy expects to concede System Energy’s nuclear decommissioning tax position with the IRS before the end of 2020, which should eliminate the basis of the ALJ’s initial decision regarding the uncertain tax position. Briefs on exceptions are scheduled for September 2020, and briefs opposing exceptions are scheduled for November 2020. The FERC will then review the case and issue an order in the proceeding, and the FERC may accept, reject, or modify the ALJ’s initial decision in whole or in part. Credits, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2020, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected a decrease from $0.01462 per kWh to $0.01052 per kWh. The redetermined rate became effective with the first billing cycle in April 2020 through the normal operation of the tariff. Entergy Louisiana In March 2020 the LPSC staff provided notice of an audit of Entergy Louisiana’s fuel adjustment clause filings. The audit includes a review of the reasonableness of charges flowed through Entergy Louisiana’s fuel adjustment clause for the period from 2016 through 2019. Discovery has not yet commenced. Entergy Mississippi In November 2019, Entergy Mississippi filed its annual redetermination of the annual factor to be applied under the energy cost recovery rider. The calculation included $39.6 million of prior over-recovery flowing back to customers beginning February 2020. Entergy Mississippi’s balance in its deferred fuel account did not decrease as expected after implementation of the new factor. In an effort to assist customers during the COVID-19 pandemic, in May 2020, Entergy Mississippi requested an interim adjustment to the energy cost recovery rider to credit approximately $50 million from the over-recovered balance in the deferred fuel account to customers over four consecutive billing months, June through September 2020. The MPSC approved this interim adjustment in May 2020 effective for June 2020 bills. Entergy Texas In September 2019, Entergy Texas filed an application to reconcile its fuel and purchased power costs for the period from April 2016 through March 2019. During the reconciliation period, Entergy Texas incurred approximately $1.6 billion in Texas jurisdictional eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. Entergy Texas estimated an under-recovery balance of approximately $25.8 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2019. In March 2020 an intervenor filed testimony proposing that the PUCT disallow: (1) $2 million in replacement power costs associated with generation outages during the reconciliation period; and (2) $24.4 million associated with the operation of the Spindletop natural gas storage facility during the reconciliation period. In April 2020, Entergy Texas filed rebuttal testimony refuting all points raised by the intervenor. In June 2020 the parties filed a stipulation and settlement agreement, which included a $1.2 million disallowance not associated with any particular issue raised by any party. The settlement is currently pending before the PUCT. In July 2020, Entergy Texas filed an application with the PUCT to implement an interim fuel refund of $25.5 million, including interest. Entergy Texas proposes that the interim fuel refund be implemented beginning with the first August 2020 billing cycle over a three-month period for smaller customers and in a lump sum amount in the billing month of August 2020 for transmission-level customers. The interim fuel refund was approved in July 2020. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) Retail Rates 2020 Formula Rate Plan Filing In July 2020, Entergy Arkansas filed with the APSC its 2020 formula rate plan filing to set its formula rate for the 2021 calendar year. The filing contained an evaluation of Entergy Arkansas’s earnings for the projected year 2021 and a netting adjustment for the historical year 2019. Entergy Arkansas’s earned rate of return on common equity is 7.84% for the 2021 projected year and 9.07% for the 2019 historical year. The total revenue change is based upon a deficiency of approximately $80.7 million for the 2021 projected year and approximately $23.9 million for the 2019 historical year netting adjustment. The total proposed formula rate plan rider revenue change for 2021 is $104.6 million to produce a target rate of return of 9.75% for the projected year and the historical year. By operation of the formula rate plan, Entergy Arkansas’s recovery of the revenue requirement is subject to a four percent annual revenue constraint. Because Entergy Arkansas’s revenue requirement in this filing exceeds the constraint, the resulting increase is limited to $74.3 million. Also with this filing, Entergy Arkansas is requesting an extension of the formula rate plan rider for a second five-year term. A decision by the APSC is requested by mid-December 2020. COVID-19 Orders In April 2020, in light of the COVID-19 pandemic, the APSC issued an order requiring utilities, to the extent they had not already done so, to suspend service disconnections during the remaining pendency of the Arkansas Governor’s emergency declaration or until the APSC rescinds the directive. The order also authorizes utilities to establish a regulatory asset to record costs resulting from the suspension of service disconnections, directs that in future proceedings the APSC will consider whether the request for recovery of these regulatory assets is reasonable and necessary, and requires utilities to track and report the costs and any savings directly attributable to suspension of disconnects. In May 2020 the APSC approved Entergy Arkansas expanding delayed payment arrangements to assist customers during the pandemic. Entergy Arkansas is still evaluating the recovery provided for by the order and, therefore, did not record as of June 30, 2020 a regulatory asset for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) Retail Rates - Electric 2017 Formula Rate Plan Filing As discussed in the Form 10-K, in May 2019, Entergy Louisiana filed an update to its 2017 formula rate plan evaluation report to include the estimated first-year revenue requirement of $109.5 million associated with the J. Wayne Leonard Power Station (formerly St. Charles Power Station). The resulting interim adjustment to rates became effective with the first billing cycle of June 2019. In June 2020, Entergy Louisiana submitted information to the LPSC to review the prudence of Entergy Louisiana’s management of the project. No procedural schedule has been established. 2018 Formula Rate Plan Filing Commercial operation at Lake Charles Power Station commenced in March 2020. In March 2020, Entergy Louisiana filed an update to its 2018 formula rate plan evaluation report to include the estimated first-year revenue requirement of $108 million associated with the Lake Charles Power Station. The resulting interim adjustment to rates became effective with the first billing cycle of April 2020. 2019 Formula Rate Plan Filing In May 2020, Entergy Louisiana filed with the LPSC its formula rate plan evaluation report for its 2019 calendar year operations. The 2019 test year evaluation report produced an earned return on common equity of 9.66%. As such, no change to base rider formula rate plan revenue is required. Although base rider formula rate plan revenue will not change as a result of this filing, overall formula rate plan revenues will increase by approximately $103 million. This outcome is driven by the removal of prior year credits associated with the sale of the Willow Glen Power Station and an increase in the transmission recovery mechanism. Also contributing to the overall change is an increase in legacy formula rate plan revenue requirements driven by legacy Entergy Louisiana capacity cost true-ups and higher annualized legacy Entergy Gulf States Louisiana revenues due to higher billing determinants, offset by reductions in MISO cost recovery mechanism and tax reform adjustment mechanism revenue requirements. Request for Extension and Modification of Formula Rate Plan In May 2020, Entergy Louisiana filed with the LPSC its application for authority to extend its formula rate plan. In its application, Entergy Louisiana seeks to maintain a 9.8% return on equity, with a bandwidth of 60 basis points above and below the midpoint, with a first-year midpoint reset. Entergy Louisiana also seeks to maintain its existing additional capacity mechanism, tax reform adjustment mechanism, transmission recovery mechanism, and the MISO cost recovery mechanism. Entergy Louisiana also seeks to add a distribution cost recovery mechanism which operates in substantially the same manner as the transmission recovery mechanism and requests a deferral of certain expenses incurred for outside of right-of-way vegetation programs. Retail Rates - Gas 2017 Rate Stabilization Plan Filing As discussed in the Form 10-K, in January 2018 Entergy Louisiana filed with the LPSC its gas rate stabilization plan for the test year ended September 30, 2017. As-filed rates from the supplemental filing were implemented, subject to refund, with customers receiving a cost reduction of approximately $0.7 million effective with bills rendered on and after the first billing cycle of May 2018, as well as a $0.2 million reduction in the gas infrastructure rider effective with bills rendered on and after the first billing cycle of July 2018. In October 2019 the LPSC staff issued its report finding that Entergy Louisiana’s filing complied with the terms of the rate stabilization plan but recommending an additional refund of $0.7 million related to the Tax Act. In June 2020, the LPSC approved a joint report acknowledging Entergy Louisiana’s prior refunds and offsets for flood recovery costs, and required a further refund of $0.8 million, inclusive of carrying costs. COVID-19 Orders In April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In addition, utilities may seek future recovery, subject to LPSC review and approval, of losses and expenses incurred due to compliance with the LPSC’s COVID-19 orders. The suspension of late fees and disconnects for non-payment was extended until the first billing cycle after July 16, 2020. Utilities seeking to recover the regulatory asset must formally petition the LPSC to do so, identifying the direct and indirect costs for which recovery is sought. Any such request is subject to LPSC review and approval. As of June 30, 2020, Entergy Louisiana recorded a regulatory asset of $10.7 million for costs associated with the COVID-19 pandemic. Filings with the MPSC (Entergy Mississippi) Formula Rate Plan Filings See the Form 10-K for revisions to Entergy Mississippi’s formula rate plan approved by the MPSC in December 2019. In January 2020 Entergy Mississippi began billing an interim capacity rate adjustment rider to recover the $59 million first-year annual revenue requirement associated with the non-fuel ownership costs of the Choctaw Generating Station. Also, effective with the April 2020 billing cycle, Entergy Mississippi implemented a rider to recover $22 million in vegetation management costs. Vegetation management costs were previously recovered through the formula rate plan. In March 2020, Entergy Mississippi submitted its formula rate plan 2020 test year filing and 2019 look-back filing showing Entergy Mississippi’s earned return for the historical 2019 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2020 calendar year to be below the formula rate plan bandwidth. The 2020 test year filing shows a $24.6 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. The 2019 look-back filing compares actual 2019 results to the approved benchmark return on rate base and reflects the need for a $7.3 million interim increase in formula rate plan revenues. In accordance with the MPSC-approved revisions to the formula rate plan, Entergy Mississippi implemented a $24.3 million interim rate increase, reflecting a cap equal to 2% of 2019 retail revenues, effective with the April 2020 billing cycle, subject to refund. In June 2020, Entergy Mississippi and the Mississippi Public Utilities Staff entered into a joint stipulation that confirmed that the 2020 test year filing showed that a $23.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. Pursuant to the joint stipulation, Entergy Mississippi’s 2019 look-back filing reflected an earned return on rate base of 6.75% in calendar year 2019, which is within the look-back bandwidth. As a result, there is no change in formula rate plan revenues in the 2019 look-back filing. In June 2020 the MPSC approved the joint stipulation with rates effective for the first billing cycle of July 2020. COVID-19 Orders In March 2020 the MPSC issued an order suspending disconnections for a period of sixty days. The MPSC extended the order on disconnections through May 26, 2020. In April 2020 the MPSC issued an order authorizing utilities to defer incremental costs and expenses associated with COVID-19 compliance and to seek future recovery through rates of the prudently incurred incremental costs and expenses. As of June 30, 2020, Entergy Mississippi recorded a regulatory asset of $6 million for costs associated with the COVID-19 pandemic. Filings with the City Council (Entergy New Orleans) Energy Efficiency As discussed in the Form 10-K, in December 2019, Entergy New Orleans filed an application with the City Council seeking approval of an implementation plan for the Energy Smart energy efficiency program from April 2020 through December 2022. Entergy New Orleans proposed to recover the costs of the program through mechanisms previously approved by the City Council or through the energy efficiency cost recovery rider, which was approved in the 2018 combined rate case resolution. In February 2020 the City Council approved Entergy New Orleans’s application. 2018 Base Rate Case Filing See the Form 10-K for discussion of the electric and gas base rate case filed in September 2018. In response to the City Council’s November 2019 resolution in the rate case, Entergy New Orleans made a compliance filing in December 2019 and also filed timely a petition for appeal and judicial review and for stay of or injunctive relief alleging that the resolution is unlawful in failing to produce just and reasonable rates. A hearing on the requested injunction was scheduled in Civil District Court for February 2020, but by joint motion of the City Council and Entergy New Orleans, the Civil District Court issued an order for a limited remand to the City Council to consider a potential agreement in principle/stipulation at its February 20, 2020 meeting. On February 17, 2020, Entergy New Orleans filed with the City Council an agreement in principle between Entergy New Orleans and the City Council’s advisors. On February 20, 2020, the City Council voted to approve the proposed agreement in principle and issued a resolution modifying the required treatment of certain accumulated deferred income taxes. As a result of the agreement in principle, the total annual revenue requirement reduction will be approximately $45 million ($42 million electric, including $29 million in rider reductions; and $3 million gas). As a result, Entergy New Orleans fully implemented the new rates in April 2020. The merits of the appeal will be subject to a separate procedural schedule issued by the Civil District Court. 2020 Formula Rate Plan Filing In April 2020, Entergy New Orleans filed a motion with the City Council to delay its formula rate plan filing until June 2020. In May 2020 the City Council issued an order extending the filing deadline for Entergy New Orleans’s formula rate plan filing to June 29, 2020. On June 26, 2020, Entergy New Orleans filed a motion with the City Council to further delay the filing of its formula rate plan to August 13, 2020. In July 2020 the City Council issued an order approving the request. COVID-19 Orders In March 2020, Entergy New Orleans voluntarily suspended customer disconnections for non-payment of utility bills through May 2020. Subsequently, the City Council ordered that the moratorium be extended to August 1, 2020. In May 2020 the City Council issued an accounting order authorizing Entergy New Orleans to establish a regulatory asset for incremental COVID-19-related expenses. As of June 30, 2020, Entergy New Orleans recorded a regulatory asset of $4.8 million for costs associated with the COVID-19 pandemic. In June 2020 the City Council established the City Council Cares Program and directed Entergy New Orleans to use the approximately $7 million refund received from the Entergy Arkansas opportunity sales FERC proceeding, currently being held in escrow, and approximately $15 million of non-securitized storm reserves to fund this program, which is intended to provide temporary bill relief to customers who become unemployed during the COVID-19 pandemic. The program became effective July 1, 2020, and offers qualifying residential customers bill credits of $100 per month for up to four months, for a maximum of $400 in residential customer bill credits. Filings with the PUCT (Entergy Texas) Distribution Cost Recovery Factor (DCRF) Rider In March 2020, Entergy Texas filed with the PUCT a request to amend its DCRF rider. The proposed rider is designed to collect from Entergy Texas’s retail customers approximately $23.6 million annually, or $20.4 million in incremental annual DCRF revenue beyond Entergy Texas’s currently effective DCRF rider, based on its capital invested in distribution between January 1, 2019 and December 31, 2019. In May and June 2020 intervenors filed testimony recommending a disallowance to Entergy Texas’s annual revenue requirement ranging from approximately $0.3 million to $4.1 million. In June 2020 the parties agreed to waive the hearing on the merits. The p arties have briefed the contested issues in this matter and are awaiting a proposal for decision. Transmission Cost Recovery Factor (TCRF) Rider As discussed in the Form 10-K, in August 2019, Entergy Texas filed with the PUCT a request to amend its TCRF rider. The new TCRF rider is designed to collect approximately $19.4 million annually from Entergy Texas’s retail customers based on its capital invested in transmission between January 1, 2018 and June 30, 2019. In January 2020 the PUCT issued an order approving an unopposed settlement providing for recovery of the requested revenue requirement. Entergy Texas implemented the amended rider beginning with bills covering usage on and after January 23, 2020. COVID-19 Orders In March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of COVID-19. In future proceedings the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. In March 2020 the PUCT ordered a moratorium on disconnections for nonpayment for all customer classes, but, in April 2020, revised the disconnect moratorium to apply only to residential customers. The PUCT allowed the moratorium to expire on June 13, 2020, but on July 17, 2020, the PUCT re-established the disconnect moratorium for residential customers until August 31, 2020. As of June 30, 2020, Entergy Texas recorded a regulatory asset of $4.1 million for costs associated with the COVID-19 pandemic. System Agreement Cost Equalization Proceedings Rough Production Cost Equalization Rates Consolidated 2011, 2012, 2013, and 2014 Rate Filing Proceedings As discussed in the Form 10-K, in April 2018 the LPSC requested rehearing of the FERC’s March 2018 order affirming the ALJ’s initial decision in the consolidated proceedings. Entergy filed in May 2018 the bandwidth true-up payments and receipts for the 2011-2014 rate filings and the payments were made in May 2018. In April 2020 the FERC issued an order partially granting the LPSC’s rehearing request. In the order the FERC reversed its prior finding and determined that the tax gain portion of the Waterford 3 financing accumulated deferred income tax should be included in the bandwidth calculation. The order requires Entergy Services to redetermine bandwidth true-up payments and receipts for the 2010-2012 test years. In May 2020, Entergy and the LPSC both separately requested rehearing of the FERC’s April 2020 order partially granting the LPSC’s rehearing request. In June 2020 the FERC issued an order accepting the May 2018 true-up filing for the 2011-2014 rate filings. Also in June 2020, Entergy filed bandwidth true-up payments and receipts for the 2010-2012 test years to address the FERC’s April 2020 rehearing order: Payments (Receipts) (In Millions) Entergy Arkansas ($2.8) Entergy Louisiana $2.3 Entergy Mississippi $0.2 Entergy New Orleans ($0.1) Entergy Texas $0.4 Entergy Arkansas Opportunity Sales Proceeding As discussed in the Form 10-K, the FERC’s opportunity sales orders have been appealed to the D.C. Circuit by Entergy, the LPSC, and the APSC. In February 2020 all of the appeals were consolidated and in April 2020 the D.C. Circuit established a briefing schedule. Briefing will occur through September 2020. Also as discussed in the Form 10-K, in May 2019, Entergy Arkansas filed an application with the APSC requesting approval of a special rider tariff to recover the costs of its opportunity sales payments from its retail customers over a 24-month period. In January 2020 the Attorney General and Arkansas Electric Energy Consumers, Inc. filed testimony opposing the recovery by Entergy Arkansas of the opportunity sales payment but also claiming that certain components of the payment should be segregated and refunded to customers. In March 2020, Entergy Arkansas filed rebuttal testimony. In July 2020 the APSC issued a decision concluding that the APSC was not preempted by the federal filed rate doctrine from considering the merits of Entergy Arkansas’s request, denying that the application is barred under the collateral estoppel aspect of res judicata, and finding that the application is not in the public interest. The order also directs Entergy Arkansas to refund to its retail customers within 30 days of the order the FERC-determined over-collection of $13.7 million, plus interest, associated with a recalculated bandwidth remedy. In addition to these primary findings, the order also denied the Attorney General’s request for Entergy Arkansas to prepare a compliance filing detailing all of the retail impacts from the opportunity sales and denied a request by the Arkansas Electric Energy Consumers to recalculate all costs using the revised responsibility ratio. Entergy Arkansas filed a motion for temporary stay of the 30-day requirement to allow Entergy Arkansas a reasonable opportunity to seek rehearing of the APSC order, but in July 2020 the APSC denied Entergy Arkansas’s request for a stay and directed Entergy Arkansas to refund to its retail ratepayers the component of the total FERC-determined opportunity sales payment that was associated with increased bandwidth remedy payments of $13.7 million, plus interest, by July 31, 2020. The APSC recognized Entergy Arkansas’s administrative limitations on processing the full refund by that date and stated that the refund shall be issued over the August 2020 billing cycle. While the APSC has denied Entergy Arkansas’s stay request, Entergy Arkansas believes its actions were prudent and, therefore, the costs are recoverable. In July 2020, Entergy Arkansas requested rehearing of the APSC order. Complaints Against System Energy Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in November 2019, in a proceeding that did not involve System Energy, the FERC issued an order addressing the methodology for determining the return on equity applicable to transmission owners in MISO. Thereafter, the participants in the System Energy proceeding agreed to amend the procedural schedule to allow the participants to file supplemental testimony addressing the order in the MISO transmission owner proceeding (Opinion No. 569). In February 2020 the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569 and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 8.44%; the MPSC and APSC argue for an authorized return on equity of 8.41%; and the FERC trial staff argues for an authorized return on equity of 9.22%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 7.89%; the MPSC and APSC argue that an authorized return on equity of 8.01% may be appropriate; and the FERC trial staff argues for an authorized return on equity of 8.66%. In April 2020, System Energy filed supplemental answering testimony addressing Opinion No. 569. System Energy argues that the Opinion No. 569 methodology is conceptually and analytically defective for purposes of establishing just and reasonable authorized return on equity determinations and proposes an alternative approach. As its primary recommendation, System Energy continues to support the return on equity determinations in its March 2019 testimony for the first refund period and its June 2019 testimony for the second refund period. Under the Opinion No. 569 methodology, System Energy calculates a “presumptively just and reasonable range” for the authorized return on equity for the first refund period of 8.57% to 9.52%, and for the second refund period of 8.28% to 9.11%. System Energy argues that these ranges are not just and reasonable results. Under its proposed alternative methodology, System Energy calculates an authorized return on equity of 10.26% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. In May 2020 the FERC issued an order on rehearing of Opinion No. 569 (Opinion No. 569-A). In June 2020 the procedural schedule was further revised in order to allow parties to the System Energy proceeding to address the Opinion No. 569-A methodology. Pursuant to the revised schedule, in June 2020, the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569-A and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.97%; the MPSC and APSC argue for an authorized return on equity of 9.24%; and the FERC trial staff argues for an authorized return on equity of 9.49%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.78%; the MPSC and APSC argue that an authorized return on equity of 9.15% may be appropriate if the second complaint is not dismissed; and the FERC trial staff argues for an authorized return on equity of 9.09% if the second complaint is not dismissed. Pursuant to the revised procedural schedule, in July 2020, System Energy filed supplemental testimony addressing Opinion No. 569-A. System Energy argues that strict application of the Opinion No. 569-A methodology produces results inconsistent with investor requirements and does not provide a sound basis on which to evaluate System Energy’s authorized return on equity. As its primary recommendation, System Energy argues for the use of a methodology that incorporates four separate financial models, including the constant growth form of the discounted cash flow model and the empirical capital asset pricing model. Based on application of its recommended methodology, System Energy argues for an authorized return on equity of 10.12% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the Opinion No. 569-A methodology, System Energy calculates an authorized return on equity of 9.44% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the revised procedural schedule, System Energy’s supplemental testimony addressing Opinion No. 569-A is due in J |
Entergy New Orleans [Member] | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Regulatory activity regarding the Tax Cuts and Jobs Act System Energy In a filing made with the FERC in March 2018, System Energy proposed revisions to the Unit Power Sales Agreement to reflect the effects of the Tax Act. In the filing System Energy proposed to return identified quantities of unprotected excess accumulated deferred income taxes to its customers by the end of 2018. In May 2018 the FERC accepted System Energy’s proposed tax revisions with an effective date of June 1, 2018, subject to refund and the outcome of settlement and hearing procedures. Settlement discussions were terminated in April 2019, and the hearing was held in March 2020. The retail regulators of the Utility operating companies that are parties to the Unit Power Sales Agreement challenged the treatment and amount of excess accumulated deferred income tax liabilities associated with uncertain tax positions related to nuclear decommissioning. In July 2020 the presiding ALJ in the proceeding issued an initial decision finding that there is an additional $147 million in unprotected excess accumulated deferred income taxes related to System Energy’s uncertain decommissioning tax deduction. The initial decision determined that System Energy should have included the $147 million in its March 2018 filing. System Energy had not included credits related to the effect of the Tax Act on the uncertain decommissioning tax position because it is uncertain whether the IRS will allow the deduction. The initial decision rejected both System Energy’s alternative argument that any crediting should occur over a ten-year period and the retail regulators’ argument that any crediting should occur over a two-year period. Instead, the initial decision concluded that System Energy should credit the additional unprotected excess accumulated deferred income taxes in a single lump sum revenue requirement reduction following a FERC order addressing the initial decision. The ALJ initial decision is an interim step in the FERC litigation process. System Energy plans to file briefs on exceptions to the FERC, re-urging its positions and requesting the reversal of the ALJ’s initial decision. In addition, Entergy expects to concede System Energy’s nuclear decommissioning tax position with the IRS before the end of 2020, which should eliminate the basis of the ALJ’s initial decision regarding the uncertain tax position. Briefs on exceptions are scheduled for September 2020, and briefs opposing exceptions are scheduled for November 2020. The FERC will then review the case and issue an order in the proceeding, and the FERC may accept, reject, or modify the ALJ’s initial decision in whole or in part. Credits, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2020, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected a decrease from $0.01462 per kWh to $0.01052 per kWh. The redetermined rate became effective with the first billing cycle in April 2020 through the normal operation of the tariff. Entergy Louisiana In March 2020 the LPSC staff provided notice of an audit of Entergy Louisiana’s fuel adjustment clause filings. The audit includes a review of the reasonableness of charges flowed through Entergy Louisiana’s fuel adjustment clause for the period from 2016 through 2019. Discovery has not yet commenced. Entergy Mississippi In November 2019, Entergy Mississippi filed its annual redetermination of the annual factor to be applied under the energy cost recovery rider. The calculation included $39.6 million of prior over-recovery flowing back to customers beginning February 2020. Entergy Mississippi’s balance in its deferred fuel account did not decrease as expected after implementation of the new factor. In an effort to assist customers during the COVID-19 pandemic, in May 2020, Entergy Mississippi requested an interim adjustment to the energy cost recovery rider to credit approximately $50 million from the over-recovered balance in the deferred fuel account to customers over four consecutive billing months, June through September 2020. The MPSC approved this interim adjustment in May 2020 effective for June 2020 bills. Entergy Texas In September 2019, Entergy Texas filed an application to reconcile its fuel and purchased power costs for the period from April 2016 through March 2019. During the reconciliation period, Entergy Texas incurred approximately $1.6 billion in Texas jurisdictional eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. Entergy Texas estimated an under-recovery balance of approximately $25.8 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2019. In March 2020 an intervenor filed testimony proposing that the PUCT disallow: (1) $2 million in replacement power costs associated with generation outages during the reconciliation period; and (2) $24.4 million associated with the operation of the Spindletop natural gas storage facility during the reconciliation period. In April 2020, Entergy Texas filed rebuttal testimony refuting all points raised by the intervenor. In June 2020 the parties filed a stipulation and settlement agreement, which included a $1.2 million disallowance not associated with any particular issue raised by any party. The settlement is currently pending before the PUCT. In July 2020, Entergy Texas filed an application with the PUCT to implement an interim fuel refund of $25.5 million, including interest. Entergy Texas proposes that the interim fuel refund be implemented beginning with the first August 2020 billing cycle over a three-month period for smaller customers and in a lump sum amount in the billing month of August 2020 for transmission-level customers. The interim fuel refund was approved in July 2020. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) Retail Rates 2020 Formula Rate Plan Filing In July 2020, Entergy Arkansas filed with the APSC its 2020 formula rate plan filing to set its formula rate for the 2021 calendar year. The filing contained an evaluation of Entergy Arkansas’s earnings for the projected year 2021 and a netting adjustment for the historical year 2019. Entergy Arkansas’s earned rate of return on common equity is 7.84% for the 2021 projected year and 9.07% for the 2019 historical year. The total revenue change is based upon a deficiency of approximately $80.7 million for the 2021 projected year and approximately $23.9 million for the 2019 historical year netting adjustment. The total proposed formula rate plan rider revenue change for 2021 is $104.6 million to produce a target rate of return of 9.75% for the projected year and the historical year. By operation of the formula rate plan, Entergy Arkansas’s recovery of the revenue requirement is subject to a four percent annual revenue constraint. Because Entergy Arkansas’s revenue requirement in this filing exceeds the constraint, the resulting increase is limited to $74.3 million. Also with this filing, Entergy Arkansas is requesting an extension of the formula rate plan rider for a second five-year term. A decision by the APSC is requested by mid-December 2020. COVID-19 Orders In April 2020, in light of the COVID-19 pandemic, the APSC issued an order requiring utilities, to the extent they had not already done so, to suspend service disconnections during the remaining pendency of the Arkansas Governor’s emergency declaration or until the APSC rescinds the directive. The order also authorizes utilities to establish a regulatory asset to record costs resulting from the suspension of service disconnections, directs that in future proceedings the APSC will consider whether the request for recovery of these regulatory assets is reasonable and necessary, and requires utilities to track and report the costs and any savings directly attributable to suspension of disconnects. In May 2020 the APSC approved Entergy Arkansas expanding delayed payment arrangements to assist customers during the pandemic. Entergy Arkansas is still evaluating the recovery provided for by the order and, therefore, did not record as of June 30, 2020 a regulatory asset for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) Retail Rates - Electric 2017 Formula Rate Plan Filing As discussed in the Form 10-K, in May 2019, Entergy Louisiana filed an update to its 2017 formula rate plan evaluation report to include the estimated first-year revenue requirement of $109.5 million associated with the J. Wayne Leonard Power Station (formerly St. Charles Power Station). The resulting interim adjustment to rates became effective with the first billing cycle of June 2019. In June 2020, Entergy Louisiana submitted information to the LPSC to review the prudence of Entergy Louisiana’s management of the project. No procedural schedule has been established. 2018 Formula Rate Plan Filing Commercial operation at Lake Charles Power Station commenced in March 2020. In March 2020, Entergy Louisiana filed an update to its 2018 formula rate plan evaluation report to include the estimated first-year revenue requirement of $108 million associated with the Lake Charles Power Station. The resulting interim adjustment to rates became effective with the first billing cycle of April 2020. 2019 Formula Rate Plan Filing In May 2020, Entergy Louisiana filed with the LPSC its formula rate plan evaluation report for its 2019 calendar year operations. The 2019 test year evaluation report produced an earned return on common equity of 9.66%. As such, no change to base rider formula rate plan revenue is required. Although base rider formula rate plan revenue will not change as a result of this filing, overall formula rate plan revenues will increase by approximately $103 million. This outcome is driven by the removal of prior year credits associated with the sale of the Willow Glen Power Station and an increase in the transmission recovery mechanism. Also contributing to the overall change is an increase in legacy formula rate plan revenue requirements driven by legacy Entergy Louisiana capacity cost true-ups and higher annualized legacy Entergy Gulf States Louisiana revenues due to higher billing determinants, offset by reductions in MISO cost recovery mechanism and tax reform adjustment mechanism revenue requirements. Request for Extension and Modification of Formula Rate Plan In May 2020, Entergy Louisiana filed with the LPSC its application for authority to extend its formula rate plan. In its application, Entergy Louisiana seeks to maintain a 9.8% return on equity, with a bandwidth of 60 basis points above and below the midpoint, with a first-year midpoint reset. Entergy Louisiana also seeks to maintain its existing additional capacity mechanism, tax reform adjustment mechanism, transmission recovery mechanism, and the MISO cost recovery mechanism. Entergy Louisiana also seeks to add a distribution cost recovery mechanism which operates in substantially the same manner as the transmission recovery mechanism and requests a deferral of certain expenses incurred for outside of right-of-way vegetation programs. Retail Rates - Gas 2017 Rate Stabilization Plan Filing As discussed in the Form 10-K, in January 2018 Entergy Louisiana filed with the LPSC its gas rate stabilization plan for the test year ended September 30, 2017. As-filed rates from the supplemental filing were implemented, subject to refund, with customers receiving a cost reduction of approximately $0.7 million effective with bills rendered on and after the first billing cycle of May 2018, as well as a $0.2 million reduction in the gas infrastructure rider effective with bills rendered on and after the first billing cycle of July 2018. In October 2019 the LPSC staff issued its report finding that Entergy Louisiana’s filing complied with the terms of the rate stabilization plan but recommending an additional refund of $0.7 million related to the Tax Act. In June 2020, the LPSC approved a joint report acknowledging Entergy Louisiana’s prior refunds and offsets for flood recovery costs, and required a further refund of $0.8 million, inclusive of carrying costs. COVID-19 Orders In April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In addition, utilities may seek future recovery, subject to LPSC review and approval, of losses and expenses incurred due to compliance with the LPSC’s COVID-19 orders. The suspension of late fees and disconnects for non-payment was extended until the first billing cycle after July 16, 2020. Utilities seeking to recover the regulatory asset must formally petition the LPSC to do so, identifying the direct and indirect costs for which recovery is sought. Any such request is subject to LPSC review and approval. As of June 30, 2020, Entergy Louisiana recorded a regulatory asset of $10.7 million for costs associated with the COVID-19 pandemic. Filings with the MPSC (Entergy Mississippi) Formula Rate Plan Filings See the Form 10-K for revisions to Entergy Mississippi’s formula rate plan approved by the MPSC in December 2019. In January 2020 Entergy Mississippi began billing an interim capacity rate adjustment rider to recover the $59 million first-year annual revenue requirement associated with the non-fuel ownership costs of the Choctaw Generating Station. Also, effective with the April 2020 billing cycle, Entergy Mississippi implemented a rider to recover $22 million in vegetation management costs. Vegetation management costs were previously recovered through the formula rate plan. In March 2020, Entergy Mississippi submitted its formula rate plan 2020 test year filing and 2019 look-back filing showing Entergy Mississippi’s earned return for the historical 2019 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2020 calendar year to be below the formula rate plan bandwidth. The 2020 test year filing shows a $24.6 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. The 2019 look-back filing compares actual 2019 results to the approved benchmark return on rate base and reflects the need for a $7.3 million interim increase in formula rate plan revenues. In accordance with the MPSC-approved revisions to the formula rate plan, Entergy Mississippi implemented a $24.3 million interim rate increase, reflecting a cap equal to 2% of 2019 retail revenues, effective with the April 2020 billing cycle, subject to refund. In June 2020, Entergy Mississippi and the Mississippi Public Utilities Staff entered into a joint stipulation that confirmed that the 2020 test year filing showed that a $23.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. Pursuant to the joint stipulation, Entergy Mississippi’s 2019 look-back filing reflected an earned return on rate base of 6.75% in calendar year 2019, which is within the look-back bandwidth. As a result, there is no change in formula rate plan revenues in the 2019 look-back filing. In June 2020 the MPSC approved the joint stipulation with rates effective for the first billing cycle of July 2020. COVID-19 Orders In March 2020 the MPSC issued an order suspending disconnections for a period of sixty days. The MPSC extended the order on disconnections through May 26, 2020. In April 2020 the MPSC issued an order authorizing utilities to defer incremental costs and expenses associated with COVID-19 compliance and to seek future recovery through rates of the prudently incurred incremental costs and expenses. As of June 30, 2020, Entergy Mississippi recorded a regulatory asset of $6 million for costs associated with the COVID-19 pandemic. Filings with the City Council (Entergy New Orleans) Energy Efficiency As discussed in the Form 10-K, in December 2019, Entergy New Orleans filed an application with the City Council seeking approval of an implementation plan for the Energy Smart energy efficiency program from April 2020 through December 2022. Entergy New Orleans proposed to recover the costs of the program through mechanisms previously approved by the City Council or through the energy efficiency cost recovery rider, which was approved in the 2018 combined rate case resolution. In February 2020 the City Council approved Entergy New Orleans’s application. 2018 Base Rate Case Filing See the Form 10-K for discussion of the electric and gas base rate case filed in September 2018. In response to the City Council’s November 2019 resolution in the rate case, Entergy New Orleans made a compliance filing in December 2019 and also filed timely a petition for appeal and judicial review and for stay of or injunctive relief alleging that the resolution is unlawful in failing to produce just and reasonable rates. A hearing on the requested injunction was scheduled in Civil District Court for February 2020, but by joint motion of the City Council and Entergy New Orleans, the Civil District Court issued an order for a limited remand to the City Council to consider a potential agreement in principle/stipulation at its February 20, 2020 meeting. On February 17, 2020, Entergy New Orleans filed with the City Council an agreement in principle between Entergy New Orleans and the City Council’s advisors. On February 20, 2020, the City Council voted to approve the proposed agreement in principle and issued a resolution modifying the required treatment of certain accumulated deferred income taxes. As a result of the agreement in principle, the total annual revenue requirement reduction will be approximately $45 million ($42 million electric, including $29 million in rider reductions; and $3 million gas). As a result, Entergy New Orleans fully implemented the new rates in April 2020. The merits of the appeal will be subject to a separate procedural schedule issued by the Civil District Court. 2020 Formula Rate Plan Filing In April 2020, Entergy New Orleans filed a motion with the City Council to delay its formula rate plan filing until June 2020. In May 2020 the City Council issued an order extending the filing deadline for Entergy New Orleans’s formula rate plan filing to June 29, 2020. On June 26, 2020, Entergy New Orleans filed a motion with the City Council to further delay the filing of its formula rate plan to August 13, 2020. In July 2020 the City Council issued an order approving the request. COVID-19 Orders In March 2020, Entergy New Orleans voluntarily suspended customer disconnections for non-payment of utility bills through May 2020. Subsequently, the City Council ordered that the moratorium be extended to August 1, 2020. In May 2020 the City Council issued an accounting order authorizing Entergy New Orleans to establish a regulatory asset for incremental COVID-19-related expenses. As of June 30, 2020, Entergy New Orleans recorded a regulatory asset of $4.8 million for costs associated with the COVID-19 pandemic. In June 2020 the City Council established the City Council Cares Program and directed Entergy New Orleans to use the approximately $7 million refund received from the Entergy Arkansas opportunity sales FERC proceeding, currently being held in escrow, and approximately $15 million of non-securitized storm reserves to fund this program, which is intended to provide temporary bill relief to customers who become unemployed during the COVID-19 pandemic. The program became effective July 1, 2020, and offers qualifying residential customers bill credits of $100 per month for up to four months, for a maximum of $400 in residential customer bill credits. Filings with the PUCT (Entergy Texas) Distribution Cost Recovery Factor (DCRF) Rider In March 2020, Entergy Texas filed with the PUCT a request to amend its DCRF rider. The proposed rider is designed to collect from Entergy Texas’s retail customers approximately $23.6 million annually, or $20.4 million in incremental annual DCRF revenue beyond Entergy Texas’s currently effective DCRF rider, based on its capital invested in distribution between January 1, 2019 and December 31, 2019. In May and June 2020 intervenors filed testimony recommending a disallowance to Entergy Texas’s annual revenue requirement ranging from approximately $0.3 million to $4.1 million. In June 2020 the parties agreed to waive the hearing on the merits. The p arties have briefed the contested issues in this matter and are awaiting a proposal for decision. Transmission Cost Recovery Factor (TCRF) Rider As discussed in the Form 10-K, in August 2019, Entergy Texas filed with the PUCT a request to amend its TCRF rider. The new TCRF rider is designed to collect approximately $19.4 million annually from Entergy Texas’s retail customers based on its capital invested in transmission between January 1, 2018 and June 30, 2019. In January 2020 the PUCT issued an order approving an unopposed settlement providing for recovery of the requested revenue requirement. Entergy Texas implemented the amended rider beginning with bills covering usage on and after January 23, 2020. COVID-19 Orders In March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of COVID-19. In future proceedings the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. In March 2020 the PUCT ordered a moratorium on disconnections for nonpayment for all customer classes, but, in April 2020, revised the disconnect moratorium to apply only to residential customers. The PUCT allowed the moratorium to expire on June 13, 2020, but on July 17, 2020, the PUCT re-established the disconnect moratorium for residential customers until August 31, 2020. As of June 30, 2020, Entergy Texas recorded a regulatory asset of $4.1 million for costs associated with the COVID-19 pandemic. System Agreement Cost Equalization Proceedings Rough Production Cost Equalization Rates Consolidated 2011, 2012, 2013, and 2014 Rate Filing Proceedings As discussed in the Form 10-K, in April 2018 the LPSC requested rehearing of the FERC’s March 2018 order affirming the ALJ’s initial decision in the consolidated proceedings. Entergy filed in May 2018 the bandwidth true-up payments and receipts for the 2011-2014 rate filings and the payments were made in May 2018. In April 2020 the FERC issued an order partially granting the LPSC’s rehearing request. In the order the FERC reversed its prior finding and determined that the tax gain portion of the Waterford 3 financing accumulated deferred income tax should be included in the bandwidth calculation. The order requires Entergy Services to redetermine bandwidth true-up payments and receipts for the 2010-2012 test years. In May 2020, Entergy and the LPSC both separately requested rehearing of the FERC’s April 2020 order partially granting the LPSC’s rehearing request. In June 2020 the FERC issued an order accepting the May 2018 true-up filing for the 2011-2014 rate filings. Also in June 2020, Entergy filed bandwidth true-up payments and receipts for the 2010-2012 test years to address the FERC’s April 2020 rehearing order: Payments (Receipts) (In Millions) Entergy Arkansas ($2.8) Entergy Louisiana $2.3 Entergy Mississippi $0.2 Entergy New Orleans ($0.1) Entergy Texas $0.4 Entergy Arkansas Opportunity Sales Proceeding As discussed in the Form 10-K, the FERC’s opportunity sales orders have been appealed to the D.C. Circuit by Entergy, the LPSC, and the APSC. In February 2020 all of the appeals were consolidated and in April 2020 the D.C. Circuit established a briefing schedule. Briefing will occur through September 2020. Also as discussed in the Form 10-K, in May 2019, Entergy Arkansas filed an application with the APSC requesting approval of a special rider tariff to recover the costs of its opportunity sales payments from its retail customers over a 24-month period. In January 2020 the Attorney General and Arkansas Electric Energy Consumers, Inc. filed testimony opposing the recovery by Entergy Arkansas of the opportunity sales payment but also claiming that certain components of the payment should be segregated and refunded to customers. In March 2020, Entergy Arkansas filed rebuttal testimony. In July 2020 the APSC issued a decision concluding that the APSC was not preempted by the federal filed rate doctrine from considering the merits of Entergy Arkansas’s request, denying that the application is barred under the collateral estoppel aspect of res judicata, and finding that the application is not in the public interest. The order also directs Entergy Arkansas to refund to its retail customers within 30 days of the order the FERC-determined over-collection of $13.7 million, plus interest, associated with a recalculated bandwidth remedy. In addition to these primary findings, the order also denied the Attorney General’s request for Entergy Arkansas to prepare a compliance filing detailing all of the retail impacts from the opportunity sales and denied a request by the Arkansas Electric Energy Consumers to recalculate all costs using the revised responsibility ratio. Entergy Arkansas filed a motion for temporary stay of the 30-day requirement to allow Entergy Arkansas a reasonable opportunity to seek rehearing of the APSC order, but in July 2020 the APSC denied Entergy Arkansas’s request for a stay and directed Entergy Arkansas to refund to its retail ratepayers the component of the total FERC-determined opportunity sales payment that was associated with increased bandwidth remedy payments of $13.7 million, plus interest, by July 31, 2020. The APSC recognized Entergy Arkansas’s administrative limitations on processing the full refund by that date and stated that the refund shall be issued over the August 2020 billing cycle. While the APSC has denied Entergy Arkansas’s stay request, Entergy Arkansas believes its actions were prudent and, therefore, the costs are recoverable. In July 2020, Entergy Arkansas requested rehearing of the APSC order. Complaints Against System Energy Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in November 2019, in a proceeding that did not involve System Energy, the FERC issued an order addressing the methodology for determining the return on equity applicable to transmission owners in MISO. Thereafter, the participants in the System Energy proceeding agreed to amend the procedural schedule to allow the participants to file supplemental testimony addressing the order in the MISO transmission owner proceeding (Opinion No. 569). In February 2020 the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569 and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 8.44%; the MPSC and APSC argue for an authorized return on equity of 8.41%; and the FERC trial staff argues for an authorized return on equity of 9.22%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 7.89%; the MPSC and APSC argue that an authorized return on equity of 8.01% may be appropriate; and the FERC trial staff argues for an authorized return on equity of 8.66%. In April 2020, System Energy filed supplemental answering testimony addressing Opinion No. 569. System Energy argues that the Opinion No. 569 methodology is conceptually and analytically defective for purposes of establishing just and reasonable authorized return on equity determinations and proposes an alternative approach. As its primary recommendation, System Energy continues to support the return on equity determinations in its March 2019 testimony for the first refund period and its June 2019 testimony for the second refund period. Under the Opinion No. 569 methodology, System Energy calculates a “presumptively just and reasonable range” for the authorized return on equity for the first refund period of 8.57% to 9.52%, and for the second refund period of 8.28% to 9.11%. System Energy argues that these ranges are not just and reasonable results. Under its proposed alternative methodology, System Energy calculates an authorized return on equity of 10.26% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. In May 2020 the FERC issued an order on rehearing of Opinion No. 569 (Opinion No. 569-A). In June 2020 the procedural schedule was further revised in order to allow parties to the System Energy proceeding to address the Opinion No. 569-A methodology. Pursuant to the revised schedule, in June 2020, the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569-A and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.97%; the MPSC and APSC argue for an authorized return on equity of 9.24%; and the FERC trial staff argues for an authorized return on equity of 9.49%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.78%; the MPSC and APSC argue that an authorized return on equity of 9.15% may be appropriate if the second complaint is not dismissed; and the FERC trial staff argues for an authorized return on equity of 9.09% if the second complaint is not dismissed. Pursuant to the revised procedural schedule, in July 2020, System Energy filed supplemental testimony addressing Opinion No. 569-A. System Energy argues that strict application of the Opinion No. 569-A methodology produces results inconsistent with investor requirements and does not provide a sound basis on which to evaluate System Energy’s authorized return on equity. As its primary recommendation, System Energy argues for the use of a methodology that incorporates four separate financial models, including the constant growth form of the discounted cash flow model and the empirical capital asset pricing model. Based on application of its recommended methodology, System Energy argues for an authorized return on equity of 10.12% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the Opinion No. 569-A methodology, System Energy calculates an authorized return on equity of 9.44% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the revised procedural schedule, System Energy’s supplemental testimony addressing Opinion No. 569-A is due in J |
Entergy Texas [Member] | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Regulatory activity regarding the Tax Cuts and Jobs Act System Energy In a filing made with the FERC in March 2018, System Energy proposed revisions to the Unit Power Sales Agreement to reflect the effects of the Tax Act. In the filing System Energy proposed to return identified quantities of unprotected excess accumulated deferred income taxes to its customers by the end of 2018. In May 2018 the FERC accepted System Energy’s proposed tax revisions with an effective date of June 1, 2018, subject to refund and the outcome of settlement and hearing procedures. Settlement discussions were terminated in April 2019, and the hearing was held in March 2020. The retail regulators of the Utility operating companies that are parties to the Unit Power Sales Agreement challenged the treatment and amount of excess accumulated deferred income tax liabilities associated with uncertain tax positions related to nuclear decommissioning. In July 2020 the presiding ALJ in the proceeding issued an initial decision finding that there is an additional $147 million in unprotected excess accumulated deferred income taxes related to System Energy’s uncertain decommissioning tax deduction. The initial decision determined that System Energy should have included the $147 million in its March 2018 filing. System Energy had not included credits related to the effect of the Tax Act on the uncertain decommissioning tax position because it is uncertain whether the IRS will allow the deduction. The initial decision rejected both System Energy’s alternative argument that any crediting should occur over a ten-year period and the retail regulators’ argument that any crediting should occur over a two-year period. Instead, the initial decision concluded that System Energy should credit the additional unprotected excess accumulated deferred income taxes in a single lump sum revenue requirement reduction following a FERC order addressing the initial decision. The ALJ initial decision is an interim step in the FERC litigation process. System Energy plans to file briefs on exceptions to the FERC, re-urging its positions and requesting the reversal of the ALJ’s initial decision. In addition, Entergy expects to concede System Energy’s nuclear decommissioning tax position with the IRS before the end of 2020, which should eliminate the basis of the ALJ’s initial decision regarding the uncertain tax position. Briefs on exceptions are scheduled for September 2020, and briefs opposing exceptions are scheduled for November 2020. The FERC will then review the case and issue an order in the proceeding, and the FERC may accept, reject, or modify the ALJ’s initial decision in whole or in part. Credits, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2020, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected a decrease from $0.01462 per kWh to $0.01052 per kWh. The redetermined rate became effective with the first billing cycle in April 2020 through the normal operation of the tariff. Entergy Louisiana In March 2020 the LPSC staff provided notice of an audit of Entergy Louisiana’s fuel adjustment clause filings. The audit includes a review of the reasonableness of charges flowed through Entergy Louisiana’s fuel adjustment clause for the period from 2016 through 2019. Discovery has not yet commenced. Entergy Mississippi In November 2019, Entergy Mississippi filed its annual redetermination of the annual factor to be applied under the energy cost recovery rider. The calculation included $39.6 million of prior over-recovery flowing back to customers beginning February 2020. Entergy Mississippi’s balance in its deferred fuel account did not decrease as expected after implementation of the new factor. In an effort to assist customers during the COVID-19 pandemic, in May 2020, Entergy Mississippi requested an interim adjustment to the energy cost recovery rider to credit approximately $50 million from the over-recovered balance in the deferred fuel account to customers over four consecutive billing months, June through September 2020. The MPSC approved this interim adjustment in May 2020 effective for June 2020 bills. Entergy Texas In September 2019, Entergy Texas filed an application to reconcile its fuel and purchased power costs for the period from April 2016 through March 2019. During the reconciliation period, Entergy Texas incurred approximately $1.6 billion in Texas jurisdictional eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. Entergy Texas estimated an under-recovery balance of approximately $25.8 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2019. In March 2020 an intervenor filed testimony proposing that the PUCT disallow: (1) $2 million in replacement power costs associated with generation outages during the reconciliation period; and (2) $24.4 million associated with the operation of the Spindletop natural gas storage facility during the reconciliation period. In April 2020, Entergy Texas filed rebuttal testimony refuting all points raised by the intervenor. In June 2020 the parties filed a stipulation and settlement agreement, which included a $1.2 million disallowance not associated with any particular issue raised by any party. The settlement is currently pending before the PUCT. In July 2020, Entergy Texas filed an application with the PUCT to implement an interim fuel refund of $25.5 million, including interest. Entergy Texas proposes that the interim fuel refund be implemented beginning with the first August 2020 billing cycle over a three-month period for smaller customers and in a lump sum amount in the billing month of August 2020 for transmission-level customers. The interim fuel refund was approved in July 2020. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) Retail Rates 2020 Formula Rate Plan Filing In July 2020, Entergy Arkansas filed with the APSC its 2020 formula rate plan filing to set its formula rate for the 2021 calendar year. The filing contained an evaluation of Entergy Arkansas’s earnings for the projected year 2021 and a netting adjustment for the historical year 2019. Entergy Arkansas’s earned rate of return on common equity is 7.84% for the 2021 projected year and 9.07% for the 2019 historical year. The total revenue change is based upon a deficiency of approximately $80.7 million for the 2021 projected year and approximately $23.9 million for the 2019 historical year netting adjustment. The total proposed formula rate plan rider revenue change for 2021 is $104.6 million to produce a target rate of return of 9.75% for the projected year and the historical year. By operation of the formula rate plan, Entergy Arkansas’s recovery of the revenue requirement is subject to a four percent annual revenue constraint. Because Entergy Arkansas’s revenue requirement in this filing exceeds the constraint, the resulting increase is limited to $74.3 million. Also with this filing, Entergy Arkansas is requesting an extension of the formula rate plan rider for a second five-year term. A decision by the APSC is requested by mid-December 2020. COVID-19 Orders In April 2020, in light of the COVID-19 pandemic, the APSC issued an order requiring utilities, to the extent they had not already done so, to suspend service disconnections during the remaining pendency of the Arkansas Governor’s emergency declaration or until the APSC rescinds the directive. The order also authorizes utilities to establish a regulatory asset to record costs resulting from the suspension of service disconnections, directs that in future proceedings the APSC will consider whether the request for recovery of these regulatory assets is reasonable and necessary, and requires utilities to track and report the costs and any savings directly attributable to suspension of disconnects. In May 2020 the APSC approved Entergy Arkansas expanding delayed payment arrangements to assist customers during the pandemic. Entergy Arkansas is still evaluating the recovery provided for by the order and, therefore, did not record as of June 30, 2020 a regulatory asset for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) Retail Rates - Electric 2017 Formula Rate Plan Filing As discussed in the Form 10-K, in May 2019, Entergy Louisiana filed an update to its 2017 formula rate plan evaluation report to include the estimated first-year revenue requirement of $109.5 million associated with the J. Wayne Leonard Power Station (formerly St. Charles Power Station). The resulting interim adjustment to rates became effective with the first billing cycle of June 2019. In June 2020, Entergy Louisiana submitted information to the LPSC to review the prudence of Entergy Louisiana’s management of the project. No procedural schedule has been established. 2018 Formula Rate Plan Filing Commercial operation at Lake Charles Power Station commenced in March 2020. In March 2020, Entergy Louisiana filed an update to its 2018 formula rate plan evaluation report to include the estimated first-year revenue requirement of $108 million associated with the Lake Charles Power Station. The resulting interim adjustment to rates became effective with the first billing cycle of April 2020. 2019 Formula Rate Plan Filing In May 2020, Entergy Louisiana filed with the LPSC its formula rate plan evaluation report for its 2019 calendar year operations. The 2019 test year evaluation report produced an earned return on common equity of 9.66%. As such, no change to base rider formula rate plan revenue is required. Although base rider formula rate plan revenue will not change as a result of this filing, overall formula rate plan revenues will increase by approximately $103 million. This outcome is driven by the removal of prior year credits associated with the sale of the Willow Glen Power Station and an increase in the transmission recovery mechanism. Also contributing to the overall change is an increase in legacy formula rate plan revenue requirements driven by legacy Entergy Louisiana capacity cost true-ups and higher annualized legacy Entergy Gulf States Louisiana revenues due to higher billing determinants, offset by reductions in MISO cost recovery mechanism and tax reform adjustment mechanism revenue requirements. Request for Extension and Modification of Formula Rate Plan In May 2020, Entergy Louisiana filed with the LPSC its application for authority to extend its formula rate plan. In its application, Entergy Louisiana seeks to maintain a 9.8% return on equity, with a bandwidth of 60 basis points above and below the midpoint, with a first-year midpoint reset. Entergy Louisiana also seeks to maintain its existing additional capacity mechanism, tax reform adjustment mechanism, transmission recovery mechanism, and the MISO cost recovery mechanism. Entergy Louisiana also seeks to add a distribution cost recovery mechanism which operates in substantially the same manner as the transmission recovery mechanism and requests a deferral of certain expenses incurred for outside of right-of-way vegetation programs. Retail Rates - Gas 2017 Rate Stabilization Plan Filing As discussed in the Form 10-K, in January 2018 Entergy Louisiana filed with the LPSC its gas rate stabilization plan for the test year ended September 30, 2017. As-filed rates from the supplemental filing were implemented, subject to refund, with customers receiving a cost reduction of approximately $0.7 million effective with bills rendered on and after the first billing cycle of May 2018, as well as a $0.2 million reduction in the gas infrastructure rider effective with bills rendered on and after the first billing cycle of July 2018. In October 2019 the LPSC staff issued its report finding that Entergy Louisiana’s filing complied with the terms of the rate stabilization plan but recommending an additional refund of $0.7 million related to the Tax Act. In June 2020, the LPSC approved a joint report acknowledging Entergy Louisiana’s prior refunds and offsets for flood recovery costs, and required a further refund of $0.8 million, inclusive of carrying costs. COVID-19 Orders In April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In addition, utilities may seek future recovery, subject to LPSC review and approval, of losses and expenses incurred due to compliance with the LPSC’s COVID-19 orders. The suspension of late fees and disconnects for non-payment was extended until the first billing cycle after July 16, 2020. Utilities seeking to recover the regulatory asset must formally petition the LPSC to do so, identifying the direct and indirect costs for which recovery is sought. Any such request is subject to LPSC review and approval. As of June 30, 2020, Entergy Louisiana recorded a regulatory asset of $10.7 million for costs associated with the COVID-19 pandemic. Filings with the MPSC (Entergy Mississippi) Formula Rate Plan Filings See the Form 10-K for revisions to Entergy Mississippi’s formula rate plan approved by the MPSC in December 2019. In January 2020 Entergy Mississippi began billing an interim capacity rate adjustment rider to recover the $59 million first-year annual revenue requirement associated with the non-fuel ownership costs of the Choctaw Generating Station. Also, effective with the April 2020 billing cycle, Entergy Mississippi implemented a rider to recover $22 million in vegetation management costs. Vegetation management costs were previously recovered through the formula rate plan. In March 2020, Entergy Mississippi submitted its formula rate plan 2020 test year filing and 2019 look-back filing showing Entergy Mississippi’s earned return for the historical 2019 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2020 calendar year to be below the formula rate plan bandwidth. The 2020 test year filing shows a $24.6 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. The 2019 look-back filing compares actual 2019 results to the approved benchmark return on rate base and reflects the need for a $7.3 million interim increase in formula rate plan revenues. In accordance with the MPSC-approved revisions to the formula rate plan, Entergy Mississippi implemented a $24.3 million interim rate increase, reflecting a cap equal to 2% of 2019 retail revenues, effective with the April 2020 billing cycle, subject to refund. In June 2020, Entergy Mississippi and the Mississippi Public Utilities Staff entered into a joint stipulation that confirmed that the 2020 test year filing showed that a $23.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. Pursuant to the joint stipulation, Entergy Mississippi’s 2019 look-back filing reflected an earned return on rate base of 6.75% in calendar year 2019, which is within the look-back bandwidth. As a result, there is no change in formula rate plan revenues in the 2019 look-back filing. In June 2020 the MPSC approved the joint stipulation with rates effective for the first billing cycle of July 2020. COVID-19 Orders In March 2020 the MPSC issued an order suspending disconnections for a period of sixty days. The MPSC extended the order on disconnections through May 26, 2020. In April 2020 the MPSC issued an order authorizing utilities to defer incremental costs and expenses associated with COVID-19 compliance and to seek future recovery through rates of the prudently incurred incremental costs and expenses. As of June 30, 2020, Entergy Mississippi recorded a regulatory asset of $6 million for costs associated with the COVID-19 pandemic. Filings with the City Council (Entergy New Orleans) Energy Efficiency As discussed in the Form 10-K, in December 2019, Entergy New Orleans filed an application with the City Council seeking approval of an implementation plan for the Energy Smart energy efficiency program from April 2020 through December 2022. Entergy New Orleans proposed to recover the costs of the program through mechanisms previously approved by the City Council or through the energy efficiency cost recovery rider, which was approved in the 2018 combined rate case resolution. In February 2020 the City Council approved Entergy New Orleans’s application. 2018 Base Rate Case Filing See the Form 10-K for discussion of the electric and gas base rate case filed in September 2018. In response to the City Council’s November 2019 resolution in the rate case, Entergy New Orleans made a compliance filing in December 2019 and also filed timely a petition for appeal and judicial review and for stay of or injunctive relief alleging that the resolution is unlawful in failing to produce just and reasonable rates. A hearing on the requested injunction was scheduled in Civil District Court for February 2020, but by joint motion of the City Council and Entergy New Orleans, the Civil District Court issued an order for a limited remand to the City Council to consider a potential agreement in principle/stipulation at its February 20, 2020 meeting. On February 17, 2020, Entergy New Orleans filed with the City Council an agreement in principle between Entergy New Orleans and the City Council’s advisors. On February 20, 2020, the City Council voted to approve the proposed agreement in principle and issued a resolution modifying the required treatment of certain accumulated deferred income taxes. As a result of the agreement in principle, the total annual revenue requirement reduction will be approximately $45 million ($42 million electric, including $29 million in rider reductions; and $3 million gas). As a result, Entergy New Orleans fully implemented the new rates in April 2020. The merits of the appeal will be subject to a separate procedural schedule issued by the Civil District Court. 2020 Formula Rate Plan Filing In April 2020, Entergy New Orleans filed a motion with the City Council to delay its formula rate plan filing until June 2020. In May 2020 the City Council issued an order extending the filing deadline for Entergy New Orleans’s formula rate plan filing to June 29, 2020. On June 26, 2020, Entergy New Orleans filed a motion with the City Council to further delay the filing of its formula rate plan to August 13, 2020. In July 2020 the City Council issued an order approving the request. COVID-19 Orders In March 2020, Entergy New Orleans voluntarily suspended customer disconnections for non-payment of utility bills through May 2020. Subsequently, the City Council ordered that the moratorium be extended to August 1, 2020. In May 2020 the City Council issued an accounting order authorizing Entergy New Orleans to establish a regulatory asset for incremental COVID-19-related expenses. As of June 30, 2020, Entergy New Orleans recorded a regulatory asset of $4.8 million for costs associated with the COVID-19 pandemic. In June 2020 the City Council established the City Council Cares Program and directed Entergy New Orleans to use the approximately $7 million refund received from the Entergy Arkansas opportunity sales FERC proceeding, currently being held in escrow, and approximately $15 million of non-securitized storm reserves to fund this program, which is intended to provide temporary bill relief to customers who become unemployed during the COVID-19 pandemic. The program became effective July 1, 2020, and offers qualifying residential customers bill credits of $100 per month for up to four months, for a maximum of $400 in residential customer bill credits. Filings with the PUCT (Entergy Texas) Distribution Cost Recovery Factor (DCRF) Rider In March 2020, Entergy Texas filed with the PUCT a request to amend its DCRF rider. The proposed rider is designed to collect from Entergy Texas’s retail customers approximately $23.6 million annually, or $20.4 million in incremental annual DCRF revenue beyond Entergy Texas’s currently effective DCRF rider, based on its capital invested in distribution between January 1, 2019 and December 31, 2019. In May and June 2020 intervenors filed testimony recommending a disallowance to Entergy Texas’s annual revenue requirement ranging from approximately $0.3 million to $4.1 million. In June 2020 the parties agreed to waive the hearing on the merits. The p arties have briefed the contested issues in this matter and are awaiting a proposal for decision. Transmission Cost Recovery Factor (TCRF) Rider As discussed in the Form 10-K, in August 2019, Entergy Texas filed with the PUCT a request to amend its TCRF rider. The new TCRF rider is designed to collect approximately $19.4 million annually from Entergy Texas’s retail customers based on its capital invested in transmission between January 1, 2018 and June 30, 2019. In January 2020 the PUCT issued an order approving an unopposed settlement providing for recovery of the requested revenue requirement. Entergy Texas implemented the amended rider beginning with bills covering usage on and after January 23, 2020. COVID-19 Orders In March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of COVID-19. In future proceedings the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. In March 2020 the PUCT ordered a moratorium on disconnections for nonpayment for all customer classes, but, in April 2020, revised the disconnect moratorium to apply only to residential customers. The PUCT allowed the moratorium to expire on June 13, 2020, but on July 17, 2020, the PUCT re-established the disconnect moratorium for residential customers until August 31, 2020. As of June 30, 2020, Entergy Texas recorded a regulatory asset of $4.1 million for costs associated with the COVID-19 pandemic. System Agreement Cost Equalization Proceedings Rough Production Cost Equalization Rates Consolidated 2011, 2012, 2013, and 2014 Rate Filing Proceedings As discussed in the Form 10-K, in April 2018 the LPSC requested rehearing of the FERC’s March 2018 order affirming the ALJ’s initial decision in the consolidated proceedings. Entergy filed in May 2018 the bandwidth true-up payments and receipts for the 2011-2014 rate filings and the payments were made in May 2018. In April 2020 the FERC issued an order partially granting the LPSC’s rehearing request. In the order the FERC reversed its prior finding and determined that the tax gain portion of the Waterford 3 financing accumulated deferred income tax should be included in the bandwidth calculation. The order requires Entergy Services to redetermine bandwidth true-up payments and receipts for the 2010-2012 test years. In May 2020, Entergy and the LPSC both separately requested rehearing of the FERC’s April 2020 order partially granting the LPSC’s rehearing request. In June 2020 the FERC issued an order accepting the May 2018 true-up filing for the 2011-2014 rate filings. Also in June 2020, Entergy filed bandwidth true-up payments and receipts for the 2010-2012 test years to address the FERC’s April 2020 rehearing order: Payments (Receipts) (In Millions) Entergy Arkansas ($2.8) Entergy Louisiana $2.3 Entergy Mississippi $0.2 Entergy New Orleans ($0.1) Entergy Texas $0.4 Entergy Arkansas Opportunity Sales Proceeding As discussed in the Form 10-K, the FERC’s opportunity sales orders have been appealed to the D.C. Circuit by Entergy, the LPSC, and the APSC. In February 2020 all of the appeals were consolidated and in April 2020 the D.C. Circuit established a briefing schedule. Briefing will occur through September 2020. Also as discussed in the Form 10-K, in May 2019, Entergy Arkansas filed an application with the APSC requesting approval of a special rider tariff to recover the costs of its opportunity sales payments from its retail customers over a 24-month period. In January 2020 the Attorney General and Arkansas Electric Energy Consumers, Inc. filed testimony opposing the recovery by Entergy Arkansas of the opportunity sales payment but also claiming that certain components of the payment should be segregated and refunded to customers. In March 2020, Entergy Arkansas filed rebuttal testimony. In July 2020 the APSC issued a decision concluding that the APSC was not preempted by the federal filed rate doctrine from considering the merits of Entergy Arkansas’s request, denying that the application is barred under the collateral estoppel aspect of res judicata, and finding that the application is not in the public interest. The order also directs Entergy Arkansas to refund to its retail customers within 30 days of the order the FERC-determined over-collection of $13.7 million, plus interest, associated with a recalculated bandwidth remedy. In addition to these primary findings, the order also denied the Attorney General’s request for Entergy Arkansas to prepare a compliance filing detailing all of the retail impacts from the opportunity sales and denied a request by the Arkansas Electric Energy Consumers to recalculate all costs using the revised responsibility ratio. Entergy Arkansas filed a motion for temporary stay of the 30-day requirement to allow Entergy Arkansas a reasonable opportunity to seek rehearing of the APSC order, but in July 2020 the APSC denied Entergy Arkansas’s request for a stay and directed Entergy Arkansas to refund to its retail ratepayers the component of the total FERC-determined opportunity sales payment that was associated with increased bandwidth remedy payments of $13.7 million, plus interest, by July 31, 2020. The APSC recognized Entergy Arkansas’s administrative limitations on processing the full refund by that date and stated that the refund shall be issued over the August 2020 billing cycle. While the APSC has denied Entergy Arkansas’s stay request, Entergy Arkansas believes its actions were prudent and, therefore, the costs are recoverable. In July 2020, Entergy Arkansas requested rehearing of the APSC order. Complaints Against System Energy Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in November 2019, in a proceeding that did not involve System Energy, the FERC issued an order addressing the methodology for determining the return on equity applicable to transmission owners in MISO. Thereafter, the participants in the System Energy proceeding agreed to amend the procedural schedule to allow the participants to file supplemental testimony addressing the order in the MISO transmission owner proceeding (Opinion No. 569). In February 2020 the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569 and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 8.44%; the MPSC and APSC argue for an authorized return on equity of 8.41%; and the FERC trial staff argues for an authorized return on equity of 9.22%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 7.89%; the MPSC and APSC argue that an authorized return on equity of 8.01% may be appropriate; and the FERC trial staff argues for an authorized return on equity of 8.66%. In April 2020, System Energy filed supplemental answering testimony addressing Opinion No. 569. System Energy argues that the Opinion No. 569 methodology is conceptually and analytically defective for purposes of establishing just and reasonable authorized return on equity determinations and proposes an alternative approach. As its primary recommendation, System Energy continues to support the return on equity determinations in its March 2019 testimony for the first refund period and its June 2019 testimony for the second refund period. Under the Opinion No. 569 methodology, System Energy calculates a “presumptively just and reasonable range” for the authorized return on equity for the first refund period of 8.57% to 9.52%, and for the second refund period of 8.28% to 9.11%. System Energy argues that these ranges are not just and reasonable results. Under its proposed alternative methodology, System Energy calculates an authorized return on equity of 10.26% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. In May 2020 the FERC issued an order on rehearing of Opinion No. 569 (Opinion No. 569-A). In June 2020 the procedural schedule was further revised in order to allow parties to the System Energy proceeding to address the Opinion No. 569-A methodology. Pursuant to the revised schedule, in June 2020, the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569-A and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.97%; the MPSC and APSC argue for an authorized return on equity of 9.24%; and the FERC trial staff argues for an authorized return on equity of 9.49%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.78%; the MPSC and APSC argue that an authorized return on equity of 9.15% may be appropriate if the second complaint is not dismissed; and the FERC trial staff argues for an authorized return on equity of 9.09% if the second complaint is not dismissed. Pursuant to the revised procedural schedule, in July 2020, System Energy filed supplemental testimony addressing Opinion No. 569-A. System Energy argues that strict application of the Opinion No. 569-A methodology produces results inconsistent with investor requirements and does not provide a sound basis on which to evaluate System Energy’s authorized return on equity. As its primary recommendation, System Energy argues for the use of a methodology that incorporates four separate financial models, including the constant growth form of the discounted cash flow model and the empirical capital asset pricing model. Based on application of its recommended methodology, System Energy argues for an authorized return on equity of 10.12% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the Opinion No. 569-A methodology, System Energy calculates an authorized return on equity of 9.44% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the revised procedural schedule, System Energy’s supplemental testimony addressing Opinion No. 569-A is due in J |
System Energy [Member] | |
Rate and Regulatory Matters | RATE AND REGULATORY MATTERS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Regulatory Assets and Regulatory Liabilities See Note 2 to the financial statements in the Form 10-K for information regarding regulatory assets and regulatory liabilities in the Utility business presented on the balance sheets of Entergy and the Registrant Subsidiaries. The following are updates to that discussion. Regulatory activity regarding the Tax Cuts and Jobs Act System Energy In a filing made with the FERC in March 2018, System Energy proposed revisions to the Unit Power Sales Agreement to reflect the effects of the Tax Act. In the filing System Energy proposed to return identified quantities of unprotected excess accumulated deferred income taxes to its customers by the end of 2018. In May 2018 the FERC accepted System Energy’s proposed tax revisions with an effective date of June 1, 2018, subject to refund and the outcome of settlement and hearing procedures. Settlement discussions were terminated in April 2019, and the hearing was held in March 2020. The retail regulators of the Utility operating companies that are parties to the Unit Power Sales Agreement challenged the treatment and amount of excess accumulated deferred income tax liabilities associated with uncertain tax positions related to nuclear decommissioning. In July 2020 the presiding ALJ in the proceeding issued an initial decision finding that there is an additional $147 million in unprotected excess accumulated deferred income taxes related to System Energy’s uncertain decommissioning tax deduction. The initial decision determined that System Energy should have included the $147 million in its March 2018 filing. System Energy had not included credits related to the effect of the Tax Act on the uncertain decommissioning tax position because it is uncertain whether the IRS will allow the deduction. The initial decision rejected both System Energy’s alternative argument that any crediting should occur over a ten-year period and the retail regulators’ argument that any crediting should occur over a two-year period. Instead, the initial decision concluded that System Energy should credit the additional unprotected excess accumulated deferred income taxes in a single lump sum revenue requirement reduction following a FERC order addressing the initial decision. The ALJ initial decision is an interim step in the FERC litigation process. System Energy plans to file briefs on exceptions to the FERC, re-urging its positions and requesting the reversal of the ALJ’s initial decision. In addition, Entergy expects to concede System Energy’s nuclear decommissioning tax position with the IRS before the end of 2020, which should eliminate the basis of the ALJ’s initial decision regarding the uncertain tax position. Briefs on exceptions are scheduled for September 2020, and briefs opposing exceptions are scheduled for November 2020. The FERC will then review the case and issue an order in the proceeding, and the FERC may accept, reject, or modify the ALJ’s initial decision in whole or in part. Credits, if any, that might be required will only become due after the FERC issues its order reviewing the initial decision. Fuel and purchased power cost recovery Entergy Arkansas Energy Cost Recovery Rider In March 2020, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected a decrease from $0.01462 per kWh to $0.01052 per kWh. The redetermined rate became effective with the first billing cycle in April 2020 through the normal operation of the tariff. Entergy Louisiana In March 2020 the LPSC staff provided notice of an audit of Entergy Louisiana’s fuel adjustment clause filings. The audit includes a review of the reasonableness of charges flowed through Entergy Louisiana’s fuel adjustment clause for the period from 2016 through 2019. Discovery has not yet commenced. Entergy Mississippi In November 2019, Entergy Mississippi filed its annual redetermination of the annual factor to be applied under the energy cost recovery rider. The calculation included $39.6 million of prior over-recovery flowing back to customers beginning February 2020. Entergy Mississippi’s balance in its deferred fuel account did not decrease as expected after implementation of the new factor. In an effort to assist customers during the COVID-19 pandemic, in May 2020, Entergy Mississippi requested an interim adjustment to the energy cost recovery rider to credit approximately $50 million from the over-recovered balance in the deferred fuel account to customers over four consecutive billing months, June through September 2020. The MPSC approved this interim adjustment in May 2020 effective for June 2020 bills. Entergy Texas In September 2019, Entergy Texas filed an application to reconcile its fuel and purchased power costs for the period from April 2016 through March 2019. During the reconciliation period, Entergy Texas incurred approximately $1.6 billion in Texas jurisdictional eligible fuel and purchased power expenses, net of certain revenues credited to such expenses and other adjustments. Entergy Texas estimated an under-recovery balance of approximately $25.8 million, including interest, which Entergy Texas requested authority to carry over as the beginning balance for the subsequent reconciliation period beginning April 2019. In March 2020 an intervenor filed testimony proposing that the PUCT disallow: (1) $2 million in replacement power costs associated with generation outages during the reconciliation period; and (2) $24.4 million associated with the operation of the Spindletop natural gas storage facility during the reconciliation period. In April 2020, Entergy Texas filed rebuttal testimony refuting all points raised by the intervenor. In June 2020 the parties filed a stipulation and settlement agreement, which included a $1.2 million disallowance not associated with any particular issue raised by any party. The settlement is currently pending before the PUCT. In July 2020, Entergy Texas filed an application with the PUCT to implement an interim fuel refund of $25.5 million, including interest. Entergy Texas proposes that the interim fuel refund be implemented beginning with the first August 2020 billing cycle over a three-month period for smaller customers and in a lump sum amount in the billing month of August 2020 for transmission-level customers. The interim fuel refund was approved in July 2020. Retail Rate Proceedings See Note 2 to the financial statements in the Form 10-K for information regarding retail rate proceedings involving the Utility operating companies. The following are updates to that discussion. Filings with the APSC (Entergy Arkansas) Retail Rates 2020 Formula Rate Plan Filing In July 2020, Entergy Arkansas filed with the APSC its 2020 formula rate plan filing to set its formula rate for the 2021 calendar year. The filing contained an evaluation of Entergy Arkansas’s earnings for the projected year 2021 and a netting adjustment for the historical year 2019. Entergy Arkansas’s earned rate of return on common equity is 7.84% for the 2021 projected year and 9.07% for the 2019 historical year. The total revenue change is based upon a deficiency of approximately $80.7 million for the 2021 projected year and approximately $23.9 million for the 2019 historical year netting adjustment. The total proposed formula rate plan rider revenue change for 2021 is $104.6 million to produce a target rate of return of 9.75% for the projected year and the historical year. By operation of the formula rate plan, Entergy Arkansas’s recovery of the revenue requirement is subject to a four percent annual revenue constraint. Because Entergy Arkansas’s revenue requirement in this filing exceeds the constraint, the resulting increase is limited to $74.3 million. Also with this filing, Entergy Arkansas is requesting an extension of the formula rate plan rider for a second five-year term. A decision by the APSC is requested by mid-December 2020. COVID-19 Orders In April 2020, in light of the COVID-19 pandemic, the APSC issued an order requiring utilities, to the extent they had not already done so, to suspend service disconnections during the remaining pendency of the Arkansas Governor’s emergency declaration or until the APSC rescinds the directive. The order also authorizes utilities to establish a regulatory asset to record costs resulting from the suspension of service disconnections, directs that in future proceedings the APSC will consider whether the request for recovery of these regulatory assets is reasonable and necessary, and requires utilities to track and report the costs and any savings directly attributable to suspension of disconnects. In May 2020 the APSC approved Entergy Arkansas expanding delayed payment arrangements to assist customers during the pandemic. Entergy Arkansas is still evaluating the recovery provided for by the order and, therefore, did not record as of June 30, 2020 a regulatory asset for costs associated with the COVID-19 pandemic. Filings with the LPSC (Entergy Louisiana) Retail Rates - Electric 2017 Formula Rate Plan Filing As discussed in the Form 10-K, in May 2019, Entergy Louisiana filed an update to its 2017 formula rate plan evaluation report to include the estimated first-year revenue requirement of $109.5 million associated with the J. Wayne Leonard Power Station (formerly St. Charles Power Station). The resulting interim adjustment to rates became effective with the first billing cycle of June 2019. In June 2020, Entergy Louisiana submitted information to the LPSC to review the prudence of Entergy Louisiana’s management of the project. No procedural schedule has been established. 2018 Formula Rate Plan Filing Commercial operation at Lake Charles Power Station commenced in March 2020. In March 2020, Entergy Louisiana filed an update to its 2018 formula rate plan evaluation report to include the estimated first-year revenue requirement of $108 million associated with the Lake Charles Power Station. The resulting interim adjustment to rates became effective with the first billing cycle of April 2020. 2019 Formula Rate Plan Filing In May 2020, Entergy Louisiana filed with the LPSC its formula rate plan evaluation report for its 2019 calendar year operations. The 2019 test year evaluation report produced an earned return on common equity of 9.66%. As such, no change to base rider formula rate plan revenue is required. Although base rider formula rate plan revenue will not change as a result of this filing, overall formula rate plan revenues will increase by approximately $103 million. This outcome is driven by the removal of prior year credits associated with the sale of the Willow Glen Power Station and an increase in the transmission recovery mechanism. Also contributing to the overall change is an increase in legacy formula rate plan revenue requirements driven by legacy Entergy Louisiana capacity cost true-ups and higher annualized legacy Entergy Gulf States Louisiana revenues due to higher billing determinants, offset by reductions in MISO cost recovery mechanism and tax reform adjustment mechanism revenue requirements. Request for Extension and Modification of Formula Rate Plan In May 2020, Entergy Louisiana filed with the LPSC its application for authority to extend its formula rate plan. In its application, Entergy Louisiana seeks to maintain a 9.8% return on equity, with a bandwidth of 60 basis points above and below the midpoint, with a first-year midpoint reset. Entergy Louisiana also seeks to maintain its existing additional capacity mechanism, tax reform adjustment mechanism, transmission recovery mechanism, and the MISO cost recovery mechanism. Entergy Louisiana also seeks to add a distribution cost recovery mechanism which operates in substantially the same manner as the transmission recovery mechanism and requests a deferral of certain expenses incurred for outside of right-of-way vegetation programs. Retail Rates - Gas 2017 Rate Stabilization Plan Filing As discussed in the Form 10-K, in January 2018 Entergy Louisiana filed with the LPSC its gas rate stabilization plan for the test year ended September 30, 2017. As-filed rates from the supplemental filing were implemented, subject to refund, with customers receiving a cost reduction of approximately $0.7 million effective with bills rendered on and after the first billing cycle of May 2018, as well as a $0.2 million reduction in the gas infrastructure rider effective with bills rendered on and after the first billing cycle of July 2018. In October 2019 the LPSC staff issued its report finding that Entergy Louisiana’s filing complied with the terms of the rate stabilization plan but recommending an additional refund of $0.7 million related to the Tax Act. In June 2020, the LPSC approved a joint report acknowledging Entergy Louisiana’s prior refunds and offsets for flood recovery costs, and required a further refund of $0.8 million, inclusive of carrying costs. COVID-19 Orders In April 2020 the LPSC issued an order authorizing utilities to record as a regulatory asset expenses incurred from the suspension of disconnections and collection of late fees imposed by LPSC orders associated with the COVID-19 pandemic. In addition, utilities may seek future recovery, subject to LPSC review and approval, of losses and expenses incurred due to compliance with the LPSC’s COVID-19 orders. The suspension of late fees and disconnects for non-payment was extended until the first billing cycle after July 16, 2020. Utilities seeking to recover the regulatory asset must formally petition the LPSC to do so, identifying the direct and indirect costs for which recovery is sought. Any such request is subject to LPSC review and approval. As of June 30, 2020, Entergy Louisiana recorded a regulatory asset of $10.7 million for costs associated with the COVID-19 pandemic. Filings with the MPSC (Entergy Mississippi) Formula Rate Plan Filings See the Form 10-K for revisions to Entergy Mississippi’s formula rate plan approved by the MPSC in December 2019. In January 2020 Entergy Mississippi began billing an interim capacity rate adjustment rider to recover the $59 million first-year annual revenue requirement associated with the non-fuel ownership costs of the Choctaw Generating Station. Also, effective with the April 2020 billing cycle, Entergy Mississippi implemented a rider to recover $22 million in vegetation management costs. Vegetation management costs were previously recovered through the formula rate plan. In March 2020, Entergy Mississippi submitted its formula rate plan 2020 test year filing and 2019 look-back filing showing Entergy Mississippi’s earned return for the historical 2019 calendar year to be below the formula rate plan bandwidth and projected earned return for the 2020 calendar year to be below the formula rate plan bandwidth. The 2020 test year filing shows a $24.6 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. The 2019 look-back filing compares actual 2019 results to the approved benchmark return on rate base and reflects the need for a $7.3 million interim increase in formula rate plan revenues. In accordance with the MPSC-approved revisions to the formula rate plan, Entergy Mississippi implemented a $24.3 million interim rate increase, reflecting a cap equal to 2% of 2019 retail revenues, effective with the April 2020 billing cycle, subject to refund. In June 2020, Entergy Mississippi and the Mississippi Public Utilities Staff entered into a joint stipulation that confirmed that the 2020 test year filing showed that a $23.8 million rate increase is necessary to reset Entergy Mississippi’s earned return on common equity to the specified point of adjustment of 6.51% return on rate base, within the formula rate plan bandwidth. Pursuant to the joint stipulation, Entergy Mississippi’s 2019 look-back filing reflected an earned return on rate base of 6.75% in calendar year 2019, which is within the look-back bandwidth. As a result, there is no change in formula rate plan revenues in the 2019 look-back filing. In June 2020 the MPSC approved the joint stipulation with rates effective for the first billing cycle of July 2020. COVID-19 Orders In March 2020 the MPSC issued an order suspending disconnections for a period of sixty days. The MPSC extended the order on disconnections through May 26, 2020. In April 2020 the MPSC issued an order authorizing utilities to defer incremental costs and expenses associated with COVID-19 compliance and to seek future recovery through rates of the prudently incurred incremental costs and expenses. As of June 30, 2020, Entergy Mississippi recorded a regulatory asset of $6 million for costs associated with the COVID-19 pandemic. Filings with the City Council (Entergy New Orleans) Energy Efficiency As discussed in the Form 10-K, in December 2019, Entergy New Orleans filed an application with the City Council seeking approval of an implementation plan for the Energy Smart energy efficiency program from April 2020 through December 2022. Entergy New Orleans proposed to recover the costs of the program through mechanisms previously approved by the City Council or through the energy efficiency cost recovery rider, which was approved in the 2018 combined rate case resolution. In February 2020 the City Council approved Entergy New Orleans’s application. 2018 Base Rate Case Filing See the Form 10-K for discussion of the electric and gas base rate case filed in September 2018. In response to the City Council’s November 2019 resolution in the rate case, Entergy New Orleans made a compliance filing in December 2019 and also filed timely a petition for appeal and judicial review and for stay of or injunctive relief alleging that the resolution is unlawful in failing to produce just and reasonable rates. A hearing on the requested injunction was scheduled in Civil District Court for February 2020, but by joint motion of the City Council and Entergy New Orleans, the Civil District Court issued an order for a limited remand to the City Council to consider a potential agreement in principle/stipulation at its February 20, 2020 meeting. On February 17, 2020, Entergy New Orleans filed with the City Council an agreement in principle between Entergy New Orleans and the City Council’s advisors. On February 20, 2020, the City Council voted to approve the proposed agreement in principle and issued a resolution modifying the required treatment of certain accumulated deferred income taxes. As a result of the agreement in principle, the total annual revenue requirement reduction will be approximately $45 million ($42 million electric, including $29 million in rider reductions; and $3 million gas). As a result, Entergy New Orleans fully implemented the new rates in April 2020. The merits of the appeal will be subject to a separate procedural schedule issued by the Civil District Court. 2020 Formula Rate Plan Filing In April 2020, Entergy New Orleans filed a motion with the City Council to delay its formula rate plan filing until June 2020. In May 2020 the City Council issued an order extending the filing deadline for Entergy New Orleans’s formula rate plan filing to June 29, 2020. On June 26, 2020, Entergy New Orleans filed a motion with the City Council to further delay the filing of its formula rate plan to August 13, 2020. In July 2020 the City Council issued an order approving the request. COVID-19 Orders In March 2020, Entergy New Orleans voluntarily suspended customer disconnections for non-payment of utility bills through May 2020. Subsequently, the City Council ordered that the moratorium be extended to August 1, 2020. In May 2020 the City Council issued an accounting order authorizing Entergy New Orleans to establish a regulatory asset for incremental COVID-19-related expenses. As of June 30, 2020, Entergy New Orleans recorded a regulatory asset of $4.8 million for costs associated with the COVID-19 pandemic. In June 2020 the City Council established the City Council Cares Program and directed Entergy New Orleans to use the approximately $7 million refund received from the Entergy Arkansas opportunity sales FERC proceeding, currently being held in escrow, and approximately $15 million of non-securitized storm reserves to fund this program, which is intended to provide temporary bill relief to customers who become unemployed during the COVID-19 pandemic. The program became effective July 1, 2020, and offers qualifying residential customers bill credits of $100 per month for up to four months, for a maximum of $400 in residential customer bill credits. Filings with the PUCT (Entergy Texas) Distribution Cost Recovery Factor (DCRF) Rider In March 2020, Entergy Texas filed with the PUCT a request to amend its DCRF rider. The proposed rider is designed to collect from Entergy Texas’s retail customers approximately $23.6 million annually, or $20.4 million in incremental annual DCRF revenue beyond Entergy Texas’s currently effective DCRF rider, based on its capital invested in distribution between January 1, 2019 and December 31, 2019. In May and June 2020 intervenors filed testimony recommending a disallowance to Entergy Texas’s annual revenue requirement ranging from approximately $0.3 million to $4.1 million. In June 2020 the parties agreed to waive the hearing on the merits. The p arties have briefed the contested issues in this matter and are awaiting a proposal for decision. Transmission Cost Recovery Factor (TCRF) Rider As discussed in the Form 10-K, in August 2019, Entergy Texas filed with the PUCT a request to amend its TCRF rider. The new TCRF rider is designed to collect approximately $19.4 million annually from Entergy Texas’s retail customers based on its capital invested in transmission between January 1, 2018 and June 30, 2019. In January 2020 the PUCT issued an order approving an unopposed settlement providing for recovery of the requested revenue requirement. Entergy Texas implemented the amended rider beginning with bills covering usage on and after January 23, 2020. COVID-19 Orders In March 2020 the PUCT authorized electric utilities to record as a regulatory asset expenses resulting from the effects of COVID-19. In future proceedings the PUCT will consider whether each utility's request for recovery of these regulatory assets is reasonable and necessary, the appropriate period of recovery, and any amount of carrying costs thereon. In March 2020 the PUCT ordered a moratorium on disconnections for nonpayment for all customer classes, but, in April 2020, revised the disconnect moratorium to apply only to residential customers. The PUCT allowed the moratorium to expire on June 13, 2020, but on July 17, 2020, the PUCT re-established the disconnect moratorium for residential customers until August 31, 2020. As of June 30, 2020, Entergy Texas recorded a regulatory asset of $4.1 million for costs associated with the COVID-19 pandemic. System Agreement Cost Equalization Proceedings Rough Production Cost Equalization Rates Consolidated 2011, 2012, 2013, and 2014 Rate Filing Proceedings As discussed in the Form 10-K, in April 2018 the LPSC requested rehearing of the FERC’s March 2018 order affirming the ALJ’s initial decision in the consolidated proceedings. Entergy filed in May 2018 the bandwidth true-up payments and receipts for the 2011-2014 rate filings and the payments were made in May 2018. In April 2020 the FERC issued an order partially granting the LPSC’s rehearing request. In the order the FERC reversed its prior finding and determined that the tax gain portion of the Waterford 3 financing accumulated deferred income tax should be included in the bandwidth calculation. The order requires Entergy Services to redetermine bandwidth true-up payments and receipts for the 2010-2012 test years. In May 2020, Entergy and the LPSC both separately requested rehearing of the FERC’s April 2020 order partially granting the LPSC’s rehearing request. In June 2020 the FERC issued an order accepting the May 2018 true-up filing for the 2011-2014 rate filings. Also in June 2020, Entergy filed bandwidth true-up payments and receipts for the 2010-2012 test years to address the FERC’s April 2020 rehearing order: Payments (Receipts) (In Millions) Entergy Arkansas ($2.8) Entergy Louisiana $2.3 Entergy Mississippi $0.2 Entergy New Orleans ($0.1) Entergy Texas $0.4 Entergy Arkansas Opportunity Sales Proceeding As discussed in the Form 10-K, the FERC’s opportunity sales orders have been appealed to the D.C. Circuit by Entergy, the LPSC, and the APSC. In February 2020 all of the appeals were consolidated and in April 2020 the D.C. Circuit established a briefing schedule. Briefing will occur through September 2020. Also as discussed in the Form 10-K, in May 2019, Entergy Arkansas filed an application with the APSC requesting approval of a special rider tariff to recover the costs of its opportunity sales payments from its retail customers over a 24-month period. In January 2020 the Attorney General and Arkansas Electric Energy Consumers, Inc. filed testimony opposing the recovery by Entergy Arkansas of the opportunity sales payment but also claiming that certain components of the payment should be segregated and refunded to customers. In March 2020, Entergy Arkansas filed rebuttal testimony. In July 2020 the APSC issued a decision concluding that the APSC was not preempted by the federal filed rate doctrine from considering the merits of Entergy Arkansas’s request, denying that the application is barred under the collateral estoppel aspect of res judicata, and finding that the application is not in the public interest. The order also directs Entergy Arkansas to refund to its retail customers within 30 days of the order the FERC-determined over-collection of $13.7 million, plus interest, associated with a recalculated bandwidth remedy. In addition to these primary findings, the order also denied the Attorney General’s request for Entergy Arkansas to prepare a compliance filing detailing all of the retail impacts from the opportunity sales and denied a request by the Arkansas Electric Energy Consumers to recalculate all costs using the revised responsibility ratio. Entergy Arkansas filed a motion for temporary stay of the 30-day requirement to allow Entergy Arkansas a reasonable opportunity to seek rehearing of the APSC order, but in July 2020 the APSC denied Entergy Arkansas’s request for a stay and directed Entergy Arkansas to refund to its retail ratepayers the component of the total FERC-determined opportunity sales payment that was associated with increased bandwidth remedy payments of $13.7 million, plus interest, by July 31, 2020. The APSC recognized Entergy Arkansas’s administrative limitations on processing the full refund by that date and stated that the refund shall be issued over the August 2020 billing cycle. While the APSC has denied Entergy Arkansas’s stay request, Entergy Arkansas believes its actions were prudent and, therefore, the costs are recoverable. In July 2020, Entergy Arkansas requested rehearing of the APSC order. Complaints Against System Energy Return on Equity and Capital Structure Complaints As discussed in the Form 10-K, in November 2019, in a proceeding that did not involve System Energy, the FERC issued an order addressing the methodology for determining the return on equity applicable to transmission owners in MISO. Thereafter, the participants in the System Energy proceeding agreed to amend the procedural schedule to allow the participants to file supplemental testimony addressing the order in the MISO transmission owner proceeding (Opinion No. 569). In February 2020 the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569 and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 8.44%; the MPSC and APSC argue for an authorized return on equity of 8.41%; and the FERC trial staff argues for an authorized return on equity of 9.22%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569 methodology, the LPSC argues for an authorized return on equity for System Energy of 7.89%; the MPSC and APSC argue that an authorized return on equity of 8.01% may be appropriate; and the FERC trial staff argues for an authorized return on equity of 8.66%. In April 2020, System Energy filed supplemental answering testimony addressing Opinion No. 569. System Energy argues that the Opinion No. 569 methodology is conceptually and analytically defective for purposes of establishing just and reasonable authorized return on equity determinations and proposes an alternative approach. As its primary recommendation, System Energy continues to support the return on equity determinations in its March 2019 testimony for the first refund period and its June 2019 testimony for the second refund period. Under the Opinion No. 569 methodology, System Energy calculates a “presumptively just and reasonable range” for the authorized return on equity for the first refund period of 8.57% to 9.52%, and for the second refund period of 8.28% to 9.11%. System Energy argues that these ranges are not just and reasonable results. Under its proposed alternative methodology, System Energy calculates an authorized return on equity of 10.26% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. In May 2020 the FERC issued an order on rehearing of Opinion No. 569 (Opinion No. 569-A). In June 2020 the procedural schedule was further revised in order to allow parties to the System Energy proceeding to address the Opinion No. 569-A methodology. Pursuant to the revised schedule, in June 2020, the LPSC, the MPSC and APSC, and the FERC trial staff filed supplemental testimony addressing Opinion No. 569-A and how it would affect the return on equity evaluation for the two complaint periods concerning System Energy. For the first refund period, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.97%; the MPSC and APSC argue for an authorized return on equity of 9.24%; and the FERC trial staff argues for an authorized return on equity of 9.49%. For the second refund period and on a prospective basis, based on their respective interpretations and applications of the Opinion No. 569-A methodology, the LPSC argues for an authorized return on equity for System Energy of 7.78%; the MPSC and APSC argue that an authorized return on equity of 9.15% may be appropriate if the second complaint is not dismissed; and the FERC trial staff argues for an authorized return on equity of 9.09% if the second complaint is not dismissed. Pursuant to the revised procedural schedule, in July 2020, System Energy filed supplemental testimony addressing Opinion No. 569-A. System Energy argues that strict application of the Opinion No. 569-A methodology produces results inconsistent with investor requirements and does not provide a sound basis on which to evaluate System Energy’s authorized return on equity. As its primary recommendation, System Energy argues for the use of a methodology that incorporates four separate financial models, including the constant growth form of the discounted cash flow model and the empirical capital asset pricing model. Based on application of its recommended methodology, System Energy argues for an authorized return on equity of 10.12% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the Opinion No. 569-A methodology, System Energy calculates an authorized return on equity of 9.44% for the first refund period, which also falls within the presumptively just and reasonable range calculated for the second refund period and prospectively. Under the revised procedural schedule, System Energy’s supplemental testimony addressing Opinion No. 569-A is due in J |
Equity
Equity | 6 Months Ended |
Jun. 30, 2020 | |
Equity | EQUITY (Entergy Corporation and Entergy Louisiana) Common Stock Earnings per Share The following table presents Entergy’s basic and diluted earnings per share calculations included on the consolidated income statements: For the Three Months Ended June 30, 2020 2019 (In Millions, Except Per Share Data) Income Shares $/share Income Shares $/share Basic earnings per share Net income attributable to Entergy Corporation $360.5 200.2 $1.80 $236.4 193.0 $1.22 Average dilutive effect of: Stock options 0.3 — 0.5 — Other equity plans 0.4 (0.01) 0.7 — Diluted earnings per share $360.5 200.9 $1.79 $236.4 194.2 $1.22 The number of stock options not included in the calculation of diluted common shares outstanding due to their antidilutive effect was approximately 0.5 million for the three months ended June 30, 2020. For the Six Months Ended June 30, 2020 2019 (In Millions, Except Per Share Data) Income Shares $/share Income Shares $/share Basic earnings per share Net income attributable to Entergy Corporation $479.2 200.0 $2.40 $491.0 191.3 $2.57 Average dilutive effect of: Stock options 0.5 (0.01) 0.5 (0.01) Other equity plans 0.4 — 0.6 (0.01) Equity forwards — — 0.8 (0.01) Diluted earnings per share $479.2 200.9 $2.39 $491.0 193.2 $2.54 The number of stock options not included in the calculation of diluted common shares outstanding due to their antidilutive effect was approximately 0.5 million for the six months ended June 30, 2020 and approximately 0.3 million for the six months ended June 30, 2019. Entergy’s stock options and other equity compensation plans are discussed in Note 5 to the financial statements herein and in Note 12 to the financial statements in the Form 10-K. Dividends declared per common share were $0.93 for the three months ended June 30, 2020 and $0.91 for the three months ended June 30, 2019. Dividends declared per common share were $1.86 for the six months ended June 30, 2020 and $1.82 for the six months ended June 30, 2019. Treasury Stock During the six months ended June 30, 2020, Entergy Corporation issued 1,061,599 shares of its previously repurchased common stock to satisfy stock option exercises, vesting of shares of restricted stock, and other stock-based awards. Entergy Corporation did not repurchase any of its common stock during the six months ended June 30, 2020. Retained Earnings On July 31, 2020, Entergy Corporation’s Board of Directors declared a common stock dividend of $0.93 per share, payable on September 1, 2020, to holders of record as of August 13, 2020. Comprehensive Income Accumulated other comprehensive income (loss) is included in the equity section of the balance sheets of Entergy and Entergy Louisiana. The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the three months ended June 30, 2020 by component: Cash flow Pension Net Total (In Thousands) Beginning balance, April 1, 2020 $62,496 ($503,173) $41,690 ($398,987) Other comprehensive income (loss) before reclassifications 4,890 — 22,545 27,435 Amounts reclassified from accumulated other comprehensive income (loss) (30,296) 17,224 (3,980) (17,052) Net other comprehensive income (loss) for the period (25,406) 17,224 18,565 10,383 Ending balance, June 30, 2020 $37,090 ($485,949) $60,255 ($388,604) The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the three months ended June 30, 2019 by component: Cash flow Pension Net Total (In Thousands) Beginning balance, April 1, 2019 ($43,246) ($520,372) $12,466 ($551,152) Other comprehensive income (loss) before reclassifications 99,359 — 15,834 115,193 Amounts reclassified from accumulated other comprehensive income (loss) (4,377) 11,496 (1,564) 5,555 Net other comprehensive income (loss) for the period 94,982 11,496 14,270 120,748 Ending balance, June 30, 2019 $51,736 ($508,876) $26,736 ($430,404) The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the six months ended June 30, 2020 by component: Cash flow Pension Net Total (In Thousands) Beginning balance, January 1, 2020 $84,206 ($557,072) $25,946 ($446,920) Other comprehensive income (loss) before reclassifications 97,373 34,349 40,258 171,980 Amounts reclassified from accumulated other comprehensive income (loss) (144,489) 36,774 (5,949) (113,664) Net other comprehensive income (loss) for the period (47,116) 71,123 34,309 58,316 Ending balance, June 30, 2020 $37,090 ($485,949) $60,255 ($388,604) The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the six months ended June 30, 2019 by component: Cash flow Pension Net Total (In Thousands) Ending balance, December 31, 2018 ($23,135) ($531,922) ($2,116) ($557,173) Implementation of accounting standards (7,685) — 879 (6,806) Beginning balance, January 1, 2019 ($30,820) ($531,922) ($1,237) ($563,979) Other comprehensive income (loss) before reclassifications 127,670 — 29,373 157,043 Amounts reclassified from accumulated other comprehensive income (loss) (45,114) 23,046 (1,400) (23,468) Net other comprehensive income (loss) for the period 82,556 23,046 27,973 133,575 Ending balance, June 30, 2019 $51,736 ($508,876) $26,736 ($430,404) The following table presents changes in accumulated other comprehensive income (loss) for Entergy Louisiana for the three months ended June 30, 2020 and 2019: Pension and Other 2020 2019 (In Thousands) Beginning balance, April 1, $14,029 ($7,122) Amounts reclassified from accumulated other comprehensive income (loss) (945) (969) Net other comprehensive income (loss) for the period (945) (969) Ending balance, June 30, $13,084 ($8,091) The following table presents changes in accumulated other comprehensive income (loss) for Entergy Louisiana for the six months ended June 30, 2020 and 2019: Pension and Other 2020 2019 (In Thousands) Beginning balance, January 1, $4,562 ($6,153) Other comprehensive income (loss) before reclassifications 10,050 — Amounts reclassified from accumulated other comprehensive income (loss) (1,528) (1,938) Net other comprehensive income (loss) for the period 8,522 (1,938) Ending balance, June 30, $13,084 ($8,091) Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy for the three months ended June 30, 2020 and 2019 were as follows: Amounts reclassified Income Statement Location 2020 2019 (In Thousands) Cash flow hedges net unrealized gain (loss) Power contracts $25,086 $5,589 Competitive business operating revenues Interest rate swaps (48) (48) Miscellaneous - net Total realized gain (loss) on cash flow hedges 25,038 5,541 Income taxes 5,258 (1,164) Income taxes Total realized gain (loss) on cash flow hedges (net of tax) $30,296 $4,377 Pension and other postretirement liabilities Amortization of prior-service credit $5,682 $5,325 (a) Amortization of loss (27,619) (18,980) (a) Settlement loss — (918) (a) Total amortization (21,937) (14,573) Income taxes 4,713 3,077 Income taxes Total amortization (net of tax) ($17,224) ($11,496) Net unrealized investment gain (loss) Realized gain (loss) $6,297 $2,475 Interest and investment income Income taxes (2,317) (911) Income taxes Total realized investment gain (loss) (net of tax) $3,980 $1,564 Total reclassifications for the period (net of tax) $17,052 ($5,555) (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy for the six months ended June 30, 2020 and 2019 were as follows: Amounts reclassified Income Statement Location 2020 2019 (In Thousands) Cash flow hedges net unrealized gain (loss) Power contracts $119,509 $57,204 Competitive business operating revenues Interest rate swaps (97) (97) Miscellaneous - net Total realized gain (loss) on cash flow hedges 119,412 57,107 Income taxes 25,077 (11,993) Income taxes Total realized gain (loss) on cash flow hedges (net of tax) $144,489 $45,114 Pension and other postretirement liabilities Amortization of prior-service credit $9,401 $10,652 (a) Amortization of loss (54,937) (37,969) (a) Settlement loss — (2,055) (a) Total amortization (45,536) (29,372) Income taxes 8,762 6,326 Income taxes Total amortization (net of tax) ($36,774) ($23,046) Net unrealized investment gain (loss) Realized gain (loss) $9,413 $2,216 Interest and investment income Income taxes (3,464) (816) Income taxes Total realized investment gain (loss) (net of tax) $5,949 $1,400 Total reclassifications for the period (net of tax) $113,664 $23,468 (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy Louisiana for the three months ended June 30, 2020 and 2019 were as follows: Amounts reclassified Income Statement Location 2020 2019 (In Thousands) Pension and other postretirement liabilities Amortization of prior-service credit $1,698 $1,837 (a) Amortization of loss (419) (526) (a) Total amortization 1,279 1,311 Income taxes (334) (342) Income taxes Total amortization (net of tax) 945 969 Total reclassifications for the period (net of tax) $945 $969 (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy Louisiana for the six months ended June 30, 2020 and 2019 were as follows: Amounts reclassified Income Statement Location 2020 2019 (In Thousands) Pension and other postretirement liabilities Amortization of prior-service credit $2,787 $3,674 (a) Amortization of loss (720) (1,052) (a) Total amortization 2,067 2,622 Income taxes (539) (684) Income taxes Total amortization (net of tax) 1,528 1,938 Total reclassifications for the period (net of tax) $1,528 $1,938 (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. |
Entergy Louisiana [Member] | |
Equity | EQUITY (Entergy Corporation and Entergy Louisiana) Common Stock Earnings per Share The following table presents Entergy’s basic and diluted earnings per share calculations included on the consolidated income statements: For the Three Months Ended June 30, 2020 2019 (In Millions, Except Per Share Data) Income Shares $/share Income Shares $/share Basic earnings per share Net income attributable to Entergy Corporation $360.5 200.2 $1.80 $236.4 193.0 $1.22 Average dilutive effect of: Stock options 0.3 — 0.5 — Other equity plans 0.4 (0.01) 0.7 — Diluted earnings per share $360.5 200.9 $1.79 $236.4 194.2 $1.22 The number of stock options not included in the calculation of diluted common shares outstanding due to their antidilutive effect was approximately 0.5 million for the three months ended June 30, 2020. For the Six Months Ended June 30, 2020 2019 (In Millions, Except Per Share Data) Income Shares $/share Income Shares $/share Basic earnings per share Net income attributable to Entergy Corporation $479.2 200.0 $2.40 $491.0 191.3 $2.57 Average dilutive effect of: Stock options 0.5 (0.01) 0.5 (0.01) Other equity plans 0.4 — 0.6 (0.01) Equity forwards — — 0.8 (0.01) Diluted earnings per share $479.2 200.9 $2.39 $491.0 193.2 $2.54 The number of stock options not included in the calculation of diluted common shares outstanding due to their antidilutive effect was approximately 0.5 million for the six months ended June 30, 2020 and approximately 0.3 million for the six months ended June 30, 2019. Entergy’s stock options and other equity compensation plans are discussed in Note 5 to the financial statements herein and in Note 12 to the financial statements in the Form 10-K. Dividends declared per common share were $0.93 for the three months ended June 30, 2020 and $0.91 for the three months ended June 30, 2019. Dividends declared per common share were $1.86 for the six months ended June 30, 2020 and $1.82 for the six months ended June 30, 2019. Treasury Stock During the six months ended June 30, 2020, Entergy Corporation issued 1,061,599 shares of its previously repurchased common stock to satisfy stock option exercises, vesting of shares of restricted stock, and other stock-based awards. Entergy Corporation did not repurchase any of its common stock during the six months ended June 30, 2020. Retained Earnings On July 31, 2020, Entergy Corporation’s Board of Directors declared a common stock dividend of $0.93 per share, payable on September 1, 2020, to holders of record as of August 13, 2020. Comprehensive Income Accumulated other comprehensive income (loss) is included in the equity section of the balance sheets of Entergy and Entergy Louisiana. The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the three months ended June 30, 2020 by component: Cash flow Pension Net Total (In Thousands) Beginning balance, April 1, 2020 $62,496 ($503,173) $41,690 ($398,987) Other comprehensive income (loss) before reclassifications 4,890 — 22,545 27,435 Amounts reclassified from accumulated other comprehensive income (loss) (30,296) 17,224 (3,980) (17,052) Net other comprehensive income (loss) for the period (25,406) 17,224 18,565 10,383 Ending balance, June 30, 2020 $37,090 ($485,949) $60,255 ($388,604) The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the three months ended June 30, 2019 by component: Cash flow Pension Net Total (In Thousands) Beginning balance, April 1, 2019 ($43,246) ($520,372) $12,466 ($551,152) Other comprehensive income (loss) before reclassifications 99,359 — 15,834 115,193 Amounts reclassified from accumulated other comprehensive income (loss) (4,377) 11,496 (1,564) 5,555 Net other comprehensive income (loss) for the period 94,982 11,496 14,270 120,748 Ending balance, June 30, 2019 $51,736 ($508,876) $26,736 ($430,404) The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the six months ended June 30, 2020 by component: Cash flow Pension Net Total (In Thousands) Beginning balance, January 1, 2020 $84,206 ($557,072) $25,946 ($446,920) Other comprehensive income (loss) before reclassifications 97,373 34,349 40,258 171,980 Amounts reclassified from accumulated other comprehensive income (loss) (144,489) 36,774 (5,949) (113,664) Net other comprehensive income (loss) for the period (47,116) 71,123 34,309 58,316 Ending balance, June 30, 2020 $37,090 ($485,949) $60,255 ($388,604) The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the six months ended June 30, 2019 by component: Cash flow Pension Net Total (In Thousands) Ending balance, December 31, 2018 ($23,135) ($531,922) ($2,116) ($557,173) Implementation of accounting standards (7,685) — 879 (6,806) Beginning balance, January 1, 2019 ($30,820) ($531,922) ($1,237) ($563,979) Other comprehensive income (loss) before reclassifications 127,670 — 29,373 157,043 Amounts reclassified from accumulated other comprehensive income (loss) (45,114) 23,046 (1,400) (23,468) Net other comprehensive income (loss) for the period 82,556 23,046 27,973 133,575 Ending balance, June 30, 2019 $51,736 ($508,876) $26,736 ($430,404) The following table presents changes in accumulated other comprehensive income (loss) for Entergy Louisiana for the three months ended June 30, 2020 and 2019: Pension and Other 2020 2019 (In Thousands) Beginning balance, April 1, $14,029 ($7,122) Amounts reclassified from accumulated other comprehensive income (loss) (945) (969) Net other comprehensive income (loss) for the period (945) (969) Ending balance, June 30, $13,084 ($8,091) The following table presents changes in accumulated other comprehensive income (loss) for Entergy Louisiana for the six months ended June 30, 2020 and 2019: Pension and Other 2020 2019 (In Thousands) Beginning balance, January 1, $4,562 ($6,153) Other comprehensive income (loss) before reclassifications 10,050 — Amounts reclassified from accumulated other comprehensive income (loss) (1,528) (1,938) Net other comprehensive income (loss) for the period 8,522 (1,938) Ending balance, June 30, $13,084 ($8,091) Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy for the three months ended June 30, 2020 and 2019 were as follows: Amounts reclassified Income Statement Location 2020 2019 (In Thousands) Cash flow hedges net unrealized gain (loss) Power contracts $25,086 $5,589 Competitive business operating revenues Interest rate swaps (48) (48) Miscellaneous - net Total realized gain (loss) on cash flow hedges 25,038 5,541 Income taxes 5,258 (1,164) Income taxes Total realized gain (loss) on cash flow hedges (net of tax) $30,296 $4,377 Pension and other postretirement liabilities Amortization of prior-service credit $5,682 $5,325 (a) Amortization of loss (27,619) (18,980) (a) Settlement loss — (918) (a) Total amortization (21,937) (14,573) Income taxes 4,713 3,077 Income taxes Total amortization (net of tax) ($17,224) ($11,496) Net unrealized investment gain (loss) Realized gain (loss) $6,297 $2,475 Interest and investment income Income taxes (2,317) (911) Income taxes Total realized investment gain (loss) (net of tax) $3,980 $1,564 Total reclassifications for the period (net of tax) $17,052 ($5,555) (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy for the six months ended June 30, 2020 and 2019 were as follows: Amounts reclassified Income Statement Location 2020 2019 (In Thousands) Cash flow hedges net unrealized gain (loss) Power contracts $119,509 $57,204 Competitive business operating revenues Interest rate swaps (97) (97) Miscellaneous - net Total realized gain (loss) on cash flow hedges 119,412 57,107 Income taxes 25,077 (11,993) Income taxes Total realized gain (loss) on cash flow hedges (net of tax) $144,489 $45,114 Pension and other postretirement liabilities Amortization of prior-service credit $9,401 $10,652 (a) Amortization of loss (54,937) (37,969) (a) Settlement loss — (2,055) (a) Total amortization (45,536) (29,372) Income taxes 8,762 6,326 Income taxes Total amortization (net of tax) ($36,774) ($23,046) Net unrealized investment gain (loss) Realized gain (loss) $9,413 $2,216 Interest and investment income Income taxes (3,464) (816) Income taxes Total realized investment gain (loss) (net of tax) $5,949 $1,400 Total reclassifications for the period (net of tax) $113,664 $23,468 (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy Louisiana for the three months ended June 30, 2020 and 2019 were as follows: Amounts reclassified Income Statement Location 2020 2019 (In Thousands) Pension and other postretirement liabilities Amortization of prior-service credit $1,698 $1,837 (a) Amortization of loss (419) (526) (a) Total amortization 1,279 1,311 Income taxes (334) (342) Income taxes Total amortization (net of tax) 945 969 Total reclassifications for the period (net of tax) $945 $969 (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy Louisiana for the six months ended June 30, 2020 and 2019 were as follows: Amounts reclassified Income Statement Location 2020 2019 (In Thousands) Pension and other postretirement liabilities Amortization of prior-service credit $2,787 $3,674 (a) Amortization of loss (720) (1,052) (a) Total amortization 2,067 2,622 Income taxes (539) (684) Income taxes Total amortization (net of tax) 1,528 1,938 Total reclassifications for the period (net of tax) $1,528 $1,938 (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. |
Revolving Credit Facilities, Li
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | 6 Months Ended |
Jun. 30, 2020 | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | NOTE 4. REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in September 2024. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the six months ended June 30, 2020 was 2.62% on the drawn portion of the facility. Following is a summary of the borrowings outstanding and capacity available under the facility as of June 30, 2020. Capacity Borrowings Letters Capacity (In Millions) $3,500 $160 $6 $3,334 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Registrant Subsidiaries (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the facility maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of June 30, 2020, Entergy Corporation had approximately $1,946 million of commercial paper outstanding. The weighted-average interest rate for the six months ended June 30, 2020 was 2.01%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of June 30, 2020 as follows: Company Expiration Amount of Interest Rate (a) Amount Drawn Letters of Credit Entergy Arkansas April 2021 $20 million (b) 2.91% $— $— Entergy Arkansas September 2024 $150 million (c) 2.91% $— $— Entergy Louisiana September 2024 $350 million (c) 2.91% $— $— Entergy Mississippi April 2021 $37.5 million (d) 3.28% $— $— Entergy Mississippi April 2021 $35 million (d) 3.28% $— $— Entergy Mississippi April 2021 $10 million (d) 3.28% $— $— Entergy New Orleans November 2021 $25 million (c) 3.06% $— $0.8 million Entergy Texas September 2024 $150 million (c) 3.28% $— $1.3 million (a) The interest rate is the estimated interest rate as of June 30, 2020 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under the Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. In July 2020 the amount of the credit facility was increased to $25 million. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. The commitment fees on the credit facilities range from 0.075% to 0.225% of the undrawn commitment amount. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into one or more uncommitted standby letter of credit facilities primarily as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of June 30, 2020: Company Amount of Letter of Credit Fee MISO Letters of Credit Entergy Arkansas $25 million 0.78% $4.5 million Entergy Louisiana $125 million 0.78% $15.5 million Entergy Mississippi $65 million 0.78% $2.5 million Entergy New Orleans $15 million 1.00% $1 million Entergy Texas $50 million 0.70% $10.2 million (a) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of June 30, 2020, in addition to the $2.5 million MISO letter of credit, Entergy Mississippi has $7.1 million of non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. The current FERC-authorized limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy are effective through July 14, 2022. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are inter-company borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs have commercial paper programs in place. Following is a summary as of June 30, 2020: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE September 2021 $80 2.14% $23.7 Entergy Louisiana River Bend VIE September 2021 $105 2.19% $44.1 Entergy Louisiana Waterford VIE September 2021 $105 2.31% $16.2 System Energy VIE September 2021 $120 1.91% $80.1 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances, if any, by the nuclear fuel company variable interest entities for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company variable interest entity for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.10% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. The nuclear fuel company variable interest entities had notes payable that were included in debt on the respective balance sheets as of June 30, 2020 as follows: Company Description Amount Entergy Arkansas VIE 3.65% Series L due July 2021 $90 million Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Louisiana River Bend VIE 3.38% Series R due August 2020 $70 million Entergy Louisiana Waterford VIE 3.92% Series H due February 2021 $40 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 3.42% Series J due April 2021 $100 million In July 2020, Entergy Louisiana River Bend VIE issued $70 million of 2.51% Series V intermediate term secured notes due June 2027. Entergy Louisiana River Bend VIE expects to use the proceeds to redeem $70 million of 3.38% Series R intermediate term secured notes due August 2020. In accordance with regulatory treatment, interest on the nuclear fuel company variable interest entities’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. Debt Issuances and Retirements (Entergy Corporation) In May 2020, Entergy Corporation issued $600 million of 2.80% Series senior notes due June 2030 and $600 million of 3.75% Series senior notes due June 2050. Entergy Corporation used the proceeds, together with other funds, to repay, prior to maturity, its $450 million of 5.125% Series senior notes due September 2020, a portion of its outstanding commercial paper, a portion of outstanding borrowings on its $3.5 billion credit facility, and for general corporate purposes. (Entergy Arkansas) In March 2020, Entergy Arkansas issued $100 million of 4.00% Series mortgage bonds due June 2028. Entergy Arkansas used the proceeds for general corporate purposes. (Entergy Louisiana) In March 2020, Entergy Louisiana issued $350 million of 2.90% Series mortgage bonds due March 2051. Entergy Louisiana used the proceeds, together with other funds, to repay borrowings of $100 million on its $350 million credit facility and for general corporate purposes. In March 2020, Entergy Louisiana issued $300 million of 4.20% Series mortgage bonds due September 2048. Entergy Louisiana expects to use the proceeds, together with other funds, to repay, at maturity, its $250 million of 3.95% Series mortgage bonds due October 2020 and for general corporate purposes. (Entergy Mississippi) In May 2020, Entergy Mississippi issued $170 million of 3.50% Series mortgage bonds due June 2051. Entergy Mississippi used the proceeds for general corporate purposes. (Entergy New Orleans) In March 2020, Entergy New Orleans issued $62 million of 3.75% Series mortgage bonds due March 2040 and $78 million of 3.00% Series mortgage bonds due March 2025. Entergy New Orleans used the proceeds to repay short-term debt, to finance a portion of the construction of the New Orleans Power Station, and for general corporate purposes. (Entergy Texas) In March 2020, Entergy Texas issued $175 million of 3.55% Series mortgage bonds due September 2049. Entergy Texas used the proceeds, together with other funds, to finance a portion of the construction of the Montgomery County Power Station, to repay borrowings of $100 million on its $150 million credit facility, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Arkansas [Member] | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | NOTE 4. REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in September 2024. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the six months ended June 30, 2020 was 2.62% on the drawn portion of the facility. Following is a summary of the borrowings outstanding and capacity available under the facility as of June 30, 2020. Capacity Borrowings Letters Capacity (In Millions) $3,500 $160 $6 $3,334 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Registrant Subsidiaries (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the facility maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of June 30, 2020, Entergy Corporation had approximately $1,946 million of commercial paper outstanding. The weighted-average interest rate for the six months ended June 30, 2020 was 2.01%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of June 30, 2020 as follows: Company Expiration Amount of Interest Rate (a) Amount Drawn Letters of Credit Entergy Arkansas April 2021 $20 million (b) 2.91% $— $— Entergy Arkansas September 2024 $150 million (c) 2.91% $— $— Entergy Louisiana September 2024 $350 million (c) 2.91% $— $— Entergy Mississippi April 2021 $37.5 million (d) 3.28% $— $— Entergy Mississippi April 2021 $35 million (d) 3.28% $— $— Entergy Mississippi April 2021 $10 million (d) 3.28% $— $— Entergy New Orleans November 2021 $25 million (c) 3.06% $— $0.8 million Entergy Texas September 2024 $150 million (c) 3.28% $— $1.3 million (a) The interest rate is the estimated interest rate as of June 30, 2020 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under the Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. In July 2020 the amount of the credit facility was increased to $25 million. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. The commitment fees on the credit facilities range from 0.075% to 0.225% of the undrawn commitment amount. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into one or more uncommitted standby letter of credit facilities primarily as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of June 30, 2020: Company Amount of Letter of Credit Fee MISO Letters of Credit Entergy Arkansas $25 million 0.78% $4.5 million Entergy Louisiana $125 million 0.78% $15.5 million Entergy Mississippi $65 million 0.78% $2.5 million Entergy New Orleans $15 million 1.00% $1 million Entergy Texas $50 million 0.70% $10.2 million (a) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of June 30, 2020, in addition to the $2.5 million MISO letter of credit, Entergy Mississippi has $7.1 million of non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. The current FERC-authorized limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy are effective through July 14, 2022. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are inter-company borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs have commercial paper programs in place. Following is a summary as of June 30, 2020: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE September 2021 $80 2.14% $23.7 Entergy Louisiana River Bend VIE September 2021 $105 2.19% $44.1 Entergy Louisiana Waterford VIE September 2021 $105 2.31% $16.2 System Energy VIE September 2021 $120 1.91% $80.1 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances, if any, by the nuclear fuel company variable interest entities for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company variable interest entity for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.10% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. The nuclear fuel company variable interest entities had notes payable that were included in debt on the respective balance sheets as of June 30, 2020 as follows: Company Description Amount Entergy Arkansas VIE 3.65% Series L due July 2021 $90 million Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Louisiana River Bend VIE 3.38% Series R due August 2020 $70 million Entergy Louisiana Waterford VIE 3.92% Series H due February 2021 $40 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 3.42% Series J due April 2021 $100 million In July 2020, Entergy Louisiana River Bend VIE issued $70 million of 2.51% Series V intermediate term secured notes due June 2027. Entergy Louisiana River Bend VIE expects to use the proceeds to redeem $70 million of 3.38% Series R intermediate term secured notes due August 2020. In accordance with regulatory treatment, interest on the nuclear fuel company variable interest entities’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. Debt Issuances and Retirements (Entergy Corporation) In May 2020, Entergy Corporation issued $600 million of 2.80% Series senior notes due June 2030 and $600 million of 3.75% Series senior notes due June 2050. Entergy Corporation used the proceeds, together with other funds, to repay, prior to maturity, its $450 million of 5.125% Series senior notes due September 2020, a portion of its outstanding commercial paper, a portion of outstanding borrowings on its $3.5 billion credit facility, and for general corporate purposes. (Entergy Arkansas) In March 2020, Entergy Arkansas issued $100 million of 4.00% Series mortgage bonds due June 2028. Entergy Arkansas used the proceeds for general corporate purposes. (Entergy Louisiana) In March 2020, Entergy Louisiana issued $350 million of 2.90% Series mortgage bonds due March 2051. Entergy Louisiana used the proceeds, together with other funds, to repay borrowings of $100 million on its $350 million credit facility and for general corporate purposes. In March 2020, Entergy Louisiana issued $300 million of 4.20% Series mortgage bonds due September 2048. Entergy Louisiana expects to use the proceeds, together with other funds, to repay, at maturity, its $250 million of 3.95% Series mortgage bonds due October 2020 and for general corporate purposes. (Entergy Mississippi) In May 2020, Entergy Mississippi issued $170 million of 3.50% Series mortgage bonds due June 2051. Entergy Mississippi used the proceeds for general corporate purposes. (Entergy New Orleans) In March 2020, Entergy New Orleans issued $62 million of 3.75% Series mortgage bonds due March 2040 and $78 million of 3.00% Series mortgage bonds due March 2025. Entergy New Orleans used the proceeds to repay short-term debt, to finance a portion of the construction of the New Orleans Power Station, and for general corporate purposes. (Entergy Texas) In March 2020, Entergy Texas issued $175 million of 3.55% Series mortgage bonds due September 2049. Entergy Texas used the proceeds, together with other funds, to finance a portion of the construction of the Montgomery County Power Station, to repay borrowings of $100 million on its $150 million credit facility, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Louisiana [Member] | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | NOTE 4. REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in September 2024. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the six months ended June 30, 2020 was 2.62% on the drawn portion of the facility. Following is a summary of the borrowings outstanding and capacity available under the facility as of June 30, 2020. Capacity Borrowings Letters Capacity (In Millions) $3,500 $160 $6 $3,334 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Registrant Subsidiaries (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the facility maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of June 30, 2020, Entergy Corporation had approximately $1,946 million of commercial paper outstanding. The weighted-average interest rate for the six months ended June 30, 2020 was 2.01%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of June 30, 2020 as follows: Company Expiration Amount of Interest Rate (a) Amount Drawn Letters of Credit Entergy Arkansas April 2021 $20 million (b) 2.91% $— $— Entergy Arkansas September 2024 $150 million (c) 2.91% $— $— Entergy Louisiana September 2024 $350 million (c) 2.91% $— $— Entergy Mississippi April 2021 $37.5 million (d) 3.28% $— $— Entergy Mississippi April 2021 $35 million (d) 3.28% $— $— Entergy Mississippi April 2021 $10 million (d) 3.28% $— $— Entergy New Orleans November 2021 $25 million (c) 3.06% $— $0.8 million Entergy Texas September 2024 $150 million (c) 3.28% $— $1.3 million (a) The interest rate is the estimated interest rate as of June 30, 2020 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under the Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. In July 2020 the amount of the credit facility was increased to $25 million. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. The commitment fees on the credit facilities range from 0.075% to 0.225% of the undrawn commitment amount. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into one or more uncommitted standby letter of credit facilities primarily as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of June 30, 2020: Company Amount of Letter of Credit Fee MISO Letters of Credit Entergy Arkansas $25 million 0.78% $4.5 million Entergy Louisiana $125 million 0.78% $15.5 million Entergy Mississippi $65 million 0.78% $2.5 million Entergy New Orleans $15 million 1.00% $1 million Entergy Texas $50 million 0.70% $10.2 million (a) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of June 30, 2020, in addition to the $2.5 million MISO letter of credit, Entergy Mississippi has $7.1 million of non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. The current FERC-authorized limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy are effective through July 14, 2022. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are inter-company borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs have commercial paper programs in place. Following is a summary as of June 30, 2020: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE September 2021 $80 2.14% $23.7 Entergy Louisiana River Bend VIE September 2021 $105 2.19% $44.1 Entergy Louisiana Waterford VIE September 2021 $105 2.31% $16.2 System Energy VIE September 2021 $120 1.91% $80.1 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances, if any, by the nuclear fuel company variable interest entities for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company variable interest entity for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.10% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. The nuclear fuel company variable interest entities had notes payable that were included in debt on the respective balance sheets as of June 30, 2020 as follows: Company Description Amount Entergy Arkansas VIE 3.65% Series L due July 2021 $90 million Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Louisiana River Bend VIE 3.38% Series R due August 2020 $70 million Entergy Louisiana Waterford VIE 3.92% Series H due February 2021 $40 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 3.42% Series J due April 2021 $100 million In July 2020, Entergy Louisiana River Bend VIE issued $70 million of 2.51% Series V intermediate term secured notes due June 2027. Entergy Louisiana River Bend VIE expects to use the proceeds to redeem $70 million of 3.38% Series R intermediate term secured notes due August 2020. In accordance with regulatory treatment, interest on the nuclear fuel company variable interest entities’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. Debt Issuances and Retirements (Entergy Corporation) In May 2020, Entergy Corporation issued $600 million of 2.80% Series senior notes due June 2030 and $600 million of 3.75% Series senior notes due June 2050. Entergy Corporation used the proceeds, together with other funds, to repay, prior to maturity, its $450 million of 5.125% Series senior notes due September 2020, a portion of its outstanding commercial paper, a portion of outstanding borrowings on its $3.5 billion credit facility, and for general corporate purposes. (Entergy Arkansas) In March 2020, Entergy Arkansas issued $100 million of 4.00% Series mortgage bonds due June 2028. Entergy Arkansas used the proceeds for general corporate purposes. (Entergy Louisiana) In March 2020, Entergy Louisiana issued $350 million of 2.90% Series mortgage bonds due March 2051. Entergy Louisiana used the proceeds, together with other funds, to repay borrowings of $100 million on its $350 million credit facility and for general corporate purposes. In March 2020, Entergy Louisiana issued $300 million of 4.20% Series mortgage bonds due September 2048. Entergy Louisiana expects to use the proceeds, together with other funds, to repay, at maturity, its $250 million of 3.95% Series mortgage bonds due October 2020 and for general corporate purposes. (Entergy Mississippi) In May 2020, Entergy Mississippi issued $170 million of 3.50% Series mortgage bonds due June 2051. Entergy Mississippi used the proceeds for general corporate purposes. (Entergy New Orleans) In March 2020, Entergy New Orleans issued $62 million of 3.75% Series mortgage bonds due March 2040 and $78 million of 3.00% Series mortgage bonds due March 2025. Entergy New Orleans used the proceeds to repay short-term debt, to finance a portion of the construction of the New Orleans Power Station, and for general corporate purposes. (Entergy Texas) In March 2020, Entergy Texas issued $175 million of 3.55% Series mortgage bonds due September 2049. Entergy Texas used the proceeds, together with other funds, to finance a portion of the construction of the Montgomery County Power Station, to repay borrowings of $100 million on its $150 million credit facility, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Mississippi [Member] | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | NOTE 4. REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in September 2024. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the six months ended June 30, 2020 was 2.62% on the drawn portion of the facility. Following is a summary of the borrowings outstanding and capacity available under the facility as of June 30, 2020. Capacity Borrowings Letters Capacity (In Millions) $3,500 $160 $6 $3,334 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Registrant Subsidiaries (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the facility maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of June 30, 2020, Entergy Corporation had approximately $1,946 million of commercial paper outstanding. The weighted-average interest rate for the six months ended June 30, 2020 was 2.01%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of June 30, 2020 as follows: Company Expiration Amount of Interest Rate (a) Amount Drawn Letters of Credit Entergy Arkansas April 2021 $20 million (b) 2.91% $— $— Entergy Arkansas September 2024 $150 million (c) 2.91% $— $— Entergy Louisiana September 2024 $350 million (c) 2.91% $— $— Entergy Mississippi April 2021 $37.5 million (d) 3.28% $— $— Entergy Mississippi April 2021 $35 million (d) 3.28% $— $— Entergy Mississippi April 2021 $10 million (d) 3.28% $— $— Entergy New Orleans November 2021 $25 million (c) 3.06% $— $0.8 million Entergy Texas September 2024 $150 million (c) 3.28% $— $1.3 million (a) The interest rate is the estimated interest rate as of June 30, 2020 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under the Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. In July 2020 the amount of the credit facility was increased to $25 million. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. The commitment fees on the credit facilities range from 0.075% to 0.225% of the undrawn commitment amount. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into one or more uncommitted standby letter of credit facilities primarily as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of June 30, 2020: Company Amount of Letter of Credit Fee MISO Letters of Credit Entergy Arkansas $25 million 0.78% $4.5 million Entergy Louisiana $125 million 0.78% $15.5 million Entergy Mississippi $65 million 0.78% $2.5 million Entergy New Orleans $15 million 1.00% $1 million Entergy Texas $50 million 0.70% $10.2 million (a) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of June 30, 2020, in addition to the $2.5 million MISO letter of credit, Entergy Mississippi has $7.1 million of non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. The current FERC-authorized limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy are effective through July 14, 2022. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are inter-company borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs have commercial paper programs in place. Following is a summary as of June 30, 2020: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE September 2021 $80 2.14% $23.7 Entergy Louisiana River Bend VIE September 2021 $105 2.19% $44.1 Entergy Louisiana Waterford VIE September 2021 $105 2.31% $16.2 System Energy VIE September 2021 $120 1.91% $80.1 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances, if any, by the nuclear fuel company variable interest entities for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company variable interest entity for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.10% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. The nuclear fuel company variable interest entities had notes payable that were included in debt on the respective balance sheets as of June 30, 2020 as follows: Company Description Amount Entergy Arkansas VIE 3.65% Series L due July 2021 $90 million Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Louisiana River Bend VIE 3.38% Series R due August 2020 $70 million Entergy Louisiana Waterford VIE 3.92% Series H due February 2021 $40 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 3.42% Series J due April 2021 $100 million In July 2020, Entergy Louisiana River Bend VIE issued $70 million of 2.51% Series V intermediate term secured notes due June 2027. Entergy Louisiana River Bend VIE expects to use the proceeds to redeem $70 million of 3.38% Series R intermediate term secured notes due August 2020. In accordance with regulatory treatment, interest on the nuclear fuel company variable interest entities’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. Debt Issuances and Retirements (Entergy Corporation) In May 2020, Entergy Corporation issued $600 million of 2.80% Series senior notes due June 2030 and $600 million of 3.75% Series senior notes due June 2050. Entergy Corporation used the proceeds, together with other funds, to repay, prior to maturity, its $450 million of 5.125% Series senior notes due September 2020, a portion of its outstanding commercial paper, a portion of outstanding borrowings on its $3.5 billion credit facility, and for general corporate purposes. (Entergy Arkansas) In March 2020, Entergy Arkansas issued $100 million of 4.00% Series mortgage bonds due June 2028. Entergy Arkansas used the proceeds for general corporate purposes. (Entergy Louisiana) In March 2020, Entergy Louisiana issued $350 million of 2.90% Series mortgage bonds due March 2051. Entergy Louisiana used the proceeds, together with other funds, to repay borrowings of $100 million on its $350 million credit facility and for general corporate purposes. In March 2020, Entergy Louisiana issued $300 million of 4.20% Series mortgage bonds due September 2048. Entergy Louisiana expects to use the proceeds, together with other funds, to repay, at maturity, its $250 million of 3.95% Series mortgage bonds due October 2020 and for general corporate purposes. (Entergy Mississippi) In May 2020, Entergy Mississippi issued $170 million of 3.50% Series mortgage bonds due June 2051. Entergy Mississippi used the proceeds for general corporate purposes. (Entergy New Orleans) In March 2020, Entergy New Orleans issued $62 million of 3.75% Series mortgage bonds due March 2040 and $78 million of 3.00% Series mortgage bonds due March 2025. Entergy New Orleans used the proceeds to repay short-term debt, to finance a portion of the construction of the New Orleans Power Station, and for general corporate purposes. (Entergy Texas) In March 2020, Entergy Texas issued $175 million of 3.55% Series mortgage bonds due September 2049. Entergy Texas used the proceeds, together with other funds, to finance a portion of the construction of the Montgomery County Power Station, to repay borrowings of $100 million on its $150 million credit facility, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy New Orleans [Member] | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | NOTE 4. REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in September 2024. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the six months ended June 30, 2020 was 2.62% on the drawn portion of the facility. Following is a summary of the borrowings outstanding and capacity available under the facility as of June 30, 2020. Capacity Borrowings Letters Capacity (In Millions) $3,500 $160 $6 $3,334 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Registrant Subsidiaries (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the facility maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of June 30, 2020, Entergy Corporation had approximately $1,946 million of commercial paper outstanding. The weighted-average interest rate for the six months ended June 30, 2020 was 2.01%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of June 30, 2020 as follows: Company Expiration Amount of Interest Rate (a) Amount Drawn Letters of Credit Entergy Arkansas April 2021 $20 million (b) 2.91% $— $— Entergy Arkansas September 2024 $150 million (c) 2.91% $— $— Entergy Louisiana September 2024 $350 million (c) 2.91% $— $— Entergy Mississippi April 2021 $37.5 million (d) 3.28% $— $— Entergy Mississippi April 2021 $35 million (d) 3.28% $— $— Entergy Mississippi April 2021 $10 million (d) 3.28% $— $— Entergy New Orleans November 2021 $25 million (c) 3.06% $— $0.8 million Entergy Texas September 2024 $150 million (c) 3.28% $— $1.3 million (a) The interest rate is the estimated interest rate as of June 30, 2020 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under the Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. In July 2020 the amount of the credit facility was increased to $25 million. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. The commitment fees on the credit facilities range from 0.075% to 0.225% of the undrawn commitment amount. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into one or more uncommitted standby letter of credit facilities primarily as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of June 30, 2020: Company Amount of Letter of Credit Fee MISO Letters of Credit Entergy Arkansas $25 million 0.78% $4.5 million Entergy Louisiana $125 million 0.78% $15.5 million Entergy Mississippi $65 million 0.78% $2.5 million Entergy New Orleans $15 million 1.00% $1 million Entergy Texas $50 million 0.70% $10.2 million (a) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of June 30, 2020, in addition to the $2.5 million MISO letter of credit, Entergy Mississippi has $7.1 million of non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. The current FERC-authorized limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy are effective through July 14, 2022. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are inter-company borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs have commercial paper programs in place. Following is a summary as of June 30, 2020: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE September 2021 $80 2.14% $23.7 Entergy Louisiana River Bend VIE September 2021 $105 2.19% $44.1 Entergy Louisiana Waterford VIE September 2021 $105 2.31% $16.2 System Energy VIE September 2021 $120 1.91% $80.1 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances, if any, by the nuclear fuel company variable interest entities for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company variable interest entity for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.10% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. The nuclear fuel company variable interest entities had notes payable that were included in debt on the respective balance sheets as of June 30, 2020 as follows: Company Description Amount Entergy Arkansas VIE 3.65% Series L due July 2021 $90 million Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Louisiana River Bend VIE 3.38% Series R due August 2020 $70 million Entergy Louisiana Waterford VIE 3.92% Series H due February 2021 $40 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 3.42% Series J due April 2021 $100 million In July 2020, Entergy Louisiana River Bend VIE issued $70 million of 2.51% Series V intermediate term secured notes due June 2027. Entergy Louisiana River Bend VIE expects to use the proceeds to redeem $70 million of 3.38% Series R intermediate term secured notes due August 2020. In accordance with regulatory treatment, interest on the nuclear fuel company variable interest entities’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. Debt Issuances and Retirements (Entergy Corporation) In May 2020, Entergy Corporation issued $600 million of 2.80% Series senior notes due June 2030 and $600 million of 3.75% Series senior notes due June 2050. Entergy Corporation used the proceeds, together with other funds, to repay, prior to maturity, its $450 million of 5.125% Series senior notes due September 2020, a portion of its outstanding commercial paper, a portion of outstanding borrowings on its $3.5 billion credit facility, and for general corporate purposes. (Entergy Arkansas) In March 2020, Entergy Arkansas issued $100 million of 4.00% Series mortgage bonds due June 2028. Entergy Arkansas used the proceeds for general corporate purposes. (Entergy Louisiana) In March 2020, Entergy Louisiana issued $350 million of 2.90% Series mortgage bonds due March 2051. Entergy Louisiana used the proceeds, together with other funds, to repay borrowings of $100 million on its $350 million credit facility and for general corporate purposes. In March 2020, Entergy Louisiana issued $300 million of 4.20% Series mortgage bonds due September 2048. Entergy Louisiana expects to use the proceeds, together with other funds, to repay, at maturity, its $250 million of 3.95% Series mortgage bonds due October 2020 and for general corporate purposes. (Entergy Mississippi) In May 2020, Entergy Mississippi issued $170 million of 3.50% Series mortgage bonds due June 2051. Entergy Mississippi used the proceeds for general corporate purposes. (Entergy New Orleans) In March 2020, Entergy New Orleans issued $62 million of 3.75% Series mortgage bonds due March 2040 and $78 million of 3.00% Series mortgage bonds due March 2025. Entergy New Orleans used the proceeds to repay short-term debt, to finance a portion of the construction of the New Orleans Power Station, and for general corporate purposes. (Entergy Texas) In March 2020, Entergy Texas issued $175 million of 3.55% Series mortgage bonds due September 2049. Entergy Texas used the proceeds, together with other funds, to finance a portion of the construction of the Montgomery County Power Station, to repay borrowings of $100 million on its $150 million credit facility, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Texas [Member] | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | NOTE 4. REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in September 2024. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the six months ended June 30, 2020 was 2.62% on the drawn portion of the facility. Following is a summary of the borrowings outstanding and capacity available under the facility as of June 30, 2020. Capacity Borrowings Letters Capacity (In Millions) $3,500 $160 $6 $3,334 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Registrant Subsidiaries (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the facility maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of June 30, 2020, Entergy Corporation had approximately $1,946 million of commercial paper outstanding. The weighted-average interest rate for the six months ended June 30, 2020 was 2.01%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of June 30, 2020 as follows: Company Expiration Amount of Interest Rate (a) Amount Drawn Letters of Credit Entergy Arkansas April 2021 $20 million (b) 2.91% $— $— Entergy Arkansas September 2024 $150 million (c) 2.91% $— $— Entergy Louisiana September 2024 $350 million (c) 2.91% $— $— Entergy Mississippi April 2021 $37.5 million (d) 3.28% $— $— Entergy Mississippi April 2021 $35 million (d) 3.28% $— $— Entergy Mississippi April 2021 $10 million (d) 3.28% $— $— Entergy New Orleans November 2021 $25 million (c) 3.06% $— $0.8 million Entergy Texas September 2024 $150 million (c) 3.28% $— $1.3 million (a) The interest rate is the estimated interest rate as of June 30, 2020 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under the Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. In July 2020 the amount of the credit facility was increased to $25 million. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. The commitment fees on the credit facilities range from 0.075% to 0.225% of the undrawn commitment amount. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into one or more uncommitted standby letter of credit facilities primarily as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of June 30, 2020: Company Amount of Letter of Credit Fee MISO Letters of Credit Entergy Arkansas $25 million 0.78% $4.5 million Entergy Louisiana $125 million 0.78% $15.5 million Entergy Mississippi $65 million 0.78% $2.5 million Entergy New Orleans $15 million 1.00% $1 million Entergy Texas $50 million 0.70% $10.2 million (a) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of June 30, 2020, in addition to the $2.5 million MISO letter of credit, Entergy Mississippi has $7.1 million of non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. The current FERC-authorized limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy are effective through July 14, 2022. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are inter-company borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs have commercial paper programs in place. Following is a summary as of June 30, 2020: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE September 2021 $80 2.14% $23.7 Entergy Louisiana River Bend VIE September 2021 $105 2.19% $44.1 Entergy Louisiana Waterford VIE September 2021 $105 2.31% $16.2 System Energy VIE September 2021 $120 1.91% $80.1 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances, if any, by the nuclear fuel company variable interest entities for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company variable interest entity for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.10% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. The nuclear fuel company variable interest entities had notes payable that were included in debt on the respective balance sheets as of June 30, 2020 as follows: Company Description Amount Entergy Arkansas VIE 3.65% Series L due July 2021 $90 million Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Louisiana River Bend VIE 3.38% Series R due August 2020 $70 million Entergy Louisiana Waterford VIE 3.92% Series H due February 2021 $40 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 3.42% Series J due April 2021 $100 million In July 2020, Entergy Louisiana River Bend VIE issued $70 million of 2.51% Series V intermediate term secured notes due June 2027. Entergy Louisiana River Bend VIE expects to use the proceeds to redeem $70 million of 3.38% Series R intermediate term secured notes due August 2020. In accordance with regulatory treatment, interest on the nuclear fuel company variable interest entities’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. Debt Issuances and Retirements (Entergy Corporation) In May 2020, Entergy Corporation issued $600 million of 2.80% Series senior notes due June 2030 and $600 million of 3.75% Series senior notes due June 2050. Entergy Corporation used the proceeds, together with other funds, to repay, prior to maturity, its $450 million of 5.125% Series senior notes due September 2020, a portion of its outstanding commercial paper, a portion of outstanding borrowings on its $3.5 billion credit facility, and for general corporate purposes. (Entergy Arkansas) In March 2020, Entergy Arkansas issued $100 million of 4.00% Series mortgage bonds due June 2028. Entergy Arkansas used the proceeds for general corporate purposes. (Entergy Louisiana) In March 2020, Entergy Louisiana issued $350 million of 2.90% Series mortgage bonds due March 2051. Entergy Louisiana used the proceeds, together with other funds, to repay borrowings of $100 million on its $350 million credit facility and for general corporate purposes. In March 2020, Entergy Louisiana issued $300 million of 4.20% Series mortgage bonds due September 2048. Entergy Louisiana expects to use the proceeds, together with other funds, to repay, at maturity, its $250 million of 3.95% Series mortgage bonds due October 2020 and for general corporate purposes. (Entergy Mississippi) In May 2020, Entergy Mississippi issued $170 million of 3.50% Series mortgage bonds due June 2051. Entergy Mississippi used the proceeds for general corporate purposes. (Entergy New Orleans) In March 2020, Entergy New Orleans issued $62 million of 3.75% Series mortgage bonds due March 2040 and $78 million of 3.00% Series mortgage bonds due March 2025. Entergy New Orleans used the proceeds to repay short-term debt, to finance a portion of the construction of the New Orleans Power Station, and for general corporate purposes. (Entergy Texas) In March 2020, Entergy Texas issued $175 million of 3.55% Series mortgage bonds due September 2049. Entergy Texas used the proceeds, together with other funds, to finance a portion of the construction of the Montgomery County Power Station, to repay borrowings of $100 million on its $150 million credit facility, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
System Energy [Member] | |
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt | NOTE 4. REVOLVING CREDIT FACILITIES, LINES OF CREDIT, SHORT-TERM BORROWINGS, AND LONG-TERM DEBT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation has in place a credit facility that has a borrowing capacity of $3.5 billion and expires in September 2024. The facility includes fronting commitments for the issuance of letters of credit against $20 million of the total borrowing capacity of the credit facility. The commitment fee is currently 0.225% of the undrawn commitment amount. Commitment fees and interest rates on loans under the credit facility can fluctuate depending on the senior unsecured debt ratings of Entergy Corporation. The weighted average interest rate for the six months ended June 30, 2020 was 2.62% on the drawn portion of the facility. Following is a summary of the borrowings outstanding and capacity available under the facility as of June 30, 2020. Capacity Borrowings Letters Capacity (In Millions) $3,500 $160 $6 $3,334 Entergy Corporation’s credit facility requires Entergy to maintain a consolidated debt ratio, as defined, of 65% or less of its total capitalization. Entergy is in compliance with this covenant. If Entergy fails to meet this ratio, or if Entergy Corporation or one of the Registrant Subsidiaries (except Entergy New Orleans) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the facility maturity date may occur. Entergy Corporation has a commercial paper program with a Board-approved program limit of up to $2 billion. As of June 30, 2020, Entergy Corporation had approximately $1,946 million of commercial paper outstanding. The weighted-average interest rate for the six months ended June 30, 2020 was 2.01%. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of June 30, 2020 as follows: Company Expiration Amount of Interest Rate (a) Amount Drawn Letters of Credit Entergy Arkansas April 2021 $20 million (b) 2.91% $— $— Entergy Arkansas September 2024 $150 million (c) 2.91% $— $— Entergy Louisiana September 2024 $350 million (c) 2.91% $— $— Entergy Mississippi April 2021 $37.5 million (d) 3.28% $— $— Entergy Mississippi April 2021 $35 million (d) 3.28% $— $— Entergy Mississippi April 2021 $10 million (d) 3.28% $— $— Entergy New Orleans November 2021 $25 million (c) 3.06% $— $0.8 million Entergy Texas September 2024 $150 million (c) 3.28% $— $1.3 million (a) The interest rate is the estimated interest rate as of June 30, 2020 that would have been applied to outstanding borrowings under the facility. (b) Borrowings under the Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option. In July 2020 the amount of the credit facility was increased to $25 million. (c) The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $10 million for Entergy New Orleans; and $30 million for Entergy Texas. (d) Borrowings under the Entergy Mississippi credit facilities may be secured by a security interest in its accounts receivable at Entergy Mississippi’s option. The commitment fees on the credit facilities range from 0.075% to 0.225% of the undrawn commitment amount. Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization. Each Registrant Subsidiary is in compliance with this covenant. In addition, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each entered into one or more uncommitted standby letter of credit facilities primarily as a means to post collateral to support its obligations to MISO. Following is a summary of the uncommitted standby letter of credit facilities as of June 30, 2020: Company Amount of Letter of Credit Fee MISO Letters of Credit Entergy Arkansas $25 million 0.78% $4.5 million Entergy Louisiana $125 million 0.78% $15.5 million Entergy Mississippi $65 million 0.78% $2.5 million Entergy New Orleans $15 million 1.00% $1 million Entergy Texas $50 million 0.70% $10.2 million (a) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of June 30, 2020, in addition to the $2.5 million MISO letter of credit, Entergy Mississippi has $7.1 million of non-MISO letters of credit outstanding under this facility. The short-term borrowings of the Registrant Subsidiaries are limited to amounts authorized by the FERC. The current FERC-authorized limits for Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy are effective through July 14, 2022. In addition to borrowings from commercial banks, these companies may also borrow from the Entergy System money pool and from other internal short-term borrowing arrangements. The money pool and the other internal borrowing arrangements are inter-company borrowing arrangements designed to reduce the Utility subsidiaries’ dependence on external short-term borrowings. Borrowings from internal and external short-term borrowings combined may not exceed the FERC-authorized limits. The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 Variable Interest Entities (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) See Note 17 to the financial statements in the Form 10-K for a discussion of the consolidation of the nuclear fuel company variable interest entities (VIEs). To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs have commercial paper programs in place. Following is a summary as of June 30, 2020: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE September 2021 $80 2.14% $23.7 Entergy Louisiana River Bend VIE September 2021 $105 2.19% $44.1 Entergy Louisiana Waterford VIE September 2021 $105 2.31% $16.2 System Energy VIE September 2021 $120 1.91% $80.1 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances, if any, by the nuclear fuel company variable interest entities for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company variable interest entity for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. The commitment fees on the credit facilities are 0.10% of the undrawn commitment amount for the Entergy Arkansas, Entergy Louisiana, and System Energy VIEs. Each credit facility requires the respective lessee of nuclear fuel (Entergy Arkansas, Entergy Louisiana, or Entergy Corporation as guarantor for System Energy) to maintain a consolidated debt ratio, as defined, of 70% or less of its total capitalization. The nuclear fuel company variable interest entities had notes payable that were included in debt on the respective balance sheets as of June 30, 2020 as follows: Company Description Amount Entergy Arkansas VIE 3.65% Series L due July 2021 $90 million Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Louisiana River Bend VIE 3.38% Series R due August 2020 $70 million Entergy Louisiana Waterford VIE 3.92% Series H due February 2021 $40 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 3.42% Series J due April 2021 $100 million In July 2020, Entergy Louisiana River Bend VIE issued $70 million of 2.51% Series V intermediate term secured notes due June 2027. Entergy Louisiana River Bend VIE expects to use the proceeds to redeem $70 million of 3.38% Series R intermediate term secured notes due August 2020. In accordance with regulatory treatment, interest on the nuclear fuel company variable interest entities’ credit facilities, commercial paper, and long-term notes payable is reported in fuel expense. Debt Issuances and Retirements (Entergy Corporation) In May 2020, Entergy Corporation issued $600 million of 2.80% Series senior notes due June 2030 and $600 million of 3.75% Series senior notes due June 2050. Entergy Corporation used the proceeds, together with other funds, to repay, prior to maturity, its $450 million of 5.125% Series senior notes due September 2020, a portion of its outstanding commercial paper, a portion of outstanding borrowings on its $3.5 billion credit facility, and for general corporate purposes. (Entergy Arkansas) In March 2020, Entergy Arkansas issued $100 million of 4.00% Series mortgage bonds due June 2028. Entergy Arkansas used the proceeds for general corporate purposes. (Entergy Louisiana) In March 2020, Entergy Louisiana issued $350 million of 2.90% Series mortgage bonds due March 2051. Entergy Louisiana used the proceeds, together with other funds, to repay borrowings of $100 million on its $350 million credit facility and for general corporate purposes. In March 2020, Entergy Louisiana issued $300 million of 4.20% Series mortgage bonds due September 2048. Entergy Louisiana expects to use the proceeds, together with other funds, to repay, at maturity, its $250 million of 3.95% Series mortgage bonds due October 2020 and for general corporate purposes. (Entergy Mississippi) In May 2020, Entergy Mississippi issued $170 million of 3.50% Series mortgage bonds due June 2051. Entergy Mississippi used the proceeds for general corporate purposes. (Entergy New Orleans) In March 2020, Entergy New Orleans issued $62 million of 3.75% Series mortgage bonds due March 2040 and $78 million of 3.00% Series mortgage bonds due March 2025. Entergy New Orleans used the proceeds to repay short-term debt, to finance a portion of the construction of the New Orleans Power Station, and for general corporate purposes. (Entergy Texas) In March 2020, Entergy Texas issued $175 million of 3.55% Series mortgage bonds due September 2049. Entergy Texas used the proceeds, together with other funds, to finance a portion of the construction of the Montgomery County Power Station, to repay borrowings of $100 million on its $150 million credit facility, and for general corporate purposes. Fair Value The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2020 | |
Entergy Corporation [Member] | |
Stock-Based Compensation | STOCK-BASED COMPENSATION (Entergy Corporation) Entergy grants stock and stock-based awards, which are described more fully in Note 12 to the financial statements in the Form 10-K. Awards under Entergy’s plans generally vest over three years. Stock Options Entergy granted options on 530,716 shares of its common stock under the 2019 Omnibus Incentive Plan during the first quarter 2020 with a fair value of $11.45 per option. As of June 30, 2020, there were options on 2,427,479 shares of common stock outstanding with a weighted-average exercise price of $89.72. The intrinsic value, which has no effect on net income, of the outstanding stock options is calculated by the positive difference between the weighted average exercise price of the stock options granted and Entergy Corporation’s common stock price as of June 30, 2020. The aggregate intrinsic value of the stock options outstanding as of June 30, 2020 was $29.7 million. The following table includes financial information for outstanding stock options for the three months ended June 30, 2020 and 2019: 2020 2019 (In Millions) Compensation expense included in Entergy’s net income $1.0 $1.0 Tax benefit recognized in Entergy’s net income $0.2 $0.3 Compensation cost capitalized as part of fixed assets and materials and supplies $0.4 $0.3 The following table includes financial information for outstanding stock options for the six months ended June 30, 2020 and 2019: 2020 2019 (In Millions) Compensation expense included in Entergy’s net income $2.0 $2.0 Tax benefit recognized in Entergy’s net income $0.5 $0.5 Compensation cost capitalized as part of fixed assets and materials and supplies $0.8 $0.6 Other Equity Awards In January 2020 the Board approved and Entergy granted 313,805 restricted stock awards and 134,853 long-term incentive awards under the 2019 Omnibus Incentive Plan. The restricted stock awards were made effective as of January 30, 2020 and were valued at $131.72 per share, which was the closing price of Entergy’s common stock on that date. Shares of restricted stock have the same dividend and voting rights as other common stock, are considered issued and outstanding shares of Entergy upon vesting, and are expensed ratably over the three-year vesting period. One-third of the restricted stock awards and accrued dividends will vest upon each anniversary of the grant date. In addition, long-term incentive awards were also granted in the form of performance units that represent the value of, and are settled with, one share of Entergy Corporation common stock at the end of the three-year performance period, plus dividends accrued during the performance period on the number of performance units earned. For the 2020-2022 performance period, performance will be measured based eighty percent on relative total shareholder return and twenty percent on a cumulative adjusted earnings per share metric. The performance units were granted as of January 30, 2020 and eighty percent were valued at $169.74 per share based on various factors, primarily market conditions; and twenty percent were valued at $131.72 per share, the closing price of Entergy’s common stock on that date. Performance units have the same dividend rights as shares of Entergy common stock and are considered issued and outstanding shares of Entergy upon vesting. Performance units are expensed ratably over the three-year vesting period and compensation cost for the portion of the award based on cumulative adjusted earnings per share will be adjusted based on the number of units that ultimately vest. See Note 12 to the financial statements in the Form 10-K for a description of the Long-Term Performance Unit Program. The following table includes financial information for other outstanding equity awards for the three months ended June 30, 2020 and 2019: 2020 2019 (In Millions) Compensation expense included in Entergy’s net income $9.6 $8.4 Tax benefit recognized in Entergy’s net income $2.5 $2.2 Compensation cost capitalized as part of fixed assets and materials and supplies $3.8 $2.9 The following table includes financial information for other outstanding equity awards for the six months ended June 30, 2020 and 2019: 2020 2019 (In Millions) Compensation expense included in Entergy’s net income $19.0 $17.2 Tax benefit recognized in Entergy’s net income $4.9 $4.4 Compensation cost capitalized as part of fixed assets and materials and supplies $7.2 $5.8 |
Retirement And Other Postretire
Retirement And Other Postretirement Benefits | 6 Months Ended |
Jun. 30, 2020 | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension cost, including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $40,379 $33,606 Interest cost on projected benefit obligation 60,799 73,912 Expected return on assets (103,565) (103,859) Amortization of net loss 87,259 58,420 Settlement charges — 162 Net pension costs $84,872 $62,241 Entergy’s qualified pension cost, including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $80,758 $67,213 Interest cost on projected benefit obligation 121,598 147,853 Expected return on assets (207,130) (207,743) Amortization of net loss 174,518 116,838 Settlement charges — 1,299 Net pension costs $169,744 $125,460 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,566 $8,794 $2,023 $663 $1,546 $1,965 Interest cost on projected benefit obligation 11,433 12,841 3,340 1,456 2,782 2,814 Expected return on assets (19,622) (22,402) (5,757) (2,627) (5,486) (4,663) Amortization of net loss 16,897 16,627 4,748 2,005 3,265 4,279 Net pension cost $15,274 $15,860 $4,354 $1,497 $2,107 $4,395 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $5,261 $7,284 $1,629 $569 $1,350 $1,550 Interest cost on projected benefit obligation 14,175 15,882 4,068 1,874 3,612 3,363 Expected return on assets (20,176) (22,652) (5,968) (2,697) (5,862) (4,677) Amortization of net loss 11,841 11,643 3,105 1,530 2,334 2,850 Net pension cost $11,101 $12,157 $2,834 $1,276 $1,434 $3,086 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $13,132 $17,588 $4,046 $1,326 $3,092 $3,930 Interest cost on projected benefit obligation 22,866 25,682 6,680 2,912 5,564 5,628 Expected return on assets (39,244) (44,804) (11,514) (5,254) (10,972) (9,326) Amortization of net loss 33,794 33,254 9,496 4,010 6,530 8,558 Net pension cost $30,548 $31,720 $8,708 $2,994 $4,214 $8,790 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $10,522 $14,568 $3,258 $1,138 $2,700 $3,100 Interest cost on projected benefit obligation 28,350 31,764 8,136 3,748 7,224 6,727 Expected return on assets (40,352) (45,304) (11,936) (5,393) (11,724) (9,354) Amortization of net loss 23,682 23,286 6,209 3,059 4,668 5,700 Net pension cost $22,202 $24,314 $5,667 $2,552 $2,868 $6,173 Non-Qualified Net Pension Cost Entergy recognized $4.5 million and $7.6 million in pension cost for its non-qualified pension plans in the second quarters of 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans in the second quarter of 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. Entergy recognized $9.1 million and $11.6 million in pension cost for its non-qualified pension plans for the six months ended June 30, 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans for the six months ended June 30, 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the second quarters of 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $83 $37 $90 $8 $117 2019 $71 $41 $113 $6 $122 Reflected in Entergy Mississippi’s non-qualified pension costs in the second quarter of 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the six months ended June 30, 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $166 $74 $180 $16 $234 2019 $144 $84 $188 $11 $246 Reflected in Entergy Mississippi’s non-qualified pension costs for the six months ended June 30, 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $6,231 $4,675 Interest cost on accumulated postretirement benefit obligation (APBO) 6,888 11,975 Expected return on assets (10,182) (9,562) Amortization of prior service credit (8,985) (8,844) Amortization of net loss 1,005 358 Net other postretirement benefit income ($5,043) ($1,398) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $12,032 $9,350 Interest cost on accumulated postretirement benefit obligation (APBO) 14,820 23,950 Expected return on assets (20,510) (19,124) Amortization of prior service credit (14,907) (17,688) Amortization of net loss 1,473 716 Net other postretirement benefit cost income ($7,092) ($2,796) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $933 $1,524 $372 $114 $306 $321 Interest cost on APBO 1,164 1,497 372 186 477 276 Expected return on assets (4,260) — (1,287) (1,344) (2,403) (735) Amortization of prior service credit (396) (1,695) (444) (228) (939) (282) Amortization of net (gain) loss 162 (81) 48 9 231 33 Net other postretirement benefit cost (income) ($2,397) $1,245 ($939) ($1,263) ($2,328) ($387) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $591 $1,160 $262 $92 $236 $243 Interest cost on APBO 1,807 2,666 670 395 854 476 Expected return on assets (3,991) — (1,199) (1,237) (2,276) (697) Amortization of prior service credit (1,238) (1,837) (439) (171) (561) (363) Amortization of net (gain) loss 144 (174) 181 58 121 89 Net other postretirement benefit cost (income) ($2,687) $1,815 ($525) ($863) ($1,626) ($252) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,761 $2,947 $723 $219 $609 $615 Interest cost on APBO 2,381 3,220 794 413 1,059 583 Expected return on assets (8,586) — (2,594) (2,699) (4,838) (1,483) Amortization of prior service credit (1,057) (2,784) (765) (304) (1,489) (501) Amortization of net (gain) loss 217 (280) 77 (29) 443 53 Net other postretirement benefit cost (income) ($5,284) $3,103 ($1,765) ($2,400) ($4,216) ($733) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,182 $2,320 $524 $184 $472 $486 Interest cost on APBO 3,614 5,332 1,340 790 1,708 952 Expected return on assets (7,982) — (2,398) (2,474) (4,552) (1,394) Amortization of prior service credit (2,476) (3,674) (878) (342) (1,122) (726) Amortization of net (gain) loss 288 (348) 362 116 242 178 Net other postretirement benefit cost (income) ($5,374) $3,630 ($1,050) ($1,726) ($3,252) ($504) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the second quarters of 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,739 ($57) $5,682 Amortization of net loss (26,461) (327) (831) (27,619) ($26,461) $5,412 ($888) ($21,937) Entergy Louisiana Amortization of prior service credit $— $1,698 $— $1,698 Amortization of net gain (loss) (499) 81 (1) (419) ($499) $1,779 ($1) $1,279 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,375 ($50) $5,325 Amortization of net gain (loss) (18,736) 308 (552) (18,980) Settlement loss (162) — (756) (918) ($18,898) $5,683 ($1,358) ($14,573) Entergy Louisiana Amortization of prior service credit $— $1,837 $— $1,837 Amortization of net gain (loss) (699) 174 (1) (526) ($699) $2,011 ($1) $1,311 Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the six months ended June 30, 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $9,516 ($115) $9,401 Amortization of net loss (52,923) (352) (1,662) (54,937) ($52,923) $9,164 ($1,777) ($45,536) Entergy Louisiana Amortization of prior service credit $— $2,787 $— $2,787 Amortization of net gain (loss) (998) 280 (2) (720) ($998) $3,067 ($2) $2,067 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $10,750 ($98) $10,652 Amortization of net gain (loss) (37,470) 615 (1,114) (37,969) Settlement loss (1,299) — (756) (2,055) ($38,769) $11,365 ($1,968) ($29,372) Entergy Louisiana Amortization of prior service credit $— $3,674 $— $3,674 Amortization of net gain (loss) (1,397) 348 (3) (1,052) ($1,397) $4,022 ($3) $2,622 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost”, the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Other Postretirement Benefits In March 2020, Entergy announced changes to its other postretirement benefits. Effective January 1, 2021, certain retired, former non-bargaining employees age 65 and older who are eligible for Entergy-sponsored retiree welfare benefits, and their eligible spouses who are age 65 and older (collectively, Medicare-eligible participants), will be eligible to participate in a new Entergy-sponsored retiree health plan, and will no longer be eligible for retiree coverage under the Entergy Corporation Companies’ Benefits Plus Medical, Dental and Vision Plans. Under the new Entergy retiree health plan, Medicare-eligible participants will be eligible to participate in a health reimbursement arrangement which they may use towards the purchase of various types of qualified insurance offered through a Medicare exchange provider and for other qualified medical expenses. In accordance with accounting standards, the effects of this change have been reflected in the March 31, 2020 other postretirement obligation. The changes affecting active bargaining unit employees will be negotiated with the unions prior to implementation, where necessary, and to the extent required by law. Employer Contributions Based on current assumptions, Entergy expects to contribute $416.3 million to its qualified pension plans in 2020. As of June 30, 2020, Entergy had contributed $112 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2020: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2020 pension contributions $78,643 $74,991 $20,115 $5,839 $5,634 $21,730 Pension contributions made through June 2020 $17,584 $18,706 $4,296 $1,458 $1,485 $5,714 Remaining estimated pension contributions to be made in 2020 $61,059 $56,285 $15,819 $4,381 $4,149 $16,016 |
Entergy Arkansas [Member] | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension cost, including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $40,379 $33,606 Interest cost on projected benefit obligation 60,799 73,912 Expected return on assets (103,565) (103,859) Amortization of net loss 87,259 58,420 Settlement charges — 162 Net pension costs $84,872 $62,241 Entergy’s qualified pension cost, including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $80,758 $67,213 Interest cost on projected benefit obligation 121,598 147,853 Expected return on assets (207,130) (207,743) Amortization of net loss 174,518 116,838 Settlement charges — 1,299 Net pension costs $169,744 $125,460 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,566 $8,794 $2,023 $663 $1,546 $1,965 Interest cost on projected benefit obligation 11,433 12,841 3,340 1,456 2,782 2,814 Expected return on assets (19,622) (22,402) (5,757) (2,627) (5,486) (4,663) Amortization of net loss 16,897 16,627 4,748 2,005 3,265 4,279 Net pension cost $15,274 $15,860 $4,354 $1,497 $2,107 $4,395 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $5,261 $7,284 $1,629 $569 $1,350 $1,550 Interest cost on projected benefit obligation 14,175 15,882 4,068 1,874 3,612 3,363 Expected return on assets (20,176) (22,652) (5,968) (2,697) (5,862) (4,677) Amortization of net loss 11,841 11,643 3,105 1,530 2,334 2,850 Net pension cost $11,101 $12,157 $2,834 $1,276 $1,434 $3,086 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $13,132 $17,588 $4,046 $1,326 $3,092 $3,930 Interest cost on projected benefit obligation 22,866 25,682 6,680 2,912 5,564 5,628 Expected return on assets (39,244) (44,804) (11,514) (5,254) (10,972) (9,326) Amortization of net loss 33,794 33,254 9,496 4,010 6,530 8,558 Net pension cost $30,548 $31,720 $8,708 $2,994 $4,214 $8,790 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $10,522 $14,568 $3,258 $1,138 $2,700 $3,100 Interest cost on projected benefit obligation 28,350 31,764 8,136 3,748 7,224 6,727 Expected return on assets (40,352) (45,304) (11,936) (5,393) (11,724) (9,354) Amortization of net loss 23,682 23,286 6,209 3,059 4,668 5,700 Net pension cost $22,202 $24,314 $5,667 $2,552 $2,868 $6,173 Non-Qualified Net Pension Cost Entergy recognized $4.5 million and $7.6 million in pension cost for its non-qualified pension plans in the second quarters of 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans in the second quarter of 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. Entergy recognized $9.1 million and $11.6 million in pension cost for its non-qualified pension plans for the six months ended June 30, 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans for the six months ended June 30, 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the second quarters of 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $83 $37 $90 $8 $117 2019 $71 $41 $113 $6 $122 Reflected in Entergy Mississippi’s non-qualified pension costs in the second quarter of 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the six months ended June 30, 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $166 $74 $180 $16 $234 2019 $144 $84 $188 $11 $246 Reflected in Entergy Mississippi’s non-qualified pension costs for the six months ended June 30, 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $6,231 $4,675 Interest cost on accumulated postretirement benefit obligation (APBO) 6,888 11,975 Expected return on assets (10,182) (9,562) Amortization of prior service credit (8,985) (8,844) Amortization of net loss 1,005 358 Net other postretirement benefit income ($5,043) ($1,398) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $12,032 $9,350 Interest cost on accumulated postretirement benefit obligation (APBO) 14,820 23,950 Expected return on assets (20,510) (19,124) Amortization of prior service credit (14,907) (17,688) Amortization of net loss 1,473 716 Net other postretirement benefit cost income ($7,092) ($2,796) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $933 $1,524 $372 $114 $306 $321 Interest cost on APBO 1,164 1,497 372 186 477 276 Expected return on assets (4,260) — (1,287) (1,344) (2,403) (735) Amortization of prior service credit (396) (1,695) (444) (228) (939) (282) Amortization of net (gain) loss 162 (81) 48 9 231 33 Net other postretirement benefit cost (income) ($2,397) $1,245 ($939) ($1,263) ($2,328) ($387) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $591 $1,160 $262 $92 $236 $243 Interest cost on APBO 1,807 2,666 670 395 854 476 Expected return on assets (3,991) — (1,199) (1,237) (2,276) (697) Amortization of prior service credit (1,238) (1,837) (439) (171) (561) (363) Amortization of net (gain) loss 144 (174) 181 58 121 89 Net other postretirement benefit cost (income) ($2,687) $1,815 ($525) ($863) ($1,626) ($252) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,761 $2,947 $723 $219 $609 $615 Interest cost on APBO 2,381 3,220 794 413 1,059 583 Expected return on assets (8,586) — (2,594) (2,699) (4,838) (1,483) Amortization of prior service credit (1,057) (2,784) (765) (304) (1,489) (501) Amortization of net (gain) loss 217 (280) 77 (29) 443 53 Net other postretirement benefit cost (income) ($5,284) $3,103 ($1,765) ($2,400) ($4,216) ($733) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,182 $2,320 $524 $184 $472 $486 Interest cost on APBO 3,614 5,332 1,340 790 1,708 952 Expected return on assets (7,982) — (2,398) (2,474) (4,552) (1,394) Amortization of prior service credit (2,476) (3,674) (878) (342) (1,122) (726) Amortization of net (gain) loss 288 (348) 362 116 242 178 Net other postretirement benefit cost (income) ($5,374) $3,630 ($1,050) ($1,726) ($3,252) ($504) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the second quarters of 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,739 ($57) $5,682 Amortization of net loss (26,461) (327) (831) (27,619) ($26,461) $5,412 ($888) ($21,937) Entergy Louisiana Amortization of prior service credit $— $1,698 $— $1,698 Amortization of net gain (loss) (499) 81 (1) (419) ($499) $1,779 ($1) $1,279 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,375 ($50) $5,325 Amortization of net gain (loss) (18,736) 308 (552) (18,980) Settlement loss (162) — (756) (918) ($18,898) $5,683 ($1,358) ($14,573) Entergy Louisiana Amortization of prior service credit $— $1,837 $— $1,837 Amortization of net gain (loss) (699) 174 (1) (526) ($699) $2,011 ($1) $1,311 Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the six months ended June 30, 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $9,516 ($115) $9,401 Amortization of net loss (52,923) (352) (1,662) (54,937) ($52,923) $9,164 ($1,777) ($45,536) Entergy Louisiana Amortization of prior service credit $— $2,787 $— $2,787 Amortization of net gain (loss) (998) 280 (2) (720) ($998) $3,067 ($2) $2,067 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $10,750 ($98) $10,652 Amortization of net gain (loss) (37,470) 615 (1,114) (37,969) Settlement loss (1,299) — (756) (2,055) ($38,769) $11,365 ($1,968) ($29,372) Entergy Louisiana Amortization of prior service credit $— $3,674 $— $3,674 Amortization of net gain (loss) (1,397) 348 (3) (1,052) ($1,397) $4,022 ($3) $2,622 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost”, the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Other Postretirement Benefits In March 2020, Entergy announced changes to its other postretirement benefits. Effective January 1, 2021, certain retired, former non-bargaining employees age 65 and older who are eligible for Entergy-sponsored retiree welfare benefits, and their eligible spouses who are age 65 and older (collectively, Medicare-eligible participants), will be eligible to participate in a new Entergy-sponsored retiree health plan, and will no longer be eligible for retiree coverage under the Entergy Corporation Companies’ Benefits Plus Medical, Dental and Vision Plans. Under the new Entergy retiree health plan, Medicare-eligible participants will be eligible to participate in a health reimbursement arrangement which they may use towards the purchase of various types of qualified insurance offered through a Medicare exchange provider and for other qualified medical expenses. In accordance with accounting standards, the effects of this change have been reflected in the March 31, 2020 other postretirement obligation. The changes affecting active bargaining unit employees will be negotiated with the unions prior to implementation, where necessary, and to the extent required by law. Employer Contributions Based on current assumptions, Entergy expects to contribute $416.3 million to its qualified pension plans in 2020. As of June 30, 2020, Entergy had contributed $112 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2020: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2020 pension contributions $78,643 $74,991 $20,115 $5,839 $5,634 $21,730 Pension contributions made through June 2020 $17,584 $18,706 $4,296 $1,458 $1,485 $5,714 Remaining estimated pension contributions to be made in 2020 $61,059 $56,285 $15,819 $4,381 $4,149 $16,016 |
Entergy Louisiana [Member] | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension cost, including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $40,379 $33,606 Interest cost on projected benefit obligation 60,799 73,912 Expected return on assets (103,565) (103,859) Amortization of net loss 87,259 58,420 Settlement charges — 162 Net pension costs $84,872 $62,241 Entergy’s qualified pension cost, including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $80,758 $67,213 Interest cost on projected benefit obligation 121,598 147,853 Expected return on assets (207,130) (207,743) Amortization of net loss 174,518 116,838 Settlement charges — 1,299 Net pension costs $169,744 $125,460 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,566 $8,794 $2,023 $663 $1,546 $1,965 Interest cost on projected benefit obligation 11,433 12,841 3,340 1,456 2,782 2,814 Expected return on assets (19,622) (22,402) (5,757) (2,627) (5,486) (4,663) Amortization of net loss 16,897 16,627 4,748 2,005 3,265 4,279 Net pension cost $15,274 $15,860 $4,354 $1,497 $2,107 $4,395 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $5,261 $7,284 $1,629 $569 $1,350 $1,550 Interest cost on projected benefit obligation 14,175 15,882 4,068 1,874 3,612 3,363 Expected return on assets (20,176) (22,652) (5,968) (2,697) (5,862) (4,677) Amortization of net loss 11,841 11,643 3,105 1,530 2,334 2,850 Net pension cost $11,101 $12,157 $2,834 $1,276 $1,434 $3,086 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $13,132 $17,588 $4,046 $1,326 $3,092 $3,930 Interest cost on projected benefit obligation 22,866 25,682 6,680 2,912 5,564 5,628 Expected return on assets (39,244) (44,804) (11,514) (5,254) (10,972) (9,326) Amortization of net loss 33,794 33,254 9,496 4,010 6,530 8,558 Net pension cost $30,548 $31,720 $8,708 $2,994 $4,214 $8,790 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $10,522 $14,568 $3,258 $1,138 $2,700 $3,100 Interest cost on projected benefit obligation 28,350 31,764 8,136 3,748 7,224 6,727 Expected return on assets (40,352) (45,304) (11,936) (5,393) (11,724) (9,354) Amortization of net loss 23,682 23,286 6,209 3,059 4,668 5,700 Net pension cost $22,202 $24,314 $5,667 $2,552 $2,868 $6,173 Non-Qualified Net Pension Cost Entergy recognized $4.5 million and $7.6 million in pension cost for its non-qualified pension plans in the second quarters of 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans in the second quarter of 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. Entergy recognized $9.1 million and $11.6 million in pension cost for its non-qualified pension plans for the six months ended June 30, 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans for the six months ended June 30, 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the second quarters of 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $83 $37 $90 $8 $117 2019 $71 $41 $113 $6 $122 Reflected in Entergy Mississippi’s non-qualified pension costs in the second quarter of 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the six months ended June 30, 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $166 $74 $180 $16 $234 2019 $144 $84 $188 $11 $246 Reflected in Entergy Mississippi’s non-qualified pension costs for the six months ended June 30, 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $6,231 $4,675 Interest cost on accumulated postretirement benefit obligation (APBO) 6,888 11,975 Expected return on assets (10,182) (9,562) Amortization of prior service credit (8,985) (8,844) Amortization of net loss 1,005 358 Net other postretirement benefit income ($5,043) ($1,398) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $12,032 $9,350 Interest cost on accumulated postretirement benefit obligation (APBO) 14,820 23,950 Expected return on assets (20,510) (19,124) Amortization of prior service credit (14,907) (17,688) Amortization of net loss 1,473 716 Net other postretirement benefit cost income ($7,092) ($2,796) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $933 $1,524 $372 $114 $306 $321 Interest cost on APBO 1,164 1,497 372 186 477 276 Expected return on assets (4,260) — (1,287) (1,344) (2,403) (735) Amortization of prior service credit (396) (1,695) (444) (228) (939) (282) Amortization of net (gain) loss 162 (81) 48 9 231 33 Net other postretirement benefit cost (income) ($2,397) $1,245 ($939) ($1,263) ($2,328) ($387) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $591 $1,160 $262 $92 $236 $243 Interest cost on APBO 1,807 2,666 670 395 854 476 Expected return on assets (3,991) — (1,199) (1,237) (2,276) (697) Amortization of prior service credit (1,238) (1,837) (439) (171) (561) (363) Amortization of net (gain) loss 144 (174) 181 58 121 89 Net other postretirement benefit cost (income) ($2,687) $1,815 ($525) ($863) ($1,626) ($252) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,761 $2,947 $723 $219 $609 $615 Interest cost on APBO 2,381 3,220 794 413 1,059 583 Expected return on assets (8,586) — (2,594) (2,699) (4,838) (1,483) Amortization of prior service credit (1,057) (2,784) (765) (304) (1,489) (501) Amortization of net (gain) loss 217 (280) 77 (29) 443 53 Net other postretirement benefit cost (income) ($5,284) $3,103 ($1,765) ($2,400) ($4,216) ($733) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,182 $2,320 $524 $184 $472 $486 Interest cost on APBO 3,614 5,332 1,340 790 1,708 952 Expected return on assets (7,982) — (2,398) (2,474) (4,552) (1,394) Amortization of prior service credit (2,476) (3,674) (878) (342) (1,122) (726) Amortization of net (gain) loss 288 (348) 362 116 242 178 Net other postretirement benefit cost (income) ($5,374) $3,630 ($1,050) ($1,726) ($3,252) ($504) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the second quarters of 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,739 ($57) $5,682 Amortization of net loss (26,461) (327) (831) (27,619) ($26,461) $5,412 ($888) ($21,937) Entergy Louisiana Amortization of prior service credit $— $1,698 $— $1,698 Amortization of net gain (loss) (499) 81 (1) (419) ($499) $1,779 ($1) $1,279 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,375 ($50) $5,325 Amortization of net gain (loss) (18,736) 308 (552) (18,980) Settlement loss (162) — (756) (918) ($18,898) $5,683 ($1,358) ($14,573) Entergy Louisiana Amortization of prior service credit $— $1,837 $— $1,837 Amortization of net gain (loss) (699) 174 (1) (526) ($699) $2,011 ($1) $1,311 Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the six months ended June 30, 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $9,516 ($115) $9,401 Amortization of net loss (52,923) (352) (1,662) (54,937) ($52,923) $9,164 ($1,777) ($45,536) Entergy Louisiana Amortization of prior service credit $— $2,787 $— $2,787 Amortization of net gain (loss) (998) 280 (2) (720) ($998) $3,067 ($2) $2,067 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $10,750 ($98) $10,652 Amortization of net gain (loss) (37,470) 615 (1,114) (37,969) Settlement loss (1,299) — (756) (2,055) ($38,769) $11,365 ($1,968) ($29,372) Entergy Louisiana Amortization of prior service credit $— $3,674 $— $3,674 Amortization of net gain (loss) (1,397) 348 (3) (1,052) ($1,397) $4,022 ($3) $2,622 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost”, the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Other Postretirement Benefits In March 2020, Entergy announced changes to its other postretirement benefits. Effective January 1, 2021, certain retired, former non-bargaining employees age 65 and older who are eligible for Entergy-sponsored retiree welfare benefits, and their eligible spouses who are age 65 and older (collectively, Medicare-eligible participants), will be eligible to participate in a new Entergy-sponsored retiree health plan, and will no longer be eligible for retiree coverage under the Entergy Corporation Companies’ Benefits Plus Medical, Dental and Vision Plans. Under the new Entergy retiree health plan, Medicare-eligible participants will be eligible to participate in a health reimbursement arrangement which they may use towards the purchase of various types of qualified insurance offered through a Medicare exchange provider and for other qualified medical expenses. In accordance with accounting standards, the effects of this change have been reflected in the March 31, 2020 other postretirement obligation. The changes affecting active bargaining unit employees will be negotiated with the unions prior to implementation, where necessary, and to the extent required by law. Employer Contributions Based on current assumptions, Entergy expects to contribute $416.3 million to its qualified pension plans in 2020. As of June 30, 2020, Entergy had contributed $112 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2020: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2020 pension contributions $78,643 $74,991 $20,115 $5,839 $5,634 $21,730 Pension contributions made through June 2020 $17,584 $18,706 $4,296 $1,458 $1,485 $5,714 Remaining estimated pension contributions to be made in 2020 $61,059 $56,285 $15,819 $4,381 $4,149 $16,016 |
Entergy Mississippi [Member] | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension cost, including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $40,379 $33,606 Interest cost on projected benefit obligation 60,799 73,912 Expected return on assets (103,565) (103,859) Amortization of net loss 87,259 58,420 Settlement charges — 162 Net pension costs $84,872 $62,241 Entergy’s qualified pension cost, including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $80,758 $67,213 Interest cost on projected benefit obligation 121,598 147,853 Expected return on assets (207,130) (207,743) Amortization of net loss 174,518 116,838 Settlement charges — 1,299 Net pension costs $169,744 $125,460 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,566 $8,794 $2,023 $663 $1,546 $1,965 Interest cost on projected benefit obligation 11,433 12,841 3,340 1,456 2,782 2,814 Expected return on assets (19,622) (22,402) (5,757) (2,627) (5,486) (4,663) Amortization of net loss 16,897 16,627 4,748 2,005 3,265 4,279 Net pension cost $15,274 $15,860 $4,354 $1,497 $2,107 $4,395 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $5,261 $7,284 $1,629 $569 $1,350 $1,550 Interest cost on projected benefit obligation 14,175 15,882 4,068 1,874 3,612 3,363 Expected return on assets (20,176) (22,652) (5,968) (2,697) (5,862) (4,677) Amortization of net loss 11,841 11,643 3,105 1,530 2,334 2,850 Net pension cost $11,101 $12,157 $2,834 $1,276 $1,434 $3,086 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $13,132 $17,588 $4,046 $1,326 $3,092 $3,930 Interest cost on projected benefit obligation 22,866 25,682 6,680 2,912 5,564 5,628 Expected return on assets (39,244) (44,804) (11,514) (5,254) (10,972) (9,326) Amortization of net loss 33,794 33,254 9,496 4,010 6,530 8,558 Net pension cost $30,548 $31,720 $8,708 $2,994 $4,214 $8,790 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $10,522 $14,568 $3,258 $1,138 $2,700 $3,100 Interest cost on projected benefit obligation 28,350 31,764 8,136 3,748 7,224 6,727 Expected return on assets (40,352) (45,304) (11,936) (5,393) (11,724) (9,354) Amortization of net loss 23,682 23,286 6,209 3,059 4,668 5,700 Net pension cost $22,202 $24,314 $5,667 $2,552 $2,868 $6,173 Non-Qualified Net Pension Cost Entergy recognized $4.5 million and $7.6 million in pension cost for its non-qualified pension plans in the second quarters of 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans in the second quarter of 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. Entergy recognized $9.1 million and $11.6 million in pension cost for its non-qualified pension plans for the six months ended June 30, 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans for the six months ended June 30, 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the second quarters of 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $83 $37 $90 $8 $117 2019 $71 $41 $113 $6 $122 Reflected in Entergy Mississippi’s non-qualified pension costs in the second quarter of 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the six months ended June 30, 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $166 $74 $180 $16 $234 2019 $144 $84 $188 $11 $246 Reflected in Entergy Mississippi’s non-qualified pension costs for the six months ended June 30, 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $6,231 $4,675 Interest cost on accumulated postretirement benefit obligation (APBO) 6,888 11,975 Expected return on assets (10,182) (9,562) Amortization of prior service credit (8,985) (8,844) Amortization of net loss 1,005 358 Net other postretirement benefit income ($5,043) ($1,398) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $12,032 $9,350 Interest cost on accumulated postretirement benefit obligation (APBO) 14,820 23,950 Expected return on assets (20,510) (19,124) Amortization of prior service credit (14,907) (17,688) Amortization of net loss 1,473 716 Net other postretirement benefit cost income ($7,092) ($2,796) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $933 $1,524 $372 $114 $306 $321 Interest cost on APBO 1,164 1,497 372 186 477 276 Expected return on assets (4,260) — (1,287) (1,344) (2,403) (735) Amortization of prior service credit (396) (1,695) (444) (228) (939) (282) Amortization of net (gain) loss 162 (81) 48 9 231 33 Net other postretirement benefit cost (income) ($2,397) $1,245 ($939) ($1,263) ($2,328) ($387) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $591 $1,160 $262 $92 $236 $243 Interest cost on APBO 1,807 2,666 670 395 854 476 Expected return on assets (3,991) — (1,199) (1,237) (2,276) (697) Amortization of prior service credit (1,238) (1,837) (439) (171) (561) (363) Amortization of net (gain) loss 144 (174) 181 58 121 89 Net other postretirement benefit cost (income) ($2,687) $1,815 ($525) ($863) ($1,626) ($252) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,761 $2,947 $723 $219 $609 $615 Interest cost on APBO 2,381 3,220 794 413 1,059 583 Expected return on assets (8,586) — (2,594) (2,699) (4,838) (1,483) Amortization of prior service credit (1,057) (2,784) (765) (304) (1,489) (501) Amortization of net (gain) loss 217 (280) 77 (29) 443 53 Net other postretirement benefit cost (income) ($5,284) $3,103 ($1,765) ($2,400) ($4,216) ($733) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,182 $2,320 $524 $184 $472 $486 Interest cost on APBO 3,614 5,332 1,340 790 1,708 952 Expected return on assets (7,982) — (2,398) (2,474) (4,552) (1,394) Amortization of prior service credit (2,476) (3,674) (878) (342) (1,122) (726) Amortization of net (gain) loss 288 (348) 362 116 242 178 Net other postretirement benefit cost (income) ($5,374) $3,630 ($1,050) ($1,726) ($3,252) ($504) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the second quarters of 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,739 ($57) $5,682 Amortization of net loss (26,461) (327) (831) (27,619) ($26,461) $5,412 ($888) ($21,937) Entergy Louisiana Amortization of prior service credit $— $1,698 $— $1,698 Amortization of net gain (loss) (499) 81 (1) (419) ($499) $1,779 ($1) $1,279 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,375 ($50) $5,325 Amortization of net gain (loss) (18,736) 308 (552) (18,980) Settlement loss (162) — (756) (918) ($18,898) $5,683 ($1,358) ($14,573) Entergy Louisiana Amortization of prior service credit $— $1,837 $— $1,837 Amortization of net gain (loss) (699) 174 (1) (526) ($699) $2,011 ($1) $1,311 Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the six months ended June 30, 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $9,516 ($115) $9,401 Amortization of net loss (52,923) (352) (1,662) (54,937) ($52,923) $9,164 ($1,777) ($45,536) Entergy Louisiana Amortization of prior service credit $— $2,787 $— $2,787 Amortization of net gain (loss) (998) 280 (2) (720) ($998) $3,067 ($2) $2,067 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $10,750 ($98) $10,652 Amortization of net gain (loss) (37,470) 615 (1,114) (37,969) Settlement loss (1,299) — (756) (2,055) ($38,769) $11,365 ($1,968) ($29,372) Entergy Louisiana Amortization of prior service credit $— $3,674 $— $3,674 Amortization of net gain (loss) (1,397) 348 (3) (1,052) ($1,397) $4,022 ($3) $2,622 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost”, the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Other Postretirement Benefits In March 2020, Entergy announced changes to its other postretirement benefits. Effective January 1, 2021, certain retired, former non-bargaining employees age 65 and older who are eligible for Entergy-sponsored retiree welfare benefits, and their eligible spouses who are age 65 and older (collectively, Medicare-eligible participants), will be eligible to participate in a new Entergy-sponsored retiree health plan, and will no longer be eligible for retiree coverage under the Entergy Corporation Companies’ Benefits Plus Medical, Dental and Vision Plans. Under the new Entergy retiree health plan, Medicare-eligible participants will be eligible to participate in a health reimbursement arrangement which they may use towards the purchase of various types of qualified insurance offered through a Medicare exchange provider and for other qualified medical expenses. In accordance with accounting standards, the effects of this change have been reflected in the March 31, 2020 other postretirement obligation. The changes affecting active bargaining unit employees will be negotiated with the unions prior to implementation, where necessary, and to the extent required by law. Employer Contributions Based on current assumptions, Entergy expects to contribute $416.3 million to its qualified pension plans in 2020. As of June 30, 2020, Entergy had contributed $112 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2020: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2020 pension contributions $78,643 $74,991 $20,115 $5,839 $5,634 $21,730 Pension contributions made through June 2020 $17,584 $18,706 $4,296 $1,458 $1,485 $5,714 Remaining estimated pension contributions to be made in 2020 $61,059 $56,285 $15,819 $4,381 $4,149 $16,016 |
Entergy New Orleans [Member] | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension cost, including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $40,379 $33,606 Interest cost on projected benefit obligation 60,799 73,912 Expected return on assets (103,565) (103,859) Amortization of net loss 87,259 58,420 Settlement charges — 162 Net pension costs $84,872 $62,241 Entergy’s qualified pension cost, including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $80,758 $67,213 Interest cost on projected benefit obligation 121,598 147,853 Expected return on assets (207,130) (207,743) Amortization of net loss 174,518 116,838 Settlement charges — 1,299 Net pension costs $169,744 $125,460 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,566 $8,794 $2,023 $663 $1,546 $1,965 Interest cost on projected benefit obligation 11,433 12,841 3,340 1,456 2,782 2,814 Expected return on assets (19,622) (22,402) (5,757) (2,627) (5,486) (4,663) Amortization of net loss 16,897 16,627 4,748 2,005 3,265 4,279 Net pension cost $15,274 $15,860 $4,354 $1,497 $2,107 $4,395 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $5,261 $7,284 $1,629 $569 $1,350 $1,550 Interest cost on projected benefit obligation 14,175 15,882 4,068 1,874 3,612 3,363 Expected return on assets (20,176) (22,652) (5,968) (2,697) (5,862) (4,677) Amortization of net loss 11,841 11,643 3,105 1,530 2,334 2,850 Net pension cost $11,101 $12,157 $2,834 $1,276 $1,434 $3,086 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $13,132 $17,588 $4,046 $1,326 $3,092 $3,930 Interest cost on projected benefit obligation 22,866 25,682 6,680 2,912 5,564 5,628 Expected return on assets (39,244) (44,804) (11,514) (5,254) (10,972) (9,326) Amortization of net loss 33,794 33,254 9,496 4,010 6,530 8,558 Net pension cost $30,548 $31,720 $8,708 $2,994 $4,214 $8,790 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $10,522 $14,568 $3,258 $1,138 $2,700 $3,100 Interest cost on projected benefit obligation 28,350 31,764 8,136 3,748 7,224 6,727 Expected return on assets (40,352) (45,304) (11,936) (5,393) (11,724) (9,354) Amortization of net loss 23,682 23,286 6,209 3,059 4,668 5,700 Net pension cost $22,202 $24,314 $5,667 $2,552 $2,868 $6,173 Non-Qualified Net Pension Cost Entergy recognized $4.5 million and $7.6 million in pension cost for its non-qualified pension plans in the second quarters of 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans in the second quarter of 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. Entergy recognized $9.1 million and $11.6 million in pension cost for its non-qualified pension plans for the six months ended June 30, 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans for the six months ended June 30, 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the second quarters of 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $83 $37 $90 $8 $117 2019 $71 $41 $113 $6 $122 Reflected in Entergy Mississippi’s non-qualified pension costs in the second quarter of 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the six months ended June 30, 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $166 $74 $180 $16 $234 2019 $144 $84 $188 $11 $246 Reflected in Entergy Mississippi’s non-qualified pension costs for the six months ended June 30, 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $6,231 $4,675 Interest cost on accumulated postretirement benefit obligation (APBO) 6,888 11,975 Expected return on assets (10,182) (9,562) Amortization of prior service credit (8,985) (8,844) Amortization of net loss 1,005 358 Net other postretirement benefit income ($5,043) ($1,398) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $12,032 $9,350 Interest cost on accumulated postretirement benefit obligation (APBO) 14,820 23,950 Expected return on assets (20,510) (19,124) Amortization of prior service credit (14,907) (17,688) Amortization of net loss 1,473 716 Net other postretirement benefit cost income ($7,092) ($2,796) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $933 $1,524 $372 $114 $306 $321 Interest cost on APBO 1,164 1,497 372 186 477 276 Expected return on assets (4,260) — (1,287) (1,344) (2,403) (735) Amortization of prior service credit (396) (1,695) (444) (228) (939) (282) Amortization of net (gain) loss 162 (81) 48 9 231 33 Net other postretirement benefit cost (income) ($2,397) $1,245 ($939) ($1,263) ($2,328) ($387) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $591 $1,160 $262 $92 $236 $243 Interest cost on APBO 1,807 2,666 670 395 854 476 Expected return on assets (3,991) — (1,199) (1,237) (2,276) (697) Amortization of prior service credit (1,238) (1,837) (439) (171) (561) (363) Amortization of net (gain) loss 144 (174) 181 58 121 89 Net other postretirement benefit cost (income) ($2,687) $1,815 ($525) ($863) ($1,626) ($252) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,761 $2,947 $723 $219 $609 $615 Interest cost on APBO 2,381 3,220 794 413 1,059 583 Expected return on assets (8,586) — (2,594) (2,699) (4,838) (1,483) Amortization of prior service credit (1,057) (2,784) (765) (304) (1,489) (501) Amortization of net (gain) loss 217 (280) 77 (29) 443 53 Net other postretirement benefit cost (income) ($5,284) $3,103 ($1,765) ($2,400) ($4,216) ($733) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,182 $2,320 $524 $184 $472 $486 Interest cost on APBO 3,614 5,332 1,340 790 1,708 952 Expected return on assets (7,982) — (2,398) (2,474) (4,552) (1,394) Amortization of prior service credit (2,476) (3,674) (878) (342) (1,122) (726) Amortization of net (gain) loss 288 (348) 362 116 242 178 Net other postretirement benefit cost (income) ($5,374) $3,630 ($1,050) ($1,726) ($3,252) ($504) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the second quarters of 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,739 ($57) $5,682 Amortization of net loss (26,461) (327) (831) (27,619) ($26,461) $5,412 ($888) ($21,937) Entergy Louisiana Amortization of prior service credit $— $1,698 $— $1,698 Amortization of net gain (loss) (499) 81 (1) (419) ($499) $1,779 ($1) $1,279 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,375 ($50) $5,325 Amortization of net gain (loss) (18,736) 308 (552) (18,980) Settlement loss (162) — (756) (918) ($18,898) $5,683 ($1,358) ($14,573) Entergy Louisiana Amortization of prior service credit $— $1,837 $— $1,837 Amortization of net gain (loss) (699) 174 (1) (526) ($699) $2,011 ($1) $1,311 Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the six months ended June 30, 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $9,516 ($115) $9,401 Amortization of net loss (52,923) (352) (1,662) (54,937) ($52,923) $9,164 ($1,777) ($45,536) Entergy Louisiana Amortization of prior service credit $— $2,787 $— $2,787 Amortization of net gain (loss) (998) 280 (2) (720) ($998) $3,067 ($2) $2,067 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $10,750 ($98) $10,652 Amortization of net gain (loss) (37,470) 615 (1,114) (37,969) Settlement loss (1,299) — (756) (2,055) ($38,769) $11,365 ($1,968) ($29,372) Entergy Louisiana Amortization of prior service credit $— $3,674 $— $3,674 Amortization of net gain (loss) (1,397) 348 (3) (1,052) ($1,397) $4,022 ($3) $2,622 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost”, the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Other Postretirement Benefits In March 2020, Entergy announced changes to its other postretirement benefits. Effective January 1, 2021, certain retired, former non-bargaining employees age 65 and older who are eligible for Entergy-sponsored retiree welfare benefits, and their eligible spouses who are age 65 and older (collectively, Medicare-eligible participants), will be eligible to participate in a new Entergy-sponsored retiree health plan, and will no longer be eligible for retiree coverage under the Entergy Corporation Companies’ Benefits Plus Medical, Dental and Vision Plans. Under the new Entergy retiree health plan, Medicare-eligible participants will be eligible to participate in a health reimbursement arrangement which they may use towards the purchase of various types of qualified insurance offered through a Medicare exchange provider and for other qualified medical expenses. In accordance with accounting standards, the effects of this change have been reflected in the March 31, 2020 other postretirement obligation. The changes affecting active bargaining unit employees will be negotiated with the unions prior to implementation, where necessary, and to the extent required by law. Employer Contributions Based on current assumptions, Entergy expects to contribute $416.3 million to its qualified pension plans in 2020. As of June 30, 2020, Entergy had contributed $112 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2020: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2020 pension contributions $78,643 $74,991 $20,115 $5,839 $5,634 $21,730 Pension contributions made through June 2020 $17,584 $18,706 $4,296 $1,458 $1,485 $5,714 Remaining estimated pension contributions to be made in 2020 $61,059 $56,285 $15,819 $4,381 $4,149 $16,016 |
Entergy Texas [Member] | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension cost, including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $40,379 $33,606 Interest cost on projected benefit obligation 60,799 73,912 Expected return on assets (103,565) (103,859) Amortization of net loss 87,259 58,420 Settlement charges — 162 Net pension costs $84,872 $62,241 Entergy’s qualified pension cost, including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $80,758 $67,213 Interest cost on projected benefit obligation 121,598 147,853 Expected return on assets (207,130) (207,743) Amortization of net loss 174,518 116,838 Settlement charges — 1,299 Net pension costs $169,744 $125,460 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,566 $8,794 $2,023 $663 $1,546 $1,965 Interest cost on projected benefit obligation 11,433 12,841 3,340 1,456 2,782 2,814 Expected return on assets (19,622) (22,402) (5,757) (2,627) (5,486) (4,663) Amortization of net loss 16,897 16,627 4,748 2,005 3,265 4,279 Net pension cost $15,274 $15,860 $4,354 $1,497 $2,107 $4,395 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $5,261 $7,284 $1,629 $569 $1,350 $1,550 Interest cost on projected benefit obligation 14,175 15,882 4,068 1,874 3,612 3,363 Expected return on assets (20,176) (22,652) (5,968) (2,697) (5,862) (4,677) Amortization of net loss 11,841 11,643 3,105 1,530 2,334 2,850 Net pension cost $11,101 $12,157 $2,834 $1,276 $1,434 $3,086 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $13,132 $17,588 $4,046 $1,326 $3,092 $3,930 Interest cost on projected benefit obligation 22,866 25,682 6,680 2,912 5,564 5,628 Expected return on assets (39,244) (44,804) (11,514) (5,254) (10,972) (9,326) Amortization of net loss 33,794 33,254 9,496 4,010 6,530 8,558 Net pension cost $30,548 $31,720 $8,708 $2,994 $4,214 $8,790 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $10,522 $14,568 $3,258 $1,138 $2,700 $3,100 Interest cost on projected benefit obligation 28,350 31,764 8,136 3,748 7,224 6,727 Expected return on assets (40,352) (45,304) (11,936) (5,393) (11,724) (9,354) Amortization of net loss 23,682 23,286 6,209 3,059 4,668 5,700 Net pension cost $22,202 $24,314 $5,667 $2,552 $2,868 $6,173 Non-Qualified Net Pension Cost Entergy recognized $4.5 million and $7.6 million in pension cost for its non-qualified pension plans in the second quarters of 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans in the second quarter of 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. Entergy recognized $9.1 million and $11.6 million in pension cost for its non-qualified pension plans for the six months ended June 30, 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans for the six months ended June 30, 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the second quarters of 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $83 $37 $90 $8 $117 2019 $71 $41 $113 $6 $122 Reflected in Entergy Mississippi’s non-qualified pension costs in the second quarter of 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the six months ended June 30, 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $166 $74 $180 $16 $234 2019 $144 $84 $188 $11 $246 Reflected in Entergy Mississippi’s non-qualified pension costs for the six months ended June 30, 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $6,231 $4,675 Interest cost on accumulated postretirement benefit obligation (APBO) 6,888 11,975 Expected return on assets (10,182) (9,562) Amortization of prior service credit (8,985) (8,844) Amortization of net loss 1,005 358 Net other postretirement benefit income ($5,043) ($1,398) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $12,032 $9,350 Interest cost on accumulated postretirement benefit obligation (APBO) 14,820 23,950 Expected return on assets (20,510) (19,124) Amortization of prior service credit (14,907) (17,688) Amortization of net loss 1,473 716 Net other postretirement benefit cost income ($7,092) ($2,796) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $933 $1,524 $372 $114 $306 $321 Interest cost on APBO 1,164 1,497 372 186 477 276 Expected return on assets (4,260) — (1,287) (1,344) (2,403) (735) Amortization of prior service credit (396) (1,695) (444) (228) (939) (282) Amortization of net (gain) loss 162 (81) 48 9 231 33 Net other postretirement benefit cost (income) ($2,397) $1,245 ($939) ($1,263) ($2,328) ($387) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $591 $1,160 $262 $92 $236 $243 Interest cost on APBO 1,807 2,666 670 395 854 476 Expected return on assets (3,991) — (1,199) (1,237) (2,276) (697) Amortization of prior service credit (1,238) (1,837) (439) (171) (561) (363) Amortization of net (gain) loss 144 (174) 181 58 121 89 Net other postretirement benefit cost (income) ($2,687) $1,815 ($525) ($863) ($1,626) ($252) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,761 $2,947 $723 $219 $609 $615 Interest cost on APBO 2,381 3,220 794 413 1,059 583 Expected return on assets (8,586) — (2,594) (2,699) (4,838) (1,483) Amortization of prior service credit (1,057) (2,784) (765) (304) (1,489) (501) Amortization of net (gain) loss 217 (280) 77 (29) 443 53 Net other postretirement benefit cost (income) ($5,284) $3,103 ($1,765) ($2,400) ($4,216) ($733) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,182 $2,320 $524 $184 $472 $486 Interest cost on APBO 3,614 5,332 1,340 790 1,708 952 Expected return on assets (7,982) — (2,398) (2,474) (4,552) (1,394) Amortization of prior service credit (2,476) (3,674) (878) (342) (1,122) (726) Amortization of net (gain) loss 288 (348) 362 116 242 178 Net other postretirement benefit cost (income) ($5,374) $3,630 ($1,050) ($1,726) ($3,252) ($504) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the second quarters of 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,739 ($57) $5,682 Amortization of net loss (26,461) (327) (831) (27,619) ($26,461) $5,412 ($888) ($21,937) Entergy Louisiana Amortization of prior service credit $— $1,698 $— $1,698 Amortization of net gain (loss) (499) 81 (1) (419) ($499) $1,779 ($1) $1,279 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,375 ($50) $5,325 Amortization of net gain (loss) (18,736) 308 (552) (18,980) Settlement loss (162) — (756) (918) ($18,898) $5,683 ($1,358) ($14,573) Entergy Louisiana Amortization of prior service credit $— $1,837 $— $1,837 Amortization of net gain (loss) (699) 174 (1) (526) ($699) $2,011 ($1) $1,311 Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the six months ended June 30, 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $9,516 ($115) $9,401 Amortization of net loss (52,923) (352) (1,662) (54,937) ($52,923) $9,164 ($1,777) ($45,536) Entergy Louisiana Amortization of prior service credit $— $2,787 $— $2,787 Amortization of net gain (loss) (998) 280 (2) (720) ($998) $3,067 ($2) $2,067 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $10,750 ($98) $10,652 Amortization of net gain (loss) (37,470) 615 (1,114) (37,969) Settlement loss (1,299) — (756) (2,055) ($38,769) $11,365 ($1,968) ($29,372) Entergy Louisiana Amortization of prior service credit $— $3,674 $— $3,674 Amortization of net gain (loss) (1,397) 348 (3) (1,052) ($1,397) $4,022 ($3) $2,622 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost”, the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Other Postretirement Benefits In March 2020, Entergy announced changes to its other postretirement benefits. Effective January 1, 2021, certain retired, former non-bargaining employees age 65 and older who are eligible for Entergy-sponsored retiree welfare benefits, and their eligible spouses who are age 65 and older (collectively, Medicare-eligible participants), will be eligible to participate in a new Entergy-sponsored retiree health plan, and will no longer be eligible for retiree coverage under the Entergy Corporation Companies’ Benefits Plus Medical, Dental and Vision Plans. Under the new Entergy retiree health plan, Medicare-eligible participants will be eligible to participate in a health reimbursement arrangement which they may use towards the purchase of various types of qualified insurance offered through a Medicare exchange provider and for other qualified medical expenses. In accordance with accounting standards, the effects of this change have been reflected in the March 31, 2020 other postretirement obligation. The changes affecting active bargaining unit employees will be negotiated with the unions prior to implementation, where necessary, and to the extent required by law. Employer Contributions Based on current assumptions, Entergy expects to contribute $416.3 million to its qualified pension plans in 2020. As of June 30, 2020, Entergy had contributed $112 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2020: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2020 pension contributions $78,643 $74,991 $20,115 $5,839 $5,634 $21,730 Pension contributions made through June 2020 $17,584 $18,706 $4,296 $1,458 $1,485 $5,714 Remaining estimated pension contributions to be made in 2020 $61,059 $56,285 $15,819 $4,381 $4,149 $16,016 |
System Energy [Member] | |
Retirement And Other Postretirement Benefits | RETIREMENT AND OTHER POSTRETIREMENT BENEFITS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Components of Qualified Net Pension Cost Entergy’s qualified pension cost, including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $40,379 $33,606 Interest cost on projected benefit obligation 60,799 73,912 Expected return on assets (103,565) (103,859) Amortization of net loss 87,259 58,420 Settlement charges — 162 Net pension costs $84,872 $62,241 Entergy’s qualified pension cost, including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $80,758 $67,213 Interest cost on projected benefit obligation 121,598 147,853 Expected return on assets (207,130) (207,743) Amortization of net loss 174,518 116,838 Settlement charges — 1,299 Net pension costs $169,744 $125,460 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,566 $8,794 $2,023 $663 $1,546 $1,965 Interest cost on projected benefit obligation 11,433 12,841 3,340 1,456 2,782 2,814 Expected return on assets (19,622) (22,402) (5,757) (2,627) (5,486) (4,663) Amortization of net loss 16,897 16,627 4,748 2,005 3,265 4,279 Net pension cost $15,274 $15,860 $4,354 $1,497 $2,107 $4,395 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $5,261 $7,284 $1,629 $569 $1,350 $1,550 Interest cost on projected benefit obligation 14,175 15,882 4,068 1,874 3,612 3,363 Expected return on assets (20,176) (22,652) (5,968) (2,697) (5,862) (4,677) Amortization of net loss 11,841 11,643 3,105 1,530 2,334 2,850 Net pension cost $11,101 $12,157 $2,834 $1,276 $1,434 $3,086 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $13,132 $17,588 $4,046 $1,326 $3,092 $3,930 Interest cost on projected benefit obligation 22,866 25,682 6,680 2,912 5,564 5,628 Expected return on assets (39,244) (44,804) (11,514) (5,254) (10,972) (9,326) Amortization of net loss 33,794 33,254 9,496 4,010 6,530 8,558 Net pension cost $30,548 $31,720 $8,708 $2,994 $4,214 $8,790 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $10,522 $14,568 $3,258 $1,138 $2,700 $3,100 Interest cost on projected benefit obligation 28,350 31,764 8,136 3,748 7,224 6,727 Expected return on assets (40,352) (45,304) (11,936) (5,393) (11,724) (9,354) Amortization of net loss 23,682 23,286 6,209 3,059 4,668 5,700 Net pension cost $22,202 $24,314 $5,667 $2,552 $2,868 $6,173 Non-Qualified Net Pension Cost Entergy recognized $4.5 million and $7.6 million in pension cost for its non-qualified pension plans in the second quarters of 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans in the second quarter of 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. Entergy recognized $9.1 million and $11.6 million in pension cost for its non-qualified pension plans for the six months ended June 30, 2020 and 2019, respectively. Reflected in the pension cost for non-qualified pension plans for the six months ended June 30, 2019 were settlement charges of $3.7 million related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the second quarters of 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $83 $37 $90 $8 $117 2019 $71 $41 $113 $6 $122 Reflected in Entergy Mississippi’s non-qualified pension costs in the second quarter of 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the six months ended June 30, 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $166 $74 $180 $16 $234 2019 $144 $84 $188 $11 $246 Reflected in Entergy Mississippi’s non-qualified pension costs for the six months ended June 30, 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. Components of Net Other Postretirement Benefit Cost (Income) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $6,231 $4,675 Interest cost on accumulated postretirement benefit obligation (APBO) 6,888 11,975 Expected return on assets (10,182) (9,562) Amortization of prior service credit (8,985) (8,844) Amortization of net loss 1,005 358 Net other postretirement benefit income ($5,043) ($1,398) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $12,032 $9,350 Interest cost on accumulated postretirement benefit obligation (APBO) 14,820 23,950 Expected return on assets (20,510) (19,124) Amortization of prior service credit (14,907) (17,688) Amortization of net loss 1,473 716 Net other postretirement benefit cost income ($7,092) ($2,796) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $933 $1,524 $372 $114 $306 $321 Interest cost on APBO 1,164 1,497 372 186 477 276 Expected return on assets (4,260) — (1,287) (1,344) (2,403) (735) Amortization of prior service credit (396) (1,695) (444) (228) (939) (282) Amortization of net (gain) loss 162 (81) 48 9 231 33 Net other postretirement benefit cost (income) ($2,397) $1,245 ($939) ($1,263) ($2,328) ($387) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $591 $1,160 $262 $92 $236 $243 Interest cost on APBO 1,807 2,666 670 395 854 476 Expected return on assets (3,991) — (1,199) (1,237) (2,276) (697) Amortization of prior service credit (1,238) (1,837) (439) (171) (561) (363) Amortization of net (gain) loss 144 (174) 181 58 121 89 Net other postretirement benefit cost (income) ($2,687) $1,815 ($525) ($863) ($1,626) ($252) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,761 $2,947 $723 $219 $609 $615 Interest cost on APBO 2,381 3,220 794 413 1,059 583 Expected return on assets (8,586) — (2,594) (2,699) (4,838) (1,483) Amortization of prior service credit (1,057) (2,784) (765) (304) (1,489) (501) Amortization of net (gain) loss 217 (280) 77 (29) 443 53 Net other postretirement benefit cost (income) ($5,284) $3,103 ($1,765) ($2,400) ($4,216) ($733) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,182 $2,320 $524 $184 $472 $486 Interest cost on APBO 3,614 5,332 1,340 790 1,708 952 Expected return on assets (7,982) — (2,398) (2,474) (4,552) (1,394) Amortization of prior service credit (2,476) (3,674) (878) (342) (1,122) (726) Amortization of net (gain) loss 288 (348) 362 116 242 178 Net other postretirement benefit cost (income) ($5,374) $3,630 ($1,050) ($1,726) ($3,252) ($504) Reclassification out of Accumulated Other Comprehensive Income (Loss) Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the second quarters of 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,739 ($57) $5,682 Amortization of net loss (26,461) (327) (831) (27,619) ($26,461) $5,412 ($888) ($21,937) Entergy Louisiana Amortization of prior service credit $— $1,698 $— $1,698 Amortization of net gain (loss) (499) 81 (1) (419) ($499) $1,779 ($1) $1,279 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,375 ($50) $5,325 Amortization of net gain (loss) (18,736) 308 (552) (18,980) Settlement loss (162) — (756) (918) ($18,898) $5,683 ($1,358) ($14,573) Entergy Louisiana Amortization of prior service credit $— $1,837 $— $1,837 Amortization of net gain (loss) (699) 174 (1) (526) ($699) $2,011 ($1) $1,311 Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the six months ended June 30, 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $9,516 ($115) $9,401 Amortization of net loss (52,923) (352) (1,662) (54,937) ($52,923) $9,164 ($1,777) ($45,536) Entergy Louisiana Amortization of prior service credit $— $2,787 $— $2,787 Amortization of net gain (loss) (998) 280 (2) (720) ($998) $3,067 ($2) $2,067 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $10,750 ($98) $10,652 Amortization of net gain (loss) (37,470) 615 (1,114) (37,969) Settlement loss (1,299) — (756) (2,055) ($38,769) $11,365 ($1,968) ($29,372) Entergy Louisiana Amortization of prior service credit $— $3,674 $— $3,674 Amortization of net gain (loss) (1,397) 348 (3) (1,052) ($1,397) $4,022 ($3) $2,622 Accounting for Pension and Other Postretirement Benefits In accordance with ASU No. 2017-07, “Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost”, the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. Other Postretirement Benefits In March 2020, Entergy announced changes to its other postretirement benefits. Effective January 1, 2021, certain retired, former non-bargaining employees age 65 and older who are eligible for Entergy-sponsored retiree welfare benefits, and their eligible spouses who are age 65 and older (collectively, Medicare-eligible participants), will be eligible to participate in a new Entergy-sponsored retiree health plan, and will no longer be eligible for retiree coverage under the Entergy Corporation Companies’ Benefits Plus Medical, Dental and Vision Plans. Under the new Entergy retiree health plan, Medicare-eligible participants will be eligible to participate in a health reimbursement arrangement which they may use towards the purchase of various types of qualified insurance offered through a Medicare exchange provider and for other qualified medical expenses. In accordance with accounting standards, the effects of this change have been reflected in the March 31, 2020 other postretirement obligation. The changes affecting active bargaining unit employees will be negotiated with the unions prior to implementation, where necessary, and to the extent required by law. Employer Contributions Based on current assumptions, Entergy expects to contribute $416.3 million to its qualified pension plans in 2020. As of June 30, 2020, Entergy had contributed $112 million to its pension plans. Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2020: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2020 pension contributions $78,643 $74,991 $20,115 $5,839 $5,634 $21,730 Pension contributions made through June 2020 $17,584 $18,706 $4,296 $1,458 $1,485 $5,714 Remaining estimated pension contributions to be made in 2020 $61,059 $56,285 $15,819 $4,381 $4,149 $16,016 |
Business Segment Information
Business Segment Information | 6 Months Ended |
Jun. 30, 2020 | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation Entergy’s reportable segments as of June 30, 2020 were Utility and Entergy Wholesale Commodities. Utility includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and natural gas utility service in portions of Louisiana. Entergy Wholesale Commodities includes the ownership, operation, and decommissioning of nuclear power plants located in the northern United States and the sale of the electric power produced by its operating plants to wholesale customers. Entergy Wholesale Commodities also includes the ownership of interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers. “All Other” includes the parent company, Entergy Corporation, and other business activity. Entergy’s segment financial information for the second quarters of 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $2,213,061 $199,709 $18 $— $2,412,788 Income taxes $73,710 $24,467 ($9,062) $— $89,115 Consolidated net income (loss) $348,902 $85,178 ($37,069) ($31,898) $365,113 2019 Operating revenues $2,376,437 $289,783 $2 ($13) $2,666,209 Income taxes $21,150 ($9,290) ($10,402) $— $1,458 Consolidated net income (loss) $334,752 ($25,382) ($36,939) ($31,898) $240,533 Entergy’s segment financial information for the six months ended June 30, 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $4,307,690 $532,258 $29 ($10) $4,839,967 Income taxes $20,761 ($6,073) $3,233 $— $17,921 Consolidated net income (loss) $672,751 ($25,251) ($95,298) ($63,796) $488,406 Total assets as of June 30, 2020 $51,205,266 $3,658,974 $493,119 ($1,992,057) $53,365,302 2019 Operating revenues $4,552,419 $723,394 $2 ($23) $5,275,792 Income taxes $9,586 $56,618 ($21,975) $— $44,229 Consolidated net income (loss) $568,900 $71,697 ($77,620) ($63,797) $499,180 Total assets as of December 31, 2019 $49,557,664 $4,154,961 $514,020 ($2,502,733) $51,723,912 The Entergy Wholesale Commodities business is sometimes referred to as the “competitive businesses.” Eliminations were primarily intersegment activity. Almost all of Entergy’s goodwill was related to the Utility segment. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy management has undertaken a strategy to manage and reduce the risk of the Entergy Wholesale Commodities business, which includes taking actions to shut down and sell all of the remaining plants in the merchant nuclear fleet. These decisions and transactions resulted in asset impairments; employee retention and severance expenses and other benefits-related costs; and contracted economic development contributions. Total restructuring charges for the second quarters of 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of April 1, $150 $14 $164 $213 $14 $227 Restructuring costs accrued 17 — 17 22 — 22 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $7 million in the second quarter 2020 and $16 million in the second quarter 2019 of impairment and other related charges associated with these strategic decisions and transactions. Total restructuring charges for the six months ended June 30, 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of January 1, $129 $14 $143 $179 $14 $193 Restructuring costs accrued 38 — 38 56 — 56 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $12 million in the six months ended June 30, 2020 and $90 million in the six months ended June 30, 2019 of impairment and other related charges associated with these strategic decisions and transactions. Going forward, Entergy Wholesale Commodities expects to incur employee retention and severance expenses associated with management’s strategy to exit the merchant power business of approximately $70 million in 2020, of which $38 million has been incurred as of June 30, 2020, and a total of approximately $60 million from 2021 through 2022. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations is managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. |
Entergy Arkansas [Member] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation Entergy’s reportable segments as of June 30, 2020 were Utility and Entergy Wholesale Commodities. Utility includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and natural gas utility service in portions of Louisiana. Entergy Wholesale Commodities includes the ownership, operation, and decommissioning of nuclear power plants located in the northern United States and the sale of the electric power produced by its operating plants to wholesale customers. Entergy Wholesale Commodities also includes the ownership of interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers. “All Other” includes the parent company, Entergy Corporation, and other business activity. Entergy’s segment financial information for the second quarters of 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $2,213,061 $199,709 $18 $— $2,412,788 Income taxes $73,710 $24,467 ($9,062) $— $89,115 Consolidated net income (loss) $348,902 $85,178 ($37,069) ($31,898) $365,113 2019 Operating revenues $2,376,437 $289,783 $2 ($13) $2,666,209 Income taxes $21,150 ($9,290) ($10,402) $— $1,458 Consolidated net income (loss) $334,752 ($25,382) ($36,939) ($31,898) $240,533 Entergy’s segment financial information for the six months ended June 30, 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $4,307,690 $532,258 $29 ($10) $4,839,967 Income taxes $20,761 ($6,073) $3,233 $— $17,921 Consolidated net income (loss) $672,751 ($25,251) ($95,298) ($63,796) $488,406 Total assets as of June 30, 2020 $51,205,266 $3,658,974 $493,119 ($1,992,057) $53,365,302 2019 Operating revenues $4,552,419 $723,394 $2 ($23) $5,275,792 Income taxes $9,586 $56,618 ($21,975) $— $44,229 Consolidated net income (loss) $568,900 $71,697 ($77,620) ($63,797) $499,180 Total assets as of December 31, 2019 $49,557,664 $4,154,961 $514,020 ($2,502,733) $51,723,912 The Entergy Wholesale Commodities business is sometimes referred to as the “competitive businesses.” Eliminations were primarily intersegment activity. Almost all of Entergy’s goodwill was related to the Utility segment. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy management has undertaken a strategy to manage and reduce the risk of the Entergy Wholesale Commodities business, which includes taking actions to shut down and sell all of the remaining plants in the merchant nuclear fleet. These decisions and transactions resulted in asset impairments; employee retention and severance expenses and other benefits-related costs; and contracted economic development contributions. Total restructuring charges for the second quarters of 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of April 1, $150 $14 $164 $213 $14 $227 Restructuring costs accrued 17 — 17 22 — 22 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $7 million in the second quarter 2020 and $16 million in the second quarter 2019 of impairment and other related charges associated with these strategic decisions and transactions. Total restructuring charges for the six months ended June 30, 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of January 1, $129 $14 $143 $179 $14 $193 Restructuring costs accrued 38 — 38 56 — 56 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $12 million in the six months ended June 30, 2020 and $90 million in the six months ended June 30, 2019 of impairment and other related charges associated with these strategic decisions and transactions. Going forward, Entergy Wholesale Commodities expects to incur employee retention and severance expenses associated with management’s strategy to exit the merchant power business of approximately $70 million in 2020, of which $38 million has been incurred as of June 30, 2020, and a total of approximately $60 million from 2021 through 2022. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations is managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. |
Entergy Louisiana [Member] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation Entergy’s reportable segments as of June 30, 2020 were Utility and Entergy Wholesale Commodities. Utility includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and natural gas utility service in portions of Louisiana. Entergy Wholesale Commodities includes the ownership, operation, and decommissioning of nuclear power plants located in the northern United States and the sale of the electric power produced by its operating plants to wholesale customers. Entergy Wholesale Commodities also includes the ownership of interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers. “All Other” includes the parent company, Entergy Corporation, and other business activity. Entergy’s segment financial information for the second quarters of 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $2,213,061 $199,709 $18 $— $2,412,788 Income taxes $73,710 $24,467 ($9,062) $— $89,115 Consolidated net income (loss) $348,902 $85,178 ($37,069) ($31,898) $365,113 2019 Operating revenues $2,376,437 $289,783 $2 ($13) $2,666,209 Income taxes $21,150 ($9,290) ($10,402) $— $1,458 Consolidated net income (loss) $334,752 ($25,382) ($36,939) ($31,898) $240,533 Entergy’s segment financial information for the six months ended June 30, 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $4,307,690 $532,258 $29 ($10) $4,839,967 Income taxes $20,761 ($6,073) $3,233 $— $17,921 Consolidated net income (loss) $672,751 ($25,251) ($95,298) ($63,796) $488,406 Total assets as of June 30, 2020 $51,205,266 $3,658,974 $493,119 ($1,992,057) $53,365,302 2019 Operating revenues $4,552,419 $723,394 $2 ($23) $5,275,792 Income taxes $9,586 $56,618 ($21,975) $— $44,229 Consolidated net income (loss) $568,900 $71,697 ($77,620) ($63,797) $499,180 Total assets as of December 31, 2019 $49,557,664 $4,154,961 $514,020 ($2,502,733) $51,723,912 The Entergy Wholesale Commodities business is sometimes referred to as the “competitive businesses.” Eliminations were primarily intersegment activity. Almost all of Entergy’s goodwill was related to the Utility segment. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy management has undertaken a strategy to manage and reduce the risk of the Entergy Wholesale Commodities business, which includes taking actions to shut down and sell all of the remaining plants in the merchant nuclear fleet. These decisions and transactions resulted in asset impairments; employee retention and severance expenses and other benefits-related costs; and contracted economic development contributions. Total restructuring charges for the second quarters of 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of April 1, $150 $14 $164 $213 $14 $227 Restructuring costs accrued 17 — 17 22 — 22 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $7 million in the second quarter 2020 and $16 million in the second quarter 2019 of impairment and other related charges associated with these strategic decisions and transactions. Total restructuring charges for the six months ended June 30, 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of January 1, $129 $14 $143 $179 $14 $193 Restructuring costs accrued 38 — 38 56 — 56 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $12 million in the six months ended June 30, 2020 and $90 million in the six months ended June 30, 2019 of impairment and other related charges associated with these strategic decisions and transactions. Going forward, Entergy Wholesale Commodities expects to incur employee retention and severance expenses associated with management’s strategy to exit the merchant power business of approximately $70 million in 2020, of which $38 million has been incurred as of June 30, 2020, and a total of approximately $60 million from 2021 through 2022. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations is managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. |
Entergy Mississippi [Member] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation Entergy’s reportable segments as of June 30, 2020 were Utility and Entergy Wholesale Commodities. Utility includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and natural gas utility service in portions of Louisiana. Entergy Wholesale Commodities includes the ownership, operation, and decommissioning of nuclear power plants located in the northern United States and the sale of the electric power produced by its operating plants to wholesale customers. Entergy Wholesale Commodities also includes the ownership of interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers. “All Other” includes the parent company, Entergy Corporation, and other business activity. Entergy’s segment financial information for the second quarters of 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $2,213,061 $199,709 $18 $— $2,412,788 Income taxes $73,710 $24,467 ($9,062) $— $89,115 Consolidated net income (loss) $348,902 $85,178 ($37,069) ($31,898) $365,113 2019 Operating revenues $2,376,437 $289,783 $2 ($13) $2,666,209 Income taxes $21,150 ($9,290) ($10,402) $— $1,458 Consolidated net income (loss) $334,752 ($25,382) ($36,939) ($31,898) $240,533 Entergy’s segment financial information for the six months ended June 30, 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $4,307,690 $532,258 $29 ($10) $4,839,967 Income taxes $20,761 ($6,073) $3,233 $— $17,921 Consolidated net income (loss) $672,751 ($25,251) ($95,298) ($63,796) $488,406 Total assets as of June 30, 2020 $51,205,266 $3,658,974 $493,119 ($1,992,057) $53,365,302 2019 Operating revenues $4,552,419 $723,394 $2 ($23) $5,275,792 Income taxes $9,586 $56,618 ($21,975) $— $44,229 Consolidated net income (loss) $568,900 $71,697 ($77,620) ($63,797) $499,180 Total assets as of December 31, 2019 $49,557,664 $4,154,961 $514,020 ($2,502,733) $51,723,912 The Entergy Wholesale Commodities business is sometimes referred to as the “competitive businesses.” Eliminations were primarily intersegment activity. Almost all of Entergy’s goodwill was related to the Utility segment. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy management has undertaken a strategy to manage and reduce the risk of the Entergy Wholesale Commodities business, which includes taking actions to shut down and sell all of the remaining plants in the merchant nuclear fleet. These decisions and transactions resulted in asset impairments; employee retention and severance expenses and other benefits-related costs; and contracted economic development contributions. Total restructuring charges for the second quarters of 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of April 1, $150 $14 $164 $213 $14 $227 Restructuring costs accrued 17 — 17 22 — 22 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $7 million in the second quarter 2020 and $16 million in the second quarter 2019 of impairment and other related charges associated with these strategic decisions and transactions. Total restructuring charges for the six months ended June 30, 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of January 1, $129 $14 $143 $179 $14 $193 Restructuring costs accrued 38 — 38 56 — 56 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $12 million in the six months ended June 30, 2020 and $90 million in the six months ended June 30, 2019 of impairment and other related charges associated with these strategic decisions and transactions. Going forward, Entergy Wholesale Commodities expects to incur employee retention and severance expenses associated with management’s strategy to exit the merchant power business of approximately $70 million in 2020, of which $38 million has been incurred as of June 30, 2020, and a total of approximately $60 million from 2021 through 2022. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations is managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. |
Entergy New Orleans [Member] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation Entergy’s reportable segments as of June 30, 2020 were Utility and Entergy Wholesale Commodities. Utility includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and natural gas utility service in portions of Louisiana. Entergy Wholesale Commodities includes the ownership, operation, and decommissioning of nuclear power plants located in the northern United States and the sale of the electric power produced by its operating plants to wholesale customers. Entergy Wholesale Commodities also includes the ownership of interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers. “All Other” includes the parent company, Entergy Corporation, and other business activity. Entergy’s segment financial information for the second quarters of 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $2,213,061 $199,709 $18 $— $2,412,788 Income taxes $73,710 $24,467 ($9,062) $— $89,115 Consolidated net income (loss) $348,902 $85,178 ($37,069) ($31,898) $365,113 2019 Operating revenues $2,376,437 $289,783 $2 ($13) $2,666,209 Income taxes $21,150 ($9,290) ($10,402) $— $1,458 Consolidated net income (loss) $334,752 ($25,382) ($36,939) ($31,898) $240,533 Entergy’s segment financial information for the six months ended June 30, 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $4,307,690 $532,258 $29 ($10) $4,839,967 Income taxes $20,761 ($6,073) $3,233 $— $17,921 Consolidated net income (loss) $672,751 ($25,251) ($95,298) ($63,796) $488,406 Total assets as of June 30, 2020 $51,205,266 $3,658,974 $493,119 ($1,992,057) $53,365,302 2019 Operating revenues $4,552,419 $723,394 $2 ($23) $5,275,792 Income taxes $9,586 $56,618 ($21,975) $— $44,229 Consolidated net income (loss) $568,900 $71,697 ($77,620) ($63,797) $499,180 Total assets as of December 31, 2019 $49,557,664 $4,154,961 $514,020 ($2,502,733) $51,723,912 The Entergy Wholesale Commodities business is sometimes referred to as the “competitive businesses.” Eliminations were primarily intersegment activity. Almost all of Entergy’s goodwill was related to the Utility segment. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy management has undertaken a strategy to manage and reduce the risk of the Entergy Wholesale Commodities business, which includes taking actions to shut down and sell all of the remaining plants in the merchant nuclear fleet. These decisions and transactions resulted in asset impairments; employee retention and severance expenses and other benefits-related costs; and contracted economic development contributions. Total restructuring charges for the second quarters of 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of April 1, $150 $14 $164 $213 $14 $227 Restructuring costs accrued 17 — 17 22 — 22 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $7 million in the second quarter 2020 and $16 million in the second quarter 2019 of impairment and other related charges associated with these strategic decisions and transactions. Total restructuring charges for the six months ended June 30, 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of January 1, $129 $14 $143 $179 $14 $193 Restructuring costs accrued 38 — 38 56 — 56 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $12 million in the six months ended June 30, 2020 and $90 million in the six months ended June 30, 2019 of impairment and other related charges associated with these strategic decisions and transactions. Going forward, Entergy Wholesale Commodities expects to incur employee retention and severance expenses associated with management’s strategy to exit the merchant power business of approximately $70 million in 2020, of which $38 million has been incurred as of June 30, 2020, and a total of approximately $60 million from 2021 through 2022. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations is managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. |
Entergy Texas [Member] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation Entergy’s reportable segments as of June 30, 2020 were Utility and Entergy Wholesale Commodities. Utility includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and natural gas utility service in portions of Louisiana. Entergy Wholesale Commodities includes the ownership, operation, and decommissioning of nuclear power plants located in the northern United States and the sale of the electric power produced by its operating plants to wholesale customers. Entergy Wholesale Commodities also includes the ownership of interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers. “All Other” includes the parent company, Entergy Corporation, and other business activity. Entergy’s segment financial information for the second quarters of 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $2,213,061 $199,709 $18 $— $2,412,788 Income taxes $73,710 $24,467 ($9,062) $— $89,115 Consolidated net income (loss) $348,902 $85,178 ($37,069) ($31,898) $365,113 2019 Operating revenues $2,376,437 $289,783 $2 ($13) $2,666,209 Income taxes $21,150 ($9,290) ($10,402) $— $1,458 Consolidated net income (loss) $334,752 ($25,382) ($36,939) ($31,898) $240,533 Entergy’s segment financial information for the six months ended June 30, 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $4,307,690 $532,258 $29 ($10) $4,839,967 Income taxes $20,761 ($6,073) $3,233 $— $17,921 Consolidated net income (loss) $672,751 ($25,251) ($95,298) ($63,796) $488,406 Total assets as of June 30, 2020 $51,205,266 $3,658,974 $493,119 ($1,992,057) $53,365,302 2019 Operating revenues $4,552,419 $723,394 $2 ($23) $5,275,792 Income taxes $9,586 $56,618 ($21,975) $— $44,229 Consolidated net income (loss) $568,900 $71,697 ($77,620) ($63,797) $499,180 Total assets as of December 31, 2019 $49,557,664 $4,154,961 $514,020 ($2,502,733) $51,723,912 The Entergy Wholesale Commodities business is sometimes referred to as the “competitive businesses.” Eliminations were primarily intersegment activity. Almost all of Entergy’s goodwill was related to the Utility segment. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy management has undertaken a strategy to manage and reduce the risk of the Entergy Wholesale Commodities business, which includes taking actions to shut down and sell all of the remaining plants in the merchant nuclear fleet. These decisions and transactions resulted in asset impairments; employee retention and severance expenses and other benefits-related costs; and contracted economic development contributions. Total restructuring charges for the second quarters of 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of April 1, $150 $14 $164 $213 $14 $227 Restructuring costs accrued 17 — 17 22 — 22 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $7 million in the second quarter 2020 and $16 million in the second quarter 2019 of impairment and other related charges associated with these strategic decisions and transactions. Total restructuring charges for the six months ended June 30, 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of January 1, $129 $14 $143 $179 $14 $193 Restructuring costs accrued 38 — 38 56 — 56 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $12 million in the six months ended June 30, 2020 and $90 million in the six months ended June 30, 2019 of impairment and other related charges associated with these strategic decisions and transactions. Going forward, Entergy Wholesale Commodities expects to incur employee retention and severance expenses associated with management’s strategy to exit the merchant power business of approximately $70 million in 2020, of which $38 million has been incurred as of June 30, 2020, and a total of approximately $60 million from 2021 through 2022. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations is managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. |
System Energy [Member] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Entergy Corporation Entergy’s reportable segments as of June 30, 2020 were Utility and Entergy Wholesale Commodities. Utility includes the generation, transmission, distribution, and sale of electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, and natural gas utility service in portions of Louisiana. Entergy Wholesale Commodities includes the ownership, operation, and decommissioning of nuclear power plants located in the northern United States and the sale of the electric power produced by its operating plants to wholesale customers. Entergy Wholesale Commodities also includes the ownership of interests in non-nuclear power plants that sell the electric power produced by those plants to wholesale customers. “All Other” includes the parent company, Entergy Corporation, and other business activity. Entergy’s segment financial information for the second quarters of 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $2,213,061 $199,709 $18 $— $2,412,788 Income taxes $73,710 $24,467 ($9,062) $— $89,115 Consolidated net income (loss) $348,902 $85,178 ($37,069) ($31,898) $365,113 2019 Operating revenues $2,376,437 $289,783 $2 ($13) $2,666,209 Income taxes $21,150 ($9,290) ($10,402) $— $1,458 Consolidated net income (loss) $334,752 ($25,382) ($36,939) ($31,898) $240,533 Entergy’s segment financial information for the six months ended June 30, 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $4,307,690 $532,258 $29 ($10) $4,839,967 Income taxes $20,761 ($6,073) $3,233 $— $17,921 Consolidated net income (loss) $672,751 ($25,251) ($95,298) ($63,796) $488,406 Total assets as of June 30, 2020 $51,205,266 $3,658,974 $493,119 ($1,992,057) $53,365,302 2019 Operating revenues $4,552,419 $723,394 $2 ($23) $5,275,792 Income taxes $9,586 $56,618 ($21,975) $— $44,229 Consolidated net income (loss) $568,900 $71,697 ($77,620) ($63,797) $499,180 Total assets as of December 31, 2019 $49,557,664 $4,154,961 $514,020 ($2,502,733) $51,723,912 The Entergy Wholesale Commodities business is sometimes referred to as the “competitive businesses.” Eliminations were primarily intersegment activity. Almost all of Entergy’s goodwill was related to the Utility segment. As discussed in Note 13 to the financial statements in the Form 10-K, Entergy management has undertaken a strategy to manage and reduce the risk of the Entergy Wholesale Commodities business, which includes taking actions to shut down and sell all of the remaining plants in the merchant nuclear fleet. These decisions and transactions resulted in asset impairments; employee retention and severance expenses and other benefits-related costs; and contracted economic development contributions. Total restructuring charges for the second quarters of 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of April 1, $150 $14 $164 $213 $14 $227 Restructuring costs accrued 17 — 17 22 — 22 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $7 million in the second quarter 2020 and $16 million in the second quarter 2019 of impairment and other related charges associated with these strategic decisions and transactions. Total restructuring charges for the six months ended June 30, 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of January 1, $129 $14 $143 $179 $14 $193 Restructuring costs accrued 38 — 38 56 — 56 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $12 million in the six months ended June 30, 2020 and $90 million in the six months ended June 30, 2019 of impairment and other related charges associated with these strategic decisions and transactions. Going forward, Entergy Wholesale Commodities expects to incur employee retention and severance expenses associated with management’s strategy to exit the merchant power business of approximately $70 million in 2020, of which $38 million has been incurred as of June 30, 2020, and a total of approximately $60 million from 2021 through 2022. Registrant Subsidiaries Each of the Registrant Subsidiaries has one reportable segment, which is an integrated utility business, except for System Energy, which is an electricity generation business. Each of the Registrant Subsidiaries’ operations is managed on an integrated basis by that company because of the substantial effect of cost-based rates and regulatory oversight on the business process, cost structures, and operating results. |
Risk Management And Fair Values
Risk Management And Fair Values | 6 Months Ended |
Jun. 30, 2020 | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs that are recovered from customers. As a wholesale generator, Entergy Wholesale Commodities’ core business is selling energy, measured in MWh, to its customers. Entergy Wholesale Commodities enters into forward contracts with its customers and also sells energy and capacity in the day ahead or spot markets. In addition to its forward physical power and gas contracts, Entergy Wholesale Commodities may also use a combination of financial contracts, including swaps, collars, and options, to mitigate commodity price risk. When the market price falls, the combination of instruments is expected to settle in gains that offset lower revenue from generation, which results in a more predictable cash flow. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options and interest rate swaps. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy enters into derivatives to manage natural risks inherent in its physical or financial assets or liabilities. Electricity over-the-counter instruments and futures contracts that financially settle against day-ahead power pool prices are used to manage price exposure for Entergy Wholesale Commodities generation. The maximum length of time over which Entergy Wholesale Commodities is currently hedging the variability in future cash flows with derivatives for forecasted power transactions at June 30, 2020 is approximately 9 months. Planned generation currently under contract from Entergy Wholesale Commodities nuclear power plants is 97% for the remainder of 2020, of which approximately 61% is sold under financial derivatives and the remainder under normal purchase/normal sale contracts. Total planned generation for the remainder of 2020 is 7.2 TWh. Entergy may use standardized master netting agreements to help mitigate the credit risk of derivative instruments. These master agreements facilitate the netting of cash flows associated with a single counterparty and may include collateral requirements. Cash, letters of credit, and parental/affiliate guarantees may be obtained as security from counterparties in order to mitigate credit risk. The collateral agreements require a counterparty to post cash or letters of credit in the event an exposure exceeds an established threshold. The threshold represents an unsecured credit limit, which may be supported by a parental/affiliate guarantee, as determined in accordance with Entergy’s credit policy. In addition, collateral agreements allow for termination and liquidation of all positions in the event of a failure or inability to post collateral. Certain of the agreements to sell the power produced by Entergy Wholesale Commodities power plants contain provisions that require an Entergy subsidiary to provide credit support to secure its obligations depending on the mark-to-market values of the contracts. The primary form of credit support to satisfy these requirements is an Entergy Corporation guarantee. As of June 30, 2020, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $6 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $41 million in letters of credit were required to be posted by its counterparties to the Entergy subsidiary. As of December 31, 2019, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $11 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $1 million in cash collateral and $98 million in letters of credit were required to be posted by it counterparties to the Entergy subsidiary. If the Entergy Corporation credit rating falls below investment grade, Entergy would have to post collateral equal to the estimated outstanding liability under the contract at the applicable date. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy had executed natural gas swaps and options as of June 30, 2020 was 3.75 years for Entergy Louisiana and the maximum length of time over which Entergy had executed natural gas swaps as of June 30, 2020 was 9 months for Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of June 30, 2020 was 37,862,000 MMBtu for Entergy, including 27,400,000 MMBtu for Entergy Louisiana and 10,462,000 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2020, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2020 through May 31, 2021. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy Wholesale Commodities are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of June 30, 2020 was 129,379 GWh for Entergy, including 30,375 GWh for Entergy Arkansas, 61,443 GWh for Entergy Louisiana, 14,461 GWh for Entergy Mississippi, 5,873 GWh for Entergy New Orleans, and 16,793 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy Wholesale Commodities is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy Wholesale Commodities as of June 30, 2020 and December 31, 2019. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Mississippi as of June 30, 2020 and December 31, 2019. The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $49 ($4) $45 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $4 $— $4 Entergy Wholesale Commodities Natural gas swaps and options Prepayments and other (current portion) $1 $— $1 Utility Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $23 ($1) $22 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $3 ($3) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $6 $— $6 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of December 31, 2019 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $92 ($1) $91 Entergy Wholesale Commodities Electricity swaps and options Other deferred debits and other assets (non-current portion) $17 $— $17 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $11 ($1) $10 Entergy Wholesale Commodities Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $10 $— $10 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $2 ($2) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $5 $— $5 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheet (d) Excludes cash collateral in the amount of $6 million posted as of June 30, 2020 and $11 million posted and $1 million held as of December 31, 2019. Also excludes letters of credit in the amount of $8 million posted and $41 million held as of June 30, 2020 and $98 million held as of December 31, 2019. The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options ($7) Competitive businesses operating revenues $25 2019 Electricity swaps and options $126 Competitive businesses operating revenues $6 (a) Before taxes of $5 million and $1 million for the three months ended June 30, 2020 and 2019, respectively The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options $60 Competitive businesses operating revenues $120 2019 Electricity swaps and options $152 Competitive businesses operating revenues $57 (a) Before taxes of $25 million and $12 million for the six months ended June 30, 2020 and 2019, respectively Based on market prices as of June 30, 2020, unrealized gains (losses) recorded in accumulated other comprehensive income on cash flow hedges relating to power sales totaled $48 million of net unrealized gains. Approximately $48 million is expected to be reclassified from accumulated other comprehensive income to operating revenues in the next twelve months. The actual amount reclassified from accumulated other comprehensive income, however, could vary due to future changes in market prices. Entergy may effectively liquidate a cash flow hedge instrument by entering into a contract offsetting the original hedge, and then de-designating the original hedge in this situation. Gains or losses accumulated in other comprehensive income prior to de-designation continue to be deferred in other comprehensive income until they are included in income as the original hedged transaction occurs. From the point of de-designation, the gains or losses on the original hedge and the offsetting contract are recorded as assets or liabilities on the balance sheet and offset as they flow through to earnings. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($3) Financial transmission rights Purchased power expense (b) $15 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($6) Financial transmission rights Purchased power expense (b) $32 Electricity swaps and options (c) Competitive business operating revenues ($2) The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($9) Financial transmission rights Purchased power expense (b) $28 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($7) Financial transmission rights Purchased power expense (b) $53 Electricity swaps and options (c) Competitive business operating revenues $3 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. (c) There were no gains (losses) recognized in accumulated other comprehensive income from electricity swaps and options. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $0.8 $— $0.8 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets (non-current portion) $0.6 $— $0.6 Entergy Louisiana Financial transmission rights Prepayments and other $6.3 ($0.2) $6.1 Entergy Arkansas Financial transmission rights Prepayments and other $12.7 ($0.2) $12.5 Entergy Louisiana Financial transmission rights Prepayments and other $1.1 $— $1.1 Entergy Mississippi Financial transmission rights Prepayments and other $2.6 $— $2.6 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $1.7 $— $1.7 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $4.3 $— $4.3 Entergy Mississippi Financial transmission rights Other current liabilities $0.3 ($0.5) $0.2 Entergy New Orleans The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2019 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Other deferred debits and other assets $0.8 $— $0.8 Entergy Louisiana Financial transmission rights Prepayments and other $3.4 ($0.1) $3.3 Entergy Arkansas Financial transmission rights Prepayments and other $4.5 $— $4.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.8 $— $0.8 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $0.3 Entergy New Orleans Financial transmission rights Prepayments and other $1.0 ($0.1) $0.9 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $2.4 $— $2.4 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $2.3 $— $2.3 Entergy Mississippi Natural gas swaps Other current liabilities $0.2 $— $0.2 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. As of December 31, 2019, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $4.8 (b) Entergy Arkansas Financial transmission rights Purchased power expense $5.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.4) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.2 (b) Entergy New Orleans Financial transmission rights Purchased power expense $5.3 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($2.7) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($3.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $3.6 (b) Entergy Arkansas Financial transmission rights Purchased power expense $17.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense $2.2 (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.7 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.8 (b) Entergy Texas The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.3) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($7.7) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($0.4) (a) Entergy New Orleans Financial transmission rights Purchased power expense $9.4 (b) Entergy Arkansas Financial transmission rights Purchased power expense $10.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.5) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.6 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.9) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($5.2) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $0.2 (a) Entergy New Orleans Financial transmission rights Purchased power expense $12.0 (b) Entergy Arkansas Financial transmission rights Purchased power expense $26.5 (b) Entergy Louisiana Financial transmission rights Purchased power expense $3.3 (b) Entergy Mississippi Financial transmission rights Purchased power expense $2.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $8.1 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments other than those instruments held by the Entergy Wholesale Commodities business are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights and derivative power contracts used as cash flow hedges of power sales at merchant power plants. The values for power contract assets or liabilities are based on both observable inputs including public market prices and interest rates, and unobservable inputs such as implied volatilities, unit contingent discounts, expected basis differences, and credit adjusted counterparty interest rates. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight and the Entergy Wholesale Commodities Accounting group. The primary related functions of the Office of Corporate Risk Oversight include: gathering, validating and reporting market data, providing market risk analyses and valuations in support of Entergy Wholesale Commodities’ commercial transactions, developing and administering protocols for the management of market risks, and implementing and maintaining controls around changes to market data in the energy trading and risk management system. The Office of Corporate Risk Oversight is also responsible for managing the energy trading and risk management system, forecasting revenues, forward positions and analysis. The Entergy Wholesale Commodities Accounting group performs functions related to market and counterparty settlements, revenue reporting and analysis, and financial accounting. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer while the Entergy Wholesale Commodities Accounting group reports to the Chief Accounting Officer. The amounts reflected as the fair value of electricity swaps are based on the estimated amount that the contracts are in-the-money at the balance sheet date (treated as an asset) or out-of-the-money at the balance sheet date (treated as a liability) and would equal the estimated amount receivable to or payable by Entergy if the contracts were settled at that date. These derivative contracts include cash flow hedges that swap fixed for floating cash flows for sales of the output from the Entergy Wholesale Commodities business. The fair values are based on the mark-to-market comparison between the fixed contract prices and the floating prices determined each period from quoted forward power market prices. The differences between the fixed price in the swap contract and these market-related prices multiplied by the volume specified in the contract and discounted at the counterparties’ credit adjusted risk free rate are recorded as derivative contract assets or liabilities. For contracts that have unit contingent terms, a further discount is applied based on the historical relationship between contract and market prices for similar contract terms. The amounts reflected as th |
Entergy Arkansas [Member] | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs that are recovered from customers. As a wholesale generator, Entergy Wholesale Commodities’ core business is selling energy, measured in MWh, to its customers. Entergy Wholesale Commodities enters into forward contracts with its customers and also sells energy and capacity in the day ahead or spot markets. In addition to its forward physical power and gas contracts, Entergy Wholesale Commodities may also use a combination of financial contracts, including swaps, collars, and options, to mitigate commodity price risk. When the market price falls, the combination of instruments is expected to settle in gains that offset lower revenue from generation, which results in a more predictable cash flow. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options and interest rate swaps. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy enters into derivatives to manage natural risks inherent in its physical or financial assets or liabilities. Electricity over-the-counter instruments and futures contracts that financially settle against day-ahead power pool prices are used to manage price exposure for Entergy Wholesale Commodities generation. The maximum length of time over which Entergy Wholesale Commodities is currently hedging the variability in future cash flows with derivatives for forecasted power transactions at June 30, 2020 is approximately 9 months. Planned generation currently under contract from Entergy Wholesale Commodities nuclear power plants is 97% for the remainder of 2020, of which approximately 61% is sold under financial derivatives and the remainder under normal purchase/normal sale contracts. Total planned generation for the remainder of 2020 is 7.2 TWh. Entergy may use standardized master netting agreements to help mitigate the credit risk of derivative instruments. These master agreements facilitate the netting of cash flows associated with a single counterparty and may include collateral requirements. Cash, letters of credit, and parental/affiliate guarantees may be obtained as security from counterparties in order to mitigate credit risk. The collateral agreements require a counterparty to post cash or letters of credit in the event an exposure exceeds an established threshold. The threshold represents an unsecured credit limit, which may be supported by a parental/affiliate guarantee, as determined in accordance with Entergy’s credit policy. In addition, collateral agreements allow for termination and liquidation of all positions in the event of a failure or inability to post collateral. Certain of the agreements to sell the power produced by Entergy Wholesale Commodities power plants contain provisions that require an Entergy subsidiary to provide credit support to secure its obligations depending on the mark-to-market values of the contracts. The primary form of credit support to satisfy these requirements is an Entergy Corporation guarantee. As of June 30, 2020, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $6 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $41 million in letters of credit were required to be posted by its counterparties to the Entergy subsidiary. As of December 31, 2019, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $11 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $1 million in cash collateral and $98 million in letters of credit were required to be posted by it counterparties to the Entergy subsidiary. If the Entergy Corporation credit rating falls below investment grade, Entergy would have to post collateral equal to the estimated outstanding liability under the contract at the applicable date. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy had executed natural gas swaps and options as of June 30, 2020 was 3.75 years for Entergy Louisiana and the maximum length of time over which Entergy had executed natural gas swaps as of June 30, 2020 was 9 months for Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of June 30, 2020 was 37,862,000 MMBtu for Entergy, including 27,400,000 MMBtu for Entergy Louisiana and 10,462,000 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2020, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2020 through May 31, 2021. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy Wholesale Commodities are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of June 30, 2020 was 129,379 GWh for Entergy, including 30,375 GWh for Entergy Arkansas, 61,443 GWh for Entergy Louisiana, 14,461 GWh for Entergy Mississippi, 5,873 GWh for Entergy New Orleans, and 16,793 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy Wholesale Commodities is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy Wholesale Commodities as of June 30, 2020 and December 31, 2019. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Mississippi as of June 30, 2020 and December 31, 2019. The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $49 ($4) $45 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $4 $— $4 Entergy Wholesale Commodities Natural gas swaps and options Prepayments and other (current portion) $1 $— $1 Utility Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $23 ($1) $22 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $3 ($3) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $6 $— $6 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of December 31, 2019 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $92 ($1) $91 Entergy Wholesale Commodities Electricity swaps and options Other deferred debits and other assets (non-current portion) $17 $— $17 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $11 ($1) $10 Entergy Wholesale Commodities Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $10 $— $10 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $2 ($2) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $5 $— $5 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheet (d) Excludes cash collateral in the amount of $6 million posted as of June 30, 2020 and $11 million posted and $1 million held as of December 31, 2019. Also excludes letters of credit in the amount of $8 million posted and $41 million held as of June 30, 2020 and $98 million held as of December 31, 2019. The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options ($7) Competitive businesses operating revenues $25 2019 Electricity swaps and options $126 Competitive businesses operating revenues $6 (a) Before taxes of $5 million and $1 million for the three months ended June 30, 2020 and 2019, respectively The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options $60 Competitive businesses operating revenues $120 2019 Electricity swaps and options $152 Competitive businesses operating revenues $57 (a) Before taxes of $25 million and $12 million for the six months ended June 30, 2020 and 2019, respectively Based on market prices as of June 30, 2020, unrealized gains (losses) recorded in accumulated other comprehensive income on cash flow hedges relating to power sales totaled $48 million of net unrealized gains. Approximately $48 million is expected to be reclassified from accumulated other comprehensive income to operating revenues in the next twelve months. The actual amount reclassified from accumulated other comprehensive income, however, could vary due to future changes in market prices. Entergy may effectively liquidate a cash flow hedge instrument by entering into a contract offsetting the original hedge, and then de-designating the original hedge in this situation. Gains or losses accumulated in other comprehensive income prior to de-designation continue to be deferred in other comprehensive income until they are included in income as the original hedged transaction occurs. From the point of de-designation, the gains or losses on the original hedge and the offsetting contract are recorded as assets or liabilities on the balance sheet and offset as they flow through to earnings. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($3) Financial transmission rights Purchased power expense (b) $15 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($6) Financial transmission rights Purchased power expense (b) $32 Electricity swaps and options (c) Competitive business operating revenues ($2) The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($9) Financial transmission rights Purchased power expense (b) $28 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($7) Financial transmission rights Purchased power expense (b) $53 Electricity swaps and options (c) Competitive business operating revenues $3 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. (c) There were no gains (losses) recognized in accumulated other comprehensive income from electricity swaps and options. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $0.8 $— $0.8 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets (non-current portion) $0.6 $— $0.6 Entergy Louisiana Financial transmission rights Prepayments and other $6.3 ($0.2) $6.1 Entergy Arkansas Financial transmission rights Prepayments and other $12.7 ($0.2) $12.5 Entergy Louisiana Financial transmission rights Prepayments and other $1.1 $— $1.1 Entergy Mississippi Financial transmission rights Prepayments and other $2.6 $— $2.6 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $1.7 $— $1.7 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $4.3 $— $4.3 Entergy Mississippi Financial transmission rights Other current liabilities $0.3 ($0.5) $0.2 Entergy New Orleans The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2019 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Other deferred debits and other assets $0.8 $— $0.8 Entergy Louisiana Financial transmission rights Prepayments and other $3.4 ($0.1) $3.3 Entergy Arkansas Financial transmission rights Prepayments and other $4.5 $— $4.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.8 $— $0.8 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $0.3 Entergy New Orleans Financial transmission rights Prepayments and other $1.0 ($0.1) $0.9 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $2.4 $— $2.4 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $2.3 $— $2.3 Entergy Mississippi Natural gas swaps Other current liabilities $0.2 $— $0.2 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. As of December 31, 2019, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $4.8 (b) Entergy Arkansas Financial transmission rights Purchased power expense $5.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.4) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.2 (b) Entergy New Orleans Financial transmission rights Purchased power expense $5.3 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($2.7) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($3.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $3.6 (b) Entergy Arkansas Financial transmission rights Purchased power expense $17.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense $2.2 (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.7 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.8 (b) Entergy Texas The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.3) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($7.7) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($0.4) (a) Entergy New Orleans Financial transmission rights Purchased power expense $9.4 (b) Entergy Arkansas Financial transmission rights Purchased power expense $10.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.5) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.6 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.9) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($5.2) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $0.2 (a) Entergy New Orleans Financial transmission rights Purchased power expense $12.0 (b) Entergy Arkansas Financial transmission rights Purchased power expense $26.5 (b) Entergy Louisiana Financial transmission rights Purchased power expense $3.3 (b) Entergy Mississippi Financial transmission rights Purchased power expense $2.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $8.1 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments other than those instruments held by the Entergy Wholesale Commodities business are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights and derivative power contracts used as cash flow hedges of power sales at merchant power plants. The values for power contract assets or liabilities are based on both observable inputs including public market prices and interest rates, and unobservable inputs such as implied volatilities, unit contingent discounts, expected basis differences, and credit adjusted counterparty interest rates. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight and the Entergy Wholesale Commodities Accounting group. The primary related functions of the Office of Corporate Risk Oversight include: gathering, validating and reporting market data, providing market risk analyses and valuations in support of Entergy Wholesale Commodities’ commercial transactions, developing and administering protocols for the management of market risks, and implementing and maintaining controls around changes to market data in the energy trading and risk management system. The Office of Corporate Risk Oversight is also responsible for managing the energy trading and risk management system, forecasting revenues, forward positions and analysis. The Entergy Wholesale Commodities Accounting group performs functions related to market and counterparty settlements, revenue reporting and analysis, and financial accounting. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer while the Entergy Wholesale Commodities Accounting group reports to the Chief Accounting Officer. The amounts reflected as the fair value of electricity swaps are based on the estimated amount that the contracts are in-the-money at the balance sheet date (treated as an asset) or out-of-the-money at the balance sheet date (treated as a liability) and would equal the estimated amount receivable to or payable by Entergy if the contracts were settled at that date. These derivative contracts include cash flow hedges that swap fixed for floating cash flows for sales of the output from the Entergy Wholesale Commodities business. The fair values are based on the mark-to-market comparison between the fixed contract prices and the floating prices determined each period from quoted forward power market prices. The differences between the fixed price in the swap contract and these market-related prices multiplied by the volume specified in the contract and discounted at the counterparties’ credit adjusted risk free rate are recorded as derivative contract assets or liabilities. For contracts that have unit contingent terms, a further discount is applied based on the historical relationship between contract and market prices for similar contract terms. The amounts reflected as th |
Entergy Louisiana [Member] | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs that are recovered from customers. As a wholesale generator, Entergy Wholesale Commodities’ core business is selling energy, measured in MWh, to its customers. Entergy Wholesale Commodities enters into forward contracts with its customers and also sells energy and capacity in the day ahead or spot markets. In addition to its forward physical power and gas contracts, Entergy Wholesale Commodities may also use a combination of financial contracts, including swaps, collars, and options, to mitigate commodity price risk. When the market price falls, the combination of instruments is expected to settle in gains that offset lower revenue from generation, which results in a more predictable cash flow. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options and interest rate swaps. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy enters into derivatives to manage natural risks inherent in its physical or financial assets or liabilities. Electricity over-the-counter instruments and futures contracts that financially settle against day-ahead power pool prices are used to manage price exposure for Entergy Wholesale Commodities generation. The maximum length of time over which Entergy Wholesale Commodities is currently hedging the variability in future cash flows with derivatives for forecasted power transactions at June 30, 2020 is approximately 9 months. Planned generation currently under contract from Entergy Wholesale Commodities nuclear power plants is 97% for the remainder of 2020, of which approximately 61% is sold under financial derivatives and the remainder under normal purchase/normal sale contracts. Total planned generation for the remainder of 2020 is 7.2 TWh. Entergy may use standardized master netting agreements to help mitigate the credit risk of derivative instruments. These master agreements facilitate the netting of cash flows associated with a single counterparty and may include collateral requirements. Cash, letters of credit, and parental/affiliate guarantees may be obtained as security from counterparties in order to mitigate credit risk. The collateral agreements require a counterparty to post cash or letters of credit in the event an exposure exceeds an established threshold. The threshold represents an unsecured credit limit, which may be supported by a parental/affiliate guarantee, as determined in accordance with Entergy’s credit policy. In addition, collateral agreements allow for termination and liquidation of all positions in the event of a failure or inability to post collateral. Certain of the agreements to sell the power produced by Entergy Wholesale Commodities power plants contain provisions that require an Entergy subsidiary to provide credit support to secure its obligations depending on the mark-to-market values of the contracts. The primary form of credit support to satisfy these requirements is an Entergy Corporation guarantee. As of June 30, 2020, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $6 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $41 million in letters of credit were required to be posted by its counterparties to the Entergy subsidiary. As of December 31, 2019, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $11 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $1 million in cash collateral and $98 million in letters of credit were required to be posted by it counterparties to the Entergy subsidiary. If the Entergy Corporation credit rating falls below investment grade, Entergy would have to post collateral equal to the estimated outstanding liability under the contract at the applicable date. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy had executed natural gas swaps and options as of June 30, 2020 was 3.75 years for Entergy Louisiana and the maximum length of time over which Entergy had executed natural gas swaps as of June 30, 2020 was 9 months for Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of June 30, 2020 was 37,862,000 MMBtu for Entergy, including 27,400,000 MMBtu for Entergy Louisiana and 10,462,000 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2020, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2020 through May 31, 2021. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy Wholesale Commodities are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of June 30, 2020 was 129,379 GWh for Entergy, including 30,375 GWh for Entergy Arkansas, 61,443 GWh for Entergy Louisiana, 14,461 GWh for Entergy Mississippi, 5,873 GWh for Entergy New Orleans, and 16,793 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy Wholesale Commodities is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy Wholesale Commodities as of June 30, 2020 and December 31, 2019. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Mississippi as of June 30, 2020 and December 31, 2019. The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $49 ($4) $45 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $4 $— $4 Entergy Wholesale Commodities Natural gas swaps and options Prepayments and other (current portion) $1 $— $1 Utility Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $23 ($1) $22 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $3 ($3) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $6 $— $6 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of December 31, 2019 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $92 ($1) $91 Entergy Wholesale Commodities Electricity swaps and options Other deferred debits and other assets (non-current portion) $17 $— $17 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $11 ($1) $10 Entergy Wholesale Commodities Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $10 $— $10 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $2 ($2) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $5 $— $5 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheet (d) Excludes cash collateral in the amount of $6 million posted as of June 30, 2020 and $11 million posted and $1 million held as of December 31, 2019. Also excludes letters of credit in the amount of $8 million posted and $41 million held as of June 30, 2020 and $98 million held as of December 31, 2019. The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options ($7) Competitive businesses operating revenues $25 2019 Electricity swaps and options $126 Competitive businesses operating revenues $6 (a) Before taxes of $5 million and $1 million for the three months ended June 30, 2020 and 2019, respectively The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options $60 Competitive businesses operating revenues $120 2019 Electricity swaps and options $152 Competitive businesses operating revenues $57 (a) Before taxes of $25 million and $12 million for the six months ended June 30, 2020 and 2019, respectively Based on market prices as of June 30, 2020, unrealized gains (losses) recorded in accumulated other comprehensive income on cash flow hedges relating to power sales totaled $48 million of net unrealized gains. Approximately $48 million is expected to be reclassified from accumulated other comprehensive income to operating revenues in the next twelve months. The actual amount reclassified from accumulated other comprehensive income, however, could vary due to future changes in market prices. Entergy may effectively liquidate a cash flow hedge instrument by entering into a contract offsetting the original hedge, and then de-designating the original hedge in this situation. Gains or losses accumulated in other comprehensive income prior to de-designation continue to be deferred in other comprehensive income until they are included in income as the original hedged transaction occurs. From the point of de-designation, the gains or losses on the original hedge and the offsetting contract are recorded as assets or liabilities on the balance sheet and offset as they flow through to earnings. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($3) Financial transmission rights Purchased power expense (b) $15 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($6) Financial transmission rights Purchased power expense (b) $32 Electricity swaps and options (c) Competitive business operating revenues ($2) The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($9) Financial transmission rights Purchased power expense (b) $28 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($7) Financial transmission rights Purchased power expense (b) $53 Electricity swaps and options (c) Competitive business operating revenues $3 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. (c) There were no gains (losses) recognized in accumulated other comprehensive income from electricity swaps and options. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $0.8 $— $0.8 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets (non-current portion) $0.6 $— $0.6 Entergy Louisiana Financial transmission rights Prepayments and other $6.3 ($0.2) $6.1 Entergy Arkansas Financial transmission rights Prepayments and other $12.7 ($0.2) $12.5 Entergy Louisiana Financial transmission rights Prepayments and other $1.1 $— $1.1 Entergy Mississippi Financial transmission rights Prepayments and other $2.6 $— $2.6 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $1.7 $— $1.7 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $4.3 $— $4.3 Entergy Mississippi Financial transmission rights Other current liabilities $0.3 ($0.5) $0.2 Entergy New Orleans The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2019 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Other deferred debits and other assets $0.8 $— $0.8 Entergy Louisiana Financial transmission rights Prepayments and other $3.4 ($0.1) $3.3 Entergy Arkansas Financial transmission rights Prepayments and other $4.5 $— $4.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.8 $— $0.8 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $0.3 Entergy New Orleans Financial transmission rights Prepayments and other $1.0 ($0.1) $0.9 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $2.4 $— $2.4 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $2.3 $— $2.3 Entergy Mississippi Natural gas swaps Other current liabilities $0.2 $— $0.2 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. As of December 31, 2019, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $4.8 (b) Entergy Arkansas Financial transmission rights Purchased power expense $5.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.4) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.2 (b) Entergy New Orleans Financial transmission rights Purchased power expense $5.3 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($2.7) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($3.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $3.6 (b) Entergy Arkansas Financial transmission rights Purchased power expense $17.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense $2.2 (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.7 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.8 (b) Entergy Texas The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.3) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($7.7) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($0.4) (a) Entergy New Orleans Financial transmission rights Purchased power expense $9.4 (b) Entergy Arkansas Financial transmission rights Purchased power expense $10.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.5) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.6 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.9) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($5.2) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $0.2 (a) Entergy New Orleans Financial transmission rights Purchased power expense $12.0 (b) Entergy Arkansas Financial transmission rights Purchased power expense $26.5 (b) Entergy Louisiana Financial transmission rights Purchased power expense $3.3 (b) Entergy Mississippi Financial transmission rights Purchased power expense $2.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $8.1 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments other than those instruments held by the Entergy Wholesale Commodities business are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights and derivative power contracts used as cash flow hedges of power sales at merchant power plants. The values for power contract assets or liabilities are based on both observable inputs including public market prices and interest rates, and unobservable inputs such as implied volatilities, unit contingent discounts, expected basis differences, and credit adjusted counterparty interest rates. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight and the Entergy Wholesale Commodities Accounting group. The primary related functions of the Office of Corporate Risk Oversight include: gathering, validating and reporting market data, providing market risk analyses and valuations in support of Entergy Wholesale Commodities’ commercial transactions, developing and administering protocols for the management of market risks, and implementing and maintaining controls around changes to market data in the energy trading and risk management system. The Office of Corporate Risk Oversight is also responsible for managing the energy trading and risk management system, forecasting revenues, forward positions and analysis. The Entergy Wholesale Commodities Accounting group performs functions related to market and counterparty settlements, revenue reporting and analysis, and financial accounting. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer while the Entergy Wholesale Commodities Accounting group reports to the Chief Accounting Officer. The amounts reflected as the fair value of electricity swaps are based on the estimated amount that the contracts are in-the-money at the balance sheet date (treated as an asset) or out-of-the-money at the balance sheet date (treated as a liability) and would equal the estimated amount receivable to or payable by Entergy if the contracts were settled at that date. These derivative contracts include cash flow hedges that swap fixed for floating cash flows for sales of the output from the Entergy Wholesale Commodities business. The fair values are based on the mark-to-market comparison between the fixed contract prices and the floating prices determined each period from quoted forward power market prices. The differences between the fixed price in the swap contract and these market-related prices multiplied by the volume specified in the contract and discounted at the counterparties’ credit adjusted risk free rate are recorded as derivative contract assets or liabilities. For contracts that have unit contingent terms, a further discount is applied based on the historical relationship between contract and market prices for similar contract terms. The amounts reflected as th |
Entergy Mississippi [Member] | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs that are recovered from customers. As a wholesale generator, Entergy Wholesale Commodities’ core business is selling energy, measured in MWh, to its customers. Entergy Wholesale Commodities enters into forward contracts with its customers and also sells energy and capacity in the day ahead or spot markets. In addition to its forward physical power and gas contracts, Entergy Wholesale Commodities may also use a combination of financial contracts, including swaps, collars, and options, to mitigate commodity price risk. When the market price falls, the combination of instruments is expected to settle in gains that offset lower revenue from generation, which results in a more predictable cash flow. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options and interest rate swaps. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy enters into derivatives to manage natural risks inherent in its physical or financial assets or liabilities. Electricity over-the-counter instruments and futures contracts that financially settle against day-ahead power pool prices are used to manage price exposure for Entergy Wholesale Commodities generation. The maximum length of time over which Entergy Wholesale Commodities is currently hedging the variability in future cash flows with derivatives for forecasted power transactions at June 30, 2020 is approximately 9 months. Planned generation currently under contract from Entergy Wholesale Commodities nuclear power plants is 97% for the remainder of 2020, of which approximately 61% is sold under financial derivatives and the remainder under normal purchase/normal sale contracts. Total planned generation for the remainder of 2020 is 7.2 TWh. Entergy may use standardized master netting agreements to help mitigate the credit risk of derivative instruments. These master agreements facilitate the netting of cash flows associated with a single counterparty and may include collateral requirements. Cash, letters of credit, and parental/affiliate guarantees may be obtained as security from counterparties in order to mitigate credit risk. The collateral agreements require a counterparty to post cash or letters of credit in the event an exposure exceeds an established threshold. The threshold represents an unsecured credit limit, which may be supported by a parental/affiliate guarantee, as determined in accordance with Entergy’s credit policy. In addition, collateral agreements allow for termination and liquidation of all positions in the event of a failure or inability to post collateral. Certain of the agreements to sell the power produced by Entergy Wholesale Commodities power plants contain provisions that require an Entergy subsidiary to provide credit support to secure its obligations depending on the mark-to-market values of the contracts. The primary form of credit support to satisfy these requirements is an Entergy Corporation guarantee. As of June 30, 2020, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $6 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $41 million in letters of credit were required to be posted by its counterparties to the Entergy subsidiary. As of December 31, 2019, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $11 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $1 million in cash collateral and $98 million in letters of credit were required to be posted by it counterparties to the Entergy subsidiary. If the Entergy Corporation credit rating falls below investment grade, Entergy would have to post collateral equal to the estimated outstanding liability under the contract at the applicable date. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy had executed natural gas swaps and options as of June 30, 2020 was 3.75 years for Entergy Louisiana and the maximum length of time over which Entergy had executed natural gas swaps as of June 30, 2020 was 9 months for Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of June 30, 2020 was 37,862,000 MMBtu for Entergy, including 27,400,000 MMBtu for Entergy Louisiana and 10,462,000 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2020, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2020 through May 31, 2021. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy Wholesale Commodities are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of June 30, 2020 was 129,379 GWh for Entergy, including 30,375 GWh for Entergy Arkansas, 61,443 GWh for Entergy Louisiana, 14,461 GWh for Entergy Mississippi, 5,873 GWh for Entergy New Orleans, and 16,793 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy Wholesale Commodities is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy Wholesale Commodities as of June 30, 2020 and December 31, 2019. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Mississippi as of June 30, 2020 and December 31, 2019. The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $49 ($4) $45 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $4 $— $4 Entergy Wholesale Commodities Natural gas swaps and options Prepayments and other (current portion) $1 $— $1 Utility Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $23 ($1) $22 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $3 ($3) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $6 $— $6 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of December 31, 2019 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $92 ($1) $91 Entergy Wholesale Commodities Electricity swaps and options Other deferred debits and other assets (non-current portion) $17 $— $17 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $11 ($1) $10 Entergy Wholesale Commodities Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $10 $— $10 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $2 ($2) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $5 $— $5 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheet (d) Excludes cash collateral in the amount of $6 million posted as of June 30, 2020 and $11 million posted and $1 million held as of December 31, 2019. Also excludes letters of credit in the amount of $8 million posted and $41 million held as of June 30, 2020 and $98 million held as of December 31, 2019. The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options ($7) Competitive businesses operating revenues $25 2019 Electricity swaps and options $126 Competitive businesses operating revenues $6 (a) Before taxes of $5 million and $1 million for the three months ended June 30, 2020 and 2019, respectively The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options $60 Competitive businesses operating revenues $120 2019 Electricity swaps and options $152 Competitive businesses operating revenues $57 (a) Before taxes of $25 million and $12 million for the six months ended June 30, 2020 and 2019, respectively Based on market prices as of June 30, 2020, unrealized gains (losses) recorded in accumulated other comprehensive income on cash flow hedges relating to power sales totaled $48 million of net unrealized gains. Approximately $48 million is expected to be reclassified from accumulated other comprehensive income to operating revenues in the next twelve months. The actual amount reclassified from accumulated other comprehensive income, however, could vary due to future changes in market prices. Entergy may effectively liquidate a cash flow hedge instrument by entering into a contract offsetting the original hedge, and then de-designating the original hedge in this situation. Gains or losses accumulated in other comprehensive income prior to de-designation continue to be deferred in other comprehensive income until they are included in income as the original hedged transaction occurs. From the point of de-designation, the gains or losses on the original hedge and the offsetting contract are recorded as assets or liabilities on the balance sheet and offset as they flow through to earnings. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($3) Financial transmission rights Purchased power expense (b) $15 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($6) Financial transmission rights Purchased power expense (b) $32 Electricity swaps and options (c) Competitive business operating revenues ($2) The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($9) Financial transmission rights Purchased power expense (b) $28 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($7) Financial transmission rights Purchased power expense (b) $53 Electricity swaps and options (c) Competitive business operating revenues $3 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. (c) There were no gains (losses) recognized in accumulated other comprehensive income from electricity swaps and options. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $0.8 $— $0.8 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets (non-current portion) $0.6 $— $0.6 Entergy Louisiana Financial transmission rights Prepayments and other $6.3 ($0.2) $6.1 Entergy Arkansas Financial transmission rights Prepayments and other $12.7 ($0.2) $12.5 Entergy Louisiana Financial transmission rights Prepayments and other $1.1 $— $1.1 Entergy Mississippi Financial transmission rights Prepayments and other $2.6 $— $2.6 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $1.7 $— $1.7 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $4.3 $— $4.3 Entergy Mississippi Financial transmission rights Other current liabilities $0.3 ($0.5) $0.2 Entergy New Orleans The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2019 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Other deferred debits and other assets $0.8 $— $0.8 Entergy Louisiana Financial transmission rights Prepayments and other $3.4 ($0.1) $3.3 Entergy Arkansas Financial transmission rights Prepayments and other $4.5 $— $4.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.8 $— $0.8 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $0.3 Entergy New Orleans Financial transmission rights Prepayments and other $1.0 ($0.1) $0.9 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $2.4 $— $2.4 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $2.3 $— $2.3 Entergy Mississippi Natural gas swaps Other current liabilities $0.2 $— $0.2 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. As of December 31, 2019, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $4.8 (b) Entergy Arkansas Financial transmission rights Purchased power expense $5.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.4) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.2 (b) Entergy New Orleans Financial transmission rights Purchased power expense $5.3 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($2.7) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($3.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $3.6 (b) Entergy Arkansas Financial transmission rights Purchased power expense $17.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense $2.2 (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.7 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.8 (b) Entergy Texas The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.3) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($7.7) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($0.4) (a) Entergy New Orleans Financial transmission rights Purchased power expense $9.4 (b) Entergy Arkansas Financial transmission rights Purchased power expense $10.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.5) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.6 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.9) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($5.2) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $0.2 (a) Entergy New Orleans Financial transmission rights Purchased power expense $12.0 (b) Entergy Arkansas Financial transmission rights Purchased power expense $26.5 (b) Entergy Louisiana Financial transmission rights Purchased power expense $3.3 (b) Entergy Mississippi Financial transmission rights Purchased power expense $2.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $8.1 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments other than those instruments held by the Entergy Wholesale Commodities business are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights and derivative power contracts used as cash flow hedges of power sales at merchant power plants. The values for power contract assets or liabilities are based on both observable inputs including public market prices and interest rates, and unobservable inputs such as implied volatilities, unit contingent discounts, expected basis differences, and credit adjusted counterparty interest rates. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight and the Entergy Wholesale Commodities Accounting group. The primary related functions of the Office of Corporate Risk Oversight include: gathering, validating and reporting market data, providing market risk analyses and valuations in support of Entergy Wholesale Commodities’ commercial transactions, developing and administering protocols for the management of market risks, and implementing and maintaining controls around changes to market data in the energy trading and risk management system. The Office of Corporate Risk Oversight is also responsible for managing the energy trading and risk management system, forecasting revenues, forward positions and analysis. The Entergy Wholesale Commodities Accounting group performs functions related to market and counterparty settlements, revenue reporting and analysis, and financial accounting. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer while the Entergy Wholesale Commodities Accounting group reports to the Chief Accounting Officer. The amounts reflected as the fair value of electricity swaps are based on the estimated amount that the contracts are in-the-money at the balance sheet date (treated as an asset) or out-of-the-money at the balance sheet date (treated as a liability) and would equal the estimated amount receivable to or payable by Entergy if the contracts were settled at that date. These derivative contracts include cash flow hedges that swap fixed for floating cash flows for sales of the output from the Entergy Wholesale Commodities business. The fair values are based on the mark-to-market comparison between the fixed contract prices and the floating prices determined each period from quoted forward power market prices. The differences between the fixed price in the swap contract and these market-related prices multiplied by the volume specified in the contract and discounted at the counterparties’ credit adjusted risk free rate are recorded as derivative contract assets or liabilities. For contracts that have unit contingent terms, a further discount is applied based on the historical relationship between contract and market prices for similar contract terms. The amounts reflected as th |
Entergy New Orleans [Member] | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs that are recovered from customers. As a wholesale generator, Entergy Wholesale Commodities’ core business is selling energy, measured in MWh, to its customers. Entergy Wholesale Commodities enters into forward contracts with its customers and also sells energy and capacity in the day ahead or spot markets. In addition to its forward physical power and gas contracts, Entergy Wholesale Commodities may also use a combination of financial contracts, including swaps, collars, and options, to mitigate commodity price risk. When the market price falls, the combination of instruments is expected to settle in gains that offset lower revenue from generation, which results in a more predictable cash flow. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options and interest rate swaps. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy enters into derivatives to manage natural risks inherent in its physical or financial assets or liabilities. Electricity over-the-counter instruments and futures contracts that financially settle against day-ahead power pool prices are used to manage price exposure for Entergy Wholesale Commodities generation. The maximum length of time over which Entergy Wholesale Commodities is currently hedging the variability in future cash flows with derivatives for forecasted power transactions at June 30, 2020 is approximately 9 months. Planned generation currently under contract from Entergy Wholesale Commodities nuclear power plants is 97% for the remainder of 2020, of which approximately 61% is sold under financial derivatives and the remainder under normal purchase/normal sale contracts. Total planned generation for the remainder of 2020 is 7.2 TWh. Entergy may use standardized master netting agreements to help mitigate the credit risk of derivative instruments. These master agreements facilitate the netting of cash flows associated with a single counterparty and may include collateral requirements. Cash, letters of credit, and parental/affiliate guarantees may be obtained as security from counterparties in order to mitigate credit risk. The collateral agreements require a counterparty to post cash or letters of credit in the event an exposure exceeds an established threshold. The threshold represents an unsecured credit limit, which may be supported by a parental/affiliate guarantee, as determined in accordance with Entergy’s credit policy. In addition, collateral agreements allow for termination and liquidation of all positions in the event of a failure or inability to post collateral. Certain of the agreements to sell the power produced by Entergy Wholesale Commodities power plants contain provisions that require an Entergy subsidiary to provide credit support to secure its obligations depending on the mark-to-market values of the contracts. The primary form of credit support to satisfy these requirements is an Entergy Corporation guarantee. As of June 30, 2020, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $6 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $41 million in letters of credit were required to be posted by its counterparties to the Entergy subsidiary. As of December 31, 2019, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $11 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $1 million in cash collateral and $98 million in letters of credit were required to be posted by it counterparties to the Entergy subsidiary. If the Entergy Corporation credit rating falls below investment grade, Entergy would have to post collateral equal to the estimated outstanding liability under the contract at the applicable date. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy had executed natural gas swaps and options as of June 30, 2020 was 3.75 years for Entergy Louisiana and the maximum length of time over which Entergy had executed natural gas swaps as of June 30, 2020 was 9 months for Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of June 30, 2020 was 37,862,000 MMBtu for Entergy, including 27,400,000 MMBtu for Entergy Louisiana and 10,462,000 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2020, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2020 through May 31, 2021. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy Wholesale Commodities are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of June 30, 2020 was 129,379 GWh for Entergy, including 30,375 GWh for Entergy Arkansas, 61,443 GWh for Entergy Louisiana, 14,461 GWh for Entergy Mississippi, 5,873 GWh for Entergy New Orleans, and 16,793 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy Wholesale Commodities is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy Wholesale Commodities as of June 30, 2020 and December 31, 2019. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Mississippi as of June 30, 2020 and December 31, 2019. The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $49 ($4) $45 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $4 $— $4 Entergy Wholesale Commodities Natural gas swaps and options Prepayments and other (current portion) $1 $— $1 Utility Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $23 ($1) $22 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $3 ($3) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $6 $— $6 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of December 31, 2019 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $92 ($1) $91 Entergy Wholesale Commodities Electricity swaps and options Other deferred debits and other assets (non-current portion) $17 $— $17 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $11 ($1) $10 Entergy Wholesale Commodities Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $10 $— $10 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $2 ($2) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $5 $— $5 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheet (d) Excludes cash collateral in the amount of $6 million posted as of June 30, 2020 and $11 million posted and $1 million held as of December 31, 2019. Also excludes letters of credit in the amount of $8 million posted and $41 million held as of June 30, 2020 and $98 million held as of December 31, 2019. The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options ($7) Competitive businesses operating revenues $25 2019 Electricity swaps and options $126 Competitive businesses operating revenues $6 (a) Before taxes of $5 million and $1 million for the three months ended June 30, 2020 and 2019, respectively The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options $60 Competitive businesses operating revenues $120 2019 Electricity swaps and options $152 Competitive businesses operating revenues $57 (a) Before taxes of $25 million and $12 million for the six months ended June 30, 2020 and 2019, respectively Based on market prices as of June 30, 2020, unrealized gains (losses) recorded in accumulated other comprehensive income on cash flow hedges relating to power sales totaled $48 million of net unrealized gains. Approximately $48 million is expected to be reclassified from accumulated other comprehensive income to operating revenues in the next twelve months. The actual amount reclassified from accumulated other comprehensive income, however, could vary due to future changes in market prices. Entergy may effectively liquidate a cash flow hedge instrument by entering into a contract offsetting the original hedge, and then de-designating the original hedge in this situation. Gains or losses accumulated in other comprehensive income prior to de-designation continue to be deferred in other comprehensive income until they are included in income as the original hedged transaction occurs. From the point of de-designation, the gains or losses on the original hedge and the offsetting contract are recorded as assets or liabilities on the balance sheet and offset as they flow through to earnings. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($3) Financial transmission rights Purchased power expense (b) $15 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($6) Financial transmission rights Purchased power expense (b) $32 Electricity swaps and options (c) Competitive business operating revenues ($2) The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($9) Financial transmission rights Purchased power expense (b) $28 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($7) Financial transmission rights Purchased power expense (b) $53 Electricity swaps and options (c) Competitive business operating revenues $3 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. (c) There were no gains (losses) recognized in accumulated other comprehensive income from electricity swaps and options. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $0.8 $— $0.8 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets (non-current portion) $0.6 $— $0.6 Entergy Louisiana Financial transmission rights Prepayments and other $6.3 ($0.2) $6.1 Entergy Arkansas Financial transmission rights Prepayments and other $12.7 ($0.2) $12.5 Entergy Louisiana Financial transmission rights Prepayments and other $1.1 $— $1.1 Entergy Mississippi Financial transmission rights Prepayments and other $2.6 $— $2.6 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $1.7 $— $1.7 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $4.3 $— $4.3 Entergy Mississippi Financial transmission rights Other current liabilities $0.3 ($0.5) $0.2 Entergy New Orleans The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2019 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Other deferred debits and other assets $0.8 $— $0.8 Entergy Louisiana Financial transmission rights Prepayments and other $3.4 ($0.1) $3.3 Entergy Arkansas Financial transmission rights Prepayments and other $4.5 $— $4.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.8 $— $0.8 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $0.3 Entergy New Orleans Financial transmission rights Prepayments and other $1.0 ($0.1) $0.9 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $2.4 $— $2.4 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $2.3 $— $2.3 Entergy Mississippi Natural gas swaps Other current liabilities $0.2 $— $0.2 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. As of December 31, 2019, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $4.8 (b) Entergy Arkansas Financial transmission rights Purchased power expense $5.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.4) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.2 (b) Entergy New Orleans Financial transmission rights Purchased power expense $5.3 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($2.7) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($3.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $3.6 (b) Entergy Arkansas Financial transmission rights Purchased power expense $17.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense $2.2 (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.7 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.8 (b) Entergy Texas The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.3) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($7.7) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($0.4) (a) Entergy New Orleans Financial transmission rights Purchased power expense $9.4 (b) Entergy Arkansas Financial transmission rights Purchased power expense $10.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.5) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.6 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.9) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($5.2) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $0.2 (a) Entergy New Orleans Financial transmission rights Purchased power expense $12.0 (b) Entergy Arkansas Financial transmission rights Purchased power expense $26.5 (b) Entergy Louisiana Financial transmission rights Purchased power expense $3.3 (b) Entergy Mississippi Financial transmission rights Purchased power expense $2.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $8.1 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments other than those instruments held by the Entergy Wholesale Commodities business are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights and derivative power contracts used as cash flow hedges of power sales at merchant power plants. The values for power contract assets or liabilities are based on both observable inputs including public market prices and interest rates, and unobservable inputs such as implied volatilities, unit contingent discounts, expected basis differences, and credit adjusted counterparty interest rates. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight and the Entergy Wholesale Commodities Accounting group. The primary related functions of the Office of Corporate Risk Oversight include: gathering, validating and reporting market data, providing market risk analyses and valuations in support of Entergy Wholesale Commodities’ commercial transactions, developing and administering protocols for the management of market risks, and implementing and maintaining controls around changes to market data in the energy trading and risk management system. The Office of Corporate Risk Oversight is also responsible for managing the energy trading and risk management system, forecasting revenues, forward positions and analysis. The Entergy Wholesale Commodities Accounting group performs functions related to market and counterparty settlements, revenue reporting and analysis, and financial accounting. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer while the Entergy Wholesale Commodities Accounting group reports to the Chief Accounting Officer. The amounts reflected as the fair value of electricity swaps are based on the estimated amount that the contracts are in-the-money at the balance sheet date (treated as an asset) or out-of-the-money at the balance sheet date (treated as a liability) and would equal the estimated amount receivable to or payable by Entergy if the contracts were settled at that date. These derivative contracts include cash flow hedges that swap fixed for floating cash flows for sales of the output from the Entergy Wholesale Commodities business. The fair values are based on the mark-to-market comparison between the fixed contract prices and the floating prices determined each period from quoted forward power market prices. The differences between the fixed price in the swap contract and these market-related prices multiplied by the volume specified in the contract and discounted at the counterparties’ credit adjusted risk free rate are recorded as derivative contract assets or liabilities. For contracts that have unit contingent terms, a further discount is applied based on the historical relationship between contract and market prices for similar contract terms. The amounts reflected as th |
Entergy Texas [Member] | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs that are recovered from customers. As a wholesale generator, Entergy Wholesale Commodities’ core business is selling energy, measured in MWh, to its customers. Entergy Wholesale Commodities enters into forward contracts with its customers and also sells energy and capacity in the day ahead or spot markets. In addition to its forward physical power and gas contracts, Entergy Wholesale Commodities may also use a combination of financial contracts, including swaps, collars, and options, to mitigate commodity price risk. When the market price falls, the combination of instruments is expected to settle in gains that offset lower revenue from generation, which results in a more predictable cash flow. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options and interest rate swaps. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy enters into derivatives to manage natural risks inherent in its physical or financial assets or liabilities. Electricity over-the-counter instruments and futures contracts that financially settle against day-ahead power pool prices are used to manage price exposure for Entergy Wholesale Commodities generation. The maximum length of time over which Entergy Wholesale Commodities is currently hedging the variability in future cash flows with derivatives for forecasted power transactions at June 30, 2020 is approximately 9 months. Planned generation currently under contract from Entergy Wholesale Commodities nuclear power plants is 97% for the remainder of 2020, of which approximately 61% is sold under financial derivatives and the remainder under normal purchase/normal sale contracts. Total planned generation for the remainder of 2020 is 7.2 TWh. Entergy may use standardized master netting agreements to help mitigate the credit risk of derivative instruments. These master agreements facilitate the netting of cash flows associated with a single counterparty and may include collateral requirements. Cash, letters of credit, and parental/affiliate guarantees may be obtained as security from counterparties in order to mitigate credit risk. The collateral agreements require a counterparty to post cash or letters of credit in the event an exposure exceeds an established threshold. The threshold represents an unsecured credit limit, which may be supported by a parental/affiliate guarantee, as determined in accordance with Entergy’s credit policy. In addition, collateral agreements allow for termination and liquidation of all positions in the event of a failure or inability to post collateral. Certain of the agreements to sell the power produced by Entergy Wholesale Commodities power plants contain provisions that require an Entergy subsidiary to provide credit support to secure its obligations depending on the mark-to-market values of the contracts. The primary form of credit support to satisfy these requirements is an Entergy Corporation guarantee. As of June 30, 2020, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $6 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $41 million in letters of credit were required to be posted by its counterparties to the Entergy subsidiary. As of December 31, 2019, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $11 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $1 million in cash collateral and $98 million in letters of credit were required to be posted by it counterparties to the Entergy subsidiary. If the Entergy Corporation credit rating falls below investment grade, Entergy would have to post collateral equal to the estimated outstanding liability under the contract at the applicable date. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy had executed natural gas swaps and options as of June 30, 2020 was 3.75 years for Entergy Louisiana and the maximum length of time over which Entergy had executed natural gas swaps as of June 30, 2020 was 9 months for Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of June 30, 2020 was 37,862,000 MMBtu for Entergy, including 27,400,000 MMBtu for Entergy Louisiana and 10,462,000 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2020, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2020 through May 31, 2021. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy Wholesale Commodities are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of June 30, 2020 was 129,379 GWh for Entergy, including 30,375 GWh for Entergy Arkansas, 61,443 GWh for Entergy Louisiana, 14,461 GWh for Entergy Mississippi, 5,873 GWh for Entergy New Orleans, and 16,793 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy Wholesale Commodities is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy Wholesale Commodities as of June 30, 2020 and December 31, 2019. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Mississippi as of June 30, 2020 and December 31, 2019. The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $49 ($4) $45 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $4 $— $4 Entergy Wholesale Commodities Natural gas swaps and options Prepayments and other (current portion) $1 $— $1 Utility Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $23 ($1) $22 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $3 ($3) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $6 $— $6 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of December 31, 2019 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $92 ($1) $91 Entergy Wholesale Commodities Electricity swaps and options Other deferred debits and other assets (non-current portion) $17 $— $17 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $11 ($1) $10 Entergy Wholesale Commodities Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $10 $— $10 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $2 ($2) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $5 $— $5 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheet (d) Excludes cash collateral in the amount of $6 million posted as of June 30, 2020 and $11 million posted and $1 million held as of December 31, 2019. Also excludes letters of credit in the amount of $8 million posted and $41 million held as of June 30, 2020 and $98 million held as of December 31, 2019. The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options ($7) Competitive businesses operating revenues $25 2019 Electricity swaps and options $126 Competitive businesses operating revenues $6 (a) Before taxes of $5 million and $1 million for the three months ended June 30, 2020 and 2019, respectively The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options $60 Competitive businesses operating revenues $120 2019 Electricity swaps and options $152 Competitive businesses operating revenues $57 (a) Before taxes of $25 million and $12 million for the six months ended June 30, 2020 and 2019, respectively Based on market prices as of June 30, 2020, unrealized gains (losses) recorded in accumulated other comprehensive income on cash flow hedges relating to power sales totaled $48 million of net unrealized gains. Approximately $48 million is expected to be reclassified from accumulated other comprehensive income to operating revenues in the next twelve months. The actual amount reclassified from accumulated other comprehensive income, however, could vary due to future changes in market prices. Entergy may effectively liquidate a cash flow hedge instrument by entering into a contract offsetting the original hedge, and then de-designating the original hedge in this situation. Gains or losses accumulated in other comprehensive income prior to de-designation continue to be deferred in other comprehensive income until they are included in income as the original hedged transaction occurs. From the point of de-designation, the gains or losses on the original hedge and the offsetting contract are recorded as assets or liabilities on the balance sheet and offset as they flow through to earnings. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($3) Financial transmission rights Purchased power expense (b) $15 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($6) Financial transmission rights Purchased power expense (b) $32 Electricity swaps and options (c) Competitive business operating revenues ($2) The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($9) Financial transmission rights Purchased power expense (b) $28 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($7) Financial transmission rights Purchased power expense (b) $53 Electricity swaps and options (c) Competitive business operating revenues $3 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. (c) There were no gains (losses) recognized in accumulated other comprehensive income from electricity swaps and options. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $0.8 $— $0.8 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets (non-current portion) $0.6 $— $0.6 Entergy Louisiana Financial transmission rights Prepayments and other $6.3 ($0.2) $6.1 Entergy Arkansas Financial transmission rights Prepayments and other $12.7 ($0.2) $12.5 Entergy Louisiana Financial transmission rights Prepayments and other $1.1 $— $1.1 Entergy Mississippi Financial transmission rights Prepayments and other $2.6 $— $2.6 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $1.7 $— $1.7 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $4.3 $— $4.3 Entergy Mississippi Financial transmission rights Other current liabilities $0.3 ($0.5) $0.2 Entergy New Orleans The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2019 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Other deferred debits and other assets $0.8 $— $0.8 Entergy Louisiana Financial transmission rights Prepayments and other $3.4 ($0.1) $3.3 Entergy Arkansas Financial transmission rights Prepayments and other $4.5 $— $4.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.8 $— $0.8 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $0.3 Entergy New Orleans Financial transmission rights Prepayments and other $1.0 ($0.1) $0.9 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $2.4 $— $2.4 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $2.3 $— $2.3 Entergy Mississippi Natural gas swaps Other current liabilities $0.2 $— $0.2 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. As of December 31, 2019, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $4.8 (b) Entergy Arkansas Financial transmission rights Purchased power expense $5.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.4) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.2 (b) Entergy New Orleans Financial transmission rights Purchased power expense $5.3 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($2.7) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($3.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $3.6 (b) Entergy Arkansas Financial transmission rights Purchased power expense $17.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense $2.2 (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.7 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.8 (b) Entergy Texas The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.3) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($7.7) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($0.4) (a) Entergy New Orleans Financial transmission rights Purchased power expense $9.4 (b) Entergy Arkansas Financial transmission rights Purchased power expense $10.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.5) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.6 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.9) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($5.2) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $0.2 (a) Entergy New Orleans Financial transmission rights Purchased power expense $12.0 (b) Entergy Arkansas Financial transmission rights Purchased power expense $26.5 (b) Entergy Louisiana Financial transmission rights Purchased power expense $3.3 (b) Entergy Mississippi Financial transmission rights Purchased power expense $2.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $8.1 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments other than those instruments held by the Entergy Wholesale Commodities business are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights and derivative power contracts used as cash flow hedges of power sales at merchant power plants. The values for power contract assets or liabilities are based on both observable inputs including public market prices and interest rates, and unobservable inputs such as implied volatilities, unit contingent discounts, expected basis differences, and credit adjusted counterparty interest rates. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight and the Entergy Wholesale Commodities Accounting group. The primary related functions of the Office of Corporate Risk Oversight include: gathering, validating and reporting market data, providing market risk analyses and valuations in support of Entergy Wholesale Commodities’ commercial transactions, developing and administering protocols for the management of market risks, and implementing and maintaining controls around changes to market data in the energy trading and risk management system. The Office of Corporate Risk Oversight is also responsible for managing the energy trading and risk management system, forecasting revenues, forward positions and analysis. The Entergy Wholesale Commodities Accounting group performs functions related to market and counterparty settlements, revenue reporting and analysis, and financial accounting. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer while the Entergy Wholesale Commodities Accounting group reports to the Chief Accounting Officer. The amounts reflected as the fair value of electricity swaps are based on the estimated amount that the contracts are in-the-money at the balance sheet date (treated as an asset) or out-of-the-money at the balance sheet date (treated as a liability) and would equal the estimated amount receivable to or payable by Entergy if the contracts were settled at that date. These derivative contracts include cash flow hedges that swap fixed for floating cash flows for sales of the output from the Entergy Wholesale Commodities business. The fair values are based on the mark-to-market comparison between the fixed contract prices and the floating prices determined each period from quoted forward power market prices. The differences between the fixed price in the swap contract and these market-related prices multiplied by the volume specified in the contract and discounted at the counterparties’ credit adjusted risk free rate are recorded as derivative contract assets or liabilities. For contracts that have unit contingent terms, a further discount is applied based on the historical relationship between contract and market prices for similar contract terms. The amounts reflected as th |
System Energy [Member] | |
Risk Management And Fair Values | RISK MANAGEMENT AND FAIR VALUES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Market Risk In the normal course of business, Entergy is exposed to a number of market risks. Market risk is the potential loss that Entergy may incur as a result of changes in the market or fair value of a particular commodity or instrument. All financial and commodity-related instruments, including derivatives, are subject to market risk including commodity price risk, equity price, and interest rate risk. Entergy uses derivatives primarily to mitigate commodity price risk, particularly power price and fuel price risk. The Utility has limited exposure to the effects of market risk because it operates primarily under cost-based rate regulation. To the extent approved by their retail regulators, the Utility operating companies use derivative instruments to hedge the exposure to price volatility inherent in their purchased power, fuel, and gas purchased for resale costs that are recovered from customers. As a wholesale generator, Entergy Wholesale Commodities’ core business is selling energy, measured in MWh, to its customers. Entergy Wholesale Commodities enters into forward contracts with its customers and also sells energy and capacity in the day ahead or spot markets. In addition to its forward physical power and gas contracts, Entergy Wholesale Commodities may also use a combination of financial contracts, including swaps, collars, and options, to mitigate commodity price risk. When the market price falls, the combination of instruments is expected to settle in gains that offset lower revenue from generation, which results in a more predictable cash flow. Entergy’s exposure to market risk is determined by a number of factors, including the size, term, composition, and diversification of positions held, as well as market volatility and liquidity. For instruments such as options, the time period during which the option may be exercised and the relationship between the current market price of the underlying instrument and the option’s contractual strike or exercise price also affects the level of market risk. A significant factor influencing the overall level of market risk to which Entergy is exposed is its use of hedging techniques to mitigate such risk. Hedging instruments and volumes are chosen based on ability to mitigate risk associated with future energy and capacity prices; however, other considerations are factored into hedge product and volume decisions including corporate liquidity, corporate credit ratings, counterparty credit risk, hedging costs, firm settlement risk, and product availability in the marketplace. Entergy manages market risk by actively monitoring compliance with stated risk management policies as well as monitoring the effectiveness of its hedging policies and strategies. Entergy’s risk management policies limit the amount of total net exposure and rolling net exposure during the stated periods. These policies, including related risk limits, are regularly assessed to ensure their appropriateness given Entergy’s objectives. Derivatives Some derivative instruments are classified as cash flow hedges due to their financial settlement provisions while others are classified as normal purchase/normal sale transactions due to their physical settlement provisions. Normal purchase/normal sale risk management tools include power purchase and sales agreements, fuel purchase agreements, capacity contracts, and tolling agreements. Financially-settled cash flow hedges can include natural gas and electricity swaps and options and interest rate swaps. Entergy may enter into financially-settled swap and option contracts to manage market risk that may or may not be designated as hedging instruments. Entergy enters into derivatives to manage natural risks inherent in its physical or financial assets or liabilities. Electricity over-the-counter instruments and futures contracts that financially settle against day-ahead power pool prices are used to manage price exposure for Entergy Wholesale Commodities generation. The maximum length of time over which Entergy Wholesale Commodities is currently hedging the variability in future cash flows with derivatives for forecasted power transactions at June 30, 2020 is approximately 9 months. Planned generation currently under contract from Entergy Wholesale Commodities nuclear power plants is 97% for the remainder of 2020, of which approximately 61% is sold under financial derivatives and the remainder under normal purchase/normal sale contracts. Total planned generation for the remainder of 2020 is 7.2 TWh. Entergy may use standardized master netting agreements to help mitigate the credit risk of derivative instruments. These master agreements facilitate the netting of cash flows associated with a single counterparty and may include collateral requirements. Cash, letters of credit, and parental/affiliate guarantees may be obtained as security from counterparties in order to mitigate credit risk. The collateral agreements require a counterparty to post cash or letters of credit in the event an exposure exceeds an established threshold. The threshold represents an unsecured credit limit, which may be supported by a parental/affiliate guarantee, as determined in accordance with Entergy’s credit policy. In addition, collateral agreements allow for termination and liquidation of all positions in the event of a failure or inability to post collateral. Certain of the agreements to sell the power produced by Entergy Wholesale Commodities power plants contain provisions that require an Entergy subsidiary to provide credit support to secure its obligations depending on the mark-to-market values of the contracts. The primary form of credit support to satisfy these requirements is an Entergy Corporation guarantee. As of June 30, 2020, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $6 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $41 million in letters of credit were required to be posted by its counterparties to the Entergy subsidiary. As of December 31, 2019, there were no derivative contracts with counterparties in a liability position. In addition to the corporate guarantee, $11 million in cash collateral was required to be posted by the Entergy subsidiary to its counterparties and $1 million in cash collateral and $98 million in letters of credit were required to be posted by it counterparties to the Entergy subsidiary. If the Entergy Corporation credit rating falls below investment grade, Entergy would have to post collateral equal to the estimated outstanding liability under the contract at the applicable date. Entergy manages fuel price volatility for its Louisiana jurisdictions (Entergy Louisiana and Entergy New Orleans) and Entergy Mississippi through the purchase of natural gas swaps and options that financially settle against either the average Henry Hub Gas Daily prices or the NYMEX Henry Hub. These swaps and options are marked-to-market through fuel expense with offsetting regulatory assets or liabilities. All benefits or costs of the program are recorded in fuel costs. The notional volumes of these swaps are based on a portion of projected annual exposure to gas price volatility for electric generation at Entergy Louisiana and Entergy Mississippi and projected winter purchases for gas distribution at Entergy New Orleans. The maximum length of time over which Entergy had executed natural gas swaps and options as of June 30, 2020 was 3.75 years for Entergy Louisiana and the maximum length of time over which Entergy had executed natural gas swaps as of June 30, 2020 was 9 months for Entergy Mississippi. The total volume of natural gas swaps and options outstanding as of June 30, 2020 was 37,862,000 MMBtu for Entergy, including 27,400,000 MMBtu for Entergy Louisiana and 10,462,000 MMBtu for Entergy Mississippi. Credit support for these natural gas swaps and options is covered by master agreements that do not require Entergy to provide collateral based on mark-to-market value, but do carry adequate assurance language that may lead to requests for collateral. During the second quarter 2020, Entergy participated in the annual financial transmission rights auction process for the MISO planning year of June 1, 2020 through May 31, 2021. Financial transmission rights are derivative instruments that represent economic hedges of future congestion charges that will be incurred in serving Entergy’s customer load. They are not designated as hedging instruments. Entergy initially records financial transmission rights at their estimated fair value and subsequently adjusts the carrying value to their estimated fair value at the end of each accounting period prior to settlement. Unrealized gains or losses on financial transmission rights held by Entergy Wholesale Commodities are included in operating revenues. The Utility operating companies recognize regulatory liabilities or assets for unrealized gains or losses on financial transmission rights. The total volume of financial transmission rights outstanding as of June 30, 2020 was 129,379 GWh for Entergy, including 30,375 GWh for Entergy Arkansas, 61,443 GWh for Entergy Louisiana, 14,461 GWh for Entergy Mississippi, 5,873 GWh for Entergy New Orleans, and 16,793 GWh for Entergy Texas. Credit support for financial transmission rights held by the Utility operating companies is covered by cash and/or letters of credit issued by each Utility operating company as required by MISO. Credit support for financial transmission rights held by Entergy Wholesale Commodities is covered by cash. No cash or letters of credit were required to be posted for financial transmission rights exposure for Entergy Wholesale Commodities as of June 30, 2020 and December 31, 2019. Letters of credit posted with MISO covered the financial transmission rights exposure for Entergy Mississippi as of June 30, 2020 and December 31, 2019. The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $49 ($4) $45 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $4 $— $4 Entergy Wholesale Commodities Natural gas swaps and options Prepayments and other (current portion) $1 $— $1 Utility Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $23 ($1) $22 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $3 ($3) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $6 $— $6 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of December 31, 2019 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $92 ($1) $91 Entergy Wholesale Commodities Electricity swaps and options Other deferred debits and other assets (non-current portion) $17 $— $17 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $11 ($1) $10 Entergy Wholesale Commodities Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $10 $— $10 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $2 ($2) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $5 $— $5 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheet (d) Excludes cash collateral in the amount of $6 million posted as of June 30, 2020 and $11 million posted and $1 million held as of December 31, 2019. Also excludes letters of credit in the amount of $8 million posted and $41 million held as of June 30, 2020 and $98 million held as of December 31, 2019. The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options ($7) Competitive businesses operating revenues $25 2019 Electricity swaps and options $126 Competitive businesses operating revenues $6 (a) Before taxes of $5 million and $1 million for the three months ended June 30, 2020 and 2019, respectively The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options $60 Competitive businesses operating revenues $120 2019 Electricity swaps and options $152 Competitive businesses operating revenues $57 (a) Before taxes of $25 million and $12 million for the six months ended June 30, 2020 and 2019, respectively Based on market prices as of June 30, 2020, unrealized gains (losses) recorded in accumulated other comprehensive income on cash flow hedges relating to power sales totaled $48 million of net unrealized gains. Approximately $48 million is expected to be reclassified from accumulated other comprehensive income to operating revenues in the next twelve months. The actual amount reclassified from accumulated other comprehensive income, however, could vary due to future changes in market prices. Entergy may effectively liquidate a cash flow hedge instrument by entering into a contract offsetting the original hedge, and then de-designating the original hedge in this situation. Gains or losses accumulated in other comprehensive income prior to de-designation continue to be deferred in other comprehensive income until they are included in income as the original hedged transaction occurs. From the point of de-designation, the gains or losses on the original hedge and the offsetting contract are recorded as assets or liabilities on the balance sheet and offset as they flow through to earnings. The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($3) Financial transmission rights Purchased power expense (b) $15 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($6) Financial transmission rights Purchased power expense (b) $32 Electricity swaps and options (c) Competitive business operating revenues ($2) The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($9) Financial transmission rights Purchased power expense (b) $28 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($7) Financial transmission rights Purchased power expense (b) $53 Electricity swaps and options (c) Competitive business operating revenues $3 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. (c) There were no gains (losses) recognized in accumulated other comprehensive income from electricity swaps and options. The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $0.8 $— $0.8 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets (non-current portion) $0.6 $— $0.6 Entergy Louisiana Financial transmission rights Prepayments and other $6.3 ($0.2) $6.1 Entergy Arkansas Financial transmission rights Prepayments and other $12.7 ($0.2) $12.5 Entergy Louisiana Financial transmission rights Prepayments and other $1.1 $— $1.1 Entergy Mississippi Financial transmission rights Prepayments and other $2.6 $— $2.6 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $1.7 $— $1.7 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $4.3 $— $4.3 Entergy Mississippi Financial transmission rights Other current liabilities $0.3 ($0.5) $0.2 Entergy New Orleans The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2019 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Other deferred debits and other assets $0.8 $— $0.8 Entergy Louisiana Financial transmission rights Prepayments and other $3.4 ($0.1) $3.3 Entergy Arkansas Financial transmission rights Prepayments and other $4.5 $— $4.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.8 $— $0.8 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $0.3 Entergy New Orleans Financial transmission rights Prepayments and other $1.0 ($0.1) $0.9 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $2.4 $— $2.4 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $2.3 $— $2.3 Entergy Mississippi Natural gas swaps Other current liabilities $0.2 $— $0.2 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets (d) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. As of December 31, 2019, letters of credit posted with MISO covered financial transmission rights exposure of $0.2 million for Entergy Mississippi. The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $4.8 (b) Entergy Arkansas Financial transmission rights Purchased power expense $5.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.4) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.2 (b) Entergy New Orleans Financial transmission rights Purchased power expense $5.3 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($2.7) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($3.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $3.6 (b) Entergy Arkansas Financial transmission rights Purchased power expense $17.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense $2.2 (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.7 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.8 (b) Entergy Texas The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.3) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($7.7) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($0.4) (a) Entergy New Orleans Financial transmission rights Purchased power expense $9.4 (b) Entergy Arkansas Financial transmission rights Purchased power expense $10.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.5) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.6 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.9) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($5.2) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $0.2 (a) Entergy New Orleans Financial transmission rights Purchased power expense $12.0 (b) Entergy Arkansas Financial transmission rights Purchased power expense $26.5 (b) Entergy Louisiana Financial transmission rights Purchased power expense $3.3 (b) Entergy Mississippi Financial transmission rights Purchased power expense $2.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $8.1 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. Fair Values The estimated fair values of Entergy’s financial instruments and derivatives are determined using historical prices, bid prices, market quotes, and financial modeling. Considerable judgment is required in developing the estimates of fair value. Therefore, estimates are not necessarily indicative of the amounts that Entergy could realize in a current market exchange. Gains or losses realized on financial instruments other than those instruments held by the Entergy Wholesale Commodities business are reflected in future rates and therefore do not affect net income. Entergy considers the carrying amounts of most financial instruments classified as current assets and liabilities to be a reasonable estimate of their fair value because of the short maturity of these instruments. Accounting standards define fair value as an exit price, or the price that would be received to sell an asset or the amount that would be paid to transfer a liability in an orderly transaction between knowledgeable market participants at the date of measurement. Entergy and the Registrant Subsidiaries use assumptions or market input data that market participants would use in pricing assets or liabilities at fair value. The inputs can be readily observable, corroborated by market data, or generally unobservable. Entergy and the Registrant Subsidiaries endeavor to use the best available information to determine fair value. Accounting standards establish a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy establishes the highest priority for unadjusted market quotes in an active market for the identical asset or liability and the lowest priority for unobservable inputs. The three levels of the fair value hierarchy are: • Level 1 - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of individually owned common stocks, cash equivalents (temporary cash investments, securitization recovery trust account, and escrow accounts), debt instruments, and gas swaps traded on exchanges with active markets. Cash equivalents includes all unrestricted highly liquid debt instruments with an original or remaining maturity of three months or less at the date of purchase. • Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by independent third parties that use inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden by Entergy if it is believed such would be more reflective of fair value. Level 2 inputs include the following: – quoted prices for similar assets or liabilities in active markets; – quoted prices for identical assets or liabilities in inactive markets; – inputs other than quoted prices that are observable for the asset or liability; or – inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 2 consists primarily of individually-owned debt instruments and gas swaps and options valued using observable inputs. • Level 3 - Level 3 inputs are pricing inputs that are generally less observable or unobservable from objective sources. These inputs are used with internally developed methodologies to produce management’s best estimate of fair value for the asset or liability. Level 3 consists primarily of financial transmission rights and derivative power contracts used as cash flow hedges of power sales at merchant power plants. The values for power contract assets or liabilities are based on both observable inputs including public market prices and interest rates, and unobservable inputs such as implied volatilities, unit contingent discounts, expected basis differences, and credit adjusted counterparty interest rates. They are classified as Level 3 assets and liabilities. The valuations of these assets and liabilities are performed by the Office of Corporate Risk Oversight and the Entergy Wholesale Commodities Accounting group. The primary related functions of the Office of Corporate Risk Oversight include: gathering, validating and reporting market data, providing market risk analyses and valuations in support of Entergy Wholesale Commodities’ commercial transactions, developing and administering protocols for the management of market risks, and implementing and maintaining controls around changes to market data in the energy trading and risk management system. The Office of Corporate Risk Oversight is also responsible for managing the energy trading and risk management system, forecasting revenues, forward positions and analysis. The Entergy Wholesale Commodities Accounting group performs functions related to market and counterparty settlements, revenue reporting and analysis, and financial accounting. The Office of Corporate Risk Oversight reports to the Vice President and Treasurer while the Entergy Wholesale Commodities Accounting group reports to the Chief Accounting Officer. The amounts reflected as the fair value of electricity swaps are based on the estimated amount that the contracts are in-the-money at the balance sheet date (treated as an asset) or out-of-the-money at the balance sheet date (treated as a liability) and would equal the estimated amount receivable to or payable by Entergy if the contracts were settled at that date. These derivative contracts include cash flow hedges that swap fixed for floating cash flows for sales of the output from the Entergy Wholesale Commodities business. The fair values are based on the mark-to-market comparison between the fixed contract prices and the floating prices determined each period from quoted forward power market prices. The differences between the fixed price in the swap contract and these market-related prices multiplied by the volume specified in the contract and discounted at the counterparties’ credit adjusted risk free rate are recorded as derivative contract assets or liabilities. For contracts that have unit contingent terms, a further discount is applied based on the historical relationship between contract and market prices for similar contract terms. The amounts reflected as th |
Decommissioning Trust Funds
Decommissioning Trust Funds | 6 Months Ended |
Jun. 30, 2020 | |
Decommissioning Trust Funds | DECOMMISSIONING TRUST FUNDS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) The NRC requires Entergy subsidiaries to maintain nuclear decommissioning trusts to fund the costs of decommissioning ANO 1, ANO 2, River Bend, Waterford 3, Grand Gulf, Indian Point 1, Indian Point 2, Indian Point 3, and Palisades. Entergy’s nuclear decommissioning trust funds invest in equity securities, fixed-rate debt securities, and cash and cash equivalents. Entergy records decommissioning trust funds on the balance sheet at their fair value. Because of the ability of the Registrant Subsidiaries to recover decommissioning costs in rates and in accordance with the regulatory treatment for decommissioning trust funds, the Registrant Subsidiaries have recorded an offsetting amount of unrealized gains/(losses) on investment securities in other regulatory liabilities/assets. For the 30% interest in River Bend formerly owned by Cajun, Entergy Louisiana records an offsetting amount in other deferred credits for the unrealized trust earnings not currently expected to be needed to decommission the plant. Decommissioning trust funds for the Entergy Wholesale Commodities nuclear plants do not meet the criteria for regulatory accounting treatment. Accordingly, unrealized gains/(losses) recorded on the equity securities in the trust funds are recognized in earnings. Unrealized gains recorded on the available-for-sale debt securities in the trust funds are recognized in the accumulated other comprehensive income component of shareholders’ equity. Unrealized losses (where cost exceeds fair market value) on the available-for-sale debt securities in the trust funds are also recorded in the accumulated other comprehensive income component of shareholders’ equity unless the unrealized loss is other than temporary and therefore recorded in earnings. A portion of Entergy’s decommissioning trust funds are held in a wholly-owned registered investment company, and unrealized gains and losses on both the equity and debt securities held in the registered investment company are recognized in earnings. Generally, Entergy records gains and losses on its debt and equity securities using the specific identification method to determine the cost basis of its securities. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $508 million and ($126) million, respectively. The equity securities are generally held in funds that are designed to approximate or somewhat exceed the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index or the Russell 3000 Index. The debt securities are generally held in individual government and credit issuances. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities (a) $2,585 $206 $2 2019 Debt Securities (a) $2,456 $96 $6 (a) Debt securities presented herein do not include the $538 million and $507 million of debt securities held in the wholly-owned registered investment company as of June 30, 2020 and December 31, 2019, respectively, which are not accounted for as available-for-sale. The unrealized gains/(losses) above are reported before deferred taxes of $33 million as of June 30, 2020 and $13 million as of December 31, 2019 for debt securities. The amortized cost of available-for-sale debt securities was $2,381 million as of June 30, 2020 and $2,366 million as of December 31, 2019. As of June 30, 2020, available-for-sale debt securities had an average coupon rate of approximately 3.19%, an average duration of approximately 7.08 years, and an average maturity of approximately 10.45 years. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $116 $2 $404 $5 More than 12 months 5 — 38 1 Total $121 $2 $442 $6 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $36 $128 1 year - 5 years 775 807 5 years - 10 years 743 666 10 years - 15 years 309 125 15 years - 20 years 130 126 20 years+ 592 604 Total $2,585 $2,456 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $276 million and $361 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $15 million and $6 million, respectively, and gross losses of $1 million and $1 million, respectively, related to available-for-sale securities were reclassified out of other comprehensive income or other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $676 million and $726 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $29 million and $8 million, respectively, and gross losses of $4 million and $3 million, respectively, related to available-for-sale securities were reclassified out of other comprehensive income or other regulatory liabilities/assets into earnings. The fair values of the decommissioning trust funds related to the Entergy Wholesale Commodities nuclear plants as of June 30, 2020 were $565 million for Indian Point 1, $715 million for Indian Point 2, $945 million for Indian Point 3, and $528 million for Palisades. The fair values of the decommissioning trust funds related to the Entergy Wholesale Commodities nuclear plants as of December 31, 2019 were $556 million for Indian Point 1, $701 million for Indian Point 2, $930 million for Indian Point 3, and $498 million for Palisades. The fair values of the decommissioning trust funds for the Registrant Subsidiaries’ nuclear plants are detailed below. Entergy Arkansas Entergy Arkansas holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $441.5 $30.0 $0.1 2019 Debt Securities $412.8 $9.9 $2.6 The amortized cost of available-for-sale debt securities was $411.6 million as of June 30, 2020 and $405.4 million as of December 31, 2019. As of June 30, 2020, available-for-sale debt securities had an average coupon rate of approximately 2.72%, an average duration of approximately 7.18 years, and an average maturity of approximately 8.62 years. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $116.8 million and ($30.4) million, respectively. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $14.6 $0.1 $104.8 $2.5 More than 12 months — — 7.7 0.1 Total $14.6 $0.1 $112.5 $2.6 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $21.9 $44.1 1 year - 5 years 104.2 109.1 5 years - 10 years 178.2 156.0 10 years - 15 years 67.9 31.3 15 years - 20 years 29.5 23.8 20 years+ 39.8 48.5 Total $441.5 $412.8 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $17.7 million and $22.3 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $1.3 million and $0.1 million, respectively, and gross losses of $0.1 million and $18 thousand, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $66.4 million and $33.2 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $5.8 million and $0.1 million, respectively, and gross losses of $0.2 million and $0.1 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. Entergy Louisiana Entergy Louisiana holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $622.9 $50.1 $0.5 2019 Debt Securities $601.5 $29.3 $0.8 The amortized cost of available-for-sale debt securities was $573.3 million as of June 30, 2020 and $573 million as of December 31, 2019. As of June 30, 2020, the available-for-sale debt securities had an average coupon rate of approximately 3.84%, an average duration of approximately 7.21 years, and an average maturity of approximately 12.96 years. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $160.8 million and ($40.1) million, respectively. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $29.3 $0.5 $71.2 $0.8 More than 12 months 0.8 — 7.9 — Total $30.1 $0.5 $79.1 $0.8 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $8.4 $40.7 1 year - 5 years 142.4 142.0 5 years - 10 years 144.0 132.4 10 years - 15 years 80.4 39.8 15 years - 20 years 55.4 49.2 20 years+ 192.3 197.4 Total $622.9 $601.5 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $34.1 million and $39.5 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $2 million and $1.4 million, respectively, and gross losses of $0.1 million and $0.05 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $101.5 million and $95.7 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $4.9 million and $1.7 million, respectively, and gross losses of $0.7 million and $0.2 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. System Energy System Energy holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $418.8 $32.4 $0.3 2019 Debt Securities $386.2 $15.1 $0.3 The amortized cost of available-for-sale debt securities was $386.7 million as of June 30, 2020 and $371.4 million as of December 31, 2019. As of June 30, 2020, available-for-sale debt securities had an average coupon rate of approximately 2.97%, an average duration of approximately 7.39 years, and an average maturity of approximately 11.19 years. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $111.1 million and ($28.9) million, respectively. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $15.4 $0.3 $56.9 $0.3 More than 12 months — — 0.3 — Total $15.4 $0.3 $57.2 $0.3 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year ($1.8) $8.5 1 year - 5 years 166.7 154.6 5 years - 10 years 103.4 92.3 10 years - 15 years 27.4 13.4 15 years - 20 years 6.5 14.4 20 years+ 116.6 103.0 Total $418.8 $386.2 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $73.6 million and $87.7 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $5.4 million and $1.5 million, respectively, and gross losses of $0.2 million and $0.3 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $165.6 million and $129.8 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $7 million and $1.9 million, respectively, and gross losses of $0.4 million and $0.4 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. Allowance for expected credit losses Entergy implemented ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, effective January 1, 2020. In accordance with the new standard, Entergy estimates the expected credit losses for its available for sale securities based on the current credit rating and remaining life of the securities. To the extent an individual security is determined to be uncollectible it is written off against this allowance. Entergy’s available-for-sale securities are held in trusts managed by third parties who operate in accordance with agreements that define investment guidelines and place restrictions on the purchases and sales of investments. Specifically, available-for-sale securities are subject to credit worthiness restrictions, with requirements for both the average credit rating of the portfolio and minimum credit ratings for individual debt securities. As of June 30, 2020, Entergy’s allowance for expected credit losses related to available-for-sale securities was $0.4 million. Entergy did not record any impairments of available-for-sale debt securities for the three and six months ended June 30, 2020. Other-than-temporary impairments and unrealized gains and losses |
Entergy Arkansas [Member] | |
Decommissioning Trust Funds | DECOMMISSIONING TRUST FUNDS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) The NRC requires Entergy subsidiaries to maintain nuclear decommissioning trusts to fund the costs of decommissioning ANO 1, ANO 2, River Bend, Waterford 3, Grand Gulf, Indian Point 1, Indian Point 2, Indian Point 3, and Palisades. Entergy’s nuclear decommissioning trust funds invest in equity securities, fixed-rate debt securities, and cash and cash equivalents. Entergy records decommissioning trust funds on the balance sheet at their fair value. Because of the ability of the Registrant Subsidiaries to recover decommissioning costs in rates and in accordance with the regulatory treatment for decommissioning trust funds, the Registrant Subsidiaries have recorded an offsetting amount of unrealized gains/(losses) on investment securities in other regulatory liabilities/assets. For the 30% interest in River Bend formerly owned by Cajun, Entergy Louisiana records an offsetting amount in other deferred credits for the unrealized trust earnings not currently expected to be needed to decommission the plant. Decommissioning trust funds for the Entergy Wholesale Commodities nuclear plants do not meet the criteria for regulatory accounting treatment. Accordingly, unrealized gains/(losses) recorded on the equity securities in the trust funds are recognized in earnings. Unrealized gains recorded on the available-for-sale debt securities in the trust funds are recognized in the accumulated other comprehensive income component of shareholders’ equity. Unrealized losses (where cost exceeds fair market value) on the available-for-sale debt securities in the trust funds are also recorded in the accumulated other comprehensive income component of shareholders’ equity unless the unrealized loss is other than temporary and therefore recorded in earnings. A portion of Entergy’s decommissioning trust funds are held in a wholly-owned registered investment company, and unrealized gains and losses on both the equity and debt securities held in the registered investment company are recognized in earnings. Generally, Entergy records gains and losses on its debt and equity securities using the specific identification method to determine the cost basis of its securities. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $508 million and ($126) million, respectively. The equity securities are generally held in funds that are designed to approximate or somewhat exceed the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index or the Russell 3000 Index. The debt securities are generally held in individual government and credit issuances. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities (a) $2,585 $206 $2 2019 Debt Securities (a) $2,456 $96 $6 (a) Debt securities presented herein do not include the $538 million and $507 million of debt securities held in the wholly-owned registered investment company as of June 30, 2020 and December 31, 2019, respectively, which are not accounted for as available-for-sale. The unrealized gains/(losses) above are reported before deferred taxes of $33 million as of June 30, 2020 and $13 million as of December 31, 2019 for debt securities. The amortized cost of available-for-sale debt securities was $2,381 million as of June 30, 2020 and $2,366 million as of December 31, 2019. As of June 30, 2020, available-for-sale debt securities had an average coupon rate of approximately 3.19%, an average duration of approximately 7.08 years, and an average maturity of approximately 10.45 years. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $116 $2 $404 $5 More than 12 months 5 — 38 1 Total $121 $2 $442 $6 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $36 $128 1 year - 5 years 775 807 5 years - 10 years 743 666 10 years - 15 years 309 125 15 years - 20 years 130 126 20 years+ 592 604 Total $2,585 $2,456 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $276 million and $361 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $15 million and $6 million, respectively, and gross losses of $1 million and $1 million, respectively, related to available-for-sale securities were reclassified out of other comprehensive income or other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $676 million and $726 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $29 million and $8 million, respectively, and gross losses of $4 million and $3 million, respectively, related to available-for-sale securities were reclassified out of other comprehensive income or other regulatory liabilities/assets into earnings. The fair values of the decommissioning trust funds related to the Entergy Wholesale Commodities nuclear plants as of June 30, 2020 were $565 million for Indian Point 1, $715 million for Indian Point 2, $945 million for Indian Point 3, and $528 million for Palisades. The fair values of the decommissioning trust funds related to the Entergy Wholesale Commodities nuclear plants as of December 31, 2019 were $556 million for Indian Point 1, $701 million for Indian Point 2, $930 million for Indian Point 3, and $498 million for Palisades. The fair values of the decommissioning trust funds for the Registrant Subsidiaries’ nuclear plants are detailed below. Entergy Arkansas Entergy Arkansas holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $441.5 $30.0 $0.1 2019 Debt Securities $412.8 $9.9 $2.6 The amortized cost of available-for-sale debt securities was $411.6 million as of June 30, 2020 and $405.4 million as of December 31, 2019. As of June 30, 2020, available-for-sale debt securities had an average coupon rate of approximately 2.72%, an average duration of approximately 7.18 years, and an average maturity of approximately 8.62 years. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $116.8 million and ($30.4) million, respectively. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $14.6 $0.1 $104.8 $2.5 More than 12 months — — 7.7 0.1 Total $14.6 $0.1 $112.5 $2.6 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $21.9 $44.1 1 year - 5 years 104.2 109.1 5 years - 10 years 178.2 156.0 10 years - 15 years 67.9 31.3 15 years - 20 years 29.5 23.8 20 years+ 39.8 48.5 Total $441.5 $412.8 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $17.7 million and $22.3 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $1.3 million and $0.1 million, respectively, and gross losses of $0.1 million and $18 thousand, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $66.4 million and $33.2 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $5.8 million and $0.1 million, respectively, and gross losses of $0.2 million and $0.1 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. Entergy Louisiana Entergy Louisiana holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $622.9 $50.1 $0.5 2019 Debt Securities $601.5 $29.3 $0.8 The amortized cost of available-for-sale debt securities was $573.3 million as of June 30, 2020 and $573 million as of December 31, 2019. As of June 30, 2020, the available-for-sale debt securities had an average coupon rate of approximately 3.84%, an average duration of approximately 7.21 years, and an average maturity of approximately 12.96 years. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $160.8 million and ($40.1) million, respectively. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $29.3 $0.5 $71.2 $0.8 More than 12 months 0.8 — 7.9 — Total $30.1 $0.5 $79.1 $0.8 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $8.4 $40.7 1 year - 5 years 142.4 142.0 5 years - 10 years 144.0 132.4 10 years - 15 years 80.4 39.8 15 years - 20 years 55.4 49.2 20 years+ 192.3 197.4 Total $622.9 $601.5 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $34.1 million and $39.5 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $2 million and $1.4 million, respectively, and gross losses of $0.1 million and $0.05 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $101.5 million and $95.7 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $4.9 million and $1.7 million, respectively, and gross losses of $0.7 million and $0.2 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. System Energy System Energy holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $418.8 $32.4 $0.3 2019 Debt Securities $386.2 $15.1 $0.3 The amortized cost of available-for-sale debt securities was $386.7 million as of June 30, 2020 and $371.4 million as of December 31, 2019. As of June 30, 2020, available-for-sale debt securities had an average coupon rate of approximately 2.97%, an average duration of approximately 7.39 years, and an average maturity of approximately 11.19 years. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $111.1 million and ($28.9) million, respectively. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $15.4 $0.3 $56.9 $0.3 More than 12 months — — 0.3 — Total $15.4 $0.3 $57.2 $0.3 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year ($1.8) $8.5 1 year - 5 years 166.7 154.6 5 years - 10 years 103.4 92.3 10 years - 15 years 27.4 13.4 15 years - 20 years 6.5 14.4 20 years+ 116.6 103.0 Total $418.8 $386.2 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $73.6 million and $87.7 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $5.4 million and $1.5 million, respectively, and gross losses of $0.2 million and $0.3 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $165.6 million and $129.8 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $7 million and $1.9 million, respectively, and gross losses of $0.4 million and $0.4 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. Allowance for expected credit losses Entergy implemented ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, effective January 1, 2020. In accordance with the new standard, Entergy estimates the expected credit losses for its available for sale securities based on the current credit rating and remaining life of the securities. To the extent an individual security is determined to be uncollectible it is written off against this allowance. Entergy’s available-for-sale securities are held in trusts managed by third parties who operate in accordance with agreements that define investment guidelines and place restrictions on the purchases and sales of investments. Specifically, available-for-sale securities are subject to credit worthiness restrictions, with requirements for both the average credit rating of the portfolio and minimum credit ratings for individual debt securities. As of June 30, 2020, Entergy’s allowance for expected credit losses related to available-for-sale securities was $0.4 million. Entergy did not record any impairments of available-for-sale debt securities for the three and six months ended June 30, 2020. Other-than-temporary impairments and unrealized gains and losses |
Entergy Louisiana [Member] | |
Decommissioning Trust Funds | DECOMMISSIONING TRUST FUNDS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) The NRC requires Entergy subsidiaries to maintain nuclear decommissioning trusts to fund the costs of decommissioning ANO 1, ANO 2, River Bend, Waterford 3, Grand Gulf, Indian Point 1, Indian Point 2, Indian Point 3, and Palisades. Entergy’s nuclear decommissioning trust funds invest in equity securities, fixed-rate debt securities, and cash and cash equivalents. Entergy records decommissioning trust funds on the balance sheet at their fair value. Because of the ability of the Registrant Subsidiaries to recover decommissioning costs in rates and in accordance with the regulatory treatment for decommissioning trust funds, the Registrant Subsidiaries have recorded an offsetting amount of unrealized gains/(losses) on investment securities in other regulatory liabilities/assets. For the 30% interest in River Bend formerly owned by Cajun, Entergy Louisiana records an offsetting amount in other deferred credits for the unrealized trust earnings not currently expected to be needed to decommission the plant. Decommissioning trust funds for the Entergy Wholesale Commodities nuclear plants do not meet the criteria for regulatory accounting treatment. Accordingly, unrealized gains/(losses) recorded on the equity securities in the trust funds are recognized in earnings. Unrealized gains recorded on the available-for-sale debt securities in the trust funds are recognized in the accumulated other comprehensive income component of shareholders’ equity. Unrealized losses (where cost exceeds fair market value) on the available-for-sale debt securities in the trust funds are also recorded in the accumulated other comprehensive income component of shareholders’ equity unless the unrealized loss is other than temporary and therefore recorded in earnings. A portion of Entergy’s decommissioning trust funds are held in a wholly-owned registered investment company, and unrealized gains and losses on both the equity and debt securities held in the registered investment company are recognized in earnings. Generally, Entergy records gains and losses on its debt and equity securities using the specific identification method to determine the cost basis of its securities. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $508 million and ($126) million, respectively. The equity securities are generally held in funds that are designed to approximate or somewhat exceed the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index or the Russell 3000 Index. The debt securities are generally held in individual government and credit issuances. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities (a) $2,585 $206 $2 2019 Debt Securities (a) $2,456 $96 $6 (a) Debt securities presented herein do not include the $538 million and $507 million of debt securities held in the wholly-owned registered investment company as of June 30, 2020 and December 31, 2019, respectively, which are not accounted for as available-for-sale. The unrealized gains/(losses) above are reported before deferred taxes of $33 million as of June 30, 2020 and $13 million as of December 31, 2019 for debt securities. The amortized cost of available-for-sale debt securities was $2,381 million as of June 30, 2020 and $2,366 million as of December 31, 2019. As of June 30, 2020, available-for-sale debt securities had an average coupon rate of approximately 3.19%, an average duration of approximately 7.08 years, and an average maturity of approximately 10.45 years. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $116 $2 $404 $5 More than 12 months 5 — 38 1 Total $121 $2 $442 $6 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $36 $128 1 year - 5 years 775 807 5 years - 10 years 743 666 10 years - 15 years 309 125 15 years - 20 years 130 126 20 years+ 592 604 Total $2,585 $2,456 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $276 million and $361 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $15 million and $6 million, respectively, and gross losses of $1 million and $1 million, respectively, related to available-for-sale securities were reclassified out of other comprehensive income or other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $676 million and $726 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $29 million and $8 million, respectively, and gross losses of $4 million and $3 million, respectively, related to available-for-sale securities were reclassified out of other comprehensive income or other regulatory liabilities/assets into earnings. The fair values of the decommissioning trust funds related to the Entergy Wholesale Commodities nuclear plants as of June 30, 2020 were $565 million for Indian Point 1, $715 million for Indian Point 2, $945 million for Indian Point 3, and $528 million for Palisades. The fair values of the decommissioning trust funds related to the Entergy Wholesale Commodities nuclear plants as of December 31, 2019 were $556 million for Indian Point 1, $701 million for Indian Point 2, $930 million for Indian Point 3, and $498 million for Palisades. The fair values of the decommissioning trust funds for the Registrant Subsidiaries’ nuclear plants are detailed below. Entergy Arkansas Entergy Arkansas holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $441.5 $30.0 $0.1 2019 Debt Securities $412.8 $9.9 $2.6 The amortized cost of available-for-sale debt securities was $411.6 million as of June 30, 2020 and $405.4 million as of December 31, 2019. As of June 30, 2020, available-for-sale debt securities had an average coupon rate of approximately 2.72%, an average duration of approximately 7.18 years, and an average maturity of approximately 8.62 years. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $116.8 million and ($30.4) million, respectively. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $14.6 $0.1 $104.8 $2.5 More than 12 months — — 7.7 0.1 Total $14.6 $0.1 $112.5 $2.6 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $21.9 $44.1 1 year - 5 years 104.2 109.1 5 years - 10 years 178.2 156.0 10 years - 15 years 67.9 31.3 15 years - 20 years 29.5 23.8 20 years+ 39.8 48.5 Total $441.5 $412.8 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $17.7 million and $22.3 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $1.3 million and $0.1 million, respectively, and gross losses of $0.1 million and $18 thousand, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $66.4 million and $33.2 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $5.8 million and $0.1 million, respectively, and gross losses of $0.2 million and $0.1 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. Entergy Louisiana Entergy Louisiana holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $622.9 $50.1 $0.5 2019 Debt Securities $601.5 $29.3 $0.8 The amortized cost of available-for-sale debt securities was $573.3 million as of June 30, 2020 and $573 million as of December 31, 2019. As of June 30, 2020, the available-for-sale debt securities had an average coupon rate of approximately 3.84%, an average duration of approximately 7.21 years, and an average maturity of approximately 12.96 years. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $160.8 million and ($40.1) million, respectively. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $29.3 $0.5 $71.2 $0.8 More than 12 months 0.8 — 7.9 — Total $30.1 $0.5 $79.1 $0.8 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $8.4 $40.7 1 year - 5 years 142.4 142.0 5 years - 10 years 144.0 132.4 10 years - 15 years 80.4 39.8 15 years - 20 years 55.4 49.2 20 years+ 192.3 197.4 Total $622.9 $601.5 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $34.1 million and $39.5 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $2 million and $1.4 million, respectively, and gross losses of $0.1 million and $0.05 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $101.5 million and $95.7 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $4.9 million and $1.7 million, respectively, and gross losses of $0.7 million and $0.2 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. System Energy System Energy holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $418.8 $32.4 $0.3 2019 Debt Securities $386.2 $15.1 $0.3 The amortized cost of available-for-sale debt securities was $386.7 million as of June 30, 2020 and $371.4 million as of December 31, 2019. As of June 30, 2020, available-for-sale debt securities had an average coupon rate of approximately 2.97%, an average duration of approximately 7.39 years, and an average maturity of approximately 11.19 years. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $111.1 million and ($28.9) million, respectively. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $15.4 $0.3 $56.9 $0.3 More than 12 months — — 0.3 — Total $15.4 $0.3 $57.2 $0.3 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year ($1.8) $8.5 1 year - 5 years 166.7 154.6 5 years - 10 years 103.4 92.3 10 years - 15 years 27.4 13.4 15 years - 20 years 6.5 14.4 20 years+ 116.6 103.0 Total $418.8 $386.2 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $73.6 million and $87.7 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $5.4 million and $1.5 million, respectively, and gross losses of $0.2 million and $0.3 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $165.6 million and $129.8 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $7 million and $1.9 million, respectively, and gross losses of $0.4 million and $0.4 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. Allowance for expected credit losses Entergy implemented ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, effective January 1, 2020. In accordance with the new standard, Entergy estimates the expected credit losses for its available for sale securities based on the current credit rating and remaining life of the securities. To the extent an individual security is determined to be uncollectible it is written off against this allowance. Entergy’s available-for-sale securities are held in trusts managed by third parties who operate in accordance with agreements that define investment guidelines and place restrictions on the purchases and sales of investments. Specifically, available-for-sale securities are subject to credit worthiness restrictions, with requirements for both the average credit rating of the portfolio and minimum credit ratings for individual debt securities. As of June 30, 2020, Entergy’s allowance for expected credit losses related to available-for-sale securities was $0.4 million. Entergy did not record any impairments of available-for-sale debt securities for the three and six months ended June 30, 2020. Other-than-temporary impairments and unrealized gains and losses |
System Energy [Member] | |
Decommissioning Trust Funds | DECOMMISSIONING TRUST FUNDS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy) The NRC requires Entergy subsidiaries to maintain nuclear decommissioning trusts to fund the costs of decommissioning ANO 1, ANO 2, River Bend, Waterford 3, Grand Gulf, Indian Point 1, Indian Point 2, Indian Point 3, and Palisades. Entergy’s nuclear decommissioning trust funds invest in equity securities, fixed-rate debt securities, and cash and cash equivalents. Entergy records decommissioning trust funds on the balance sheet at their fair value. Because of the ability of the Registrant Subsidiaries to recover decommissioning costs in rates and in accordance with the regulatory treatment for decommissioning trust funds, the Registrant Subsidiaries have recorded an offsetting amount of unrealized gains/(losses) on investment securities in other regulatory liabilities/assets. For the 30% interest in River Bend formerly owned by Cajun, Entergy Louisiana records an offsetting amount in other deferred credits for the unrealized trust earnings not currently expected to be needed to decommission the plant. Decommissioning trust funds for the Entergy Wholesale Commodities nuclear plants do not meet the criteria for regulatory accounting treatment. Accordingly, unrealized gains/(losses) recorded on the equity securities in the trust funds are recognized in earnings. Unrealized gains recorded on the available-for-sale debt securities in the trust funds are recognized in the accumulated other comprehensive income component of shareholders’ equity. Unrealized losses (where cost exceeds fair market value) on the available-for-sale debt securities in the trust funds are also recorded in the accumulated other comprehensive income component of shareholders’ equity unless the unrealized loss is other than temporary and therefore recorded in earnings. A portion of Entergy’s decommissioning trust funds are held in a wholly-owned registered investment company, and unrealized gains and losses on both the equity and debt securities held in the registered investment company are recognized in earnings. Generally, Entergy records gains and losses on its debt and equity securities using the specific identification method to determine the cost basis of its securities. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $508 million and ($126) million, respectively. The equity securities are generally held in funds that are designed to approximate or somewhat exceed the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index or the Russell 3000 Index. The debt securities are generally held in individual government and credit issuances. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities (a) $2,585 $206 $2 2019 Debt Securities (a) $2,456 $96 $6 (a) Debt securities presented herein do not include the $538 million and $507 million of debt securities held in the wholly-owned registered investment company as of June 30, 2020 and December 31, 2019, respectively, which are not accounted for as available-for-sale. The unrealized gains/(losses) above are reported before deferred taxes of $33 million as of June 30, 2020 and $13 million as of December 31, 2019 for debt securities. The amortized cost of available-for-sale debt securities was $2,381 million as of June 30, 2020 and $2,366 million as of December 31, 2019. As of June 30, 2020, available-for-sale debt securities had an average coupon rate of approximately 3.19%, an average duration of approximately 7.08 years, and an average maturity of approximately 10.45 years. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $116 $2 $404 $5 More than 12 months 5 — 38 1 Total $121 $2 $442 $6 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $36 $128 1 year - 5 years 775 807 5 years - 10 years 743 666 10 years - 15 years 309 125 15 years - 20 years 130 126 20 years+ 592 604 Total $2,585 $2,456 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $276 million and $361 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $15 million and $6 million, respectively, and gross losses of $1 million and $1 million, respectively, related to available-for-sale securities were reclassified out of other comprehensive income or other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $676 million and $726 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $29 million and $8 million, respectively, and gross losses of $4 million and $3 million, respectively, related to available-for-sale securities were reclassified out of other comprehensive income or other regulatory liabilities/assets into earnings. The fair values of the decommissioning trust funds related to the Entergy Wholesale Commodities nuclear plants as of June 30, 2020 were $565 million for Indian Point 1, $715 million for Indian Point 2, $945 million for Indian Point 3, and $528 million for Palisades. The fair values of the decommissioning trust funds related to the Entergy Wholesale Commodities nuclear plants as of December 31, 2019 were $556 million for Indian Point 1, $701 million for Indian Point 2, $930 million for Indian Point 3, and $498 million for Palisades. The fair values of the decommissioning trust funds for the Registrant Subsidiaries’ nuclear plants are detailed below. Entergy Arkansas Entergy Arkansas holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $441.5 $30.0 $0.1 2019 Debt Securities $412.8 $9.9 $2.6 The amortized cost of available-for-sale debt securities was $411.6 million as of June 30, 2020 and $405.4 million as of December 31, 2019. As of June 30, 2020, available-for-sale debt securities had an average coupon rate of approximately 2.72%, an average duration of approximately 7.18 years, and an average maturity of approximately 8.62 years. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $116.8 million and ($30.4) million, respectively. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $14.6 $0.1 $104.8 $2.5 More than 12 months — — 7.7 0.1 Total $14.6 $0.1 $112.5 $2.6 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $21.9 $44.1 1 year - 5 years 104.2 109.1 5 years - 10 years 178.2 156.0 10 years - 15 years 67.9 31.3 15 years - 20 years 29.5 23.8 20 years+ 39.8 48.5 Total $441.5 $412.8 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $17.7 million and $22.3 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $1.3 million and $0.1 million, respectively, and gross losses of $0.1 million and $18 thousand, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $66.4 million and $33.2 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $5.8 million and $0.1 million, respectively, and gross losses of $0.2 million and $0.1 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. Entergy Louisiana Entergy Louisiana holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $622.9 $50.1 $0.5 2019 Debt Securities $601.5 $29.3 $0.8 The amortized cost of available-for-sale debt securities was $573.3 million as of June 30, 2020 and $573 million as of December 31, 2019. As of June 30, 2020, the available-for-sale debt securities had an average coupon rate of approximately 3.84%, an average duration of approximately 7.21 years, and an average maturity of approximately 12.96 years. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $160.8 million and ($40.1) million, respectively. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $29.3 $0.5 $71.2 $0.8 More than 12 months 0.8 — 7.9 — Total $30.1 $0.5 $79.1 $0.8 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $8.4 $40.7 1 year - 5 years 142.4 142.0 5 years - 10 years 144.0 132.4 10 years - 15 years 80.4 39.8 15 years - 20 years 55.4 49.2 20 years+ 192.3 197.4 Total $622.9 $601.5 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $34.1 million and $39.5 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $2 million and $1.4 million, respectively, and gross losses of $0.1 million and $0.05 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $101.5 million and $95.7 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $4.9 million and $1.7 million, respectively, and gross losses of $0.7 million and $0.2 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. System Energy System Energy holds equity securities and available-for-sale debt securities in nuclear decommissioning trust accounts. The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $418.8 $32.4 $0.3 2019 Debt Securities $386.2 $15.1 $0.3 The amortized cost of available-for-sale debt securities was $386.7 million as of June 30, 2020 and $371.4 million as of December 31, 2019. As of June 30, 2020, available-for-sale debt securities had an average coupon rate of approximately 2.97%, an average duration of approximately 7.39 years, and an average maturity of approximately 11.19 years. The unrealized gains/(losses) recognized during the three and six months ended June 30, 2020 on equity securities still held as of June 30, 2020 were $111.1 million and ($28.9) million, respectively. The equity securities are generally held in funds that are designed to approximate the return of the Standard & Poor’s 500 Index. A relatively small percentage of the equity securities are held in funds intended to replicate the return of the Wilshire 4500 Index. The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $15.4 $0.3 $56.9 $0.3 More than 12 months — — 0.3 — Total $15.4 $0.3 $57.2 $0.3 The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year ($1.8) $8.5 1 year - 5 years 166.7 154.6 5 years - 10 years 103.4 92.3 10 years - 15 years 27.4 13.4 15 years - 20 years 6.5 14.4 20 years+ 116.6 103.0 Total $418.8 $386.2 During the three months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $73.6 million and $87.7 million, respectively. During the three months ended June 30, 2020 and 2019, gross gains of $5.4 million and $1.5 million, respectively, and gross losses of $0.2 million and $0.3 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. During the six months ended June 30, 2020 and 2019, proceeds from the dispositions of available-for-sale securities amounted to $165.6 million and $129.8 million, respectively. During the six months ended June 30, 2020 and 2019, gross gains of $7 million and $1.9 million, respectively, and gross losses of $0.4 million and $0.4 million, respectively, related to available-for-sale securities were reclassified out of other regulatory liabilities/assets into earnings. Allowance for expected credit losses Entergy implemented ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, effective January 1, 2020. In accordance with the new standard, Entergy estimates the expected credit losses for its available for sale securities based on the current credit rating and remaining life of the securities. To the extent an individual security is determined to be uncollectible it is written off against this allowance. Entergy’s available-for-sale securities are held in trusts managed by third parties who operate in accordance with agreements that define investment guidelines and place restrictions on the purchases and sales of investments. Specifically, available-for-sale securities are subject to credit worthiness restrictions, with requirements for both the average credit rating of the portfolio and minimum credit ratings for individual debt securities. As of June 30, 2020, Entergy’s allowance for expected credit losses related to available-for-sale securities was $0.4 million. Entergy did not record any impairments of available-for-sale debt securities for the three and six months ended June 30, 2020. Other-than-temporary impairments and unrealized gains and losses |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2020 | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory commissions. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting has a significant effect on the effective tax rate for the period as compared to the statutory tax rate. The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 Other Tax Matters In accordance with ASC 718, “Compensation - Stock Compensation,” Entergy and the Registrant Subsidiaries recognized excess tax deductions as a reduction of income tax expense in the first quarter 2020. Due to the vesting and exercise of certain Entergy stock-based awards, Entergy recorded a permanent tax reduction of approximately $24.7 million, including $4.8 million for Entergy Arkansas, $8.6 million for Entergy Louisiana, $2.7 million for Entergy Mississippi, $1.5 million for Entergy New Orleans, $2.7 million for Entergy Texas, and $1.3 million for System Energy. In the first quarter 2020, Entergy and the IRS agreed upon and settled on the treatment of funds received by Entergy Louisiana in conjunction with the Act 55 financing of Hurricane Isaac storm costs, which resulted in a reduction of income tax expense of approximately $32 million. As a result of the settlement, the position was partially sustained and Entergy Louisiana recorded a reduction of income tax expense of approximately $58 million primarily due to the reversal of liabilities for uncertain tax positions in excess of the agreed-upon settlement. Entergy recorded an increase to income tax expense of $26 million primarily resulting from the reduction of the deferred tax asset, associated with utilization of the net operating loss as a result of the settlement. This adjustment recorded by Entergy also accounted for the tax rate change of the Tax Cuts and Jobs Act. As a result of the IRS settlement, Entergy Louisiana recorded a $29 million ($21 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to customers pursuant to the LPSC Hurricane Isaac Act 55 financing order. Tax Accounting Methods As discussed in Note 3 to the financial statements in the Form 10-K, in 2015, System Energy adopted a new method of accounting for income tax return purposes in which its nuclear decommissioning costs are treated as production costs of electricity includable in cost of goods sold. The new method resulted in a reduction of taxable income of $1.2 billion for System Energy in 2015. Entergy expects to concede this tax position with the IRS during the third quarter 2020, which will result in an approximate $400 million decrease in federal uncertain tax positions for Entergy and System Energy and a corresponding decrease in federal deferred tax assets for Entergy and an increase in taxes payable for System Energy. Coronavirus Aid, Relief, and Economic Security Act In response to the economic impacts of the COVID-19 pandemic, President Trump signed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) into law on March 27, 2020. The CARES Act provisions that result in the most significant opportunities for tax relief to Entergy and the Registrant Subsidiaries are permitting a five year carryback of 2018-2020 net operating losses, removing the 80 percent limitation on the carryback of 2018-2020 net operating losses, increasing the limitation on interest expense deductibility for 2019 and 2020, accelerating available refunds for minimum tax credit carryforwards, modifying limitations on charitable contributions during 2020, and delaying the payment of employer payroll taxes. Based on current estimates, Entergy could defer approximately $64 million of 2020 payroll tax payments, which would be payable in two installments of $32 million on December 31, 2021 and December 31, 2022. |
Entergy Arkansas [Member] | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory commissions. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting has a significant effect on the effective tax rate for the period as compared to the statutory tax rate. The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 Other Tax Matters In accordance with ASC 718, “Compensation - Stock Compensation,” Entergy and the Registrant Subsidiaries recognized excess tax deductions as a reduction of income tax expense in the first quarter 2020. Due to the vesting and exercise of certain Entergy stock-based awards, Entergy recorded a permanent tax reduction of approximately $24.7 million, including $4.8 million for Entergy Arkansas, $8.6 million for Entergy Louisiana, $2.7 million for Entergy Mississippi, $1.5 million for Entergy New Orleans, $2.7 million for Entergy Texas, and $1.3 million for System Energy. In the first quarter 2020, Entergy and the IRS agreed upon and settled on the treatment of funds received by Entergy Louisiana in conjunction with the Act 55 financing of Hurricane Isaac storm costs, which resulted in a reduction of income tax expense of approximately $32 million. As a result of the settlement, the position was partially sustained and Entergy Louisiana recorded a reduction of income tax expense of approximately $58 million primarily due to the reversal of liabilities for uncertain tax positions in excess of the agreed-upon settlement. Entergy recorded an increase to income tax expense of $26 million primarily resulting from the reduction of the deferred tax asset, associated with utilization of the net operating loss as a result of the settlement. This adjustment recorded by Entergy also accounted for the tax rate change of the Tax Cuts and Jobs Act. As a result of the IRS settlement, Entergy Louisiana recorded a $29 million ($21 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to customers pursuant to the LPSC Hurricane Isaac Act 55 financing order. Tax Accounting Methods As discussed in Note 3 to the financial statements in the Form 10-K, in 2015, System Energy adopted a new method of accounting for income tax return purposes in which its nuclear decommissioning costs are treated as production costs of electricity includable in cost of goods sold. The new method resulted in a reduction of taxable income of $1.2 billion for System Energy in 2015. Entergy expects to concede this tax position with the IRS during the third quarter 2020, which will result in an approximate $400 million decrease in federal uncertain tax positions for Entergy and System Energy and a corresponding decrease in federal deferred tax assets for Entergy and an increase in taxes payable for System Energy. Coronavirus Aid, Relief, and Economic Security Act In response to the economic impacts of the COVID-19 pandemic, President Trump signed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) into law on March 27, 2020. The CARES Act provisions that result in the most significant opportunities for tax relief to Entergy and the Registrant Subsidiaries are permitting a five year carryback of 2018-2020 net operating losses, removing the 80 percent limitation on the carryback of 2018-2020 net operating losses, increasing the limitation on interest expense deductibility for 2019 and 2020, accelerating available refunds for minimum tax credit carryforwards, modifying limitations on charitable contributions during 2020, and delaying the payment of employer payroll taxes. Based on current estimates, Entergy could defer approximately $64 million of 2020 payroll tax payments, which would be payable in two installments of $32 million on December 31, 2021 and December 31, 2022. |
Entergy Louisiana [Member] | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory commissions. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting has a significant effect on the effective tax rate for the period as compared to the statutory tax rate. The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 Other Tax Matters In accordance with ASC 718, “Compensation - Stock Compensation,” Entergy and the Registrant Subsidiaries recognized excess tax deductions as a reduction of income tax expense in the first quarter 2020. Due to the vesting and exercise of certain Entergy stock-based awards, Entergy recorded a permanent tax reduction of approximately $24.7 million, including $4.8 million for Entergy Arkansas, $8.6 million for Entergy Louisiana, $2.7 million for Entergy Mississippi, $1.5 million for Entergy New Orleans, $2.7 million for Entergy Texas, and $1.3 million for System Energy. In the first quarter 2020, Entergy and the IRS agreed upon and settled on the treatment of funds received by Entergy Louisiana in conjunction with the Act 55 financing of Hurricane Isaac storm costs, which resulted in a reduction of income tax expense of approximately $32 million. As a result of the settlement, the position was partially sustained and Entergy Louisiana recorded a reduction of income tax expense of approximately $58 million primarily due to the reversal of liabilities for uncertain tax positions in excess of the agreed-upon settlement. Entergy recorded an increase to income tax expense of $26 million primarily resulting from the reduction of the deferred tax asset, associated with utilization of the net operating loss as a result of the settlement. This adjustment recorded by Entergy also accounted for the tax rate change of the Tax Cuts and Jobs Act. As a result of the IRS settlement, Entergy Louisiana recorded a $29 million ($21 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to customers pursuant to the LPSC Hurricane Isaac Act 55 financing order. Tax Accounting Methods As discussed in Note 3 to the financial statements in the Form 10-K, in 2015, System Energy adopted a new method of accounting for income tax return purposes in which its nuclear decommissioning costs are treated as production costs of electricity includable in cost of goods sold. The new method resulted in a reduction of taxable income of $1.2 billion for System Energy in 2015. Entergy expects to concede this tax position with the IRS during the third quarter 2020, which will result in an approximate $400 million decrease in federal uncertain tax positions for Entergy and System Energy and a corresponding decrease in federal deferred tax assets for Entergy and an increase in taxes payable for System Energy. Coronavirus Aid, Relief, and Economic Security Act In response to the economic impacts of the COVID-19 pandemic, President Trump signed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) into law on March 27, 2020. The CARES Act provisions that result in the most significant opportunities for tax relief to Entergy and the Registrant Subsidiaries are permitting a five year carryback of 2018-2020 net operating losses, removing the 80 percent limitation on the carryback of 2018-2020 net operating losses, increasing the limitation on interest expense deductibility for 2019 and 2020, accelerating available refunds for minimum tax credit carryforwards, modifying limitations on charitable contributions during 2020, and delaying the payment of employer payroll taxes. Based on current estimates, Entergy could defer approximately $64 million of 2020 payroll tax payments, which would be payable in two installments of $32 million on December 31, 2021 and December 31, 2022. |
Entergy Mississippi [Member] | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory commissions. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting has a significant effect on the effective tax rate for the period as compared to the statutory tax rate. The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 Other Tax Matters In accordance with ASC 718, “Compensation - Stock Compensation,” Entergy and the Registrant Subsidiaries recognized excess tax deductions as a reduction of income tax expense in the first quarter 2020. Due to the vesting and exercise of certain Entergy stock-based awards, Entergy recorded a permanent tax reduction of approximately $24.7 million, including $4.8 million for Entergy Arkansas, $8.6 million for Entergy Louisiana, $2.7 million for Entergy Mississippi, $1.5 million for Entergy New Orleans, $2.7 million for Entergy Texas, and $1.3 million for System Energy. In the first quarter 2020, Entergy and the IRS agreed upon and settled on the treatment of funds received by Entergy Louisiana in conjunction with the Act 55 financing of Hurricane Isaac storm costs, which resulted in a reduction of income tax expense of approximately $32 million. As a result of the settlement, the position was partially sustained and Entergy Louisiana recorded a reduction of income tax expense of approximately $58 million primarily due to the reversal of liabilities for uncertain tax positions in excess of the agreed-upon settlement. Entergy recorded an increase to income tax expense of $26 million primarily resulting from the reduction of the deferred tax asset, associated with utilization of the net operating loss as a result of the settlement. This adjustment recorded by Entergy also accounted for the tax rate change of the Tax Cuts and Jobs Act. As a result of the IRS settlement, Entergy Louisiana recorded a $29 million ($21 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to customers pursuant to the LPSC Hurricane Isaac Act 55 financing order. Tax Accounting Methods As discussed in Note 3 to the financial statements in the Form 10-K, in 2015, System Energy adopted a new method of accounting for income tax return purposes in which its nuclear decommissioning costs are treated as production costs of electricity includable in cost of goods sold. The new method resulted in a reduction of taxable income of $1.2 billion for System Energy in 2015. Entergy expects to concede this tax position with the IRS during the third quarter 2020, which will result in an approximate $400 million decrease in federal uncertain tax positions for Entergy and System Energy and a corresponding decrease in federal deferred tax assets for Entergy and an increase in taxes payable for System Energy. Coronavirus Aid, Relief, and Economic Security Act In response to the economic impacts of the COVID-19 pandemic, President Trump signed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) into law on March 27, 2020. The CARES Act provisions that result in the most significant opportunities for tax relief to Entergy and the Registrant Subsidiaries are permitting a five year carryback of 2018-2020 net operating losses, removing the 80 percent limitation on the carryback of 2018-2020 net operating losses, increasing the limitation on interest expense deductibility for 2019 and 2020, accelerating available refunds for minimum tax credit carryforwards, modifying limitations on charitable contributions during 2020, and delaying the payment of employer payroll taxes. Based on current estimates, Entergy could defer approximately $64 million of 2020 payroll tax payments, which would be payable in two installments of $32 million on December 31, 2021 and December 31, 2022. |
Entergy New Orleans [Member] | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory commissions. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting has a significant effect on the effective tax rate for the period as compared to the statutory tax rate. The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 Other Tax Matters In accordance with ASC 718, “Compensation - Stock Compensation,” Entergy and the Registrant Subsidiaries recognized excess tax deductions as a reduction of income tax expense in the first quarter 2020. Due to the vesting and exercise of certain Entergy stock-based awards, Entergy recorded a permanent tax reduction of approximately $24.7 million, including $4.8 million for Entergy Arkansas, $8.6 million for Entergy Louisiana, $2.7 million for Entergy Mississippi, $1.5 million for Entergy New Orleans, $2.7 million for Entergy Texas, and $1.3 million for System Energy. In the first quarter 2020, Entergy and the IRS agreed upon and settled on the treatment of funds received by Entergy Louisiana in conjunction with the Act 55 financing of Hurricane Isaac storm costs, which resulted in a reduction of income tax expense of approximately $32 million. As a result of the settlement, the position was partially sustained and Entergy Louisiana recorded a reduction of income tax expense of approximately $58 million primarily due to the reversal of liabilities for uncertain tax positions in excess of the agreed-upon settlement. Entergy recorded an increase to income tax expense of $26 million primarily resulting from the reduction of the deferred tax asset, associated with utilization of the net operating loss as a result of the settlement. This adjustment recorded by Entergy also accounted for the tax rate change of the Tax Cuts and Jobs Act. As a result of the IRS settlement, Entergy Louisiana recorded a $29 million ($21 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to customers pursuant to the LPSC Hurricane Isaac Act 55 financing order. Tax Accounting Methods As discussed in Note 3 to the financial statements in the Form 10-K, in 2015, System Energy adopted a new method of accounting for income tax return purposes in which its nuclear decommissioning costs are treated as production costs of electricity includable in cost of goods sold. The new method resulted in a reduction of taxable income of $1.2 billion for System Energy in 2015. Entergy expects to concede this tax position with the IRS during the third quarter 2020, which will result in an approximate $400 million decrease in federal uncertain tax positions for Entergy and System Energy and a corresponding decrease in federal deferred tax assets for Entergy and an increase in taxes payable for System Energy. Coronavirus Aid, Relief, and Economic Security Act In response to the economic impacts of the COVID-19 pandemic, President Trump signed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) into law on March 27, 2020. The CARES Act provisions that result in the most significant opportunities for tax relief to Entergy and the Registrant Subsidiaries are permitting a five year carryback of 2018-2020 net operating losses, removing the 80 percent limitation on the carryback of 2018-2020 net operating losses, increasing the limitation on interest expense deductibility for 2019 and 2020, accelerating available refunds for minimum tax credit carryforwards, modifying limitations on charitable contributions during 2020, and delaying the payment of employer payroll taxes. Based on current estimates, Entergy could defer approximately $64 million of 2020 payroll tax payments, which would be payable in two installments of $32 million on December 31, 2021 and December 31, 2022. |
Entergy Texas [Member] | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory commissions. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting has a significant effect on the effective tax rate for the period as compared to the statutory tax rate. The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 Other Tax Matters In accordance with ASC 718, “Compensation - Stock Compensation,” Entergy and the Registrant Subsidiaries recognized excess tax deductions as a reduction of income tax expense in the first quarter 2020. Due to the vesting and exercise of certain Entergy stock-based awards, Entergy recorded a permanent tax reduction of approximately $24.7 million, including $4.8 million for Entergy Arkansas, $8.6 million for Entergy Louisiana, $2.7 million for Entergy Mississippi, $1.5 million for Entergy New Orleans, $2.7 million for Entergy Texas, and $1.3 million for System Energy. In the first quarter 2020, Entergy and the IRS agreed upon and settled on the treatment of funds received by Entergy Louisiana in conjunction with the Act 55 financing of Hurricane Isaac storm costs, which resulted in a reduction of income tax expense of approximately $32 million. As a result of the settlement, the position was partially sustained and Entergy Louisiana recorded a reduction of income tax expense of approximately $58 million primarily due to the reversal of liabilities for uncertain tax positions in excess of the agreed-upon settlement. Entergy recorded an increase to income tax expense of $26 million primarily resulting from the reduction of the deferred tax asset, associated with utilization of the net operating loss as a result of the settlement. This adjustment recorded by Entergy also accounted for the tax rate change of the Tax Cuts and Jobs Act. As a result of the IRS settlement, Entergy Louisiana recorded a $29 million ($21 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to customers pursuant to the LPSC Hurricane Isaac Act 55 financing order. Tax Accounting Methods As discussed in Note 3 to the financial statements in the Form 10-K, in 2015, System Energy adopted a new method of accounting for income tax return purposes in which its nuclear decommissioning costs are treated as production costs of electricity includable in cost of goods sold. The new method resulted in a reduction of taxable income of $1.2 billion for System Energy in 2015. Entergy expects to concede this tax position with the IRS during the third quarter 2020, which will result in an approximate $400 million decrease in federal uncertain tax positions for Entergy and System Energy and a corresponding decrease in federal deferred tax assets for Entergy and an increase in taxes payable for System Energy. Coronavirus Aid, Relief, and Economic Security Act In response to the economic impacts of the COVID-19 pandemic, President Trump signed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) into law on March 27, 2020. The CARES Act provisions that result in the most significant opportunities for tax relief to Entergy and the Registrant Subsidiaries are permitting a five year carryback of 2018-2020 net operating losses, removing the 80 percent limitation on the carryback of 2018-2020 net operating losses, increasing the limitation on interest expense deductibility for 2019 and 2020, accelerating available refunds for minimum tax credit carryforwards, modifying limitations on charitable contributions during 2020, and delaying the payment of employer payroll taxes. Based on current estimates, Entergy could defer approximately $64 million of 2020 payroll tax payments, which would be payable in two installments of $32 million on December 31, 2021 and December 31, 2022. |
System Energy [Member] | |
Income Taxes | INCOME TAXES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) See “ Income Tax Audits ” and “ Other Tax Matters ” in Note 3 to the financial statements in the Form 10-K for a discussion of income tax audits, the Tax Cuts and Jobs Act, and other income tax matters involving Entergy. The following are updates to that discussion. Tax Cuts and Jobs Act During the second quarter 2018, Registrant Subsidiaries began returning unprotected excess accumulated deferred income taxes, associated with the effects of the Tax Cuts and Jobs Act, to their customers through rate riders and other means approved by their respective regulatory commissions. Return of the unprotected excess accumulated deferred income taxes results in a reduction in the regulatory liability for income taxes and a corresponding reduction in income tax expense. This manner of regulatory accounting has a significant effect on the effective tax rate for the period as compared to the statutory tax rate. The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 Other Tax Matters In accordance with ASC 718, “Compensation - Stock Compensation,” Entergy and the Registrant Subsidiaries recognized excess tax deductions as a reduction of income tax expense in the first quarter 2020. Due to the vesting and exercise of certain Entergy stock-based awards, Entergy recorded a permanent tax reduction of approximately $24.7 million, including $4.8 million for Entergy Arkansas, $8.6 million for Entergy Louisiana, $2.7 million for Entergy Mississippi, $1.5 million for Entergy New Orleans, $2.7 million for Entergy Texas, and $1.3 million for System Energy. In the first quarter 2020, Entergy and the IRS agreed upon and settled on the treatment of funds received by Entergy Louisiana in conjunction with the Act 55 financing of Hurricane Isaac storm costs, which resulted in a reduction of income tax expense of approximately $32 million. As a result of the settlement, the position was partially sustained and Entergy Louisiana recorded a reduction of income tax expense of approximately $58 million primarily due to the reversal of liabilities for uncertain tax positions in excess of the agreed-upon settlement. Entergy recorded an increase to income tax expense of $26 million primarily resulting from the reduction of the deferred tax asset, associated with utilization of the net operating loss as a result of the settlement. This adjustment recorded by Entergy also accounted for the tax rate change of the Tax Cuts and Jobs Act. As a result of the IRS settlement, Entergy Louisiana recorded a $29 million ($21 million net-of-tax) regulatory charge and a corresponding regulatory liability to reflect its obligation to customers pursuant to the LPSC Hurricane Isaac Act 55 financing order. Tax Accounting Methods As discussed in Note 3 to the financial statements in the Form 10-K, in 2015, System Energy adopted a new method of accounting for income tax return purposes in which its nuclear decommissioning costs are treated as production costs of electricity includable in cost of goods sold. The new method resulted in a reduction of taxable income of $1.2 billion for System Energy in 2015. Entergy expects to concede this tax position with the IRS during the third quarter 2020, which will result in an approximate $400 million decrease in federal uncertain tax positions for Entergy and System Energy and a corresponding decrease in federal deferred tax assets for Entergy and an increase in taxes payable for System Energy. Coronavirus Aid, Relief, and Economic Security Act In response to the economic impacts of the COVID-19 pandemic, President Trump signed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) into law on March 27, 2020. The CARES Act provisions that result in the most significant opportunities for tax relief to Entergy and the Registrant Subsidiaries are permitting a five year carryback of 2018-2020 net operating losses, removing the 80 percent limitation on the carryback of 2018-2020 net operating losses, increasing the limitation on interest expense deductibility for 2019 and 2020, accelerating available refunds for minimum tax credit carryforwards, modifying limitations on charitable contributions during 2020, and delaying the payment of employer payroll taxes. Based on current estimates, Entergy could defer approximately $64 million of 2020 payroll tax payments, which would be payable in two installments of $32 million on December 31, 2021 and December 31, 2022. |
Property, Plant, And Equipment
Property, Plant, And Equipment | 6 Months Ended |
Jun. 30, 2020 | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at June 30, 2020 were $281 million for Entergy, $48.4 million for Entergy Arkansas, $74.2 million for Entergy Louisiana, $21.7 million for Entergy Mississippi, $13.2 million for Entergy New Orleans, $46.7 million for Entergy Texas, and $26.1 million for System Energy. Construction expenditures included in accounts payable at December 31, 2019 were $406 million for Entergy, $67.9 million for Entergy Arkansas, $115.1 million for Entergy Louisiana, $34.2 million for Entergy Mississippi, $18.4 million for Entergy New Orleans, $88.1 million for Entergy Texas, and $23.2 million for System Energy. |
Entergy Arkansas [Member] | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at June 30, 2020 were $281 million for Entergy, $48.4 million for Entergy Arkansas, $74.2 million for Entergy Louisiana, $21.7 million for Entergy Mississippi, $13.2 million for Entergy New Orleans, $46.7 million for Entergy Texas, and $26.1 million for System Energy. Construction expenditures included in accounts payable at December 31, 2019 were $406 million for Entergy, $67.9 million for Entergy Arkansas, $115.1 million for Entergy Louisiana, $34.2 million for Entergy Mississippi, $18.4 million for Entergy New Orleans, $88.1 million for Entergy Texas, and $23.2 million for System Energy. |
Entergy Louisiana [Member] | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at June 30, 2020 were $281 million for Entergy, $48.4 million for Entergy Arkansas, $74.2 million for Entergy Louisiana, $21.7 million for Entergy Mississippi, $13.2 million for Entergy New Orleans, $46.7 million for Entergy Texas, and $26.1 million for System Energy. Construction expenditures included in accounts payable at December 31, 2019 were $406 million for Entergy, $67.9 million for Entergy Arkansas, $115.1 million for Entergy Louisiana, $34.2 million for Entergy Mississippi, $18.4 million for Entergy New Orleans, $88.1 million for Entergy Texas, and $23.2 million for System Energy. |
Entergy Mississippi [Member] | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at June 30, 2020 were $281 million for Entergy, $48.4 million for Entergy Arkansas, $74.2 million for Entergy Louisiana, $21.7 million for Entergy Mississippi, $13.2 million for Entergy New Orleans, $46.7 million for Entergy Texas, and $26.1 million for System Energy. Construction expenditures included in accounts payable at December 31, 2019 were $406 million for Entergy, $67.9 million for Entergy Arkansas, $115.1 million for Entergy Louisiana, $34.2 million for Entergy Mississippi, $18.4 million for Entergy New Orleans, $88.1 million for Entergy Texas, and $23.2 million for System Energy. |
Entergy New Orleans [Member] | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at June 30, 2020 were $281 million for Entergy, $48.4 million for Entergy Arkansas, $74.2 million for Entergy Louisiana, $21.7 million for Entergy Mississippi, $13.2 million for Entergy New Orleans, $46.7 million for Entergy Texas, and $26.1 million for System Energy. Construction expenditures included in accounts payable at December 31, 2019 were $406 million for Entergy, $67.9 million for Entergy Arkansas, $115.1 million for Entergy Louisiana, $34.2 million for Entergy Mississippi, $18.4 million for Entergy New Orleans, $88.1 million for Entergy Texas, and $23.2 million for System Energy. |
Entergy Texas [Member] | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at June 30, 2020 were $281 million for Entergy, $48.4 million for Entergy Arkansas, $74.2 million for Entergy Louisiana, $21.7 million for Entergy Mississippi, $13.2 million for Entergy New Orleans, $46.7 million for Entergy Texas, and $26.1 million for System Energy. Construction expenditures included in accounts payable at December 31, 2019 were $406 million for Entergy, $67.9 million for Entergy Arkansas, $115.1 million for Entergy Louisiana, $34.2 million for Entergy Mississippi, $18.4 million for Entergy New Orleans, $88.1 million for Entergy Texas, and $23.2 million for System Energy. |
System Energy [Member] | |
Property, Plant, And Equipment | PROPERTY, PLANT, AND EQUIPMENT (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Construction Expenditures in Accounts Payable Construction expenditures included in accounts payable at June 30, 2020 were $281 million for Entergy, $48.4 million for Entergy Arkansas, $74.2 million for Entergy Louisiana, $21.7 million for Entergy Mississippi, $13.2 million for Entergy New Orleans, $46.7 million for Entergy Texas, and $26.1 million for System Energy. Construction expenditures included in accounts payable at December 31, 2019 were $406 million for Entergy, $67.9 million for Entergy Arkansas, $115.1 million for Entergy Louisiana, $34.2 million for Entergy Mississippi, $18.4 million for Entergy New Orleans, $88.1 million for Entergy Texas, and $23.2 million for System Energy. |
Variable Interest Entities
Variable Interest Entities | 6 Months Ended |
Jun. 30, 2020 | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt.System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the six months ended June 30, 2020 and the six months ended June 30, 2019. |
Entergy Arkansas [Member] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt.System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the six months ended June 30, 2020 and the six months ended June 30, 2019. |
Entergy Louisiana [Member] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt.System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the six months ended June 30, 2020 and the six months ended June 30, 2019. |
Entergy Mississippi [Member] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt.System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the six months ended June 30, 2020 and the six months ended June 30, 2019. |
Entergy New Orleans [Member] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt.System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the six months ended June 30, 2020 and the six months ended June 30, 2019. |
Entergy Texas [Member] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt.System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the six months ended June 30, 2020 and the six months ended June 30, 2019. |
System Energy [Member] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)See Note 17 to the financial statements in the Form 10-K for a discussion of variable interest entities. See Note 4 to the financial statements herein for details of the nuclear fuel companies’ credit facilities, commercial paper borrowings, and long-term debt.System Energy is considered to hold a variable interest in the lessor from which it leases an undivided interest representing approximately 11.5% of the Grand Gulf nuclear plant. System Energy is the lessee under this arrangement, which is described in more detail in Note 5 to the financial statements in the Form 10-K. System Energy made payments under this arrangement, including interest, of $8.6 million in each of the six months ended June 30, 2020 and the six months ended June 30, 2019. |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jun. 30, 2020 | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 2019 (In Thousands) Utility: Residential $790,869 $770,373 Commercial 526,121 595,025 Industrial 576,203 641,733 Governmental 46,959 57,623 Total billed retail 1,940,152 2,064,754 Sales for resale (a) 52,761 75,318 Other electric revenues (b) 168,721 195,952 Revenues from contracts with customers 2,161,634 2,336,024 Other revenues (c) 28,923 9,703 Total electric revenues 2,190,557 2,345,727 Natural gas 22,495 30,699 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 175,720 280,398 Other revenues (c) 24,016 9,385 Total competitive businesses revenues 199,736 289,783 Total operating revenues $2,412,788 $2,666,209 Entergy’s total revenues for the six months ended June 30, 2020 and 2019 are as follows: 2020 2019 (In Thousands) Utility: Residential $1,588,897 $1,572,911 Commercial 1,065,061 1,149,082 Industrial 1,133,718 1,242,734 Governmental 99,541 110,584 Total billed retail 3,887,217 4,075,311 Sales for resale (a) 106,487 159,753 Other electric revenues (b) 218,887 211,422 Revenues from contracts with customers 4,212,591 4,446,486 Other revenues (c) 28,605 20,265 Total electric revenues 4,241,196 4,466,751 Natural gas 66,471 85,647 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 391,723 640,869 Other revenues (c) 140,577 82,525 Total competitive businesses revenues 532,300 723,394 Total operating revenues $4,839,967 $5,275,792 The Registrant Subsidiaries’ total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $171,171 $301,105 $112,361 $53,420 $152,811 Commercial 106,104 209,119 89,594 36,401 84,904 Industrial 106,254 335,201 35,874 3,066 95,809 Governmental 4,344 16,781 9,798 10,475 5,560 Total billed retail 387,873 862,206 247,627 103,362 339,084 Sales for resale (a) 36,956 82,698 18,426 8,018 13,187 Other electric revenues (b) 63,537 53,104 29,393 3,999 20,039 Revenues from contracts with customers 488,366 998,008 295,446 115,379 372,310 Other revenues (c) 3,401 3,593 2,508 19,520 (116) Total electric revenues 491,767 1,001,601 297,954 134,899 372,194 Natural gas — 10,051 — 12,444 — Total operating revenues $491,767 $1,011,652 $297,954 $147,343 $372,194 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $157,714 $290,366 $116,801 $58,621 $146,871 Commercial 125,555 232,134 102,275 53,981 81,080 Industrial 118,913 384,919 38,739 8,490 90,672 Governmental 4,971 17,925 10,521 18,984 5,222 Total billed retail 407,153 925,344 268,336 140,076 323,845 Sales for resale (a) 74,501 83,208 4,994 8,579 14,772 Other electric revenues (b) 58,209 80,307 26,982 7,263 24,656 Revenues from contracts with customers 539,863 1,088,859 300,312 155,918 363,273 Other revenues (c) 3,066 5,400 2,425 1,234 307 Total electric revenues 542,929 1,094,259 302,737 157,152 363,580 Natural gas — 12,058 — 18,641 — Total operating revenues $542,929 $1,106,317 $302,737 $175,793 $363,580 The Registrant Subsidiaries’ total revenues for the six months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $390,859 $560,965 $239,463 $104,319 $293,291 Commercial 217,349 411,365 186,392 81,905 168,050 Industrial 207,342 657,542 72,264 10,413 186,157 Governmental 8,374 33,535 20,125 26,326 11,180 Total billed retail 823,924 1,663,407 518,244 222,963 658,678 Sales for resale (a) 78,096 161,228 32,848 18,188 21,815 Other electric revenues (b) 65,134 85,113 35,836 4,763 30,742 Revenues from contracts with customers 967,154 1,909,748 586,928 245,914 711,235 Other revenues (c) 6,525 4,394 4,948 12,416 295 Total electric revenues 973,679 1,914,142 591,876 258,330 711,530 Natural gas — 28,157 — 38,315 — Total operating revenues $973,679 $1,942,299 $591,876 $296,645 $711,530 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $367,581 $554,431 $245,610 $110,697 $294,592 Commercial 250,133 438,912 200,189 99,723 160,125 Industrial 240,491 731,598 76,436 15,740 178,470 Governmental 9,869 34,817 20,557 34,886 10,455 Total billed retail 868,074 1,759,758 542,792 261,046 643,642 Sales for resale (a) 154,085 167,164 9,808 18,803 31,548 Other electric revenues (b) 60,514 92,746 27,387 5,556 28,153 Revenues from contracts with customers 1,082,673 2,019,668 579,987 285,405 703,343 Other revenues (c) 6,068 11,284 4,994 2,630 711 Total electric revenues 1,088,741 2,030,952 584,981 288,035 704,054 Natural gas — 34,695 — 50,952 — Total operating revenues $1,088,741 $2,065,647 $584,981 $338,987 $704,054 (a) Sales for resale and competitive businesses sales include day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market and unbilled revenue. (c) Other revenues include the settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. Due to the effect of the COVID-19 pandemic on customer receivables, however, Entergy recorded an increase in its allowance for doubtful accounts, as shown below: Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2019 $7.4 $1.2 $1.9 $0.6 $3.2 $0.5 Provisions 38.4 6.3 14.1 7.0 5.5 5.5 Write-offs (8.6) (1.8) (3.5) (1.2) (1.0) (1.1) Recoveries 6.0 1.6 2.0 0.8 0.7 0.9 Balance as of June 30, 2020 $43.2 $7.3 $14.5 $7.2 $8.4 $5.8 |
Entergy Arkansas [Member] | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 2019 (In Thousands) Utility: Residential $790,869 $770,373 Commercial 526,121 595,025 Industrial 576,203 641,733 Governmental 46,959 57,623 Total billed retail 1,940,152 2,064,754 Sales for resale (a) 52,761 75,318 Other electric revenues (b) 168,721 195,952 Revenues from contracts with customers 2,161,634 2,336,024 Other revenues (c) 28,923 9,703 Total electric revenues 2,190,557 2,345,727 Natural gas 22,495 30,699 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 175,720 280,398 Other revenues (c) 24,016 9,385 Total competitive businesses revenues 199,736 289,783 Total operating revenues $2,412,788 $2,666,209 Entergy’s total revenues for the six months ended June 30, 2020 and 2019 are as follows: 2020 2019 (In Thousands) Utility: Residential $1,588,897 $1,572,911 Commercial 1,065,061 1,149,082 Industrial 1,133,718 1,242,734 Governmental 99,541 110,584 Total billed retail 3,887,217 4,075,311 Sales for resale (a) 106,487 159,753 Other electric revenues (b) 218,887 211,422 Revenues from contracts with customers 4,212,591 4,446,486 Other revenues (c) 28,605 20,265 Total electric revenues 4,241,196 4,466,751 Natural gas 66,471 85,647 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 391,723 640,869 Other revenues (c) 140,577 82,525 Total competitive businesses revenues 532,300 723,394 Total operating revenues $4,839,967 $5,275,792 The Registrant Subsidiaries’ total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $171,171 $301,105 $112,361 $53,420 $152,811 Commercial 106,104 209,119 89,594 36,401 84,904 Industrial 106,254 335,201 35,874 3,066 95,809 Governmental 4,344 16,781 9,798 10,475 5,560 Total billed retail 387,873 862,206 247,627 103,362 339,084 Sales for resale (a) 36,956 82,698 18,426 8,018 13,187 Other electric revenues (b) 63,537 53,104 29,393 3,999 20,039 Revenues from contracts with customers 488,366 998,008 295,446 115,379 372,310 Other revenues (c) 3,401 3,593 2,508 19,520 (116) Total electric revenues 491,767 1,001,601 297,954 134,899 372,194 Natural gas — 10,051 — 12,444 — Total operating revenues $491,767 $1,011,652 $297,954 $147,343 $372,194 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $157,714 $290,366 $116,801 $58,621 $146,871 Commercial 125,555 232,134 102,275 53,981 81,080 Industrial 118,913 384,919 38,739 8,490 90,672 Governmental 4,971 17,925 10,521 18,984 5,222 Total billed retail 407,153 925,344 268,336 140,076 323,845 Sales for resale (a) 74,501 83,208 4,994 8,579 14,772 Other electric revenues (b) 58,209 80,307 26,982 7,263 24,656 Revenues from contracts with customers 539,863 1,088,859 300,312 155,918 363,273 Other revenues (c) 3,066 5,400 2,425 1,234 307 Total electric revenues 542,929 1,094,259 302,737 157,152 363,580 Natural gas — 12,058 — 18,641 — Total operating revenues $542,929 $1,106,317 $302,737 $175,793 $363,580 The Registrant Subsidiaries’ total revenues for the six months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $390,859 $560,965 $239,463 $104,319 $293,291 Commercial 217,349 411,365 186,392 81,905 168,050 Industrial 207,342 657,542 72,264 10,413 186,157 Governmental 8,374 33,535 20,125 26,326 11,180 Total billed retail 823,924 1,663,407 518,244 222,963 658,678 Sales for resale (a) 78,096 161,228 32,848 18,188 21,815 Other electric revenues (b) 65,134 85,113 35,836 4,763 30,742 Revenues from contracts with customers 967,154 1,909,748 586,928 245,914 711,235 Other revenues (c) 6,525 4,394 4,948 12,416 295 Total electric revenues 973,679 1,914,142 591,876 258,330 711,530 Natural gas — 28,157 — 38,315 — Total operating revenues $973,679 $1,942,299 $591,876 $296,645 $711,530 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $367,581 $554,431 $245,610 $110,697 $294,592 Commercial 250,133 438,912 200,189 99,723 160,125 Industrial 240,491 731,598 76,436 15,740 178,470 Governmental 9,869 34,817 20,557 34,886 10,455 Total billed retail 868,074 1,759,758 542,792 261,046 643,642 Sales for resale (a) 154,085 167,164 9,808 18,803 31,548 Other electric revenues (b) 60,514 92,746 27,387 5,556 28,153 Revenues from contracts with customers 1,082,673 2,019,668 579,987 285,405 703,343 Other revenues (c) 6,068 11,284 4,994 2,630 711 Total electric revenues 1,088,741 2,030,952 584,981 288,035 704,054 Natural gas — 34,695 — 50,952 — Total operating revenues $1,088,741 $2,065,647 $584,981 $338,987 $704,054 (a) Sales for resale and competitive businesses sales include day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market and unbilled revenue. (c) Other revenues include the settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. Due to the effect of the COVID-19 pandemic on customer receivables, however, Entergy recorded an increase in its allowance for doubtful accounts, as shown below: Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2019 $7.4 $1.2 $1.9 $0.6 $3.2 $0.5 Provisions 38.4 6.3 14.1 7.0 5.5 5.5 Write-offs (8.6) (1.8) (3.5) (1.2) (1.0) (1.1) Recoveries 6.0 1.6 2.0 0.8 0.7 0.9 Balance as of June 30, 2020 $43.2 $7.3 $14.5 $7.2 $8.4 $5.8 |
Entergy Louisiana [Member] | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 2019 (In Thousands) Utility: Residential $790,869 $770,373 Commercial 526,121 595,025 Industrial 576,203 641,733 Governmental 46,959 57,623 Total billed retail 1,940,152 2,064,754 Sales for resale (a) 52,761 75,318 Other electric revenues (b) 168,721 195,952 Revenues from contracts with customers 2,161,634 2,336,024 Other revenues (c) 28,923 9,703 Total electric revenues 2,190,557 2,345,727 Natural gas 22,495 30,699 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 175,720 280,398 Other revenues (c) 24,016 9,385 Total competitive businesses revenues 199,736 289,783 Total operating revenues $2,412,788 $2,666,209 Entergy’s total revenues for the six months ended June 30, 2020 and 2019 are as follows: 2020 2019 (In Thousands) Utility: Residential $1,588,897 $1,572,911 Commercial 1,065,061 1,149,082 Industrial 1,133,718 1,242,734 Governmental 99,541 110,584 Total billed retail 3,887,217 4,075,311 Sales for resale (a) 106,487 159,753 Other electric revenues (b) 218,887 211,422 Revenues from contracts with customers 4,212,591 4,446,486 Other revenues (c) 28,605 20,265 Total electric revenues 4,241,196 4,466,751 Natural gas 66,471 85,647 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 391,723 640,869 Other revenues (c) 140,577 82,525 Total competitive businesses revenues 532,300 723,394 Total operating revenues $4,839,967 $5,275,792 The Registrant Subsidiaries’ total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $171,171 $301,105 $112,361 $53,420 $152,811 Commercial 106,104 209,119 89,594 36,401 84,904 Industrial 106,254 335,201 35,874 3,066 95,809 Governmental 4,344 16,781 9,798 10,475 5,560 Total billed retail 387,873 862,206 247,627 103,362 339,084 Sales for resale (a) 36,956 82,698 18,426 8,018 13,187 Other electric revenues (b) 63,537 53,104 29,393 3,999 20,039 Revenues from contracts with customers 488,366 998,008 295,446 115,379 372,310 Other revenues (c) 3,401 3,593 2,508 19,520 (116) Total electric revenues 491,767 1,001,601 297,954 134,899 372,194 Natural gas — 10,051 — 12,444 — Total operating revenues $491,767 $1,011,652 $297,954 $147,343 $372,194 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $157,714 $290,366 $116,801 $58,621 $146,871 Commercial 125,555 232,134 102,275 53,981 81,080 Industrial 118,913 384,919 38,739 8,490 90,672 Governmental 4,971 17,925 10,521 18,984 5,222 Total billed retail 407,153 925,344 268,336 140,076 323,845 Sales for resale (a) 74,501 83,208 4,994 8,579 14,772 Other electric revenues (b) 58,209 80,307 26,982 7,263 24,656 Revenues from contracts with customers 539,863 1,088,859 300,312 155,918 363,273 Other revenues (c) 3,066 5,400 2,425 1,234 307 Total electric revenues 542,929 1,094,259 302,737 157,152 363,580 Natural gas — 12,058 — 18,641 — Total operating revenues $542,929 $1,106,317 $302,737 $175,793 $363,580 The Registrant Subsidiaries’ total revenues for the six months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $390,859 $560,965 $239,463 $104,319 $293,291 Commercial 217,349 411,365 186,392 81,905 168,050 Industrial 207,342 657,542 72,264 10,413 186,157 Governmental 8,374 33,535 20,125 26,326 11,180 Total billed retail 823,924 1,663,407 518,244 222,963 658,678 Sales for resale (a) 78,096 161,228 32,848 18,188 21,815 Other electric revenues (b) 65,134 85,113 35,836 4,763 30,742 Revenues from contracts with customers 967,154 1,909,748 586,928 245,914 711,235 Other revenues (c) 6,525 4,394 4,948 12,416 295 Total electric revenues 973,679 1,914,142 591,876 258,330 711,530 Natural gas — 28,157 — 38,315 — Total operating revenues $973,679 $1,942,299 $591,876 $296,645 $711,530 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $367,581 $554,431 $245,610 $110,697 $294,592 Commercial 250,133 438,912 200,189 99,723 160,125 Industrial 240,491 731,598 76,436 15,740 178,470 Governmental 9,869 34,817 20,557 34,886 10,455 Total billed retail 868,074 1,759,758 542,792 261,046 643,642 Sales for resale (a) 154,085 167,164 9,808 18,803 31,548 Other electric revenues (b) 60,514 92,746 27,387 5,556 28,153 Revenues from contracts with customers 1,082,673 2,019,668 579,987 285,405 703,343 Other revenues (c) 6,068 11,284 4,994 2,630 711 Total electric revenues 1,088,741 2,030,952 584,981 288,035 704,054 Natural gas — 34,695 — 50,952 — Total operating revenues $1,088,741 $2,065,647 $584,981 $338,987 $704,054 (a) Sales for resale and competitive businesses sales include day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market and unbilled revenue. (c) Other revenues include the settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. Due to the effect of the COVID-19 pandemic on customer receivables, however, Entergy recorded an increase in its allowance for doubtful accounts, as shown below: Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2019 $7.4 $1.2 $1.9 $0.6 $3.2 $0.5 Provisions 38.4 6.3 14.1 7.0 5.5 5.5 Write-offs (8.6) (1.8) (3.5) (1.2) (1.0) (1.1) Recoveries 6.0 1.6 2.0 0.8 0.7 0.9 Balance as of June 30, 2020 $43.2 $7.3 $14.5 $7.2 $8.4 $5.8 |
Entergy Mississippi [Member] | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 2019 (In Thousands) Utility: Residential $790,869 $770,373 Commercial 526,121 595,025 Industrial 576,203 641,733 Governmental 46,959 57,623 Total billed retail 1,940,152 2,064,754 Sales for resale (a) 52,761 75,318 Other electric revenues (b) 168,721 195,952 Revenues from contracts with customers 2,161,634 2,336,024 Other revenues (c) 28,923 9,703 Total electric revenues 2,190,557 2,345,727 Natural gas 22,495 30,699 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 175,720 280,398 Other revenues (c) 24,016 9,385 Total competitive businesses revenues 199,736 289,783 Total operating revenues $2,412,788 $2,666,209 Entergy’s total revenues for the six months ended June 30, 2020 and 2019 are as follows: 2020 2019 (In Thousands) Utility: Residential $1,588,897 $1,572,911 Commercial 1,065,061 1,149,082 Industrial 1,133,718 1,242,734 Governmental 99,541 110,584 Total billed retail 3,887,217 4,075,311 Sales for resale (a) 106,487 159,753 Other electric revenues (b) 218,887 211,422 Revenues from contracts with customers 4,212,591 4,446,486 Other revenues (c) 28,605 20,265 Total electric revenues 4,241,196 4,466,751 Natural gas 66,471 85,647 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 391,723 640,869 Other revenues (c) 140,577 82,525 Total competitive businesses revenues 532,300 723,394 Total operating revenues $4,839,967 $5,275,792 The Registrant Subsidiaries’ total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $171,171 $301,105 $112,361 $53,420 $152,811 Commercial 106,104 209,119 89,594 36,401 84,904 Industrial 106,254 335,201 35,874 3,066 95,809 Governmental 4,344 16,781 9,798 10,475 5,560 Total billed retail 387,873 862,206 247,627 103,362 339,084 Sales for resale (a) 36,956 82,698 18,426 8,018 13,187 Other electric revenues (b) 63,537 53,104 29,393 3,999 20,039 Revenues from contracts with customers 488,366 998,008 295,446 115,379 372,310 Other revenues (c) 3,401 3,593 2,508 19,520 (116) Total electric revenues 491,767 1,001,601 297,954 134,899 372,194 Natural gas — 10,051 — 12,444 — Total operating revenues $491,767 $1,011,652 $297,954 $147,343 $372,194 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $157,714 $290,366 $116,801 $58,621 $146,871 Commercial 125,555 232,134 102,275 53,981 81,080 Industrial 118,913 384,919 38,739 8,490 90,672 Governmental 4,971 17,925 10,521 18,984 5,222 Total billed retail 407,153 925,344 268,336 140,076 323,845 Sales for resale (a) 74,501 83,208 4,994 8,579 14,772 Other electric revenues (b) 58,209 80,307 26,982 7,263 24,656 Revenues from contracts with customers 539,863 1,088,859 300,312 155,918 363,273 Other revenues (c) 3,066 5,400 2,425 1,234 307 Total electric revenues 542,929 1,094,259 302,737 157,152 363,580 Natural gas — 12,058 — 18,641 — Total operating revenues $542,929 $1,106,317 $302,737 $175,793 $363,580 The Registrant Subsidiaries’ total revenues for the six months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $390,859 $560,965 $239,463 $104,319 $293,291 Commercial 217,349 411,365 186,392 81,905 168,050 Industrial 207,342 657,542 72,264 10,413 186,157 Governmental 8,374 33,535 20,125 26,326 11,180 Total billed retail 823,924 1,663,407 518,244 222,963 658,678 Sales for resale (a) 78,096 161,228 32,848 18,188 21,815 Other electric revenues (b) 65,134 85,113 35,836 4,763 30,742 Revenues from contracts with customers 967,154 1,909,748 586,928 245,914 711,235 Other revenues (c) 6,525 4,394 4,948 12,416 295 Total electric revenues 973,679 1,914,142 591,876 258,330 711,530 Natural gas — 28,157 — 38,315 — Total operating revenues $973,679 $1,942,299 $591,876 $296,645 $711,530 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $367,581 $554,431 $245,610 $110,697 $294,592 Commercial 250,133 438,912 200,189 99,723 160,125 Industrial 240,491 731,598 76,436 15,740 178,470 Governmental 9,869 34,817 20,557 34,886 10,455 Total billed retail 868,074 1,759,758 542,792 261,046 643,642 Sales for resale (a) 154,085 167,164 9,808 18,803 31,548 Other electric revenues (b) 60,514 92,746 27,387 5,556 28,153 Revenues from contracts with customers 1,082,673 2,019,668 579,987 285,405 703,343 Other revenues (c) 6,068 11,284 4,994 2,630 711 Total electric revenues 1,088,741 2,030,952 584,981 288,035 704,054 Natural gas — 34,695 — 50,952 — Total operating revenues $1,088,741 $2,065,647 $584,981 $338,987 $704,054 (a) Sales for resale and competitive businesses sales include day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market and unbilled revenue. (c) Other revenues include the settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. Due to the effect of the COVID-19 pandemic on customer receivables, however, Entergy recorded an increase in its allowance for doubtful accounts, as shown below: Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2019 $7.4 $1.2 $1.9 $0.6 $3.2 $0.5 Provisions 38.4 6.3 14.1 7.0 5.5 5.5 Write-offs (8.6) (1.8) (3.5) (1.2) (1.0) (1.1) Recoveries 6.0 1.6 2.0 0.8 0.7 0.9 Balance as of June 30, 2020 $43.2 $7.3 $14.5 $7.2 $8.4 $5.8 |
Entergy New Orleans [Member] | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 2019 (In Thousands) Utility: Residential $790,869 $770,373 Commercial 526,121 595,025 Industrial 576,203 641,733 Governmental 46,959 57,623 Total billed retail 1,940,152 2,064,754 Sales for resale (a) 52,761 75,318 Other electric revenues (b) 168,721 195,952 Revenues from contracts with customers 2,161,634 2,336,024 Other revenues (c) 28,923 9,703 Total electric revenues 2,190,557 2,345,727 Natural gas 22,495 30,699 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 175,720 280,398 Other revenues (c) 24,016 9,385 Total competitive businesses revenues 199,736 289,783 Total operating revenues $2,412,788 $2,666,209 Entergy’s total revenues for the six months ended June 30, 2020 and 2019 are as follows: 2020 2019 (In Thousands) Utility: Residential $1,588,897 $1,572,911 Commercial 1,065,061 1,149,082 Industrial 1,133,718 1,242,734 Governmental 99,541 110,584 Total billed retail 3,887,217 4,075,311 Sales for resale (a) 106,487 159,753 Other electric revenues (b) 218,887 211,422 Revenues from contracts with customers 4,212,591 4,446,486 Other revenues (c) 28,605 20,265 Total electric revenues 4,241,196 4,466,751 Natural gas 66,471 85,647 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 391,723 640,869 Other revenues (c) 140,577 82,525 Total competitive businesses revenues 532,300 723,394 Total operating revenues $4,839,967 $5,275,792 The Registrant Subsidiaries’ total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $171,171 $301,105 $112,361 $53,420 $152,811 Commercial 106,104 209,119 89,594 36,401 84,904 Industrial 106,254 335,201 35,874 3,066 95,809 Governmental 4,344 16,781 9,798 10,475 5,560 Total billed retail 387,873 862,206 247,627 103,362 339,084 Sales for resale (a) 36,956 82,698 18,426 8,018 13,187 Other electric revenues (b) 63,537 53,104 29,393 3,999 20,039 Revenues from contracts with customers 488,366 998,008 295,446 115,379 372,310 Other revenues (c) 3,401 3,593 2,508 19,520 (116) Total electric revenues 491,767 1,001,601 297,954 134,899 372,194 Natural gas — 10,051 — 12,444 — Total operating revenues $491,767 $1,011,652 $297,954 $147,343 $372,194 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $157,714 $290,366 $116,801 $58,621 $146,871 Commercial 125,555 232,134 102,275 53,981 81,080 Industrial 118,913 384,919 38,739 8,490 90,672 Governmental 4,971 17,925 10,521 18,984 5,222 Total billed retail 407,153 925,344 268,336 140,076 323,845 Sales for resale (a) 74,501 83,208 4,994 8,579 14,772 Other electric revenues (b) 58,209 80,307 26,982 7,263 24,656 Revenues from contracts with customers 539,863 1,088,859 300,312 155,918 363,273 Other revenues (c) 3,066 5,400 2,425 1,234 307 Total electric revenues 542,929 1,094,259 302,737 157,152 363,580 Natural gas — 12,058 — 18,641 — Total operating revenues $542,929 $1,106,317 $302,737 $175,793 $363,580 The Registrant Subsidiaries’ total revenues for the six months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $390,859 $560,965 $239,463 $104,319 $293,291 Commercial 217,349 411,365 186,392 81,905 168,050 Industrial 207,342 657,542 72,264 10,413 186,157 Governmental 8,374 33,535 20,125 26,326 11,180 Total billed retail 823,924 1,663,407 518,244 222,963 658,678 Sales for resale (a) 78,096 161,228 32,848 18,188 21,815 Other electric revenues (b) 65,134 85,113 35,836 4,763 30,742 Revenues from contracts with customers 967,154 1,909,748 586,928 245,914 711,235 Other revenues (c) 6,525 4,394 4,948 12,416 295 Total electric revenues 973,679 1,914,142 591,876 258,330 711,530 Natural gas — 28,157 — 38,315 — Total operating revenues $973,679 $1,942,299 $591,876 $296,645 $711,530 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $367,581 $554,431 $245,610 $110,697 $294,592 Commercial 250,133 438,912 200,189 99,723 160,125 Industrial 240,491 731,598 76,436 15,740 178,470 Governmental 9,869 34,817 20,557 34,886 10,455 Total billed retail 868,074 1,759,758 542,792 261,046 643,642 Sales for resale (a) 154,085 167,164 9,808 18,803 31,548 Other electric revenues (b) 60,514 92,746 27,387 5,556 28,153 Revenues from contracts with customers 1,082,673 2,019,668 579,987 285,405 703,343 Other revenues (c) 6,068 11,284 4,994 2,630 711 Total electric revenues 1,088,741 2,030,952 584,981 288,035 704,054 Natural gas — 34,695 — 50,952 — Total operating revenues $1,088,741 $2,065,647 $584,981 $338,987 $704,054 (a) Sales for resale and competitive businesses sales include day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market and unbilled revenue. (c) Other revenues include the settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. Due to the effect of the COVID-19 pandemic on customer receivables, however, Entergy recorded an increase in its allowance for doubtful accounts, as shown below: Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2019 $7.4 $1.2 $1.9 $0.6 $3.2 $0.5 Provisions 38.4 6.3 14.1 7.0 5.5 5.5 Write-offs (8.6) (1.8) (3.5) (1.2) (1.0) (1.1) Recoveries 6.0 1.6 2.0 0.8 0.7 0.9 Balance as of June 30, 2020 $43.2 $7.3 $14.5 $7.2 $8.4 $5.8 |
Entergy Texas [Member] | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 2019 (In Thousands) Utility: Residential $790,869 $770,373 Commercial 526,121 595,025 Industrial 576,203 641,733 Governmental 46,959 57,623 Total billed retail 1,940,152 2,064,754 Sales for resale (a) 52,761 75,318 Other electric revenues (b) 168,721 195,952 Revenues from contracts with customers 2,161,634 2,336,024 Other revenues (c) 28,923 9,703 Total electric revenues 2,190,557 2,345,727 Natural gas 22,495 30,699 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 175,720 280,398 Other revenues (c) 24,016 9,385 Total competitive businesses revenues 199,736 289,783 Total operating revenues $2,412,788 $2,666,209 Entergy’s total revenues for the six months ended June 30, 2020 and 2019 are as follows: 2020 2019 (In Thousands) Utility: Residential $1,588,897 $1,572,911 Commercial 1,065,061 1,149,082 Industrial 1,133,718 1,242,734 Governmental 99,541 110,584 Total billed retail 3,887,217 4,075,311 Sales for resale (a) 106,487 159,753 Other electric revenues (b) 218,887 211,422 Revenues from contracts with customers 4,212,591 4,446,486 Other revenues (c) 28,605 20,265 Total electric revenues 4,241,196 4,466,751 Natural gas 66,471 85,647 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 391,723 640,869 Other revenues (c) 140,577 82,525 Total competitive businesses revenues 532,300 723,394 Total operating revenues $4,839,967 $5,275,792 The Registrant Subsidiaries’ total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $171,171 $301,105 $112,361 $53,420 $152,811 Commercial 106,104 209,119 89,594 36,401 84,904 Industrial 106,254 335,201 35,874 3,066 95,809 Governmental 4,344 16,781 9,798 10,475 5,560 Total billed retail 387,873 862,206 247,627 103,362 339,084 Sales for resale (a) 36,956 82,698 18,426 8,018 13,187 Other electric revenues (b) 63,537 53,104 29,393 3,999 20,039 Revenues from contracts with customers 488,366 998,008 295,446 115,379 372,310 Other revenues (c) 3,401 3,593 2,508 19,520 (116) Total electric revenues 491,767 1,001,601 297,954 134,899 372,194 Natural gas — 10,051 — 12,444 — Total operating revenues $491,767 $1,011,652 $297,954 $147,343 $372,194 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $157,714 $290,366 $116,801 $58,621 $146,871 Commercial 125,555 232,134 102,275 53,981 81,080 Industrial 118,913 384,919 38,739 8,490 90,672 Governmental 4,971 17,925 10,521 18,984 5,222 Total billed retail 407,153 925,344 268,336 140,076 323,845 Sales for resale (a) 74,501 83,208 4,994 8,579 14,772 Other electric revenues (b) 58,209 80,307 26,982 7,263 24,656 Revenues from contracts with customers 539,863 1,088,859 300,312 155,918 363,273 Other revenues (c) 3,066 5,400 2,425 1,234 307 Total electric revenues 542,929 1,094,259 302,737 157,152 363,580 Natural gas — 12,058 — 18,641 — Total operating revenues $542,929 $1,106,317 $302,737 $175,793 $363,580 The Registrant Subsidiaries’ total revenues for the six months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $390,859 $560,965 $239,463 $104,319 $293,291 Commercial 217,349 411,365 186,392 81,905 168,050 Industrial 207,342 657,542 72,264 10,413 186,157 Governmental 8,374 33,535 20,125 26,326 11,180 Total billed retail 823,924 1,663,407 518,244 222,963 658,678 Sales for resale (a) 78,096 161,228 32,848 18,188 21,815 Other electric revenues (b) 65,134 85,113 35,836 4,763 30,742 Revenues from contracts with customers 967,154 1,909,748 586,928 245,914 711,235 Other revenues (c) 6,525 4,394 4,948 12,416 295 Total electric revenues 973,679 1,914,142 591,876 258,330 711,530 Natural gas — 28,157 — 38,315 — Total operating revenues $973,679 $1,942,299 $591,876 $296,645 $711,530 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $367,581 $554,431 $245,610 $110,697 $294,592 Commercial 250,133 438,912 200,189 99,723 160,125 Industrial 240,491 731,598 76,436 15,740 178,470 Governmental 9,869 34,817 20,557 34,886 10,455 Total billed retail 868,074 1,759,758 542,792 261,046 643,642 Sales for resale (a) 154,085 167,164 9,808 18,803 31,548 Other electric revenues (b) 60,514 92,746 27,387 5,556 28,153 Revenues from contracts with customers 1,082,673 2,019,668 579,987 285,405 703,343 Other revenues (c) 6,068 11,284 4,994 2,630 711 Total electric revenues 1,088,741 2,030,952 584,981 288,035 704,054 Natural gas — 34,695 — 50,952 — Total operating revenues $1,088,741 $2,065,647 $584,981 $338,987 $704,054 (a) Sales for resale and competitive businesses sales include day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market and unbilled revenue. (c) Other revenues include the settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. Due to the effect of the COVID-19 pandemic on customer receivables, however, Entergy recorded an increase in its allowance for doubtful accounts, as shown below: Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2019 $7.4 $1.2 $1.9 $0.6 $3.2 $0.5 Provisions 38.4 6.3 14.1 7.0 5.5 5.5 Write-offs (8.6) (1.8) (3.5) (1.2) (1.0) (1.1) Recoveries 6.0 1.6 2.0 0.8 0.7 0.9 Balance as of June 30, 2020 $43.2 $7.3 $14.5 $7.2 $8.4 $5.8 |
System Energy [Member] | |
Revenue Recognition | NOTE 13. REVENUE (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) Operating Revenues See Note 19 to the financial statements in the Form 10-K for a discussion of revenue recognition. Entergy’s total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 2019 (In Thousands) Utility: Residential $790,869 $770,373 Commercial 526,121 595,025 Industrial 576,203 641,733 Governmental 46,959 57,623 Total billed retail 1,940,152 2,064,754 Sales for resale (a) 52,761 75,318 Other electric revenues (b) 168,721 195,952 Revenues from contracts with customers 2,161,634 2,336,024 Other revenues (c) 28,923 9,703 Total electric revenues 2,190,557 2,345,727 Natural gas 22,495 30,699 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 175,720 280,398 Other revenues (c) 24,016 9,385 Total competitive businesses revenues 199,736 289,783 Total operating revenues $2,412,788 $2,666,209 Entergy’s total revenues for the six months ended June 30, 2020 and 2019 are as follows: 2020 2019 (In Thousands) Utility: Residential $1,588,897 $1,572,911 Commercial 1,065,061 1,149,082 Industrial 1,133,718 1,242,734 Governmental 99,541 110,584 Total billed retail 3,887,217 4,075,311 Sales for resale (a) 106,487 159,753 Other electric revenues (b) 218,887 211,422 Revenues from contracts with customers 4,212,591 4,446,486 Other revenues (c) 28,605 20,265 Total electric revenues 4,241,196 4,466,751 Natural gas 66,471 85,647 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 391,723 640,869 Other revenues (c) 140,577 82,525 Total competitive businesses revenues 532,300 723,394 Total operating revenues $4,839,967 $5,275,792 The Registrant Subsidiaries’ total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $171,171 $301,105 $112,361 $53,420 $152,811 Commercial 106,104 209,119 89,594 36,401 84,904 Industrial 106,254 335,201 35,874 3,066 95,809 Governmental 4,344 16,781 9,798 10,475 5,560 Total billed retail 387,873 862,206 247,627 103,362 339,084 Sales for resale (a) 36,956 82,698 18,426 8,018 13,187 Other electric revenues (b) 63,537 53,104 29,393 3,999 20,039 Revenues from contracts with customers 488,366 998,008 295,446 115,379 372,310 Other revenues (c) 3,401 3,593 2,508 19,520 (116) Total electric revenues 491,767 1,001,601 297,954 134,899 372,194 Natural gas — 10,051 — 12,444 — Total operating revenues $491,767 $1,011,652 $297,954 $147,343 $372,194 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $157,714 $290,366 $116,801 $58,621 $146,871 Commercial 125,555 232,134 102,275 53,981 81,080 Industrial 118,913 384,919 38,739 8,490 90,672 Governmental 4,971 17,925 10,521 18,984 5,222 Total billed retail 407,153 925,344 268,336 140,076 323,845 Sales for resale (a) 74,501 83,208 4,994 8,579 14,772 Other electric revenues (b) 58,209 80,307 26,982 7,263 24,656 Revenues from contracts with customers 539,863 1,088,859 300,312 155,918 363,273 Other revenues (c) 3,066 5,400 2,425 1,234 307 Total electric revenues 542,929 1,094,259 302,737 157,152 363,580 Natural gas — 12,058 — 18,641 — Total operating revenues $542,929 $1,106,317 $302,737 $175,793 $363,580 The Registrant Subsidiaries’ total revenues for the six months ended June 30, 2020 and 2019 were as follows: 2020 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $390,859 $560,965 $239,463 $104,319 $293,291 Commercial 217,349 411,365 186,392 81,905 168,050 Industrial 207,342 657,542 72,264 10,413 186,157 Governmental 8,374 33,535 20,125 26,326 11,180 Total billed retail 823,924 1,663,407 518,244 222,963 658,678 Sales for resale (a) 78,096 161,228 32,848 18,188 21,815 Other electric revenues (b) 65,134 85,113 35,836 4,763 30,742 Revenues from contracts with customers 967,154 1,909,748 586,928 245,914 711,235 Other revenues (c) 6,525 4,394 4,948 12,416 295 Total electric revenues 973,679 1,914,142 591,876 258,330 711,530 Natural gas — 28,157 — 38,315 — Total operating revenues $973,679 $1,942,299 $591,876 $296,645 $711,530 2019 Entergy Entergy Entergy Entergy Entergy (In Thousands) Residential $367,581 $554,431 $245,610 $110,697 $294,592 Commercial 250,133 438,912 200,189 99,723 160,125 Industrial 240,491 731,598 76,436 15,740 178,470 Governmental 9,869 34,817 20,557 34,886 10,455 Total billed retail 868,074 1,759,758 542,792 261,046 643,642 Sales for resale (a) 154,085 167,164 9,808 18,803 31,548 Other electric revenues (b) 60,514 92,746 27,387 5,556 28,153 Revenues from contracts with customers 1,082,673 2,019,668 579,987 285,405 703,343 Other revenues (c) 6,068 11,284 4,994 2,630 711 Total electric revenues 1,088,741 2,030,952 584,981 288,035 704,054 Natural gas — 34,695 — 50,952 — Total operating revenues $1,088,741 $2,065,647 $584,981 $338,987 $704,054 (a) Sales for resale and competitive businesses sales include day-ahead sales of energy in a market administered by an ISO. These sales represent financially binding commitments for the sale of physical energy the next day. These sales are adjusted to actual power generated and delivered in the real time market. Given the short duration of these transactions, Entergy does not consider them to be derivatives subject to fair value adjustments, and includes them as part of customer revenues. (b) Other electric revenues consist primarily of transmission and ancillary services provided to participants of an ISO-administered market and unbilled revenue. (c) Other revenues include the settlement of financial hedges, occasional sales of inventory, alternative revenue programs, provisions for revenue subject to refund, and late fees. Allowance for doubtful accounts The allowance for doubtful accounts reflects Entergy’s best estimate of expected losses on its accounts receivable balances. Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. Due to the effect of the COVID-19 pandemic on customer receivables, however, Entergy recorded an increase in its allowance for doubtful accounts, as shown below: Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2019 $7.4 $1.2 $1.9 $0.6 $3.2 $0.5 Provisions 38.4 6.3 14.1 7.0 5.5 5.5 Write-offs (8.6) (1.8) (3.5) (1.2) (1.0) (1.1) Recoveries 6.0 1.6 2.0 0.8 0.7 0.9 Balance as of June 30, 2020 $43.2 $7.3 $14.5 $7.2 $8.4 $5.8 |
Rate And Regulatory Matters Rat
Rate And Regulatory Matters Rate and Regulatory Matters (Tables) - FERC April 2020 Order [Member] | 6 Months Ended |
Jun. 30, 2020 | |
Entergy Arkansas [Member] | |
Payments Or Receipts Among Utility Operating Companies Related to System Agreement Proceedings [Table Text Block] | Also in June 2020, Entergy filed bandwidth true-up payments and receipts for the 2010-2012 test years to address the FERC’s April 2020 rehearing order: Payments (Receipts) (In Millions) Entergy Arkansas ($2.8) Entergy Louisiana $2.3 Entergy Mississippi $0.2 Entergy New Orleans ($0.1) Entergy Texas $0.4 |
Entergy Louisiana [Member] | |
Payments Or Receipts Among Utility Operating Companies Related to System Agreement Proceedings [Table Text Block] | Also in June 2020, Entergy filed bandwidth true-up payments and receipts for the 2010-2012 test years to address the FERC’s April 2020 rehearing order: Payments (Receipts) (In Millions) Entergy Arkansas ($2.8) Entergy Louisiana $2.3 Entergy Mississippi $0.2 Entergy New Orleans ($0.1) Entergy Texas $0.4 |
Entergy Mississippi [Member] | |
Payments Or Receipts Among Utility Operating Companies Related to System Agreement Proceedings [Table Text Block] | Also in June 2020, Entergy filed bandwidth true-up payments and receipts for the 2010-2012 test years to address the FERC’s April 2020 rehearing order: Payments (Receipts) (In Millions) Entergy Arkansas ($2.8) Entergy Louisiana $2.3 Entergy Mississippi $0.2 Entergy New Orleans ($0.1) Entergy Texas $0.4 |
Entergy New Orleans [Member] | |
Payments Or Receipts Among Utility Operating Companies Related to System Agreement Proceedings [Table Text Block] | Also in June 2020, Entergy filed bandwidth true-up payments and receipts for the 2010-2012 test years to address the FERC’s April 2020 rehearing order: Payments (Receipts) (In Millions) Entergy Arkansas ($2.8) Entergy Louisiana $2.3 Entergy Mississippi $0.2 Entergy New Orleans ($0.1) Entergy Texas $0.4 |
Entergy Texas [Member] | |
Payments Or Receipts Among Utility Operating Companies Related to System Agreement Proceedings [Table Text Block] | Also in June 2020, Entergy filed bandwidth true-up payments and receipts for the 2010-2012 test years to address the FERC’s April 2020 rehearing order: Payments (Receipts) (In Millions) Entergy Arkansas ($2.8) Entergy Louisiana $2.3 Entergy Mississippi $0.2 Entergy New Orleans ($0.1) Entergy Texas $0.4 |
Equity (Tables)
Equity (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Schedule Of Earnings Per Share Basic And Diluted | The following table presents Entergy’s basic and diluted earnings per share calculations included on the consolidated income statements: For the Three Months Ended June 30, 2020 2019 (In Millions, Except Per Share Data) Income Shares $/share Income Shares $/share Basic earnings per share Net income attributable to Entergy Corporation $360.5 200.2 $1.80 $236.4 193.0 $1.22 Average dilutive effect of: Stock options 0.3 — 0.5 — Other equity plans 0.4 (0.01) 0.7 — Diluted earnings per share $360.5 200.9 $1.79 $236.4 194.2 $1.22 For the Six Months Ended June 30, 2020 2019 (In Millions, Except Per Share Data) Income Shares $/share Income Shares $/share Basic earnings per share Net income attributable to Entergy Corporation $479.2 200.0 $2.40 $491.0 191.3 $2.57 Average dilutive effect of: Stock options 0.5 (0.01) 0.5 (0.01) Other equity plans 0.4 — 0.6 (0.01) Equity forwards — — 0.8 (0.01) Diluted earnings per share $479.2 200.9 $2.39 $491.0 193.2 $2.54 |
Schedule of Accumulated Other Comprehensive Income (Loss) | Cash flow Pension Net Total (In Thousands) Beginning balance, April 1, 2020 $62,496 ($503,173) $41,690 ($398,987) Other comprehensive income (loss) before reclassifications 4,890 — 22,545 27,435 Amounts reclassified from accumulated other comprehensive income (loss) (30,296) 17,224 (3,980) (17,052) Net other comprehensive income (loss) for the period (25,406) 17,224 18,565 10,383 Ending balance, June 30, 2020 $37,090 ($485,949) $60,255 ($388,604) The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the three months ended June 30, 2019 by component: Cash flow Pension Net Total (In Thousands) Beginning balance, April 1, 2019 ($43,246) ($520,372) $12,466 ($551,152) Other comprehensive income (loss) before reclassifications 99,359 — 15,834 115,193 Amounts reclassified from accumulated other comprehensive income (loss) (4,377) 11,496 (1,564) 5,555 Net other comprehensive income (loss) for the period 94,982 11,496 14,270 120,748 Ending balance, June 30, 2019 $51,736 ($508,876) $26,736 ($430,404) The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the six months ended June 30, 2020 by component: Cash flow Pension Net Total (In Thousands) Beginning balance, January 1, 2020 $84,206 ($557,072) $25,946 ($446,920) Other comprehensive income (loss) before reclassifications 97,373 34,349 40,258 171,980 Amounts reclassified from accumulated other comprehensive income (loss) (144,489) 36,774 (5,949) (113,664) Net other comprehensive income (loss) for the period (47,116) 71,123 34,309 58,316 Ending balance, June 30, 2020 $37,090 ($485,949) $60,255 ($388,604) The following table presents changes in accumulated other comprehensive income (loss) for Entergy for the six months ended June 30, 2019 by component: Cash flow Pension Net Total (In Thousands) Ending balance, December 31, 2018 ($23,135) ($531,922) ($2,116) ($557,173) Implementation of accounting standards (7,685) — 879 (6,806) Beginning balance, January 1, 2019 ($30,820) ($531,922) ($1,237) ($563,979) Other comprehensive income (loss) before reclassifications 127,670 — 29,373 157,043 Amounts reclassified from accumulated other comprehensive income (loss) (45,114) 23,046 (1,400) (23,468) Net other comprehensive income (loss) for the period 82,556 23,046 27,973 133,575 Ending balance, June 30, 2019 $51,736 ($508,876) $26,736 ($430,404) |
Reclassification out of Accumulated Other Comprehensive Income | Amounts reclassified Income Statement Location 2020 2019 (In Thousands) Cash flow hedges net unrealized gain (loss) Power contracts $25,086 $5,589 Competitive business operating revenues Interest rate swaps (48) (48) Miscellaneous - net Total realized gain (loss) on cash flow hedges 25,038 5,541 Income taxes 5,258 (1,164) Income taxes Total realized gain (loss) on cash flow hedges (net of tax) $30,296 $4,377 Pension and other postretirement liabilities Amortization of prior-service credit $5,682 $5,325 (a) Amortization of loss (27,619) (18,980) (a) Settlement loss — (918) (a) Total amortization (21,937) (14,573) Income taxes 4,713 3,077 Income taxes Total amortization (net of tax) ($17,224) ($11,496) Net unrealized investment gain (loss) Realized gain (loss) $6,297 $2,475 Interest and investment income Income taxes (2,317) (911) Income taxes Total realized investment gain (loss) (net of tax) $3,980 $1,564 Total reclassifications for the period (net of tax) $17,052 ($5,555) (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy for the six months ended June 30, 2020 and 2019 were as follows: Amounts reclassified Income Statement Location 2020 2019 (In Thousands) Cash flow hedges net unrealized gain (loss) Power contracts $119,509 $57,204 Competitive business operating revenues Interest rate swaps (97) (97) Miscellaneous - net Total realized gain (loss) on cash flow hedges 119,412 57,107 Income taxes 25,077 (11,993) Income taxes Total realized gain (loss) on cash flow hedges (net of tax) $144,489 $45,114 Pension and other postretirement liabilities Amortization of prior-service credit $9,401 $10,652 (a) Amortization of loss (54,937) (37,969) (a) Settlement loss — (2,055) (a) Total amortization (45,536) (29,372) Income taxes 8,762 6,326 Income taxes Total amortization (net of tax) ($36,774) ($23,046) Net unrealized investment gain (loss) Realized gain (loss) $9,413 $2,216 Interest and investment income Income taxes (3,464) (816) Income taxes Total realized investment gain (loss) (net of tax) $5,949 $1,400 Total reclassifications for the period (net of tax) $113,664 $23,468 (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. |
Entergy Louisiana [Member] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | Pension and Other 2020 2019 (In Thousands) Beginning balance, April 1, $14,029 ($7,122) Amounts reclassified from accumulated other comprehensive income (loss) (945) (969) Net other comprehensive income (loss) for the period (945) (969) Ending balance, June 30, $13,084 ($8,091) The following table presents changes in accumulated other comprehensive income (loss) for Entergy Louisiana for the six months ended June 30, 2020 and 2019: Pension and Other 2020 2019 (In Thousands) Beginning balance, January 1, $4,562 ($6,153) Other comprehensive income (loss) before reclassifications 10,050 — Amounts reclassified from accumulated other comprehensive income (loss) (1,528) (1,938) Net other comprehensive income (loss) for the period 8,522 (1,938) Ending balance, June 30, $13,084 ($8,091) |
Reclassification out of Accumulated Other Comprehensive Income | Amounts reclassified Income Statement Location 2020 2019 (In Thousands) Pension and other postretirement liabilities Amortization of prior-service credit $1,698 $1,837 (a) Amortization of loss (419) (526) (a) Total amortization 1,279 1,311 Income taxes (334) (342) Income taxes Total amortization (net of tax) 945 969 Total reclassifications for the period (net of tax) $945 $969 (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) into income for Entergy Louisiana for the six months ended June 30, 2020 and 2019 were as follows: Amounts reclassified Income Statement Location 2020 2019 (In Thousands) Pension and other postretirement liabilities Amortization of prior-service credit $2,787 $3,674 (a) Amortization of loss (720) (1,052) (a) Total amortization 2,067 2,622 Income taxes (539) (684) Income taxes Total amortization (net of tax) 1,528 1,938 Total reclassifications for the period (net of tax) $1,528 $1,938 (a) These accumulated other comprehensive income (loss) components were included in the computation of net periodic pension and other postretirement cost. See Note 6 to the financial statements herein for additional details. |
Revolving Credit Facilities, _2
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Summary Of The Borrowings Outstanding And Capacity Available Under The Facility | Following is a summary of the borrowings outstanding and capacity available under the facility as of June 30, 2020. Capacity Borrowings Letters Capacity (In Millions) $3,500 $160 $6 $3,334 |
Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations [Table Text Block] | Following is a summary of the uncommitted standby letter of credit facilities as of June 30, 2020: Company Amount of Letter of Credit Fee MISO Letters of Credit Entergy Arkansas $25 million 0.78% $4.5 million Entergy Louisiana $125 million 0.78% $15.5 million Entergy Mississippi $65 million 0.78% $2.5 million Entergy New Orleans $15 million 1.00% $1 million Entergy Texas $50 million 0.70% $10.2 million (a) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of June 30, 2020, in addition to the $2.5 million MISO letter of credit, Entergy Mississippi has $7.1 million of non-MISO letters of credit outstanding under this facility. |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 |
Issuance Of Commercial Paper To Finance Acquisition And Ownership Of Nuclear Fuel | To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs have commercial paper programs in place. Following is a summary as of June 30, 2020: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE September 2021 $80 2.14% $23.7 Entergy Louisiana River Bend VIE September 2021 $105 2.19% $44.1 Entergy Louisiana Waterford VIE September 2021 $105 2.31% $16.2 System Energy VIE September 2021 $120 1.91% $80.1 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances, if any, by the nuclear fuel company variable interest entities for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company variable interest entity for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. |
Notes Payable By Variable Interest Entities | The nuclear fuel company variable interest entities had notes payable that were included in debt on the respective balance sheets as of June 30, 2020 as follows: Company Description Amount Entergy Arkansas VIE 3.65% Series L due July 2021 $90 million Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Louisiana River Bend VIE 3.38% Series R due August 2020 $70 million Entergy Louisiana Waterford VIE 3.92% Series H due February 2021 $40 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 3.42% Series J due April 2021 $100 million |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Arkansas [Member] | |
Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations [Table Text Block] | Following is a summary of the uncommitted standby letter of credit facilities as of June 30, 2020: Company Amount of Letter of Credit Fee MISO Letters of Credit Entergy Arkansas $25 million 0.78% $4.5 million Entergy Louisiana $125 million 0.78% $15.5 million Entergy Mississippi $65 million 0.78% $2.5 million Entergy New Orleans $15 million 1.00% $1 million Entergy Texas $50 million 0.70% $10.2 million (a) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of June 30, 2020, in addition to the $2.5 million MISO letter of credit, Entergy Mississippi has $7.1 million of non-MISO letters of credit outstanding under this facility. |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 |
Issuance Of Commercial Paper To Finance Acquisition And Ownership Of Nuclear Fuel | To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs have commercial paper programs in place. Following is a summary as of June 30, 2020: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE September 2021 $80 2.14% $23.7 Entergy Louisiana River Bend VIE September 2021 $105 2.19% $44.1 Entergy Louisiana Waterford VIE September 2021 $105 2.31% $16.2 System Energy VIE September 2021 $120 1.91% $80.1 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances, if any, by the nuclear fuel company variable interest entities for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company variable interest entity for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. |
Notes Payable By Variable Interest Entities | The nuclear fuel company variable interest entities had notes payable that were included in debt on the respective balance sheets as of June 30, 2020 as follows: Company Description Amount Entergy Arkansas VIE 3.65% Series L due July 2021 $90 million Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Louisiana River Bend VIE 3.38% Series R due August 2020 $70 million Entergy Louisiana Waterford VIE 3.92% Series H due February 2021 $40 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 3.42% Series J due April 2021 $100 million |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Louisiana [Member] | |
Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations [Table Text Block] | Following is a summary of the uncommitted standby letter of credit facilities as of June 30, 2020: Company Amount of Letter of Credit Fee MISO Letters of Credit Entergy Arkansas $25 million 0.78% $4.5 million Entergy Louisiana $125 million 0.78% $15.5 million Entergy Mississippi $65 million 0.78% $2.5 million Entergy New Orleans $15 million 1.00% $1 million Entergy Texas $50 million 0.70% $10.2 million (a) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of June 30, 2020, in addition to the $2.5 million MISO letter of credit, Entergy Mississippi has $7.1 million of non-MISO letters of credit outstanding under this facility. |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 |
Issuance Of Commercial Paper To Finance Acquisition And Ownership Of Nuclear Fuel | To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs have commercial paper programs in place. Following is a summary as of June 30, 2020: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE September 2021 $80 2.14% $23.7 Entergy Louisiana River Bend VIE September 2021 $105 2.19% $44.1 Entergy Louisiana Waterford VIE September 2021 $105 2.31% $16.2 System Energy VIE September 2021 $120 1.91% $80.1 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances, if any, by the nuclear fuel company variable interest entities for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company variable interest entity for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. |
Notes Payable By Variable Interest Entities | The nuclear fuel company variable interest entities had notes payable that were included in debt on the respective balance sheets as of June 30, 2020 as follows: Company Description Amount Entergy Arkansas VIE 3.65% Series L due July 2021 $90 million Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Louisiana River Bend VIE 3.38% Series R due August 2020 $70 million Entergy Louisiana Waterford VIE 3.92% Series H due February 2021 $40 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 3.42% Series J due April 2021 $100 million |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Mississippi [Member] | |
Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations [Table Text Block] | Following is a summary of the uncommitted standby letter of credit facilities as of June 30, 2020: Company Amount of Letter of Credit Fee MISO Letters of Credit Entergy Arkansas $25 million 0.78% $4.5 million Entergy Louisiana $125 million 0.78% $15.5 million Entergy Mississippi $65 million 0.78% $2.5 million Entergy New Orleans $15 million 1.00% $1 million Entergy Texas $50 million 0.70% $10.2 million (a) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of June 30, 2020, in addition to the $2.5 million MISO letter of credit, Entergy Mississippi has $7.1 million of non-MISO letters of credit outstanding under this facility. |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy New Orleans [Member] | |
Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations [Table Text Block] | Following is a summary of the uncommitted standby letter of credit facilities as of June 30, 2020: Company Amount of Letter of Credit Fee MISO Letters of Credit Entergy Arkansas $25 million 0.78% $4.5 million Entergy Louisiana $125 million 0.78% $15.5 million Entergy Mississippi $65 million 0.78% $2.5 million Entergy New Orleans $15 million 1.00% $1 million Entergy Texas $50 million 0.70% $10.2 million (a) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of June 30, 2020, in addition to the $2.5 million MISO letter of credit, Entergy Mississippi has $7.1 million of non-MISO letters of credit outstanding under this facility. |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Entergy Texas [Member] | |
Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations [Table Text Block] | Following is a summary of the uncommitted standby letter of credit facilities as of June 30, 2020: Company Amount of Letter of Credit Fee MISO Letters of Credit Entergy Arkansas $25 million 0.78% $4.5 million Entergy Louisiana $125 million 0.78% $15.5 million Entergy Mississippi $65 million 0.78% $2.5 million Entergy New Orleans $15 million 1.00% $1 million Entergy Texas $50 million 0.70% $10.2 million (a) As of June 30, 2020, letters of credit posted with MISO covered financial transmission rights exposure of $3.1 million for Entergy Arkansas, $2.3 million for Entergy Louisiana, $1.5 million for Entergy Mississippi, $0.5 million for Entergy New Orleans, and $0.4 million for Entergy Texas. See Note 8 to the financial statements herein for discussion of financial transmission rights. (b) As of June 30, 2020, in addition to the $2.5 million MISO letter of credit, Entergy Mississippi has $7.1 million of non-MISO letters of credit outstanding under this facility. |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
System Energy [Member] | |
Short-Term Borrowings And The Outstanding Short-Term Borrowings | The following were the FERC-authorized limits for short-term borrowings and the outstanding short-term borrowings as of June 30, 2020 (aggregating both internal and external short-term borrowings) for the Registrant Subsidiaries: Authorized Borrowings (In Millions) Entergy Arkansas $250 $26 Entergy Louisiana $450 $— Entergy Mississippi $175 $— Entergy New Orleans $150 $— Entergy Texas $200 $— System Energy $200 $16 |
Issuance Of Commercial Paper To Finance Acquisition And Ownership Of Nuclear Fuel | To finance the acquisition and ownership of nuclear fuel, the nuclear fuel company VIEs have credit facilities and three of the four VIEs have commercial paper programs in place. Following is a summary as of June 30, 2020: Company Expiration Amount Weighted Amount (Dollars in Millions) Entergy Arkansas VIE September 2021 $80 2.14% $23.7 Entergy Louisiana River Bend VIE September 2021 $105 2.19% $44.1 Entergy Louisiana Waterford VIE September 2021 $105 2.31% $16.2 System Energy VIE September 2021 $120 1.91% $80.1 (a) Includes letter of credit fees and bank fronting fees on commercial paper issuances, if any, by the nuclear fuel company variable interest entities for Entergy Arkansas, Entergy Louisiana, and System Energy. The nuclear fuel company variable interest entity for Entergy Louisiana River Bend does not issue commercial paper, but borrows directly on its bank credit facility. |
Notes Payable By Variable Interest Entities | The nuclear fuel company variable interest entities had notes payable that were included in debt on the respective balance sheets as of June 30, 2020 as follows: Company Description Amount Entergy Arkansas VIE 3.65% Series L due July 2021 $90 million Entergy Arkansas VIE 3.17% Series M due December 2023 $40 million Entergy Louisiana River Bend VIE 3.38% Series R due August 2020 $70 million Entergy Louisiana Waterford VIE 3.92% Series H due February 2021 $40 million Entergy Louisiana Waterford VIE 3.22% Series I due December 2023 $20 million System Energy VIE 3.42% Series J due April 2021 $100 million |
Book Value And The Fair Value Of Long-Term Debt | The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of June 30, 2020 were as follows: Book Value Fair Value (In Thousands) Entergy $19,483,373 $21,651,678 Entergy Arkansas $3,628,588 $3,972,000 Entergy Louisiana $7,879,741 $8,988,369 Entergy Mississippi $1,780,040 $1,964,145 Entergy New Orleans $674,617 $658,162 Entergy Texas $2,070,503 $2,328,356 System Energy $596,861 $621,692 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. The book value and the fair value of long-term debt for Entergy Corporation and the Registrant Subsidiaries as of December 31, 2019 were as follows: Book Value Fair Value (In Thousands) Entergy $17,873,655 $19,059,950 Entergy Arkansas $3,517,208 $3,747,914 Entergy Louisiana $7,303,669 $7,961,168 Entergy Mississippi $1,614,129 $1,709,505 Entergy New Orleans $560,906 $523,846 Entergy Texas $1,922,956 $2,090,215 System Energy $548,107 $565,209 (a) Fair values were classified as Level 2 in the fair value hierarchy discussed in Note 8 to the financial statements herein. |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) - Entergy Corporation [Member] | 6 Months Ended |
Jun. 30, 2020 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |
Financial Information For Stock Options | The following table includes financial information for outstanding stock options for the three months ended June 30, 2020 and 2019: 2020 2019 (In Millions) Compensation expense included in Entergy’s net income $1.0 $1.0 Tax benefit recognized in Entergy’s net income $0.2 $0.3 Compensation cost capitalized as part of fixed assets and materials and supplies $0.4 $0.3 The following table includes financial information for outstanding stock options for the six months ended June 30, 2020 and 2019: 2020 2019 (In Millions) Compensation expense included in Entergy’s net income $2.0 $2.0 Tax benefit recognized in Entergy’s net income $0.5 $0.5 Compensation cost capitalized as part of fixed assets and materials and supplies $0.8 $0.6 |
Financial Information For Restricted Stock | The following table includes financial information for other outstanding equity awards for the three months ended June 30, 2020 and 2019: 2020 2019 (In Millions) Compensation expense included in Entergy’s net income $9.6 $8.4 Tax benefit recognized in Entergy’s net income $2.5 $2.2 Compensation cost capitalized as part of fixed assets and materials and supplies $3.8 $2.9 The following table includes financial information for other outstanding equity awards for the six months ended June 30, 2020 and 2019: 2020 2019 (In Millions) Compensation expense included in Entergy’s net income $19.0 $17.2 Tax benefit recognized in Entergy’s net income $4.9 $4.4 Compensation cost capitalized as part of fixed assets and materials and supplies $7.2 $5.8 |
Retirement And Other Postreti_2
Retirement And Other Postretirement Benefits (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Defined Benefit Plan Disclosure [Line Items] | |
Reclassification out of Accumulated Other Comprehensive Income, amortization | Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the second quarters of 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,739 ($57) $5,682 Amortization of net loss (26,461) (327) (831) (27,619) ($26,461) $5,412 ($888) ($21,937) Entergy Louisiana Amortization of prior service credit $— $1,698 $— $1,698 Amortization of net gain (loss) (499) 81 (1) (419) ($499) $1,779 ($1) $1,279 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,375 ($50) $5,325 Amortization of net gain (loss) (18,736) 308 (552) (18,980) Settlement loss (162) — (756) (918) ($18,898) $5,683 ($1,358) ($14,573) Entergy Louisiana Amortization of prior service credit $— $1,837 $— $1,837 Amortization of net gain (loss) (699) 174 (1) (526) ($699) $2,011 ($1) $1,311 Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the six months ended June 30, 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $9,516 ($115) $9,401 Amortization of net loss (52,923) (352) (1,662) (54,937) ($52,923) $9,164 ($1,777) ($45,536) Entergy Louisiana Amortization of prior service credit $— $2,787 $— $2,787 Amortization of net gain (loss) (998) 280 (2) (720) ($998) $3,067 ($2) $2,067 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $10,750 ($98) $10,652 Amortization of net gain (loss) (37,470) 615 (1,114) (37,969) Settlement loss (1,299) — (756) (2,055) ($38,769) $11,365 ($1,968) ($29,372) Entergy Louisiana Amortization of prior service credit $— $3,674 $— $3,674 Amortization of net gain (loss) (1,397) 348 (3) (1,052) ($1,397) $4,022 ($3) $2,622 |
Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | Entergy’s qualified pension cost, including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $40,379 $33,606 Interest cost on projected benefit obligation 60,799 73,912 Expected return on assets (103,565) (103,859) Amortization of net loss 87,259 58,420 Settlement charges — 162 Net pension costs $84,872 $62,241 Entergy’s qualified pension cost, including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $80,758 $67,213 Interest cost on projected benefit obligation 121,598 147,853 Expected return on assets (207,130) (207,743) Amortization of net loss 174,518 116,838 Settlement charges — 1,299 Net pension costs $169,744 $125,460 |
Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the second quarters of 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $6,231 $4,675 Interest cost on accumulated postretirement benefit obligation (APBO) 6,888 11,975 Expected return on assets (10,182) (9,562) Amortization of prior service credit (8,985) (8,844) Amortization of net loss 1,005 358 Net other postretirement benefit income ($5,043) ($1,398) Entergy’s other postretirement benefit cost (income), including amounts capitalized, for the six months ended June 30, 2020 and 2019, included the following components: 2020 2019 (In Thousands) Service cost - benefits earned during the period $12,032 $9,350 Interest cost on accumulated postretirement benefit obligation (APBO) 14,820 23,950 Expected return on assets (20,510) (19,124) Amortization of prior service credit (14,907) (17,688) Amortization of net loss 1,473 716 Net other postretirement benefit cost income ($7,092) ($2,796) |
Entergy Arkansas [Member] | Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,566 $8,794 $2,023 $663 $1,546 $1,965 Interest cost on projected benefit obligation 11,433 12,841 3,340 1,456 2,782 2,814 Expected return on assets (19,622) (22,402) (5,757) (2,627) (5,486) (4,663) Amortization of net loss 16,897 16,627 4,748 2,005 3,265 4,279 Net pension cost $15,274 $15,860 $4,354 $1,497 $2,107 $4,395 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $5,261 $7,284 $1,629 $569 $1,350 $1,550 Interest cost on projected benefit obligation 14,175 15,882 4,068 1,874 3,612 3,363 Expected return on assets (20,176) (22,652) (5,968) (2,697) (5,862) (4,677) Amortization of net loss 11,841 11,643 3,105 1,530 2,334 2,850 Net pension cost $11,101 $12,157 $2,834 $1,276 $1,434 $3,086 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $13,132 $17,588 $4,046 $1,326 $3,092 $3,930 Interest cost on projected benefit obligation 22,866 25,682 6,680 2,912 5,564 5,628 Expected return on assets (39,244) (44,804) (11,514) (5,254) (10,972) (9,326) Amortization of net loss 33,794 33,254 9,496 4,010 6,530 8,558 Net pension cost $30,548 $31,720 $8,708 $2,994 $4,214 $8,790 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $10,522 $14,568 $3,258 $1,138 $2,700 $3,100 Interest cost on projected benefit obligation 28,350 31,764 8,136 3,748 7,224 6,727 Expected return on assets (40,352) (45,304) (11,936) (5,393) (11,724) (9,354) Amortization of net loss 23,682 23,286 6,209 3,059 4,668 5,700 Net pension cost $22,202 $24,314 $5,667 $2,552 $2,868 $6,173 |
Expected Employer Contributions | Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2020: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2020 pension contributions $78,643 $74,991 $20,115 $5,839 $5,634 $21,730 Pension contributions made through June 2020 $17,584 $18,706 $4,296 $1,458 $1,485 $5,714 Remaining estimated pension contributions to be made in 2020 $61,059 $56,285 $15,819 $4,381 $4,149 $16,016 |
Entergy Arkansas [Member] | Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $933 $1,524 $372 $114 $306 $321 Interest cost on APBO 1,164 1,497 372 186 477 276 Expected return on assets (4,260) — (1,287) (1,344) (2,403) (735) Amortization of prior service credit (396) (1,695) (444) (228) (939) (282) Amortization of net (gain) loss 162 (81) 48 9 231 33 Net other postretirement benefit cost (income) ($2,397) $1,245 ($939) ($1,263) ($2,328) ($387) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $591 $1,160 $262 $92 $236 $243 Interest cost on APBO 1,807 2,666 670 395 854 476 Expected return on assets (3,991) — (1,199) (1,237) (2,276) (697) Amortization of prior service credit (1,238) (1,837) (439) (171) (561) (363) Amortization of net (gain) loss 144 (174) 181 58 121 89 Net other postretirement benefit cost (income) ($2,687) $1,815 ($525) ($863) ($1,626) ($252) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,761 $2,947 $723 $219 $609 $615 Interest cost on APBO 2,381 3,220 794 413 1,059 583 Expected return on assets (8,586) — (2,594) (2,699) (4,838) (1,483) Amortization of prior service credit (1,057) (2,784) (765) (304) (1,489) (501) Amortization of net (gain) loss 217 (280) 77 (29) 443 53 Net other postretirement benefit cost (income) ($5,284) $3,103 ($1,765) ($2,400) ($4,216) ($733) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,182 $2,320 $524 $184 $472 $486 Interest cost on APBO 3,614 5,332 1,340 790 1,708 952 Expected return on assets (7,982) — (2,398) (2,474) (4,552) (1,394) Amortization of prior service credit (2,476) (3,674) (878) (342) (1,122) (726) Amortization of net (gain) loss 288 (348) 362 116 242 178 Net other postretirement benefit cost (income) ($5,374) $3,630 ($1,050) ($1,726) ($3,252) ($504) |
Entergy Arkansas [Member] | Non Qualified Pension Plans [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the second quarters of 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $83 $37 $90 $8 $117 2019 $71 $41 $113 $6 $122 Reflected in Entergy Mississippi’s non-qualified pension costs in the second quarter of 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the six months ended June 30, 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $166 $74 $180 $16 $234 2019 $144 $84 $188 $11 $246 Reflected in Entergy Mississippi’s non-qualified pension costs for the six months ended June 30, 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. |
Entergy Louisiana [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Reclassification out of Accumulated Other Comprehensive Income, amortization | Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the second quarters of 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,739 ($57) $5,682 Amortization of net loss (26,461) (327) (831) (27,619) ($26,461) $5,412 ($888) ($21,937) Entergy Louisiana Amortization of prior service credit $— $1,698 $— $1,698 Amortization of net gain (loss) (499) 81 (1) (419) ($499) $1,779 ($1) $1,279 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $5,375 ($50) $5,325 Amortization of net gain (loss) (18,736) 308 (552) (18,980) Settlement loss (162) — (756) (918) ($18,898) $5,683 ($1,358) ($14,573) Entergy Louisiana Amortization of prior service credit $— $1,837 $— $1,837 Amortization of net gain (loss) (699) 174 (1) (526) ($699) $2,011 ($1) $1,311 Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) for the six months ended June 30, 2020 and 2019: 2020 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $9,516 ($115) $9,401 Amortization of net loss (52,923) (352) (1,662) (54,937) ($52,923) $9,164 ($1,777) ($45,536) Entergy Louisiana Amortization of prior service credit $— $2,787 $— $2,787 Amortization of net gain (loss) (998) 280 (2) (720) ($998) $3,067 ($2) $2,067 2019 Qualified Other Non-Qualified Total (In Thousands) Entergy Amortization of prior service (cost) credit $— $10,750 ($98) $10,652 Amortization of net gain (loss) (37,470) 615 (1,114) (37,969) Settlement loss (1,299) — (756) (2,055) ($38,769) $11,365 ($1,968) ($29,372) Entergy Louisiana Amortization of prior service credit $— $3,674 $— $3,674 Amortization of net gain (loss) (1,397) 348 (3) (1,052) ($1,397) $4,022 ($3) $2,622 |
Entergy Louisiana [Member] | Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,566 $8,794 $2,023 $663 $1,546 $1,965 Interest cost on projected benefit obligation 11,433 12,841 3,340 1,456 2,782 2,814 Expected return on assets (19,622) (22,402) (5,757) (2,627) (5,486) (4,663) Amortization of net loss 16,897 16,627 4,748 2,005 3,265 4,279 Net pension cost $15,274 $15,860 $4,354 $1,497 $2,107 $4,395 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $5,261 $7,284 $1,629 $569 $1,350 $1,550 Interest cost on projected benefit obligation 14,175 15,882 4,068 1,874 3,612 3,363 Expected return on assets (20,176) (22,652) (5,968) (2,697) (5,862) (4,677) Amortization of net loss 11,841 11,643 3,105 1,530 2,334 2,850 Net pension cost $11,101 $12,157 $2,834 $1,276 $1,434 $3,086 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $13,132 $17,588 $4,046 $1,326 $3,092 $3,930 Interest cost on projected benefit obligation 22,866 25,682 6,680 2,912 5,564 5,628 Expected return on assets (39,244) (44,804) (11,514) (5,254) (10,972) (9,326) Amortization of net loss 33,794 33,254 9,496 4,010 6,530 8,558 Net pension cost $30,548 $31,720 $8,708 $2,994 $4,214 $8,790 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $10,522 $14,568 $3,258 $1,138 $2,700 $3,100 Interest cost on projected benefit obligation 28,350 31,764 8,136 3,748 7,224 6,727 Expected return on assets (40,352) (45,304) (11,936) (5,393) (11,724) (9,354) Amortization of net loss 23,682 23,286 6,209 3,059 4,668 5,700 Net pension cost $22,202 $24,314 $5,667 $2,552 $2,868 $6,173 |
Expected Employer Contributions | Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2020: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2020 pension contributions $78,643 $74,991 $20,115 $5,839 $5,634 $21,730 Pension contributions made through June 2020 $17,584 $18,706 $4,296 $1,458 $1,485 $5,714 Remaining estimated pension contributions to be made in 2020 $61,059 $56,285 $15,819 $4,381 $4,149 $16,016 |
Entergy Louisiana [Member] | Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $933 $1,524 $372 $114 $306 $321 Interest cost on APBO 1,164 1,497 372 186 477 276 Expected return on assets (4,260) — (1,287) (1,344) (2,403) (735) Amortization of prior service credit (396) (1,695) (444) (228) (939) (282) Amortization of net (gain) loss 162 (81) 48 9 231 33 Net other postretirement benefit cost (income) ($2,397) $1,245 ($939) ($1,263) ($2,328) ($387) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $591 $1,160 $262 $92 $236 $243 Interest cost on APBO 1,807 2,666 670 395 854 476 Expected return on assets (3,991) — (1,199) (1,237) (2,276) (697) Amortization of prior service credit (1,238) (1,837) (439) (171) (561) (363) Amortization of net (gain) loss 144 (174) 181 58 121 89 Net other postretirement benefit cost (income) ($2,687) $1,815 ($525) ($863) ($1,626) ($252) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,761 $2,947 $723 $219 $609 $615 Interest cost on APBO 2,381 3,220 794 413 1,059 583 Expected return on assets (8,586) — (2,594) (2,699) (4,838) (1,483) Amortization of prior service credit (1,057) (2,784) (765) (304) (1,489) (501) Amortization of net (gain) loss 217 (280) 77 (29) 443 53 Net other postretirement benefit cost (income) ($5,284) $3,103 ($1,765) ($2,400) ($4,216) ($733) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,182 $2,320 $524 $184 $472 $486 Interest cost on APBO 3,614 5,332 1,340 790 1,708 952 Expected return on assets (7,982) — (2,398) (2,474) (4,552) (1,394) Amortization of prior service credit (2,476) (3,674) (878) (342) (1,122) (726) Amortization of net (gain) loss 288 (348) 362 116 242 178 Net other postretirement benefit cost (income) ($5,374) $3,630 ($1,050) ($1,726) ($3,252) ($504) |
Entergy Louisiana [Member] | Non Qualified Pension Plans [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the second quarters of 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $83 $37 $90 $8 $117 2019 $71 $41 $113 $6 $122 Reflected in Entergy Mississippi’s non-qualified pension costs in the second quarter of 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the six months ended June 30, 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $166 $74 $180 $16 $234 2019 $144 $84 $188 $11 $246 Reflected in Entergy Mississippi’s non-qualified pension costs for the six months ended June 30, 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. |
Entergy Mississippi [Member] | Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,566 $8,794 $2,023 $663 $1,546 $1,965 Interest cost on projected benefit obligation 11,433 12,841 3,340 1,456 2,782 2,814 Expected return on assets (19,622) (22,402) (5,757) (2,627) (5,486) (4,663) Amortization of net loss 16,897 16,627 4,748 2,005 3,265 4,279 Net pension cost $15,274 $15,860 $4,354 $1,497 $2,107 $4,395 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $5,261 $7,284 $1,629 $569 $1,350 $1,550 Interest cost on projected benefit obligation 14,175 15,882 4,068 1,874 3,612 3,363 Expected return on assets (20,176) (22,652) (5,968) (2,697) (5,862) (4,677) Amortization of net loss 11,841 11,643 3,105 1,530 2,334 2,850 Net pension cost $11,101 $12,157 $2,834 $1,276 $1,434 $3,086 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $13,132 $17,588 $4,046 $1,326 $3,092 $3,930 Interest cost on projected benefit obligation 22,866 25,682 6,680 2,912 5,564 5,628 Expected return on assets (39,244) (44,804) (11,514) (5,254) (10,972) (9,326) Amortization of net loss 33,794 33,254 9,496 4,010 6,530 8,558 Net pension cost $30,548 $31,720 $8,708 $2,994 $4,214 $8,790 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $10,522 $14,568 $3,258 $1,138 $2,700 $3,100 Interest cost on projected benefit obligation 28,350 31,764 8,136 3,748 7,224 6,727 Expected return on assets (40,352) (45,304) (11,936) (5,393) (11,724) (9,354) Amortization of net loss 23,682 23,286 6,209 3,059 4,668 5,700 Net pension cost $22,202 $24,314 $5,667 $2,552 $2,868 $6,173 |
Expected Employer Contributions | Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2020: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2020 pension contributions $78,643 $74,991 $20,115 $5,839 $5,634 $21,730 Pension contributions made through June 2020 $17,584 $18,706 $4,296 $1,458 $1,485 $5,714 Remaining estimated pension contributions to be made in 2020 $61,059 $56,285 $15,819 $4,381 $4,149 $16,016 |
Entergy Mississippi [Member] | Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $933 $1,524 $372 $114 $306 $321 Interest cost on APBO 1,164 1,497 372 186 477 276 Expected return on assets (4,260) — (1,287) (1,344) (2,403) (735) Amortization of prior service credit (396) (1,695) (444) (228) (939) (282) Amortization of net (gain) loss 162 (81) 48 9 231 33 Net other postretirement benefit cost (income) ($2,397) $1,245 ($939) ($1,263) ($2,328) ($387) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $591 $1,160 $262 $92 $236 $243 Interest cost on APBO 1,807 2,666 670 395 854 476 Expected return on assets (3,991) — (1,199) (1,237) (2,276) (697) Amortization of prior service credit (1,238) (1,837) (439) (171) (561) (363) Amortization of net (gain) loss 144 (174) 181 58 121 89 Net other postretirement benefit cost (income) ($2,687) $1,815 ($525) ($863) ($1,626) ($252) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,761 $2,947 $723 $219 $609 $615 Interest cost on APBO 2,381 3,220 794 413 1,059 583 Expected return on assets (8,586) — (2,594) (2,699) (4,838) (1,483) Amortization of prior service credit (1,057) (2,784) (765) (304) (1,489) (501) Amortization of net (gain) loss 217 (280) 77 (29) 443 53 Net other postretirement benefit cost (income) ($5,284) $3,103 ($1,765) ($2,400) ($4,216) ($733) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,182 $2,320 $524 $184 $472 $486 Interest cost on APBO 3,614 5,332 1,340 790 1,708 952 Expected return on assets (7,982) — (2,398) (2,474) (4,552) (1,394) Amortization of prior service credit (2,476) (3,674) (878) (342) (1,122) (726) Amortization of net (gain) loss 288 (348) 362 116 242 178 Net other postretirement benefit cost (income) ($5,374) $3,630 ($1,050) ($1,726) ($3,252) ($504) |
Entergy Mississippi [Member] | Non Qualified Pension Plans [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the second quarters of 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $83 $37 $90 $8 $117 2019 $71 $41 $113 $6 $122 Reflected in Entergy Mississippi’s non-qualified pension costs in the second quarter of 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the six months ended June 30, 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $166 $74 $180 $16 $234 2019 $144 $84 $188 $11 $246 Reflected in Entergy Mississippi’s non-qualified pension costs for the six months ended June 30, 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. |
Entergy New Orleans [Member] | Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,566 $8,794 $2,023 $663 $1,546 $1,965 Interest cost on projected benefit obligation 11,433 12,841 3,340 1,456 2,782 2,814 Expected return on assets (19,622) (22,402) (5,757) (2,627) (5,486) (4,663) Amortization of net loss 16,897 16,627 4,748 2,005 3,265 4,279 Net pension cost $15,274 $15,860 $4,354 $1,497 $2,107 $4,395 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $5,261 $7,284 $1,629 $569 $1,350 $1,550 Interest cost on projected benefit obligation 14,175 15,882 4,068 1,874 3,612 3,363 Expected return on assets (20,176) (22,652) (5,968) (2,697) (5,862) (4,677) Amortization of net loss 11,841 11,643 3,105 1,530 2,334 2,850 Net pension cost $11,101 $12,157 $2,834 $1,276 $1,434 $3,086 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $13,132 $17,588 $4,046 $1,326 $3,092 $3,930 Interest cost on projected benefit obligation 22,866 25,682 6,680 2,912 5,564 5,628 Expected return on assets (39,244) (44,804) (11,514) (5,254) (10,972) (9,326) Amortization of net loss 33,794 33,254 9,496 4,010 6,530 8,558 Net pension cost $30,548 $31,720 $8,708 $2,994 $4,214 $8,790 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $10,522 $14,568 $3,258 $1,138 $2,700 $3,100 Interest cost on projected benefit obligation 28,350 31,764 8,136 3,748 7,224 6,727 Expected return on assets (40,352) (45,304) (11,936) (5,393) (11,724) (9,354) Amortization of net loss 23,682 23,286 6,209 3,059 4,668 5,700 Net pension cost $22,202 $24,314 $5,667 $2,552 $2,868 $6,173 |
Expected Employer Contributions | Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2020: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2020 pension contributions $78,643 $74,991 $20,115 $5,839 $5,634 $21,730 Pension contributions made through June 2020 $17,584 $18,706 $4,296 $1,458 $1,485 $5,714 Remaining estimated pension contributions to be made in 2020 $61,059 $56,285 $15,819 $4,381 $4,149 $16,016 |
Entergy New Orleans [Member] | Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $933 $1,524 $372 $114 $306 $321 Interest cost on APBO 1,164 1,497 372 186 477 276 Expected return on assets (4,260) — (1,287) (1,344) (2,403) (735) Amortization of prior service credit (396) (1,695) (444) (228) (939) (282) Amortization of net (gain) loss 162 (81) 48 9 231 33 Net other postretirement benefit cost (income) ($2,397) $1,245 ($939) ($1,263) ($2,328) ($387) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $591 $1,160 $262 $92 $236 $243 Interest cost on APBO 1,807 2,666 670 395 854 476 Expected return on assets (3,991) — (1,199) (1,237) (2,276) (697) Amortization of prior service credit (1,238) (1,837) (439) (171) (561) (363) Amortization of net (gain) loss 144 (174) 181 58 121 89 Net other postretirement benefit cost (income) ($2,687) $1,815 ($525) ($863) ($1,626) ($252) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,761 $2,947 $723 $219 $609 $615 Interest cost on APBO 2,381 3,220 794 413 1,059 583 Expected return on assets (8,586) — (2,594) (2,699) (4,838) (1,483) Amortization of prior service credit (1,057) (2,784) (765) (304) (1,489) (501) Amortization of net (gain) loss 217 (280) 77 (29) 443 53 Net other postretirement benefit cost (income) ($5,284) $3,103 ($1,765) ($2,400) ($4,216) ($733) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,182 $2,320 $524 $184 $472 $486 Interest cost on APBO 3,614 5,332 1,340 790 1,708 952 Expected return on assets (7,982) — (2,398) (2,474) (4,552) (1,394) Amortization of prior service credit (2,476) (3,674) (878) (342) (1,122) (726) Amortization of net (gain) loss 288 (348) 362 116 242 178 Net other postretirement benefit cost (income) ($5,374) $3,630 ($1,050) ($1,726) ($3,252) ($504) |
Entergy New Orleans [Member] | Non Qualified Pension Plans [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the second quarters of 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $83 $37 $90 $8 $117 2019 $71 $41 $113 $6 $122 Reflected in Entergy Mississippi’s non-qualified pension costs in the second quarter of 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the six months ended June 30, 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $166 $74 $180 $16 $234 2019 $144 $84 $188 $11 $246 Reflected in Entergy Mississippi’s non-qualified pension costs for the six months ended June 30, 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. |
Entergy Texas [Member] | Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,566 $8,794 $2,023 $663 $1,546 $1,965 Interest cost on projected benefit obligation 11,433 12,841 3,340 1,456 2,782 2,814 Expected return on assets (19,622) (22,402) (5,757) (2,627) (5,486) (4,663) Amortization of net loss 16,897 16,627 4,748 2,005 3,265 4,279 Net pension cost $15,274 $15,860 $4,354 $1,497 $2,107 $4,395 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $5,261 $7,284 $1,629 $569 $1,350 $1,550 Interest cost on projected benefit obligation 14,175 15,882 4,068 1,874 3,612 3,363 Expected return on assets (20,176) (22,652) (5,968) (2,697) (5,862) (4,677) Amortization of net loss 11,841 11,643 3,105 1,530 2,334 2,850 Net pension cost $11,101 $12,157 $2,834 $1,276 $1,434 $3,086 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $13,132 $17,588 $4,046 $1,326 $3,092 $3,930 Interest cost on projected benefit obligation 22,866 25,682 6,680 2,912 5,564 5,628 Expected return on assets (39,244) (44,804) (11,514) (5,254) (10,972) (9,326) Amortization of net loss 33,794 33,254 9,496 4,010 6,530 8,558 Net pension cost $30,548 $31,720 $8,708 $2,994 $4,214 $8,790 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $10,522 $14,568 $3,258 $1,138 $2,700 $3,100 Interest cost on projected benefit obligation 28,350 31,764 8,136 3,748 7,224 6,727 Expected return on assets (40,352) (45,304) (11,936) (5,393) (11,724) (9,354) Amortization of net loss 23,682 23,286 6,209 3,059 4,668 5,700 Net pension cost $22,202 $24,314 $5,667 $2,552 $2,868 $6,173 |
Expected Employer Contributions | Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2020: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2020 pension contributions $78,643 $74,991 $20,115 $5,839 $5,634 $21,730 Pension contributions made through June 2020 $17,584 $18,706 $4,296 $1,458 $1,485 $5,714 Remaining estimated pension contributions to be made in 2020 $61,059 $56,285 $15,819 $4,381 $4,149 $16,016 |
Entergy Texas [Member] | Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $933 $1,524 $372 $114 $306 $321 Interest cost on APBO 1,164 1,497 372 186 477 276 Expected return on assets (4,260) — (1,287) (1,344) (2,403) (735) Amortization of prior service credit (396) (1,695) (444) (228) (939) (282) Amortization of net (gain) loss 162 (81) 48 9 231 33 Net other postretirement benefit cost (income) ($2,397) $1,245 ($939) ($1,263) ($2,328) ($387) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $591 $1,160 $262 $92 $236 $243 Interest cost on APBO 1,807 2,666 670 395 854 476 Expected return on assets (3,991) — (1,199) (1,237) (2,276) (697) Amortization of prior service credit (1,238) (1,837) (439) (171) (561) (363) Amortization of net (gain) loss 144 (174) 181 58 121 89 Net other postretirement benefit cost (income) ($2,687) $1,815 ($525) ($863) ($1,626) ($252) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,761 $2,947 $723 $219 $609 $615 Interest cost on APBO 2,381 3,220 794 413 1,059 583 Expected return on assets (8,586) — (2,594) (2,699) (4,838) (1,483) Amortization of prior service credit (1,057) (2,784) (765) (304) (1,489) (501) Amortization of net (gain) loss 217 (280) 77 (29) 443 53 Net other postretirement benefit cost (income) ($5,284) $3,103 ($1,765) ($2,400) ($4,216) ($733) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,182 $2,320 $524 $184 $472 $486 Interest cost on APBO 3,614 5,332 1,340 790 1,708 952 Expected return on assets (7,982) — (2,398) (2,474) (4,552) (1,394) Amortization of prior service credit (2,476) (3,674) (878) (342) (1,122) (726) Amortization of net (gain) loss 288 (348) 362 116 242 178 Net other postretirement benefit cost (income) ($5,374) $3,630 ($1,050) ($1,726) ($3,252) ($504) |
Entergy Texas [Member] | Non Qualified Pension Plans [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the second quarters of 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $83 $37 $90 $8 $117 2019 $71 $41 $113 $6 $122 Reflected in Entergy Mississippi’s non-qualified pension costs in the second quarter of 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. The Registrant Subsidiaries recognized the following pension cost for their employees for their non-qualified pension plans for the six months ended June 30, 2020 and 2019: Entergy Entergy Entergy Entergy Entergy (In Thousands) 2020 $166 $74 $180 $16 $234 2019 $144 $84 $188 $11 $246 Reflected in Entergy Mississippi’s non-qualified pension costs for the six months ended June 30, 2019 were settlement charges of $40 thousand related to the payment of lump sum benefits out of the plan. |
System Energy [Member] | Pension Plans Defined Benefit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $6,566 $8,794 $2,023 $663 $1,546 $1,965 Interest cost on projected benefit obligation 11,433 12,841 3,340 1,456 2,782 2,814 Expected return on assets (19,622) (22,402) (5,757) (2,627) (5,486) (4,663) Amortization of net loss 16,897 16,627 4,748 2,005 3,265 4,279 Net pension cost $15,274 $15,860 $4,354 $1,497 $2,107 $4,395 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $5,261 $7,284 $1,629 $569 $1,350 $1,550 Interest cost on projected benefit obligation 14,175 15,882 4,068 1,874 3,612 3,363 Expected return on assets (20,176) (22,652) (5,968) (2,697) (5,862) (4,677) Amortization of net loss 11,841 11,643 3,105 1,530 2,334 2,850 Net pension cost $11,101 $12,157 $2,834 $1,276 $1,434 $3,086 The Registrant Subsidiaries’ qualified pension cost, including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $13,132 $17,588 $4,046 $1,326 $3,092 $3,930 Interest cost on projected benefit obligation 22,866 25,682 6,680 2,912 5,564 5,628 Expected return on assets (39,244) (44,804) (11,514) (5,254) (10,972) (9,326) Amortization of net loss 33,794 33,254 9,496 4,010 6,530 8,558 Net pension cost $30,548 $31,720 $8,708 $2,994 $4,214 $8,790 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $10,522 $14,568 $3,258 $1,138 $2,700 $3,100 Interest cost on projected benefit obligation 28,350 31,764 8,136 3,748 7,224 6,727 Expected return on assets (40,352) (45,304) (11,936) (5,393) (11,724) (9,354) Amortization of net loss 23,682 23,286 6,209 3,059 4,668 5,700 Net pension cost $22,202 $24,314 $5,667 $2,552 $2,868 $6,173 |
Expected Employer Contributions | Based on current assumptions, the Registrant Subsidiaries expect to contribute the following to qualified pension plans for their employees in 2020: Entergy Entergy Entergy Entergy Entergy System (In Thousands) Expected 2020 pension contributions $78,643 $74,991 $20,115 $5,839 $5,634 $21,730 Pension contributions made through June 2020 $17,584 $18,706 $4,296 $1,458 $1,485 $5,714 Remaining estimated pension contributions to be made in 2020 $61,059 $56,285 $15,819 $4,381 $4,149 $16,016 |
System Energy [Member] | Other Postretirement [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Components Of Net Pension Cost | The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the second quarters of 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $933 $1,524 $372 $114 $306 $321 Interest cost on APBO 1,164 1,497 372 186 477 276 Expected return on assets (4,260) — (1,287) (1,344) (2,403) (735) Amortization of prior service credit (396) (1,695) (444) (228) (939) (282) Amortization of net (gain) loss 162 (81) 48 9 231 33 Net other postretirement benefit cost (income) ($2,397) $1,245 ($939) ($1,263) ($2,328) ($387) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $591 $1,160 $262 $92 $236 $243 Interest cost on APBO 1,807 2,666 670 395 854 476 Expected return on assets (3,991) — (1,199) (1,237) (2,276) (697) Amortization of prior service credit (1,238) (1,837) (439) (171) (561) (363) Amortization of net (gain) loss 144 (174) 181 58 121 89 Net other postretirement benefit cost (income) ($2,687) $1,815 ($525) ($863) ($1,626) ($252) The Registrant Subsidiaries’ other postretirement benefit cost (income), including amounts capitalized, for their employees for the six months ended June 30, 2020 and 2019, included the following components: 2020 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,761 $2,947 $723 $219 $609 $615 Interest cost on APBO 2,381 3,220 794 413 1,059 583 Expected return on assets (8,586) — (2,594) (2,699) (4,838) (1,483) Amortization of prior service credit (1,057) (2,784) (765) (304) (1,489) (501) Amortization of net (gain) loss 217 (280) 77 (29) 443 53 Net other postretirement benefit cost (income) ($5,284) $3,103 ($1,765) ($2,400) ($4,216) ($733) 2019 Entergy Entergy Entergy Entergy Entergy System (In Thousands) Service cost - benefits earned during the period $1,182 $2,320 $524 $184 $472 $486 Interest cost on APBO 3,614 5,332 1,340 790 1,708 952 Expected return on assets (7,982) — (2,398) (2,474) (4,552) (1,394) Amortization of prior service credit (2,476) (3,674) (878) (342) (1,122) (726) Amortization of net (gain) loss 288 (348) 362 116 242 178 Net other postretirement benefit cost (income) ($5,374) $3,630 ($1,050) ($1,726) ($3,252) ($504) |
Business Segment Information (T
Business Segment Information (Tables) - Entergy Corporation [Member] | 6 Months Ended |
Jun. 30, 2020 | |
Segment Financial Information | Entergy’s segment financial information for the second quarters of 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $2,213,061 $199,709 $18 $— $2,412,788 Income taxes $73,710 $24,467 ($9,062) $— $89,115 Consolidated net income (loss) $348,902 $85,178 ($37,069) ($31,898) $365,113 2019 Operating revenues $2,376,437 $289,783 $2 ($13) $2,666,209 Income taxes $21,150 ($9,290) ($10,402) $— $1,458 Consolidated net income (loss) $334,752 ($25,382) ($36,939) ($31,898) $240,533 Entergy’s segment financial information for the six months ended June 30, 2020 and 2019 was as follows: Utility Entergy All Other Eliminations Entergy (In Thousands) 2020 Operating revenues $4,307,690 $532,258 $29 ($10) $4,839,967 Income taxes $20,761 ($6,073) $3,233 $— $17,921 Consolidated net income (loss) $672,751 ($25,251) ($95,298) ($63,796) $488,406 Total assets as of June 30, 2020 $51,205,266 $3,658,974 $493,119 ($1,992,057) $53,365,302 2019 Operating revenues $4,552,419 $723,394 $2 ($23) $5,275,792 Income taxes $9,586 $56,618 ($21,975) $— $44,229 Consolidated net income (loss) $568,900 $71,697 ($77,620) ($63,797) $499,180 Total assets as of December 31, 2019 $49,557,664 $4,154,961 $514,020 ($2,502,733) $51,723,912 The Entergy Wholesale Commodities business is sometimes referred to as the “competitive businesses.” Eliminations were primarily intersegment activity. Almost all of Entergy’s goodwill was related to the Utility segment. |
Restructuring and Related Costs [Table Text Block] | 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of April 1, $150 $14 $164 $213 $14 $227 Restructuring costs accrued 17 — 17 22 — 22 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 In addition, Entergy Wholesale Commodities incurred $7 million in the second quarter 2020 and $16 million in the second quarter 2019 of impairment and other related charges associated with these strategic decisions and transactions. Total restructuring charges for the six months ended June 30, 2020 and 2019 were comprised of the following: 2020 2019 Employee retention and severance Contracted economic development costs Total Employee retention and severance Contracted economic development costs Total (In Millions) Balance as of January 1, $129 $14 $143 $179 $14 $193 Restructuring costs accrued 38 — 38 56 — 56 Cash paid out 14 — 14 54 — 54 Balance as of June 30, $153 $14 $167 $181 $14 $195 |
Risk Management And Fair Valu_2
Risk Management And Fair Values (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Fair Values Of Derivative Instruments | The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $49 ($4) $45 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $4 $— $4 Entergy Wholesale Commodities Natural gas swaps and options Prepayments and other (current portion) $1 $— $1 Utility Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $23 ($1) $22 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $3 ($3) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $6 $— $6 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility The fair values of Entergy’s derivative instruments in the consolidated balance sheet as of December 31, 2019 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Business (In Millions) Derivatives designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $92 ($1) $91 Entergy Wholesale Commodities Electricity swaps and options Other deferred debits and other assets (non-current portion) $17 $— $17 Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $1 ($1) $— Entergy Wholesale Commodities Derivatives not designated as hedging instruments Assets: Electricity swaps and options Prepayments and other (current portion) $11 ($1) $10 Entergy Wholesale Commodities Natural gas swaps and options Other deferred debits and other assets (non-current portion) $1 $— $1 Utility Financial transmission rights Prepayments and other $10 $— $10 Utility and Entergy Wholesale Commodities Liabilities: Electricity swaps and options Other current liabilities (current portion) $2 ($2) $— Entergy Wholesale Commodities Natural gas swaps and options Other current liabilities (current portion) $5 $— $5 Utility Natural gas swaps and options Other non-current liabilities (non-current portion) $2 $— $2 Utility (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Entergy Corporation and Subsidiaries’ Consolidated Balance Sheet |
Derivative Instruments Designated As Cash Flow Hedges On Consolidated Statements Of Income | Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options ($7) Competitive businesses operating revenues $25 2019 Electricity swaps and options $126 Competitive businesses operating revenues $6 (a) Before taxes of $5 million and $1 million for the three months ended June 30, 2020 and 2019, respectively The effects of Entergy’s derivative instruments designated as cash flow hedges on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Amount of gain (loss) Income Statement location Amount of gain (In Millions) (In Millions) 2020 Electricity swaps and options $60 Competitive businesses operating revenues $120 2019 Electricity swaps and options $152 Competitive businesses operating revenues $57 (a) Before taxes of $25 million and $12 million for the six months ended June 30, 2020 and 2019, respectively |
Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income | The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($3) Financial transmission rights Purchased power expense (b) $15 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($6) Financial transmission rights Purchased power expense (b) $32 Electricity swaps and options (c) Competitive business operating revenues ($2) The effects of Entergy’s derivative instruments not designated as hedging instruments on the consolidated income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Amount of gain (loss) (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale (a) ($9) Financial transmission rights Purchased power expense (b) $28 Electricity swaps and options (c) Competitive business operating revenues ($2) 2019 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale (a) ($7) Financial transmission rights Purchased power expense (b) $53 Electricity swaps and options (c) Competitive business operating revenues $3 (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. (c) There were no gains (losses) recognized in accumulated other comprehensive income from electricity swaps and options. |
Assets and liabilities at fair value on a recurring basis | The following tables set forth, by level within the fair value hierarchy, Entergy’s assets and liabilities that were accounted for at fair value on a recurring basis as of June 30, 2020 and December 31, 2019. The assessment of the significance of a particular input to a fair value measurement requires judgment and may affect its placement within the fair value hierarchy levels. 2020 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $880 $— $— $880 Decommissioning trust funds (a): Equity securities 879 — — 879 Debt securities (b) 1,080 2,043 — 3,123 Common trusts (c) 2,485 Power contracts — — 49 49 Securitization recovery trust account 35 — — 35 Escrow accounts 420 — — 420 Gas hedge contracts 1 1 — 2 Financial transmission rights — — 22 22 $3,295 $2,044 $71 $7,895 Liabilities: Gas hedge contracts $6 $2 $— $8 2019 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $391 $— $— $391 Decommissioning trust funds (a): Equity securities 905 — — 905 Debt securities 1,139 1,824 — 2,963 Common trusts (c) 2,536 Power contracts — — 118 118 Securitization recovery trust account 47 — — 47 Escrow accounts 459 — — 459 Gas hedge contracts — 1 — 1 Financial transmission rights — — 10 10 $2,941 $1,825 $128 $7,430 Liabilities: Gas hedge contracts $5 $2 $— $7 (a) The decommissioning trust funds hold equity and fixed income securities. Equity securities are invested to approximate the returns of major market indices. Fixed income securities are held in various governmental and corporate securities. See Note 9 to the financial statements herein for additional information on the investment portfolios. (b) The decommissioning trust funds fair value presented herein does not include the recognition of a credit loss valuation allowance of $0.4 million on debt securities due to the adoption of ASU 2016-13. See Note 9 to the financial statements herein for additional information on the allowance for expected credit losses. (c) Common trust funds are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table. The fund administrator of these investments allows daily trading at the net asset value and trades settle at a later date. |
Reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy | The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended June 30, 2020 and 2019: 2020 2019 Power Contracts Financial transmission rights Power Contracts Financial transmission rights (In Millions) Balance as of April 1, $85 $4 ($46) $5 Total gains (losses) for the period (a) Included in earnings 16 — (2) — Included in other comprehensive income (7) — 126 — Included as a regulatory liability/asset — 10 — 21 Issuances of financial transmission rights — 23 — 35 Settlements (45) (15) (6) (32) Balance as of June 30, $49 $22 $72 $29 (a) Change in unrealized gains or losses for the period included in earnings for derivatives held at the end of the reporting period was $3 million for the three months ended June 30, 2020 and $1.4 million for the three months ended June 30, 2019. The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the six months ended June 30, 2020 and 2019: 2020 2019 Power Contracts Financial transmission rights Power Contracts Financial transmission rights (In Millions) Balance as of January 1, $118 $10 ($31) $15 Total gains (losses) for the period (a) Included in earnings (2) — 3 — Included in other comprehensive income 60 — 152 — Included as a regulatory liability/asset — 17 — 32 Issuances of financial transmission rights — 23 — 35 Settlements (127) (28) (52) (53) Balance as of June 30, $49 $22 $72 $29 |
Fair Value Inputs Liabilities Quantitative Information | The following table sets forth a description of the types of transactions classified as Level 3 in the fair value hierarchy and significant unobservable inputs to each which cause that classification as of June 30, 2020: Transaction Type Fair Value Significant Range Effect on (In Millions) (In Millions) Power contracts - electricity swaps $49 Unit contingent discount +/- 4.75% $5 |
Entergy Arkansas [Member] | |
Fair Values Of Derivative Instruments | The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $0.8 $— $0.8 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets (non-current portion) $0.6 $— $0.6 Entergy Louisiana Financial transmission rights Prepayments and other $6.3 ($0.2) $6.1 Entergy Arkansas Financial transmission rights Prepayments and other $12.7 ($0.2) $12.5 Entergy Louisiana Financial transmission rights Prepayments and other $1.1 $— $1.1 Entergy Mississippi Financial transmission rights Prepayments and other $2.6 $— $2.6 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $1.7 $— $1.7 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $4.3 $— $4.3 Entergy Mississippi Financial transmission rights Other current liabilities $0.3 ($0.5) $0.2 Entergy New Orleans The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2019 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Other deferred debits and other assets $0.8 $— $0.8 Entergy Louisiana Financial transmission rights Prepayments and other $3.4 ($0.1) $3.3 Entergy Arkansas Financial transmission rights Prepayments and other $4.5 $— $4.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.8 $— $0.8 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $0.3 Entergy New Orleans Financial transmission rights Prepayments and other $1.0 ($0.1) $0.9 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $2.4 $— $2.4 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $2.3 $— $2.3 Entergy Mississippi Natural gas swaps Other current liabilities $0.2 $— $0.2 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets |
Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income | The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $4.8 (b) Entergy Arkansas Financial transmission rights Purchased power expense $5.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.4) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.2 (b) Entergy New Orleans Financial transmission rights Purchased power expense $5.3 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($2.7) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($3.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $3.6 (b) Entergy Arkansas Financial transmission rights Purchased power expense $17.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense $2.2 (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.7 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.8 (b) Entergy Texas The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.3) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($7.7) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($0.4) (a) Entergy New Orleans Financial transmission rights Purchased power expense $9.4 (b) Entergy Arkansas Financial transmission rights Purchased power expense $10.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.5) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.6 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.9) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($5.2) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $0.2 (a) Entergy New Orleans Financial transmission rights Purchased power expense $12.0 (b) Entergy Arkansas Financial transmission rights Purchased power expense $26.5 (b) Entergy Louisiana Financial transmission rights Purchased power expense $3.3 (b) Entergy Mississippi Financial transmission rights Purchased power expense $2.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $8.1 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. |
Assets and liabilities at fair value on a recurring basis | Entergy Arkansas 2020 Level 1 Level 2 Level 3 Total (In Millions) Assets: Decommissioning trust funds (a): Equity securities $5.3 $— $— $5.3 Debt securities 107.9 333.6 — 441.5 Common trusts (b) 663.0 Securitization recovery trust account 2.8 — — 2.8 Financial transmission rights — — 6.1 6.1 $116.0 $333.6 $6.1 $1,118.7 2019 Level 1 Level 2 Level 3 Total (In Millions) Assets: Decommissioning trust funds (a): Equity securities $0.6 $— $— $0.6 Debt securities 108.7 304.1 — 412.8 Common trusts (b) 687.9 Securitization recovery trust account 4.0 — — 4.0 Financial transmission rights — — 3.3 3.3 $113.3 $304.1 $3.3 $1,108.6 |
Reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy | The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended June 30, 2020. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of April 1, $1.1 $1.9 $0.3 $— $0.3 Issuances of financial transmission rights 6.5 13.2 1.4 (0.1) 2.4 Gains (losses) included as a regulatory liability/asset 3.3 2.8 (1.0) 0.1 5.2 Settlements (4.8) (5.4) 0.4 (0.2) (5.3) Balance as of June 30, $6.1 $12.5 $1.1 ($0.2) $2.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended June 30, 2019. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of April 1, $1.1 $2.8 $0.7 $0.5 ($0.3) Issuances of financial transmission rights 9.6 18.7 3.9 2.7 0.1 Gains (losses) included as a regulatory liability/asset 1.1 11.8 0.4 (0.5) 8.6 Settlements (3.6) (17.7) (2.2) (0.7) (7.8) Balance as of June 30, $8.2 $15.6 $2.8 $2.0 $0.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the six months ended June 30, 2020. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $3.3 $4.5 $0.8 $0.3 $0.9 Issuances of financial transmission rights 6.5 13.2 1.4 (0.1) 2.4 Gains (losses) included as a regulatory liability/asset 5.7 5.5 (1.6) 0.2 6.9 Settlements (9.4) (10.7) 0.5 (0.6) (7.6) Balance as of June 30, $6.1 $12.5 $1.1 ($0.2) $2.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the six months ended June 30, 2019. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $3.4 $8.3 $2.2 $1.3 ($0.5) Issuances of financial transmission rights 9.6 18.7 3.9 2.7 0.1 Gains (losses) included as a regulatory liability/asset 7.2 15.1 — 0.6 9.1 Settlements (12.0) (26.5) (3.3) (2.6) (8.1) Balance as of June 30, $8.2 $15.6 $2.8 $2.0 $0.6 |
Entergy Louisiana [Member] | |
Fair Values Of Derivative Instruments | The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $0.8 $— $0.8 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets (non-current portion) $0.6 $— $0.6 Entergy Louisiana Financial transmission rights Prepayments and other $6.3 ($0.2) $6.1 Entergy Arkansas Financial transmission rights Prepayments and other $12.7 ($0.2) $12.5 Entergy Louisiana Financial transmission rights Prepayments and other $1.1 $— $1.1 Entergy Mississippi Financial transmission rights Prepayments and other $2.6 $— $2.6 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $1.7 $— $1.7 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $4.3 $— $4.3 Entergy Mississippi Financial transmission rights Other current liabilities $0.3 ($0.5) $0.2 Entergy New Orleans The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2019 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Other deferred debits and other assets $0.8 $— $0.8 Entergy Louisiana Financial transmission rights Prepayments and other $3.4 ($0.1) $3.3 Entergy Arkansas Financial transmission rights Prepayments and other $4.5 $— $4.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.8 $— $0.8 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $0.3 Entergy New Orleans Financial transmission rights Prepayments and other $1.0 ($0.1) $0.9 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $2.4 $— $2.4 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $2.3 $— $2.3 Entergy Mississippi Natural gas swaps Other current liabilities $0.2 $— $0.2 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets |
Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income | The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $4.8 (b) Entergy Arkansas Financial transmission rights Purchased power expense $5.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.4) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.2 (b) Entergy New Orleans Financial transmission rights Purchased power expense $5.3 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($2.7) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($3.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $3.6 (b) Entergy Arkansas Financial transmission rights Purchased power expense $17.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense $2.2 (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.7 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.8 (b) Entergy Texas The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.3) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($7.7) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($0.4) (a) Entergy New Orleans Financial transmission rights Purchased power expense $9.4 (b) Entergy Arkansas Financial transmission rights Purchased power expense $10.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.5) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.6 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.9) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($5.2) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $0.2 (a) Entergy New Orleans Financial transmission rights Purchased power expense $12.0 (b) Entergy Arkansas Financial transmission rights Purchased power expense $26.5 (b) Entergy Louisiana Financial transmission rights Purchased power expense $3.3 (b) Entergy Mississippi Financial transmission rights Purchased power expense $2.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $8.1 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. |
Assets and liabilities at fair value on a recurring basis | Entergy Louisiana 2020 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $463.4 $— $— $463.4 Decommissioning trust funds (a): Equity securities 9.2 — — 9.2 Debt securities 164.4 458.5 — 622.9 Common trusts (b) 932.9 Escrow accounts 256.7 — — 256.7 Securitization recovery trust account 2.9 — — 2.9 Gas hedge contracts 0.8 0.6 — 1.4 Financial transmission rights — — 12.5 12.5 $897.4 $459.1 $12.5 $2,301.9 Liabilities: Gas hedge contracts $1.7 $2.2 $— $3.9 2019 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $1.5 $— $— $1.5 Decommissioning trust funds (a): Equity securities 4.3 — — 4.3 Debt securities 180.8 420.7 — 601.5 Common trusts (b) 958.0 Escrow accounts 295.9 — — 295.9 Securitization recovery trust account 3.7 — — 3.7 Gas hedge contracts — 0.8 — 0.8 Financial transmission rights — — 4.5 4.5 $486.2 $421.5 $4.5 $1,870.2 Liabilities: Gas hedge contracts $2.4 $2.2 $— $4.6 |
Reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy | The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended June 30, 2020. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of April 1, $1.1 $1.9 $0.3 $— $0.3 Issuances of financial transmission rights 6.5 13.2 1.4 (0.1) 2.4 Gains (losses) included as a regulatory liability/asset 3.3 2.8 (1.0) 0.1 5.2 Settlements (4.8) (5.4) 0.4 (0.2) (5.3) Balance as of June 30, $6.1 $12.5 $1.1 ($0.2) $2.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended June 30, 2019. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of April 1, $1.1 $2.8 $0.7 $0.5 ($0.3) Issuances of financial transmission rights 9.6 18.7 3.9 2.7 0.1 Gains (losses) included as a regulatory liability/asset 1.1 11.8 0.4 (0.5) 8.6 Settlements (3.6) (17.7) (2.2) (0.7) (7.8) Balance as of June 30, $8.2 $15.6 $2.8 $2.0 $0.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the six months ended June 30, 2020. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $3.3 $4.5 $0.8 $0.3 $0.9 Issuances of financial transmission rights 6.5 13.2 1.4 (0.1) 2.4 Gains (losses) included as a regulatory liability/asset 5.7 5.5 (1.6) 0.2 6.9 Settlements (9.4) (10.7) 0.5 (0.6) (7.6) Balance as of June 30, $6.1 $12.5 $1.1 ($0.2) $2.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the six months ended June 30, 2019. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $3.4 $8.3 $2.2 $1.3 ($0.5) Issuances of financial transmission rights 9.6 18.7 3.9 2.7 0.1 Gains (losses) included as a regulatory liability/asset 7.2 15.1 — 0.6 9.1 Settlements (12.0) (26.5) (3.3) (2.6) (8.1) Balance as of June 30, $8.2 $15.6 $2.8 $2.0 $0.6 |
Entergy Mississippi [Member] | |
Fair Values Of Derivative Instruments | The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $0.8 $— $0.8 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets (non-current portion) $0.6 $— $0.6 Entergy Louisiana Financial transmission rights Prepayments and other $6.3 ($0.2) $6.1 Entergy Arkansas Financial transmission rights Prepayments and other $12.7 ($0.2) $12.5 Entergy Louisiana Financial transmission rights Prepayments and other $1.1 $— $1.1 Entergy Mississippi Financial transmission rights Prepayments and other $2.6 $— $2.6 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $1.7 $— $1.7 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $4.3 $— $4.3 Entergy Mississippi Financial transmission rights Other current liabilities $0.3 ($0.5) $0.2 Entergy New Orleans The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2019 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Other deferred debits and other assets $0.8 $— $0.8 Entergy Louisiana Financial transmission rights Prepayments and other $3.4 ($0.1) $3.3 Entergy Arkansas Financial transmission rights Prepayments and other $4.5 $— $4.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.8 $— $0.8 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $0.3 Entergy New Orleans Financial transmission rights Prepayments and other $1.0 ($0.1) $0.9 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $2.4 $— $2.4 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $2.3 $— $2.3 Entergy Mississippi Natural gas swaps Other current liabilities $0.2 $— $0.2 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets |
Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income | The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $4.8 (b) Entergy Arkansas Financial transmission rights Purchased power expense $5.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.4) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.2 (b) Entergy New Orleans Financial transmission rights Purchased power expense $5.3 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($2.7) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($3.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $3.6 (b) Entergy Arkansas Financial transmission rights Purchased power expense $17.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense $2.2 (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.7 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.8 (b) Entergy Texas The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.3) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($7.7) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($0.4) (a) Entergy New Orleans Financial transmission rights Purchased power expense $9.4 (b) Entergy Arkansas Financial transmission rights Purchased power expense $10.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.5) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.6 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.9) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($5.2) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $0.2 (a) Entergy New Orleans Financial transmission rights Purchased power expense $12.0 (b) Entergy Arkansas Financial transmission rights Purchased power expense $26.5 (b) Entergy Louisiana Financial transmission rights Purchased power expense $3.3 (b) Entergy Mississippi Financial transmission rights Purchased power expense $2.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $8.1 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. |
Assets and liabilities at fair value on a recurring basis | Entergy Mississippi 2020 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $70.2 $— $— $70.2 Escrow accounts 80.4 — — 80.4 Financial transmission rights — — 1.1 1.1 $150.6 $— $1.1 $151.7 Liabilities: Gas hedge contracts $4.3 $— $— $4.3 2019 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $51.6 $— $— $51.6 Escrow accounts 80.2 — — 80.2 Financial transmission rights — — 0.8 0.8 $131.8 $— $0.8 $132.6 Liabilities: Gas hedge contracts $2.3 $— $— $2.3 |
Reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy | The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended June 30, 2020. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of April 1, $1.1 $1.9 $0.3 $— $0.3 Issuances of financial transmission rights 6.5 13.2 1.4 (0.1) 2.4 Gains (losses) included as a regulatory liability/asset 3.3 2.8 (1.0) 0.1 5.2 Settlements (4.8) (5.4) 0.4 (0.2) (5.3) Balance as of June 30, $6.1 $12.5 $1.1 ($0.2) $2.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended June 30, 2019. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of April 1, $1.1 $2.8 $0.7 $0.5 ($0.3) Issuances of financial transmission rights 9.6 18.7 3.9 2.7 0.1 Gains (losses) included as a regulatory liability/asset 1.1 11.8 0.4 (0.5) 8.6 Settlements (3.6) (17.7) (2.2) (0.7) (7.8) Balance as of June 30, $8.2 $15.6 $2.8 $2.0 $0.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the six months ended June 30, 2020. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $3.3 $4.5 $0.8 $0.3 $0.9 Issuances of financial transmission rights 6.5 13.2 1.4 (0.1) 2.4 Gains (losses) included as a regulatory liability/asset 5.7 5.5 (1.6) 0.2 6.9 Settlements (9.4) (10.7) 0.5 (0.6) (7.6) Balance as of June 30, $6.1 $12.5 $1.1 ($0.2) $2.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the six months ended June 30, 2019. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $3.4 $8.3 $2.2 $1.3 ($0.5) Issuances of financial transmission rights 9.6 18.7 3.9 2.7 0.1 Gains (losses) included as a regulatory liability/asset 7.2 15.1 — 0.6 9.1 Settlements (12.0) (26.5) (3.3) (2.6) (8.1) Balance as of June 30, $8.2 $15.6 $2.8 $2.0 $0.6 |
Entergy New Orleans [Member] | |
Fair Values Of Derivative Instruments | The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $0.8 $— $0.8 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets (non-current portion) $0.6 $— $0.6 Entergy Louisiana Financial transmission rights Prepayments and other $6.3 ($0.2) $6.1 Entergy Arkansas Financial transmission rights Prepayments and other $12.7 ($0.2) $12.5 Entergy Louisiana Financial transmission rights Prepayments and other $1.1 $— $1.1 Entergy Mississippi Financial transmission rights Prepayments and other $2.6 $— $2.6 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $1.7 $— $1.7 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $4.3 $— $4.3 Entergy Mississippi Financial transmission rights Other current liabilities $0.3 ($0.5) $0.2 Entergy New Orleans The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2019 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Other deferred debits and other assets $0.8 $— $0.8 Entergy Louisiana Financial transmission rights Prepayments and other $3.4 ($0.1) $3.3 Entergy Arkansas Financial transmission rights Prepayments and other $4.5 $— $4.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.8 $— $0.8 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $0.3 Entergy New Orleans Financial transmission rights Prepayments and other $1.0 ($0.1) $0.9 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $2.4 $— $2.4 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $2.3 $— $2.3 Entergy Mississippi Natural gas swaps Other current liabilities $0.2 $— $0.2 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets |
Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income | The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $4.8 (b) Entergy Arkansas Financial transmission rights Purchased power expense $5.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.4) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.2 (b) Entergy New Orleans Financial transmission rights Purchased power expense $5.3 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($2.7) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($3.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $3.6 (b) Entergy Arkansas Financial transmission rights Purchased power expense $17.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense $2.2 (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.7 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.8 (b) Entergy Texas The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.3) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($7.7) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($0.4) (a) Entergy New Orleans Financial transmission rights Purchased power expense $9.4 (b) Entergy Arkansas Financial transmission rights Purchased power expense $10.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.5) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.6 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.9) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($5.2) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $0.2 (a) Entergy New Orleans Financial transmission rights Purchased power expense $12.0 (b) Entergy Arkansas Financial transmission rights Purchased power expense $26.5 (b) Entergy Louisiana Financial transmission rights Purchased power expense $3.3 (b) Entergy Mississippi Financial transmission rights Purchased power expense $2.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $8.1 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. |
Assets and liabilities at fair value on a recurring basis | Entergy New Orleans 2020 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $30.5 $— $— $30.5 Securitization recovery trust account 1.5 — — 1.5 Escrow accounts 83.0 — — 83.0 $115.0 $— $— $115.0 Liabilities: Financial transmission rights $— $— $0.2 $0.2 2019 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $6.0 $— $— $6.0 Securitization recovery trust account 2.0 — — 2.0 Escrow accounts 82.6 — — 82.6 Financial transmission rights — — 0.3 0.3 $90.6 $— $0.3 $90.9 Liabilities: Gas hedge contracts $0.2 $— $— $0.2 |
Reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy | The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended June 30, 2020. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of April 1, $1.1 $1.9 $0.3 $— $0.3 Issuances of financial transmission rights 6.5 13.2 1.4 (0.1) 2.4 Gains (losses) included as a regulatory liability/asset 3.3 2.8 (1.0) 0.1 5.2 Settlements (4.8) (5.4) 0.4 (0.2) (5.3) Balance as of June 30, $6.1 $12.5 $1.1 ($0.2) $2.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended June 30, 2019. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of April 1, $1.1 $2.8 $0.7 $0.5 ($0.3) Issuances of financial transmission rights 9.6 18.7 3.9 2.7 0.1 Gains (losses) included as a regulatory liability/asset 1.1 11.8 0.4 (0.5) 8.6 Settlements (3.6) (17.7) (2.2) (0.7) (7.8) Balance as of June 30, $8.2 $15.6 $2.8 $2.0 $0.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the six months ended June 30, 2020. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $3.3 $4.5 $0.8 $0.3 $0.9 Issuances of financial transmission rights 6.5 13.2 1.4 (0.1) 2.4 Gains (losses) included as a regulatory liability/asset 5.7 5.5 (1.6) 0.2 6.9 Settlements (9.4) (10.7) 0.5 (0.6) (7.6) Balance as of June 30, $6.1 $12.5 $1.1 ($0.2) $2.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the six months ended June 30, 2019. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $3.4 $8.3 $2.2 $1.3 ($0.5) Issuances of financial transmission rights 9.6 18.7 3.9 2.7 0.1 Gains (losses) included as a regulatory liability/asset 7.2 15.1 — 0.6 9.1 Settlements (12.0) (26.5) (3.3) (2.6) (8.1) Balance as of June 30, $8.2 $15.6 $2.8 $2.0 $0.6 |
Entergy Texas [Member] | |
Fair Values Of Derivative Instruments | The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of June 30, 2020 are shown in the table below. Certain investments, including those not designated as hedging instruments, are subject to master netting agreements and are presented in the balance sheet on a net basis in accordance with accounting guidance for derivatives and hedging. Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Prepayments and other $0.8 $— $0.8 Entergy Louisiana Natural gas swaps and options Other deferred debits and other assets (non-current portion) $0.6 $— $0.6 Entergy Louisiana Financial transmission rights Prepayments and other $6.3 ($0.2) $6.1 Entergy Arkansas Financial transmission rights Prepayments and other $12.7 ($0.2) $12.5 Entergy Louisiana Financial transmission rights Prepayments and other $1.1 $— $1.1 Entergy Mississippi Financial transmission rights Prepayments and other $2.6 $— $2.6 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $1.7 $— $1.7 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $4.3 $— $4.3 Entergy Mississippi Financial transmission rights Other current liabilities $0.3 ($0.5) $0.2 Entergy New Orleans The fair values of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their balance sheets as of December 31, 2019 were as follows: Instrument Balance Sheet Location Gross Fair Value (a) Offsetting Position (b) Net Fair Value (c) (d) Registrant (In Millions) Assets: Natural gas swaps and options Other deferred debits and other assets $0.8 $— $0.8 Entergy Louisiana Financial transmission rights Prepayments and other $3.4 ($0.1) $3.3 Entergy Arkansas Financial transmission rights Prepayments and other $4.5 $— $4.5 Entergy Louisiana Financial transmission rights Prepayments and other $0.8 $— $0.8 Entergy Mississippi Financial transmission rights Prepayments and other $0.3 $— $0.3 Entergy New Orleans Financial transmission rights Prepayments and other $1.0 ($0.1) $0.9 Entergy Texas Liabilities: Natural gas swaps and options Other current liabilities $2.4 $— $2.4 Entergy Louisiana Natural gas swaps and options Other non-current liabilities $2.2 $— $2.2 Entergy Louisiana Natural gas swaps Other current liabilities $2.3 $— $2.3 Entergy Mississippi Natural gas swaps Other current liabilities $0.2 $— $0.2 Entergy New Orleans (a) Represents the gross amounts of recognized assets/liabilities (b) Represents the netting of fair value balances with the same counterparty (c) Represents the net amounts of assets/liabilities presented on the Registrant Subsidiaries’ balance sheets |
Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income | The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the three months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($2.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $4.8 (b) Entergy Arkansas Financial transmission rights Purchased power expense $5.4 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.4) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.2 (b) Entergy New Orleans Financial transmission rights Purchased power expense $5.3 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($2.7) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($3.5) (a) Entergy Mississippi Financial transmission rights Purchased power expense $3.6 (b) Entergy Arkansas Financial transmission rights Purchased power expense $17.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense $2.2 (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.7 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.8 (b) Entergy Texas The effects of the Registrant Subsidiaries’ derivative instruments not designated as hedging instruments on their income statements for the six months ended June 30, 2020 and 2019 were as follows: Instrument Income Statement Location Amount of gain Registrant (In Millions) 2020 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.3) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($7.7) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($0.4) (a) Entergy New Orleans Financial transmission rights Purchased power expense $9.4 (b) Entergy Arkansas Financial transmission rights Purchased power expense $10.7 (b) Entergy Louisiana Financial transmission rights Purchased power expense ($0.5) (b) Entergy Mississippi Financial transmission rights Purchased power expense $0.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $7.6 (b) Entergy Texas 2019 Natural gas swaps and options Fuel, fuel-related expenses, and gas purchased for resale ($1.9) (a) Entergy Louisiana Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale ($5.2) (a) Entergy Mississippi Natural gas swaps Fuel, fuel-related expenses, and gas purchased for resale $0.2 (a) Entergy New Orleans Financial transmission rights Purchased power expense $12.0 (b) Entergy Arkansas Financial transmission rights Purchased power expense $26.5 (b) Entergy Louisiana Financial transmission rights Purchased power expense $3.3 (b) Entergy Mississippi Financial transmission rights Purchased power expense $2.6 (b) Entergy New Orleans Financial transmission rights Purchased power expense $8.1 (b) Entergy Texas (a) Due to regulatory treatment, the natural gas swaps and options are marked-to-market through fuel, fuel-related expenses, and gas purchased for resale and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as fuel expenses when the swaps and options are settled are recovered or refunded through fuel cost recovery mechanisms. (b) Due to regulatory treatment, the changes in the estimated fair value of financial transmission rights for the Utility operating companies are recorded through purchased power expense and then such amounts are simultaneously reversed and recorded as an offsetting regulatory asset or liability. The gains or losses recorded as purchased power expense when the financial transmission rights for the Utility operating companies are settled are recovered or refunded through fuel cost recovery mechanisms. |
Assets and liabilities at fair value on a recurring basis | Entergy Texas 2020 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $41.1 $— $— $41.1 Securitization recovery trust account 27.6 — — 27.6 Financial transmission rights — — 2.6 2.6 $68.7 $— $2.6 $71.3 2019 Level 1 Level 2 Level 3 Total (In Millions) Assets : Temporary cash investments $12.9 $— $— $12.9 Securitization recovery trust account 37.7 — — 37.7 Financial transmission rights — — 0.9 0.9 $50.6 $— $0.9 $51.5 |
Reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy | The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended June 30, 2020. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of April 1, $1.1 $1.9 $0.3 $— $0.3 Issuances of financial transmission rights 6.5 13.2 1.4 (0.1) 2.4 Gains (losses) included as a regulatory liability/asset 3.3 2.8 (1.0) 0.1 5.2 Settlements (4.8) (5.4) 0.4 (0.2) (5.3) Balance as of June 30, $6.1 $12.5 $1.1 ($0.2) $2.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the three months ended June 30, 2019. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of April 1, $1.1 $2.8 $0.7 $0.5 ($0.3) Issuances of financial transmission rights 9.6 18.7 3.9 2.7 0.1 Gains (losses) included as a regulatory liability/asset 1.1 11.8 0.4 (0.5) 8.6 Settlements (3.6) (17.7) (2.2) (0.7) (7.8) Balance as of June 30, $8.2 $15.6 $2.8 $2.0 $0.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the six months ended June 30, 2020. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $3.3 $4.5 $0.8 $0.3 $0.9 Issuances of financial transmission rights 6.5 13.2 1.4 (0.1) 2.4 Gains (losses) included as a regulatory liability/asset 5.7 5.5 (1.6) 0.2 6.9 Settlements (9.4) (10.7) 0.5 (0.6) (7.6) Balance as of June 30, $6.1 $12.5 $1.1 ($0.2) $2.6 The following table sets forth a reconciliation of changes in the net assets (liabilities) for the fair value of derivatives classified as Level 3 in the fair value hierarchy for the six months ended June 30, 2019. Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of January 1, $3.4 $8.3 $2.2 $1.3 ($0.5) Issuances of financial transmission rights 9.6 18.7 3.9 2.7 0.1 Gains (losses) included as a regulatory liability/asset 7.2 15.1 — 0.6 9.1 Settlements (12.0) (26.5) (3.3) (2.6) (8.1) Balance as of June 30, $8.2 $15.6 $2.8 $2.0 $0.6 |
System Energy [Member] | |
Assets and liabilities at fair value on a recurring basis | System Energy 2020 Level 1 Level 2 Level 3 Total (In Millions) Assets: Decommissioning trust funds (a): Equity securities $9.8 $— $— $9.8 Debt Securities 166.9 251.9 — 418.8 Common trusts (b) 630.9 $176.7 $251.9 $— $1,059.5 2019 Level 1 Level 2 Level 3 Total (In Millions) Assets: Temporary cash investments $68.4 $— $— $68.4 Decommissioning trust funds (a): Equity securities 13.3 — — 13.3 Debt securities 176.3 209.9 — 386.2 Common trusts (b) 654.6 $258.0 $209.9 $— $1,122.5 |
Decommissioning Trust Funds (Ta
Decommissioning Trust Funds (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Securities Held | The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities (a) $2,585 $206 $2 2019 Debt Securities (a) $2,456 $96 $6 |
Available For Sale Securities Continuous Unrealized Loss Position Fair Value | The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $116 $2 $404 $5 More than 12 months 5 — 38 1 Total $121 $2 $442 $6 |
Fair Value Of Debt Securities By Contractual Maturities | The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $36 $128 1 year - 5 years 775 807 5 years - 10 years 743 666 10 years - 15 years 309 125 15 years - 20 years 130 126 20 years+ 592 604 Total $2,585 $2,456 |
Entergy Arkansas [Member] | |
Securities Held | The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $441.5 $30.0 $0.1 2019 Debt Securities $412.8 $9.9 $2.6 |
Available For Sale Securities Continuous Unrealized Loss Position Fair Value | The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $14.6 $0.1 $104.8 $2.5 More than 12 months — — 7.7 0.1 Total $14.6 $0.1 $112.5 $2.6 |
Fair Value Of Debt Securities By Contractual Maturities | The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $21.9 $44.1 1 year - 5 years 104.2 109.1 5 years - 10 years 178.2 156.0 10 years - 15 years 67.9 31.3 15 years - 20 years 29.5 23.8 20 years+ 39.8 48.5 Total $441.5 $412.8 |
Entergy Louisiana [Member] | |
Securities Held | The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $622.9 $50.1 $0.5 2019 Debt Securities $601.5 $29.3 $0.8 |
Available For Sale Securities Continuous Unrealized Loss Position Fair Value | The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $29.3 $0.5 $71.2 $0.8 More than 12 months 0.8 — 7.9 — Total $30.1 $0.5 $79.1 $0.8 |
Fair Value Of Debt Securities By Contractual Maturities | The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year $8.4 $40.7 1 year - 5 years 142.4 142.0 5 years - 10 years 144.0 132.4 10 years - 15 years 80.4 39.8 15 years - 20 years 55.4 49.2 20 years+ 192.3 197.4 Total $622.9 $601.5 |
System Energy [Member] | |
Securities Held | The available-for-sale securities held as of June 30, 2020 and December 31, 2019 are summarized as follows: Fair Total Total (In Millions) 2020 Debt Securities $418.8 $32.4 $0.3 2019 Debt Securities $386.2 $15.1 $0.3 |
Available For Sale Securities Continuous Unrealized Loss Position Fair Value | The fair value and gross unrealized losses of available-for-sale debt securities, summarized by length of time that the securities had been in a continuous loss position, were as follows as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Fair Gross Fair Gross (In Millions) Less than 12 months $15.4 $0.3 $56.9 $0.3 More than 12 months — — 0.3 — Total $15.4 $0.3 $57.2 $0.3 |
Fair Value Of Debt Securities By Contractual Maturities | The fair value of available-for-sale debt securities, summarized by contractual maturities, as of June 30, 2020 and December 31, 2019 were as follows: 2020 2019 (In Millions) Less than 1 year ($1.8) $8.5 1 year - 5 years 166.7 154.6 5 years - 10 years 103.4 92.3 10 years - 15 years 27.4 13.4 15 years - 20 years 6.5 14.4 20 years+ 116.6 103.0 Total $418.8 $386.2 |
Income Taxes Income Taxes (Tabl
Income Taxes Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Reduction to Regulatory Liability Due to Return of Unprotected Excess ADIT [Table Text Block] | The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 |
Entergy Arkansas [Member] | |
Reduction to Regulatory Liability Due to Return of Unprotected Excess ADIT [Table Text Block] | The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 |
Entergy Louisiana [Member] | |
Reduction to Regulatory Liability Due to Return of Unprotected Excess ADIT [Table Text Block] | The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 |
Entergy Mississippi [Member] | |
Reduction to Regulatory Liability Due to Return of Unprotected Excess ADIT [Table Text Block] | The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 |
Entergy New Orleans [Member] | |
Reduction to Regulatory Liability Due to Return of Unprotected Excess ADIT [Table Text Block] | The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 |
Entergy Texas [Member] | |
Reduction to Regulatory Liability Due to Return of Unprotected Excess ADIT [Table Text Block] | The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 |
System Energy [Member] | |
Reduction to Regulatory Liability Due to Return of Unprotected Excess ADIT [Table Text Block] | The return of unprotected excess accumulated deferred income taxes reduced Entergy’s and the Registrant Subsidiaries’ regulatory liability for income taxes as follows: Three Months Six Months 2020 2019 2020 2019 (In Millions) Entergy $15 $61 $45 $122 Entergy Arkansas ($1) $25 $12 $57 Entergy Louisiana $8 $7 $16 $14 Entergy New Orleans $2 $2 $5 $2 Entergy Texas $6 $20 $12 $42 System Entergy $— $7 $— $7 |
Revenue Recognition Revenue Rec
Revenue Recognition Revenue Recognition (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Disaggregation of Revenue [Table Text Block] | Entergy’s total revenues for the three months ended June 30, 2020 and 2019 were as follows: 2020 2019 (In Thousands) Utility: Residential $790,869 $770,373 Commercial 526,121 595,025 Industrial 576,203 641,733 Governmental 46,959 57,623 Total billed retail 1,940,152 2,064,754 Sales for resale (a) 52,761 75,318 Other electric revenues (b) 168,721 195,952 Revenues from contracts with customers 2,161,634 2,336,024 Other revenues (c) 28,923 9,703 Total electric revenues 2,190,557 2,345,727 Natural gas 22,495 30,699 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 175,720 280,398 Other revenues (c) 24,016 9,385 Total competitive businesses revenues 199,736 289,783 Total operating revenues $2,412,788 $2,666,209 Entergy’s total revenues for the six months ended June 30, 2020 and 2019 are as follows: 2020 2019 (In Thousands) Utility: Residential $1,588,897 $1,572,911 Commercial 1,065,061 1,149,082 Industrial 1,133,718 1,242,734 Governmental 99,541 110,584 Total billed retail 3,887,217 4,075,311 Sales for resale (a) 106,487 159,753 Other electric revenues (b) 218,887 211,422 Revenues from contracts with customers 4,212,591 4,446,486 Other revenues (c) 28,605 20,265 Total electric revenues 4,241,196 4,466,751 Natural gas 66,471 85,647 Entergy Wholesale Commodities: Competitive businesses sales from contracts with customers (a) 391,723 640,869 Other revenues (c) 140,577 82,525 Total competitive businesses revenues 532,300 723,394 Total operating revenues $4,839,967 $5,275,792 |
Allowance for Doubtful Accounts | Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. Due to the effect of the COVID-19 pandemic on customer receivables, however, Entergy recorded an increase in its allowance for doubtful accounts, as shown below: Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2019 $7.4 $1.2 $1.9 $0.6 $3.2 $0.5 Provisions 38.4 6.3 14.1 7.0 5.5 5.5 Write-offs (8.6) (1.8) (3.5) (1.2) (1.0) (1.1) Recoveries 6.0 1.6 2.0 0.8 0.7 0.9 Balance as of June 30, 2020 $43.2 $7.3 $14.5 $7.2 $8.4 $5.8 |
Entergy Arkansas [Member] | |
Allowance for Doubtful Accounts | Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. Due to the effect of the COVID-19 pandemic on customer receivables, however, Entergy recorded an increase in its allowance for doubtful accounts, as shown below: Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2019 $7.4 $1.2 $1.9 $0.6 $3.2 $0.5 Provisions 38.4 6.3 14.1 7.0 5.5 5.5 Write-offs (8.6) (1.8) (3.5) (1.2) (1.0) (1.1) Recoveries 6.0 1.6 2.0 0.8 0.7 0.9 Balance as of June 30, 2020 $43.2 $7.3 $14.5 $7.2 $8.4 $5.8 |
Entergy Louisiana [Member] | |
Allowance for Doubtful Accounts | Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. Due to the effect of the COVID-19 pandemic on customer receivables, however, Entergy recorded an increase in its allowance for doubtful accounts, as shown below: Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2019 $7.4 $1.2 $1.9 $0.6 $3.2 $0.5 Provisions 38.4 6.3 14.1 7.0 5.5 5.5 Write-offs (8.6) (1.8) (3.5) (1.2) (1.0) (1.1) Recoveries 6.0 1.6 2.0 0.8 0.7 0.9 Balance as of June 30, 2020 $43.2 $7.3 $14.5 $7.2 $8.4 $5.8 |
Entergy Mississippi [Member] | |
Allowance for Doubtful Accounts | Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. Due to the effect of the COVID-19 pandemic on customer receivables, however, Entergy recorded an increase in its allowance for doubtful accounts, as shown below: Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2019 $7.4 $1.2 $1.9 $0.6 $3.2 $0.5 Provisions 38.4 6.3 14.1 7.0 5.5 5.5 Write-offs (8.6) (1.8) (3.5) (1.2) (1.0) (1.1) Recoveries 6.0 1.6 2.0 0.8 0.7 0.9 Balance as of June 30, 2020 $43.2 $7.3 $14.5 $7.2 $8.4 $5.8 |
Entergy New Orleans [Member] | |
Allowance for Doubtful Accounts | Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. Due to the effect of the COVID-19 pandemic on customer receivables, however, Entergy recorded an increase in its allowance for doubtful accounts, as shown below: Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2019 $7.4 $1.2 $1.9 $0.6 $3.2 $0.5 Provisions 38.4 6.3 14.1 7.0 5.5 5.5 Write-offs (8.6) (1.8) (3.5) (1.2) (1.0) (1.1) Recoveries 6.0 1.6 2.0 0.8 0.7 0.9 Balance as of June 30, 2020 $43.2 $7.3 $14.5 $7.2 $8.4 $5.8 |
Entergy Texas [Member] | |
Allowance for Doubtful Accounts | Due to the essential nature of utility services, Entergy has historically experienced a low rate of default on its accounts receivables. Due to the effect of the COVID-19 pandemic on customer receivables, however, Entergy recorded an increase in its allowance for doubtful accounts, as shown below: Entergy Entergy Entergy Entergy Entergy Entergy (In Millions) Balance as of December 31, 2019 $7.4 $1.2 $1.9 $0.6 $3.2 $0.5 Provisions 38.4 6.3 14.1 7.0 5.5 5.5 Write-offs (8.6) (1.8) (3.5) (1.2) (1.0) (1.1) Recoveries 6.0 1.6 2.0 0.8 0.7 0.9 Balance as of June 30, 2020 $43.2 $7.3 $14.5 $7.2 $8.4 $5.8 |
Commitments and Contingencies C
Commitments and Contingencies Commitments and Contingencies (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 6 Months Ended | ||
Apr. 30, 2020 | Dec. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Loss Contingencies [Line Items] | ||||
Litigation proceeds for reimbursement of spent nuclear fuel storage costs | $ 67,252 | $ 0 | ||
Entergy Louisiana [Member] | ||||
Loss Contingencies [Line Items] | ||||
Litigation proceeds for reimbursement of spent nuclear fuel storage costs | $ 33,000 | 5,090 | 0 | |
Damages awarded for previously recorded operation and maintenance | 8,000 | |||
Damages awarded for previously capitalized costs | 5,000 | |||
Damages awarded for previously recorded nuclear fuel expense | $ 20,000 | |||
Entergy Arkansas [Member] | ||||
Loss Contingencies [Line Items] | ||||
Litigation Settlement, Amount Awarded from Other Party | $ 80,000 | |||
Litigation proceeds for reimbursement of spent nuclear fuel storage costs | $ 55,001 | $ 0 | ||
Entergy FitzPatrick Properties (Formerly Entergy Nuclear FitzPatrick) [Member] | ||||
Loss Contingencies [Line Items] | ||||
Litigation Settlement, Amount Awarded from Other Party | $ 7,000 |
Rate And Regulatory Matters (Na
Rate And Regulatory Matters (Narrative) (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | 15 Months Ended | 36 Months Ended | ||||||||||||||||||
Jul. 31, 2020 | Jun. 30, 2020 | May 31, 2020 | Apr. 30, 2020 | Mar. 31, 2020 | Feb. 29, 2020 | Oct. 31, 2019 | Aug. 31, 2019 | May 31, 2019 | Jan. 31, 2018 | Oct. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2020 | Dec. 31, 2021 | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Jul. 27, 2019 | Apr. 23, 2018 | Mar. 31, 2019 | Nov. 30, 2019 | Sep. 30, 2019 | |
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Impairment of Long-Lived Assets Held-for-use | $ 11,735,000 | $ 26,684,000 | |||||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amount | $ 7,300,000 | ||||||||||||||||||||||||
Public Utilities Temporary Rate Increase Amount | $ 24,300,000 | ||||||||||||||||||||||||
Entergy Louisiana [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Public Utilities, Requested Return on Equity, Percentage | 9.80% | 9.66% | |||||||||||||||||||||||
Rate Increase Included in Formula Rate Plan | $ 103,000,000 | ||||||||||||||||||||||||
Formula rate plan increase excluding Tax Cuts and Jobs Act Credits | $ 109,500,000 | ||||||||||||||||||||||||
Bandwidth around midpoint of return on equity | 6000.00% | ||||||||||||||||||||||||
public utilities proposed customer credits | $ 700,000 | ||||||||||||||||||||||||
Proposed prospective reduction in the gas infrastructure rider | $ 200,000 | ||||||||||||||||||||||||
Additional Requested Offset to Return of Unprotected Excess ADIT From Previously Deferred Operation and Maintenance Expenses | $ 800,000 | $ 700,000 | |||||||||||||||||||||||
Regulatory asset related to costs associated with COVID-19 pandemic | 10,700,000 | $ 10,700,000 | 10,700,000 | ||||||||||||||||||||||
Entergy Louisiana [Member] | Subsequent Event [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Projected increase in revenue requirement | $ 108,000,000 | ||||||||||||||||||||||||
Entergy Mississippi [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Authorized return on common equity | 6.75% | ||||||||||||||||||||||||
Projected Over-Recovery Energy Cost Recovery Rider | $ 39,600,000 | ||||||||||||||||||||||||
Interim adjustment to energy cost recovery rider credit to customers | $ 50,000,000 | ||||||||||||||||||||||||
Regulatory asset related to costs associated with COVID-19 pandemic | 6,000,000 | 6,000,000 | 6,000,000 | ||||||||||||||||||||||
Vegetation management cost rider | 22,000,000 | ||||||||||||||||||||||||
Cap on 2019 retail revenues | 2.00% | ||||||||||||||||||||||||
Entergy Mississippi [Member] | Subsequent Event [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Public Utilities, Requested Return on Equity, Percentage | 6.51% | ||||||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amount | $ 24,600,000 | ||||||||||||||||||||||||
Recovery of first-year revenue requirement for certain costs of Choctaw Generating Station | 59,000,000 | ||||||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amended, Amount | $ 23,800,000 | ||||||||||||||||||||||||
Entergy New Orleans [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amount | $ 45,000,000 | ||||||||||||||||||||||||
Regulatory asset related to costs associated with COVID-19 pandemic | 4,800,000 | 4,800,000 | 4,800,000 | ||||||||||||||||||||||
Opportunity Sales Refund to be Redirected to Cares Program | 7,000,000 | 7,000,000 | 7,000,000 | ||||||||||||||||||||||
Non-Securitized Storm Reserves Reallocated to Cares Program | 15,000,000 | 15,000,000 | 15,000,000 | ||||||||||||||||||||||
Entergy New Orleans [Member] | Electricity [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amount | 42,000,000 | ||||||||||||||||||||||||
Rider reductions included in decreased rates | 29,000,000 | ||||||||||||||||||||||||
Entergy New Orleans [Member] | Natural Gas [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amount | $ 3,000,000 | ||||||||||||||||||||||||
Entergy New Orleans [Member] | Subsequent Event [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
public utilities proposed customer credits | $ 100 | ||||||||||||||||||||||||
Entergy New Orleans [Member] | Subsequent Event [Member] | Maximum [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
public utilities proposed customer credits | $ 400 | ||||||||||||||||||||||||
Entergy Texas [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Jurisdictional eligible fuel and purchased power expenses, net of credits | $ 1,600,000,000 | ||||||||||||||||||||||||
Fuel and purchased power under-recovery balance including interest | $ 25,800,000 | ||||||||||||||||||||||||
Replacement power costs associated with generation outages | 2,000,000 | ||||||||||||||||||||||||
Costs associated with the operation of the Spindletop natural gas storage facility | $ 24,400,000 | ||||||||||||||||||||||||
Non-specific disallowance of fuel and purchased power expenses | 1,200,000 | ||||||||||||||||||||||||
Regulatory asset related to costs associated with COVID-19 pandemic | 4,100,000 | 4,100,000 | 4,100,000 | ||||||||||||||||||||||
Entergy Texas [Member] | Minimum [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Intervenor recommended disallowance of revenue requirement | $ 300,000 | ||||||||||||||||||||||||
Entergy Texas [Member] | Maximum [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Intervenor recommended disallowance of revenue requirement | 4,100,000 | ||||||||||||||||||||||||
Entergy Texas [Member] | Subsequent Event [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
interim fuel refund | $ 25,500,000 | ||||||||||||||||||||||||
Entergy Arkansas [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Public Utilities, Requested Return on Equity, Percentage | 9.07% | ||||||||||||||||||||||||
Projected Revenue Deficiency | $ 23,900,000 | ||||||||||||||||||||||||
Energy Cost Recovery Rider Rate Per kWh | $ 0.01462 | ||||||||||||||||||||||||
Entergy Arkansas [Member] | Subsequent Event [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Public Utilities, Requested Return on Equity, Percentage | 9.75% | 7.84% | |||||||||||||||||||||||
Projected Revenue Deficiency | $ 80,700,000 | ||||||||||||||||||||||||
Rate Increase Included in Formula Rate Plan | $ 104,600,000 | ||||||||||||||||||||||||
Energy Cost Recovery Rider Rate Per kWh | $ 0.01052 | ||||||||||||||||||||||||
Annual revenue constraint per rate class percentage | 4.00% | ||||||||||||||||||||||||
Reduced proposed increase in revenue requirement to comply with annual revenue constraint | $ 74,300,000 | ||||||||||||||||||||||||
Refund to customers, plus interest, associated with recalculated bandwidth remedy | 13,700,000 | ||||||||||||||||||||||||
System Energy [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
LPSC requested authorized return on equity for System Energy in return on equity proceeding | 7.89% | 8.44% | |||||||||||||||||||||||
FERC requested authorized return on equity for System Energy in return on equity proceeding, rebuttal | 8.66% | 9.22% | |||||||||||||||||||||||
APSC/MPSC requested authorized return on equity for System Energy in return on equity proceeding | 8.01% | 8.41% | |||||||||||||||||||||||
Annual renewal lease payments on Grand Gulf Sale-Leaseback | 17,200,000 | ||||||||||||||||||||||||
LPSC requested rate reduction for ADIT associated with uncertain tax positions resulting from Grand Gulf sale-leaseback | $ 512,000,000 | ||||||||||||||||||||||||
FERC staff argued over-recovery in depreciation expense for capital additions | $ 32,000,000 | ||||||||||||||||||||||||
Requested return on equity based on alternative methodology | 10.26% | ||||||||||||||||||||||||
Interest Portion of LPSC requested rate reduction for ADIT associated with uncertain tax positions resulting from Grand Gulf sale-leaseback | 179,000,000 | 179,000,000 | 179,000,000 | ||||||||||||||||||||||
Remaining NBV of Leased Assets | 70,000,000 | ||||||||||||||||||||||||
Refund of Lease Payments | $ 17,200,000 | ||||||||||||||||||||||||
Rate reduction for ADIT associated with uncertain tax positions resulting from Grand Gulf sale-leaseback | 409,000,000 | 409,000,000 | 409,000,000 | ||||||||||||||||||||||
Interest Portion of rate reduction for ADIT associated with uncertain tax positions resulting from Grand Gulf sale-leaseback | 101,000,000 | 101,000,000 | 101,000,000 | ||||||||||||||||||||||
Refund related to depreciation expense adjustments | $ 19,000,000 | $ 19,000,000 | $ 19,000,000 | ||||||||||||||||||||||
First refund period requested authorized rate of return - LPSC | 7.97% | ||||||||||||||||||||||||
First refund period requested authorized rate of return - MPSC and APSC | 9.24% | ||||||||||||||||||||||||
First refund period requested authorized rate of return - FERC | 9.49% | ||||||||||||||||||||||||
Second refund period requested authorized rate of return - LPSC | 7.78% | ||||||||||||||||||||||||
Second refund period requested authorized rate of return - MPSC and APSC | 9.15% | ||||||||||||||||||||||||
Second refund period requested authorized rate of return - FERC | 9.09% | ||||||||||||||||||||||||
First refund period requested authorized rate of return | 10.12% | ||||||||||||||||||||||||
Second refund period requested authorized rate of return | 9.44% | ||||||||||||||||||||||||
System Energy [Member] | Minimum [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Public Utilities, Requested Return on Equity, Percentage | 8.28% | 8.57% | |||||||||||||||||||||||
System Energy [Member] | Maximum [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Public Utilities, Requested Return on Equity, Percentage | 9.11% | 9.52% | |||||||||||||||||||||||
System Energy [Member] | Subsequent Event [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Additional unprotected excess ADIT related to uncertain decommissioning tax deduction | $ 147,000,000 | ||||||||||||||||||||||||
Grand Gulf [Member] | System Energy [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage | 11.50% | ||||||||||||||||||||||||
Distribution Cost Recovery Factor Rider [Member] | Entergy Texas [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amount | $ 23,600,000 | ||||||||||||||||||||||||
Revenue increase resulting from incremental revenue | $ 20,400,000 | ||||||||||||||||||||||||
Transmission Cost Recovery Factor Rider [Member] | Entergy Texas [Member] | |||||||||||||||||||||||||
Regulatory Assets [Line Items] | |||||||||||||||||||||||||
Public Utilities, Requested Rate Increase (Decrease), Amount | $ 19,400,000 |
Rate And Regulatory Matters R_2
Rate And Regulatory Matters Rate and Regulatory Matters (Payments/Receipts Among The Utility Operating Companies) (Details) - FERC April 2020 Order [Member] $ in Millions | 1 Months Ended |
Jun. 30, 2020USD ($) | |
Entergy Arkansas [Member] | |
Receipts from utility operating companies pursuant to FERC order | $ (2.8) |
Entergy Louisiana [Member] | |
Payments to utility operating companies pursuant to FERC order | 2.3 |
Entergy Mississippi [Member] | |
Payments to utility operating companies pursuant to FERC order | 0.2 |
Entergy New Orleans [Member] | |
Receipts from utility operating companies pursuant to FERC order | (0.1) |
Entergy Texas [Member] | |
Payments to utility operating companies pursuant to FERC order | $ 0.4 |
Equity (Narrative) (Details)
Equity (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||
Jul. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Jan. 01, 2019 | |
Equity [Abstract] | ||||||
Stock Options Excluded From Diluted Common Shares Outstanding Calculation | 500,000 | 500,000 | 300,000 | |||
Proceeds from Issuance of Common Stock | $ 0 | $ 607,650 | ||||
Shares, Issued | 1,061,599 | 1,061,599 | ||||
Common stock dividend (in dollars per share) | $ 0.93 | $ 0.91 | $ 1.86 | $ 1.82 | ||
Accumulated Other Comprehensive Income (Loss), Financial Liability, Fair Value Option, after Tax | $ 6,806 | |||||
Subsequent Event [Member] | ||||||
Equity [Abstract] | ||||||
Common stock dividend (in dollars per share) | $ 0.93 |
Equity (Schedule Of Earnings Pe
Equity (Schedule Of Earnings Per Share, Basic And Diluted) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Incremental Weighted Average Shares Attributable to Dilutive Effect [Abstract] | ||||
Stock options, Shares | 300,000 | 500,000 | 500,000 | 500,000 |
Stock options $/share | $ 0 | $ 0 | $ (0.01) | $ (0.01) |
Restricted stock, Shares | 400,000 | 700,000 | 400,000 | |
Restricted stock $/share | $ (0.01) | $ 0 | $ 0 | $ (0.01) |
Incremental Common Shares Attributable to Dilutive Effect of Equity Forward Agreements | 0 | 800,000 | ||
Average Dilutive Effect Of Equity Forwards | $ 0 | $ (0.01) | ||
Basic earnings per share | ||||
Net Income (Loss) Available to Common Stockholders, Basic | $ 360,533 | $ 236,424 | $ 479,247 | $ 490,961 |
Net Income (Loss) Available to Common Stockholders, Diluted | $ 360,500 | $ 236,400 | $ 479,200 | $ 491,000 |
Net Income Attributable to Entergy Corporation, Shares | 200,178,010 | 193,019,269 | 199,984,013 | 191,306,742 |
Net Income Attributable to Entergy Corporation, $/share | $ 1.80 | $ 1.22 | $ 2.40 | $ 2.57 |
Diluted earnings per share, Shares | 200,886,749 | 194,238,315 | 200,891,134 | 193,243,287 |
Diluted earnings per share $/share | $ 1.79 | $ 1.22 | $ 2.39 | $ 2.54 |
Equity (Accumulated Other Compr
Equity (Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Accumulated other comprehensive loss | $ (388,604) | $ (398,987) | $ (430,404) | $ (551,152) | $ (388,604) | $ (430,404) | $ (446,920) | $ (557,173) | |
Accumulated Other Comprehensive Income (Loss), Financial Liability, Fair Value Option, after Tax | $ (6,806) | ||||||||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | 27,435 | 115,193 | 171,980 | 157,043 | |||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | (17,052) | 5,555 | (113,664) | (23,468) | |||||
Other comprehensive income (loss) | 10,383 | 47,933 | 120,748 | 12,827 | 58,316 | 133,575 | |||
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Accumulated other comprehensive loss | 60,255 | 41,690 | 26,736 | 12,466 | 60,255 | 26,736 | 25,946 | (2,116) | |
Accumulated Other Comprehensive Income (Loss), Financial Liability, Fair Value Option, after Tax | 879 | ||||||||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | 22,545 | 15,834 | 40,258 | 29,373 | |||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | (3,980) | (1,564) | (5,949) | (1,400) | |||||
Other comprehensive income (loss) | 18,565 | 14,270 | 34,309 | 27,973 | |||||
Accumulated Other Comprehensive Income [Member] | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Other comprehensive income (loss) | 10,383 | 47,933 | 120,748 | 12,827 | |||||
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Accumulated other comprehensive loss | (485,949) | (503,173) | (508,876) | (520,372) | (485,949) | (508,876) | (557,072) | (531,922) | |
Accumulated Other Comprehensive Income (Loss), Financial Liability, Fair Value Option, after Tax | 0 | ||||||||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | 0 | 0 | 34,349 | 0 | |||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 17,224 | 11,496 | 36,774 | 23,046 | |||||
Other comprehensive income (loss) | 17,224 | 11,496 | 71,123 | 23,046 | |||||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Accumulated other comprehensive loss | 37,090 | 62,496 | 51,736 | (43,246) | 37,090 | 51,736 | 84,206 | (23,135) | |
Accumulated Other Comprehensive Income (Loss), Financial Liability, Fair Value Option, after Tax | (7,685) | ||||||||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | 4,890 | 99,359 | 97,373 | 127,670 | |||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | (30,296) | (4,377) | (144,489) | (45,114) | |||||
Other comprehensive income (loss) | (25,406) | 94,982 | (47,116) | 82,556 | |||||
Entergy Louisiana [Member] | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Accumulated other comprehensive loss | 13,084 | 13,084 | 4,562 | ||||||
Other comprehensive income (loss) | (945) | 9,467 | (969) | (969) | 8,522 | (1,938) | |||
Entergy Louisiana [Member] | Accumulated Other Comprehensive Income [Member] | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Other comprehensive income (loss) | (945) | 9,467 | (969) | (969) | |||||
Entergy Louisiana [Member] | Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Accumulated other comprehensive loss | 13,084 | $ 14,029 | (8,091) | $ (7,122) | 13,084 | (8,091) | $ 4,562 | $ (6,153) | |
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | 10,050 | 0 | |||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | (945) | (969) | (1,528) | (1,938) | |||||
Other comprehensive income (loss) | $ (945) | $ (969) | $ 8,522 | $ (1,938) | |||||
Restatement Adjustment [Member] | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Accumulated other comprehensive loss | (563,979) | ||||||||
Restatement Adjustment [Member] | Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Accumulated other comprehensive loss | (1,237) | ||||||||
Restatement Adjustment [Member] | Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Accumulated other comprehensive loss | (531,922) | ||||||||
Restatement Adjustment [Member] | Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Accumulated other comprehensive loss | $ (30,820) |
Equity (Reclassification out of
Equity (Reclassification out of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 2,412,788 | $ 2,666,209 | $ 4,839,967 | $ 5,275,792 | ||
Other Nonoperating Income (Expense) | (93,620) | (45,870) | (70,232) | (110,527) | ||
Income taxes (benefits) | (89,115) | (1,458) | (17,921) | (44,229) | ||
Consolidated net income | 365,113 | $ 123,294 | 240,533 | $ 258,646 | 488,406 | 499,180 |
Competitive Businesses [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Revenue from Contract with Customer, Excluding Assessed Tax | 199,736 | 289,783 | 532,300 | 723,394 | ||
Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Consolidated net income | 17,052 | (5,555) | 113,664 | 23,468 | ||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Other Nonoperating Income (Expense) | (48) | (48) | (97) | (97) | ||
INCOME (LOSS) BEFORE INCOME TAXES | 25,038 | 5,541 | 119,412 | 57,107 | ||
Income taxes (benefits) | 5,258 | (1,164) | 25,077 | (11,993) | ||
Consolidated net income | 30,296 | 4,377 | 144,489 | 45,114 | ||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Competitive Businesses [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Revenue from Contract with Customer, Excluding Assessed Tax | 25,086 | 5,589 | 119,509 | 57,204 | ||
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Realized gain (loss) | 6,297 | 2,475 | 9,413 | 2,216 | ||
Income taxes (benefits) | (2,317) | (911) | (3,464) | (816) | ||
Consolidated net income | 3,980 | 1,564 | 5,949 | 1,400 | ||
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Amortization of prior-service credit | 5,682 | 5,325 | 9,401 | 10,652 | ||
Amortization of loss | (27,619) | (18,980) | (54,937) | (37,969) | ||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Gain (Loss) Due to Settlement | 0 | (918) | 0 | (2,055) | ||
INCOME (LOSS) BEFORE INCOME TAXES | (21,937) | (14,573) | (45,536) | (29,372) | ||
Income taxes (benefits) | 4,713 | 3,077 | 8,762 | 6,326 | ||
Consolidated net income | (17,224) | (11,496) | (36,774) | (23,046) | ||
Entergy Louisiana [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,011,652 | 1,106,317 | 1,942,299 | 2,065,647 | ||
Other Nonoperating Income (Expense) | (66,811) | (22,306) | (17,210) | (64,650) | ||
Income taxes (benefits) | (35,910) | (38,405) | 14,273 | (54,936) | ||
Consolidated net income | 170,459 | $ 189,396 | 183,084 | $ 127,633 | 359,855 | 310,717 |
Entergy Louisiana [Member] | Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Amortization of prior-service credit | 1,698 | 1,837 | 2,787 | 3,674 | ||
Amortization of loss | (419) | (526) | (720) | (1,052) | ||
INCOME (LOSS) BEFORE INCOME TAXES | 1,279 | 1,311 | 2,067 | 2,622 | ||
Income taxes (benefits) | (334) | (342) | (539) | (684) | ||
Consolidated net income | $ 945 | $ 969 | $ 1,528 | $ 1,938 |
Revolving Credit Facilities, _3
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Narrative) (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2020USD ($) | Jun. 30, 2020USD ($) | Jul. 31, 2020USD ($) | May 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Debt Instrument [Line Items] | |||||
Amount of Facility | $ 3,500,000 | ||||
Amount Drawn/ Outstanding | $ 160,000 | ||||
Commercial Paper Program [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt, weighted average interest rate | 2.01% | ||||
Commercial Paper program limit | $ 2,000,000 | ||||
Commercial Paper Amount Outstanding | 1,946,000 | ||||
Credit Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount of Facility | 3,500,000 | ||||
Amount of total borrowing capacity against which fronting commitments exist | $ 20,000 | ||||
Line of credit facility, commitment fee percentage | 0.225% | ||||
Line of Credit Facility, Interest Rate During Period | 2.62% | ||||
2.80% Series senior notes due June 2030 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 2.80% | ||||
Amount | $ 600,000 | ||||
3.75% Series senior notes due June 2050 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 3.75% | ||||
Amount | $ 600,000 | ||||
5.125% Series senior notes due September 2020 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 5.125% | ||||
Amount | $ 450,000 | ||||
Entergy Arkansas [Member] | |||||
Debt Instrument [Line Items] | |||||
Authorized Short Term Borrowings | $ 250,000 | ||||
Amount of total borrowing capacity against which fronting commitments exist | 5,000 | ||||
Letters of Credit Outstanding, Amount | 3,100 | ||||
Entergy Arkansas [Member] | 4.00% Series mortgage bonds due 2028 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 4.00% | ||||
Amount | $ 100,000 | ||||
Entergy Louisiana [Member] | |||||
Debt Instrument [Line Items] | |||||
Authorized Short Term Borrowings | 450,000 | ||||
Amount of total borrowing capacity against which fronting commitments exist | 15,000 | ||||
Letters of Credit Outstanding, Amount | 2,300 | ||||
Entergy Louisiana [Member] | Credit Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount of Facility | 350,000 | ||||
Repayments of Debt | $ 100,000 | ||||
Entergy Louisiana [Member] | 2.90% Series mortgage bonds due March 2015 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 2.90% | ||||
Amount | $ 350,000 | ||||
Entergy Louisiana [Member] | 4.20% Series mortgage bonds due September 2048 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 4.20% | ||||
Amount | $ 300,000 | ||||
Entergy Louisiana [Member] | 3.95% Series mortgage bonds due October 2020 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 3.95% | ||||
Amount | $ 250,000 | ||||
Entergy Mississippi [Member] | |||||
Debt Instrument [Line Items] | |||||
Authorized Short Term Borrowings | 175,000 | ||||
Letters of Credit Outstanding, Amount | 1,500 | $ 200 | |||
Entergy Mississippi [Member] | 3.50% Series mortgage bonds due June 2051 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 3.50% | ||||
Amount | $ 170,000 | ||||
Entergy Texas [Member] | |||||
Debt Instrument [Line Items] | |||||
Authorized Short Term Borrowings | 200,000 | ||||
Amount of total borrowing capacity against which fronting commitments exist | 30,000 | ||||
Letters of Credit Outstanding, Amount | 400 | ||||
Entergy Texas [Member] | Credit Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount of Facility | 150,000 | ||||
Repayments of Debt | $ 100,000 | ||||
Entergy Texas [Member] | 3.55% Series mortgage bonds due September 2049 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 3.55% | ||||
Amount | $ 175,000 | ||||
System Energy [Member] | |||||
Debt Instrument [Line Items] | |||||
Authorized Short Term Borrowings | 200,000 | ||||
Entergy New Orleans [Member] | |||||
Debt Instrument [Line Items] | |||||
Authorized Short Term Borrowings | 150,000 | ||||
Amount of total borrowing capacity against which fronting commitments exist | 10,000 | ||||
Letters of Credit Outstanding, Amount | 500 | ||||
Entergy New Orleans [Member] | 3.75% Series mortgage bonds due March 2040 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 3.75% | ||||
Amount | $ 62,000 | ||||
Entergy New Orleans [Member] | 3.00% Series mortgage bonds due March 2025 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 3.00% | ||||
Amount | $ 78,000 | ||||
System Energy VIE [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount Drawn/ Outstanding | $ 80,100 | ||||
Line of Credit Facility, Interest Rate During Period | 1.91% | ||||
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% | ||||
Line of Credit Facility, Expiration Date | Sep. 16, 2021 | ||||
Entergy Arkansas VIE [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount Drawn/ Outstanding | $ 23,700 | ||||
Line of Credit Facility, Interest Rate During Period | 2.14% | ||||
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% | ||||
Line of Credit Facility, Expiration Date | Sep. 16, 2021 | ||||
Entergy Arkansas VIE [Member] | Three Point Six Five Percent Series L Notes Due July Two Thousand Twenty One [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 3.65% | ||||
Amount | $ 90,000 | ||||
Entergy Louisiana Waterford VIE [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount Drawn/ Outstanding | $ 16,200 | ||||
Line of Credit Facility, Interest Rate During Period | 2.31% | ||||
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% | ||||
Line of Credit Facility, Expiration Date | Sep. 16, 2021 | ||||
Entergy Louisiana Waterford VIE [Member] | Three Point Nine Two Percent Series H Dues February Two Thousand Twenty One [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 3.92% | ||||
Amount | $ 40,000 | ||||
Entergy Louisiana River Bend VIE [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount Drawn/ Outstanding | $ 44,100 | ||||
Line of Credit Facility, Interest Rate During Period | 2.19% | ||||
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% | ||||
Line of Credit Facility, Expiration Date | Sep. 16, 2021 | ||||
Maximum [Member] | |||||
Debt Instrument [Line Items] | |||||
Line of credit facility, commitment fee percentage | 0.225% | ||||
Consolidated debt ratio | 0.65 | ||||
Maximum [Member] | Entergy Arkansas [Member] | |||||
Debt Instrument [Line Items] | |||||
Consolidated debt ratio | 0.65 | ||||
Consolidated debt ratio of total capitalization | 70.00% | ||||
Maximum [Member] | Entergy Louisiana [Member] | |||||
Debt Instrument [Line Items] | |||||
Consolidated debt ratio | 0.65 | ||||
Consolidated debt ratio of total capitalization | 70.00% | ||||
Maximum [Member] | Entergy Mississippi [Member] | |||||
Debt Instrument [Line Items] | |||||
Consolidated debt ratio | 0.65 | ||||
Maximum [Member] | Entergy Texas [Member] | |||||
Debt Instrument [Line Items] | |||||
Consolidated debt ratio | 0.65 | ||||
Maximum [Member] | System Energy [Member] | |||||
Debt Instrument [Line Items] | |||||
Consolidated debt ratio | 0.65 | ||||
Consolidated debt ratio of total capitalization | 70.00% | ||||
Maximum [Member] | Entergy New Orleans [Member] | |||||
Debt Instrument [Line Items] | |||||
Consolidated debt ratio | 0.65 | ||||
Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
Line of credit facility, commitment fee percentage | 0.075% | ||||
Credit Facility Of Twenty Million [Member] | Entergy Arkansas [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount of Facility | $ 20,000 | ||||
Letters of Credit Outstanding, Amount | 0 | ||||
Amount Drawn/ Outstanding | $ 0 | ||||
Line of Credit Facility, Interest Rate During Period | 2.91% | ||||
Line of Credit Facility, Expiration Date | Apr. 30, 2021 | ||||
Credit Facility Of Three Hundred Fifty Million [Member] | Entergy Louisiana [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount of Facility | $ 350,000 | ||||
Letters of Credit Outstanding, Amount | 0 | ||||
Amount Drawn/ Outstanding | $ 0 | ||||
Line of Credit Facility, Interest Rate During Period | 2.91% | ||||
Line of Credit Facility, Expiration Date | Sep. 14, 2024 | ||||
Credit Facility Of One Hundred And Fifty Million [Member] | Entergy Arkansas [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount of Facility | $ 150,000 | ||||
Letters of Credit Outstanding, Amount | 0 | ||||
Amount Drawn/ Outstanding | $ 0 | ||||
Line of Credit Facility, Interest Rate During Period | 2.91% | ||||
Line of Credit Facility, Expiration Date | Sep. 14, 2024 | ||||
Credit Facility Of One Hundred And Fifty Million [Member] | Entergy Texas [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount of Facility | $ 150,000 | ||||
Letters of Credit Outstanding, Amount | 1,300 | ||||
Amount Drawn/ Outstanding | $ 0 | ||||
Line of Credit Facility, Interest Rate During Period | 3.28% | ||||
Line of Credit Facility, Expiration Date | Sep. 14, 2024 | ||||
Credit Facility Of Thirty Seven Point Five Million [Member] | Entergy Mississippi [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount of Facility | $ 37,500 | ||||
Letters of Credit Outstanding, Amount | 0 | ||||
Amount Drawn/ Outstanding | $ 0 | ||||
Line of Credit Facility, Interest Rate During Period | 3.28% | ||||
Line of Credit Facility, Expiration Date | Apr. 30, 2021 | ||||
Credit Facility Of Thirty Five Million [Member] | Entergy Mississippi [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount of Facility | $ 35,000 | ||||
Letters of Credit Outstanding, Amount | 0 | ||||
Amount Drawn/ Outstanding | $ 0 | ||||
Line of Credit Facility, Interest Rate During Period | 3.28% | ||||
Line of Credit Facility, Expiration Date | Apr. 30, 2021 | ||||
Credit Facility Of Ten Million [Member] | Entergy Mississippi [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount of Facility | $ 10,000 | ||||
Letters of Credit Outstanding, Amount | 0 | ||||
Amount Drawn/ Outstanding | $ 0 | ||||
Line of Credit Facility, Interest Rate During Period | 3.28% | ||||
Line of Credit Facility, Expiration Date | Apr. 30, 2021 | ||||
Credit Facility Of Twenty Five Million [Member] | Entergy New Orleans [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount of Facility | $ 25,000 | ||||
Letters of Credit Outstanding, Amount | 800 | ||||
Amount Drawn/ Outstanding | $ 0 | ||||
Line of Credit Facility, Interest Rate During Period | 3.06% | ||||
Line of Credit Facility, Expiration Date | Nov. 20, 2021 | ||||
Subsequent Event [Member] | Entergy Louisiana River Bend VIE [Member] | 2.51% Series V Intermediate term secured notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 2.51% | ||||
Amount | $ 70,000 | ||||
Subsequent Event [Member] | Credit Facility Of Twenty Five Million [Member] | Entergy Arkansas [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount of Facility | $ 25,000 | ||||
Credit Facility of Sixty Five Million [Member] | Entergy Mississippi [Member] | |||||
Debt Instrument [Line Items] | |||||
Letters of Credit Outstanding, Amount | $ 2,500 | ||||
Uncommitted Credit Facility | 65,000 | ||||
Non-MISO letter of credit outstanding | $ 7,100 |
Revolving Credit Facilities, _4
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Summary Of The Borrowings Outstanding And Capacity Available Under The Facility) (Details) $ in Millions | Jun. 30, 2020USD ($) |
Summary of the borrowings outstanding and capacity available under the facility | |
Capacity | $ 3,500 |
Amount Drawn/ Outstanding | 160 |
Letters of Credit | 6 |
Capacity Available | $ 3,334 |
Revolving Credit Facilities, _5
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Credit Facilities) (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Amount of Facility | $ 3,500,000 | |
Amount Drawn/ Outstanding | 160,000 | |
Entergy Arkansas [Member] | ||
Amount of total borrowing capacity against which fronting commitments exist | 5,000 | |
Letters of Credit Outstanding, Amount | $ 3,100 | |
Entergy Arkansas [Member] | Credit Facility Of One Hundred And Fifty Million [Member] | ||
Expiration Date | Sep. 14, 2024 | |
Amount of Facility | $ 150,000 | |
Interest Rate | 2.91% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | $ 0 | |
Entergy Arkansas [Member] | Credit Facility Of Twenty Million [Member] | ||
Expiration Date | Apr. 30, 2021 | |
Amount of Facility | $ 20,000 | |
Interest Rate | 2.91% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | 0 | |
Entergy Louisiana [Member] | ||
Amount of total borrowing capacity against which fronting commitments exist | 15,000 | |
Letters of Credit Outstanding, Amount | $ 2,300 | |
Entergy Louisiana [Member] | Credit Facility Of Three Hundred Fifty Million [Member] | ||
Expiration Date | Sep. 14, 2024 | |
Amount of Facility | $ 350,000 | |
Interest Rate | 2.91% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | 0 | |
Entergy Mississippi [Member] | ||
Letters of Credit Outstanding, Amount | $ 1,500 | $ 200 |
Entergy Mississippi [Member] | Credit Facility Of Thirty Seven Point Five Million [Member] | ||
Expiration Date | Apr. 30, 2021 | |
Amount of Facility | $ 37,500 | |
Interest Rate | 3.28% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | $ 0 | |
Entergy Mississippi [Member] | Credit Facility Of Thirty Five Million [Member] | ||
Expiration Date | Apr. 30, 2021 | |
Amount of Facility | $ 35,000 | |
Interest Rate | 3.28% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | $ 0 | |
Entergy Mississippi [Member] | Credit Facility Of Ten Million [Member] | ||
Expiration Date | Apr. 30, 2021 | |
Amount of Facility | $ 10,000 | |
Interest Rate | 3.28% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | 0 | |
Entergy New Orleans [Member] | ||
Amount of total borrowing capacity against which fronting commitments exist | 10,000 | |
Letters of Credit Outstanding, Amount | $ 500 | |
Entergy New Orleans [Member] | Credit Facility Of Twenty Five Million [Member] | ||
Expiration Date | Nov. 20, 2021 | |
Amount of Facility | $ 25,000 | |
Interest Rate | 3.06% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | 800 | |
Entergy Texas [Member] | ||
Amount of total borrowing capacity against which fronting commitments exist | 30,000 | |
Letters of Credit Outstanding, Amount | $ 400 | |
Entergy Texas [Member] | Credit Facility Of One Hundred And Fifty Million [Member] | ||
Expiration Date | Sep. 14, 2024 | |
Amount of Facility | $ 150,000 | |
Interest Rate | 3.28% | |
Amount Drawn/ Outstanding | $ 0 | |
Letters of Credit Outstanding, Amount | $ 1,300 |
Revolving Credit Facilities, _6
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Short-Term Borrowings And The Outstanding Short-Term Borrowings) (Details) $ in Millions | Jun. 30, 2020USD ($) |
Entergy Arkansas [Member] | |
Short-term borrowings and the outstanding short-term borrowings | |
Authorized | $ 250 |
Borrowings | 26 |
Entergy Louisiana [Member] | |
Short-term borrowings and the outstanding short-term borrowings | |
Authorized | 450 |
Borrowings | 0 |
Entergy Mississippi [Member] | |
Short-term borrowings and the outstanding short-term borrowings | |
Authorized | 175 |
Borrowings | 0 |
Entergy New Orleans [Member] | |
Short-term borrowings and the outstanding short-term borrowings | |
Authorized | 150 |
Borrowings | 0 |
Entergy Texas [Member] | |
Short-term borrowings and the outstanding short-term borrowings | |
Authorized | 200 |
Borrowings | 0 |
System Energy [Member] | |
Short-term borrowings and the outstanding short-term borrowings | |
Authorized | 200 |
Borrowings | $ 16 |
Revolving Credit Facilities, _7
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Issuance Of Commercial Paper To Finance Acquisition And Ownership Of Nuclear Fuel) (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Issuance of commercial paper to finance the acquisition and ownership of nuclear fuel | |
Amount Drawn/ Outstanding | $ 160 |
Entergy Arkansas VIE [Member] | |
Issuance of commercial paper to finance the acquisition and ownership of nuclear fuel | |
Expiration Date | Sep. 16, 2021 |
Amount of Facility | $ 80 |
Line of Credit Facility, Interest Rate During Period | 2.14% |
Amount Drawn/ Outstanding | $ 23.7 |
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% |
System Energy VIE [Member] | |
Issuance of commercial paper to finance the acquisition and ownership of nuclear fuel | |
Expiration Date | Sep. 16, 2021 |
Amount of Facility | $ 120 |
Line of Credit Facility, Interest Rate During Period | 1.91% |
Amount Drawn/ Outstanding | $ 80.1 |
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% |
Entergy Louisiana River Bend VIE [Member] | |
Issuance of commercial paper to finance the acquisition and ownership of nuclear fuel | |
Expiration Date | Sep. 16, 2021 |
Amount of Facility | $ 105 |
Line of Credit Facility, Interest Rate During Period | 2.19% |
Amount Drawn/ Outstanding | $ 44.1 |
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% |
Entergy Louisiana Waterford VIE [Member] | |
Issuance of commercial paper to finance the acquisition and ownership of nuclear fuel | |
Expiration Date | Sep. 16, 2021 |
Amount of Facility | $ 105 |
Line of Credit Facility, Interest Rate During Period | 2.31% |
Amount Drawn/ Outstanding | $ 16.2 |
Line of credit facility commitment fee as a percentage of undrawn commitment amount | 0.10% |
Revolving Credit Facilities, _8
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Notes Payable By Variable Interest Entities) (Details) $ in Millions | Jun. 30, 2020USD ($) |
Three Point Six Five Percent Series L Notes Due July Two Thousand Twenty One [Member] | Entergy Arkansas VIE [Member] | |
Notes payable by variable interest entities | |
Stated interest rate (percentage) | 3.65% |
Amount | $ 90 |
Three Point One Seven Percent Series M Notes Due December Two Thousand Twenty Three [Member] | Entergy Arkansas VIE [Member] | |
Notes payable by variable interest entities | |
Stated interest rate (percentage) | 3.17% |
Amount | $ 40 |
Three Point Three Eight Percent Series R Notes Due August Two Thousand Twenty [Member] | Entergy Louisiana River Bend VIE [Member] | |
Notes payable by variable interest entities | |
Stated interest rate (percentage) | 3.38% |
Amount | $ 70 |
Three Point Nine Two Percent Series H Dues February Two Thousand Twenty One [Member] | Entergy Louisiana Waterford VIE [Member] | |
Notes payable by variable interest entities | |
Stated interest rate (percentage) | 3.92% |
Amount | $ 40 |
Three Point Two Two Percent Series I Notes Due December Two Thousand Twenty Three [Domain] | Entergy Louisiana Waterford VIE [Member] | |
Notes payable by variable interest entities | |
Stated interest rate (percentage) | 3.22% |
Amount | $ 20 |
Three Point Four Two Percent Series J Notes Due April Two Thousand Twenty One [Member] | System Energy VIE [Member] | |
Notes payable by variable interest entities | |
Stated interest rate (percentage) | 3.42% |
Amount | $ 100 |
Revolving Credit Facilities, _9
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Book Value And The Fair Value Of Long-Term Debt) (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Long-term Debt, Fair Value | $ 21,651,678 | $ 19,059,950 |
Long-term Debt, Book Value | 19,483,373 | 17,873,655 |
Entergy Arkansas [Member] | ||
Long-term Debt, Fair Value | 3,972,000 | 3,747,914 |
Long-term Debt, Book Value | 3,628,588 | 3,517,208 |
Entergy Louisiana [Member] | ||
Long-term Debt, Fair Value | 8,988,369 | 7,961,168 |
Long-term Debt, Book Value | 7,879,741 | 7,303,669 |
Entergy Mississippi [Member] | ||
Long-term Debt, Fair Value | 1,964,145 | 1,709,505 |
Long-term Debt, Book Value | 1,780,040 | 1,614,129 |
Entergy New Orleans [Member] | ||
Long-term Debt, Fair Value | 658,162 | 523,846 |
Long-term Debt, Book Value | 674,617 | 560,906 |
Entergy Texas [Member] | ||
Long-term Debt, Fair Value | 2,328,356 | 2,090,215 |
Long-term Debt, Book Value | 2,070,503 | 1,922,956 |
System Energy [Member] | ||
Long-term Debt, Fair Value | 621,692 | 565,209 |
Long-term Debt, Book Value | $ 596,861 | $ 548,107 |
Revolving Credit Facilities,_10
Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt Revolving Credit Facilities, Lines Of Credit, Short-Term Borrowings, And Long-Term Debt (Uncommitted Standby Letter of Credit Facilities to Support MISO Obligations) (Details) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Entergy Arkansas [Member] | ||
Letters of Credit Outstanding, Amount | $ 3,100,000 | |
Entergy Mississippi [Member] | ||
Letters of Credit Outstanding, Amount | 1,500,000 | $ 200,000 |
Entergy Louisiana [Member] | ||
Letters of Credit Outstanding, Amount | 2,300,000 | |
Entergy New Orleans [Member] | ||
Letters of Credit Outstanding, Amount | 500,000 | |
Entergy Texas [Member] | ||
Letters of Credit Outstanding, Amount | 400,000 | |
Credit Facility Of Twenty Five Million [Member] | Entergy Arkansas [Member] | ||
Uncommitted Credit Facility | $ 25,000,000 | |
Letter of Credit Fee, Percentage | 0.78% | |
Letters of Credit Outstanding, Amount | $ 4,500,000 | |
Credit Facility of Fifty Million [Member] | Entergy Texas [Member] | ||
Uncommitted Credit Facility | $ 50,000,000 | |
Letter of Credit Fee, Percentage | 0.70% | |
Letters of Credit Outstanding, Amount | $ 10,200,000 | |
Credit Facility of Fifteen Million [Member] | Entergy New Orleans [Member] | ||
Uncommitted Credit Facility | $ 15,000,000 | |
Letter of Credit Fee, Percentage | 1.00% | |
Letters of Credit Outstanding, Amount | $ 1,000,000 | |
Credit Facility Of One Hundred Twenty Five Million [Member] | Entergy Louisiana [Member] | ||
Uncommitted Credit Facility | $ 125,000,000 | |
Letter of Credit Fee, Percentage | 0.78% | |
Letters of Credit Outstanding, Amount | $ 15,500,000 | |
Credit Facility of Sixty Five Million [Member] | Entergy Mississippi [Member] | ||
Uncommitted Credit Facility | $ 65,000,000 | |
Letter of Credit Fee, Percentage | 0.78% | |
Letters of Credit Outstanding, Amount | $ 2,500,000 |
Stock Based Compensation (Narra
Stock Based Compensation (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | Jan. 30, 2020 | Jan. 31, 2020 | Mar. 31, 2020 | Jun. 30, 2020 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period of awards under Entergy's plans, years | 3 years | |||
Equity Ownership And Long Term Cash Incentive Plan Two Thousand Fifteen [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock option granted (in shares) | 530,716 | |||
Weighted-average grant-date fair value of options granted (in dollars per share) | $ 11.45 | |||
Stock options outstanding | 2,427,479 | |||
Weighted-average exercise price of stock options outstanding (in dollars per share) | $ 89.72 | |||
Intrinsic value in the money stock options | $ 29.7 | |||
Restricted Awards [Member] | Equity Ownership And Long Term Cash Incentive Plan Two Thousand Fifteen [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted stock awards granted | 313,805 | |||
Restricted stock awards granted value (in dollars per share) | $ 131.72 | |||
Long Term Incentive Plan [Member] | Equity Ownership And Long Term Cash Incentive Plan Two Thousand Fifteen [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Long-term incentive plan awards | 134,853 | |||
Percent of performance measure based on relative total shareholder return | 80.00% | 80.00% | ||
Percent of performance measure based on cumulative adjusted EPS metric | 20.00% | 20.00% | ||
Long Term Incentive Plan [Member] | Equity Ownership And Long Term Cash Incentive Plan Two Thousand Fifteen [Member] | Performance measure based on relative total shareholder return [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted stock awards granted value (in dollars per share) | $ 169.74 | |||
Long Term Incentive Plan [Member] | Equity Ownership And Long Term Cash Incentive Plan Two Thousand Fifteen [Member] | Performance measure based on cumulative adjusted earnings per share metric [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted stock awards granted value (in dollars per share) | $ 131.72 |
Stock-Based Compensation (Finan
Stock-Based Compensation (Financial Information For Stock Options) (Details) - Employee Stock Option [Member] - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Employee service share-based compensation, aggregate disclosures | ||||
Compensation expense included in Entergy's net income | $ 1 | $ 1 | $ 2 | $ 2 |
Tax benefit recognized in Entergy's net income | 0.2 | 0.3 | 0.5 | 0.5 |
Compensation cost capitalized as part of fixed assets and inventory | $ 0.4 | $ 0.3 | $ 0.8 | $ 0.6 |
Stock-Based Compensation (Fin_2
Stock-Based Compensation (Financial Information For Other Equity Plans) (Details) - Other Equity Awards [Member] - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Employee service share-based compensation, aggregate disclosures | ||||
Compensation expense included in Entergy's net income | $ 9.6 | $ 8.4 | $ 19 | $ 17.2 |
Tax benefit recognized in Entergy's net income | 2.5 | 2.2 | 4.9 | 4.4 |
Compensation cost capitalized as part of fixed assets and inventory | $ 3.8 | $ 2.9 | $ 7.2 | $ 5.8 |
Retirement And Other Postreti_3
Retirement And Other Postretirement Benefits (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | $ 416,300 | $ 416,300 | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 112,000 | ||||
Entergy Arkansas [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 78,643 | 78,643 | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 17,584 | ||||
Entergy Louisiana [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 74,991 | 74,991 | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 18,706 | ||||
Entergy Mississippi [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 20,115 | 20,115 | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 4,296 | ||||
Entergy New Orleans [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 5,839 | 5,839 | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 1,458 | ||||
Entergy Texas [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 5,634 | 5,634 | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 1,485 | ||||
System Energy [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 21,730 | 21,730 | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 5,714 | ||||
Subsequent Event [Member] | Entergy Arkansas [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 61,059 | ||||
Subsequent Event [Member] | Entergy Louisiana [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 56,285 | ||||
Subsequent Event [Member] | Entergy Mississippi [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 15,819 | ||||
Subsequent Event [Member] | Entergy New Orleans [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 4,381 | ||||
Subsequent Event [Member] | Entergy Texas [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 4,149 | ||||
Subsequent Event [Member] | System Energy [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 16,016 | ||||
Non Qualified Pension Plans [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Net periodic benefit costs | 4,500 | $ 7,600 | 9,100 | $ 11,600 | |
Defined Benefit Plan, Plan Assets, Payment for Settlement | 3,700 | 3,700 | |||
Non Qualified Pension Plans [Member] | Entergy Arkansas [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Net periodic benefit costs | 83 | 71 | 166 | 144 | |
Non Qualified Pension Plans [Member] | Entergy Louisiana [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Net periodic benefit costs | 37 | 41 | 74 | 84 | |
Non Qualified Pension Plans [Member] | Entergy Mississippi [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Net periodic benefit costs | 90 | 113 | 180 | 188 | |
Defined Benefit Plan, Plan Assets, Payment for Settlement | 40 | 40 | |||
Non Qualified Pension Plans [Member] | Entergy New Orleans [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Net periodic benefit costs | 8 | 6 | 16 | 11 | |
Non Qualified Pension Plans [Member] | Entergy Texas [Member] | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Net periodic benefit costs | $ 117 | $ 122 | $ 234 | $ 246 |
Retirement And Other Postreti_4
Retirement And Other Postretirement Benefits (Components Of Qualified Net Pension Cost) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Pension Plans Defined Benefit [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | $ 40,379 | $ 33,606 | $ 80,758 | $ 67,213 |
Interest cost on projected benefit obligation | 60,799 | 73,912 | 121,598 | 147,853 |
Expected return on assets | (103,565) | (103,859) | (207,130) | (207,743) |
Amortization of loss | 87,259 | 58,420 | 174,518 | 116,838 |
Net other postretirement benefit cost | 84,872 | 62,241 | 169,744 | 125,460 |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Gain (Loss) Due to Curtailment | 0 | 162 | 0 | 1,299 |
Pension Plans Defined Benefit [Member] | Entergy Arkansas [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | 6,566 | 5,261 | 13,132 | 10,522 |
Interest cost on projected benefit obligation | 11,433 | 14,175 | 22,866 | 28,350 |
Expected return on assets | (19,622) | (20,176) | (39,244) | (40,352) |
Amortization of loss | 16,897 | 11,841 | 33,794 | 23,682 |
Net other postretirement benefit cost | 15,274 | 11,101 | 30,548 | 22,202 |
Pension Plans Defined Benefit [Member] | Entergy Louisiana [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | 8,794 | 7,284 | 17,588 | 14,568 |
Interest cost on projected benefit obligation | 12,841 | 15,882 | 25,682 | 31,764 |
Expected return on assets | (22,402) | (22,652) | (44,804) | (45,304) |
Amortization of loss | 16,627 | 11,643 | 33,254 | 23,286 |
Net other postretirement benefit cost | 15,860 | 12,157 | 31,720 | 24,314 |
Pension Plans Defined Benefit [Member] | Entergy Mississippi [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | 2,023 | 1,629 | 4,046 | 3,258 |
Interest cost on projected benefit obligation | 3,340 | 4,068 | 6,680 | 8,136 |
Expected return on assets | (5,757) | (5,968) | (11,514) | (11,936) |
Amortization of loss | 4,748 | 3,105 | 9,496 | 6,209 |
Net other postretirement benefit cost | 4,354 | 2,834 | 8,708 | 5,667 |
Pension Plans Defined Benefit [Member] | Entergy New Orleans [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | 663 | 569 | 1,326 | 1,138 |
Interest cost on projected benefit obligation | 1,456 | 1,874 | 2,912 | 3,748 |
Expected return on assets | (2,627) | (2,697) | (5,254) | (5,393) |
Amortization of loss | 2,005 | 1,530 | 4,010 | 3,059 |
Net other postretirement benefit cost | 1,497 | 1,276 | 2,994 | 2,552 |
Pension Plans Defined Benefit [Member] | Entergy Texas [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | 1,546 | 1,350 | 3,092 | 2,700 |
Interest cost on projected benefit obligation | 2,782 | 3,612 | 5,564 | 7,224 |
Expected return on assets | (5,486) | (5,862) | (10,972) | (11,724) |
Amortization of loss | 3,265 | 2,334 | 6,530 | 4,668 |
Net other postretirement benefit cost | 2,107 | 1,434 | 4,214 | 2,868 |
Pension Plans Defined Benefit [Member] | System Energy [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | 1,965 | 1,550 | 3,930 | 3,100 |
Interest cost on projected benefit obligation | 2,814 | 3,363 | 5,628 | 6,727 |
Expected return on assets | (4,663) | (4,677) | (9,326) | (9,354) |
Amortization of loss | 4,279 | 2,850 | 8,558 | 5,700 |
Net other postretirement benefit cost | 4,395 | 3,086 | 8,790 | 6,173 |
Other Postretirement [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | 6,231 | 4,675 | 12,032 | 9,350 |
Interest cost on projected benefit obligation | 6,888 | 11,975 | 14,820 | 23,950 |
Expected return on assets | (10,182) | (9,562) | (20,510) | (19,124) |
Amortization of prior service cost (credit) | (8,985) | (8,844) | (14,907) | (17,688) |
Amortization of loss | 1,005 | 358 | 1,473 | 716 |
Net other postretirement benefit cost | (5,043) | (1,398) | (7,092) | (2,796) |
Other Postretirement [Member] | Entergy Arkansas [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | 933 | 591 | 1,761 | 1,182 |
Interest cost on projected benefit obligation | 1,164 | 1,807 | 2,381 | 3,614 |
Expected return on assets | (4,260) | (3,991) | (8,586) | (7,982) |
Amortization of prior service cost (credit) | (396) | (1,238) | (1,057) | (2,476) |
Amortization of loss | 162 | 144 | 217 | 288 |
Net other postretirement benefit cost | (2,397) | (2,687) | (5,284) | (5,374) |
Other Postretirement [Member] | Entergy Louisiana [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | 1,524 | 1,160 | 2,947 | 2,320 |
Interest cost on projected benefit obligation | 1,497 | 2,666 | 3,220 | 5,332 |
Expected return on assets | 0 | 0 | 0 | 0 |
Amortization of prior service cost (credit) | (1,695) | (1,837) | (2,784) | (3,674) |
Amortization of loss | (81) | (174) | (280) | (348) |
Net other postretirement benefit cost | 1,245 | 1,815 | 3,103 | 3,630 |
Other Postretirement [Member] | Entergy Mississippi [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | 372 | 262 | 723 | 524 |
Interest cost on projected benefit obligation | 372 | 670 | 794 | 1,340 |
Expected return on assets | (1,287) | (1,199) | (2,594) | (2,398) |
Amortization of prior service cost (credit) | (444) | (439) | (765) | (878) |
Amortization of loss | 48 | 181 | 77 | 362 |
Net other postretirement benefit cost | (939) | (525) | (1,765) | (1,050) |
Other Postretirement [Member] | Entergy New Orleans [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | 114 | 92 | 219 | 184 |
Interest cost on projected benefit obligation | 186 | 395 | 413 | 790 |
Expected return on assets | (1,344) | (1,237) | (2,699) | (2,474) |
Amortization of prior service cost (credit) | (228) | (171) | (304) | (342) |
Amortization of loss | 9 | 58 | (29) | 116 |
Net other postretirement benefit cost | (1,263) | (863) | (2,400) | (1,726) |
Other Postretirement [Member] | Entergy Texas [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | 306 | 236 | 609 | 472 |
Interest cost on projected benefit obligation | 477 | 854 | 1,059 | 1,708 |
Expected return on assets | (2,403) | (2,276) | (4,838) | (4,552) |
Amortization of prior service cost (credit) | (939) | (561) | (1,489) | (1,122) |
Amortization of loss | 231 | 121 | 443 | 242 |
Net other postretirement benefit cost | (2,328) | (1,626) | (4,216) | (3,252) |
Other Postretirement [Member] | System Energy [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost - benefits earned during the period | 321 | 243 | 615 | 486 |
Interest cost on projected benefit obligation | 276 | 476 | 583 | 952 |
Expected return on assets | (735) | (697) | (1,483) | (1,394) |
Amortization of prior service cost (credit) | (282) | (363) | (501) | (726) |
Amortization of loss | 33 | 89 | 53 | 178 |
Net other postretirement benefit cost | (387) | (252) | (733) | (504) |
Non Qualified Pension Plans [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net other postretirement benefit cost | 4,500 | 7,600 | 9,100 | 11,600 |
Non Qualified Pension Plans [Member] | Entergy Arkansas [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net other postretirement benefit cost | 83 | 71 | 166 | 144 |
Non Qualified Pension Plans [Member] | Entergy Louisiana [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net other postretirement benefit cost | 37 | 41 | 74 | 84 |
Non Qualified Pension Plans [Member] | Entergy Mississippi [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net other postretirement benefit cost | 90 | 113 | 180 | 188 |
Non Qualified Pension Plans [Member] | Entergy New Orleans [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net other postretirement benefit cost | 8 | 6 | 16 | 11 |
Non Qualified Pension Plans [Member] | Entergy Texas [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net other postretirement benefit cost | $ 117 | $ 122 | $ 234 | $ 246 |
Retirement And Other Postreti_5
Retirement And Other Postretirement Benefits (Expected Employer Contributions) (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Dec. 31, 2020 | Jun. 30, 2020 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | $ 416,300 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | 112,000 | |
Entergy Louisiana [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 74,991 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | 18,706 | |
Entergy Louisiana [Member] | Subsequent Event [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 56,285 | |
Entergy Mississippi [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 20,115 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | 4,296 | |
Entergy Mississippi [Member] | Subsequent Event [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 15,819 | |
Entergy New Orleans [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 5,839 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | 1,458 | |
Entergy New Orleans [Member] | Subsequent Event [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 4,381 | |
Entergy Texas [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 5,634 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | 1,485 | |
Entergy Texas [Member] | Subsequent Event [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 4,149 | |
System Energy [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 21,730 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | 5,714 | |
System Energy [Member] | Subsequent Event [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 16,016 | |
Entergy Arkansas [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 78,643 | |
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 17,584 | |
Entergy Arkansas [Member] | Subsequent Event [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 61,059 |
Retirement And Other Postreti_6
Retirement And Other Postretirement Benefits (Reclassification Out Of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service cost | $ 5,682 | $ 5,325 | $ 9,401 | $ 10,652 |
Amortization of loss | (27,619) | (18,980) | (54,937) | (37,969) |
Recognized Net Gain (Loss) Due To Settlements, Pre Tax | (918) | (2,055) | ||
Total | (21,937) | (14,573) | (45,536) | (29,372) |
Entergy Louisiana [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service cost | 1,698 | 1,837 | 2,787 | 3,674 |
Amortization of loss | (419) | (526) | (720) | (1,052) |
Total | 1,279 | 1,311 | 2,067 | 2,622 |
Pension Plans Defined Benefit [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service cost | 0 | 0 | 0 | 0 |
Amortization of loss | (26,461) | (18,736) | (52,923) | (37,470) |
Recognized Net Gain (Loss) Due To Settlements, Pre Tax | (162) | (1,299) | ||
Total | (26,461) | (18,898) | (52,923) | (38,769) |
Pension Plans Defined Benefit [Member] | Entergy Louisiana [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service cost | 0 | 0 | 0 | 0 |
Amortization of loss | (499) | (699) | (998) | (1,397) |
Total | (499) | (699) | (998) | (1,397) |
Other Postretirement [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service cost | 5,739 | 5,375 | 9,516 | 10,750 |
Amortization of loss | (327) | 308 | (352) | 615 |
Recognized Net Gain (Loss) Due To Settlements, Pre Tax | 0 | 0 | ||
Total | 5,412 | 5,683 | 9,164 | 11,365 |
Other Postretirement [Member] | Entergy Louisiana [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service cost | 1,698 | 1,837 | 2,787 | 3,674 |
Amortization of loss | 81 | 174 | 280 | 348 |
Total | 1,779 | 2,011 | 3,067 | 4,022 |
Non Qualified Pension Plans [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service cost | (57) | (50) | (115) | (98) |
Amortization of loss | (831) | (552) | (1,662) | (1,114) |
Recognized Net Gain (Loss) Due To Settlements, Pre Tax | (756) | (756) | ||
Total | (888) | (1,358) | (1,777) | (1,968) |
Non Qualified Pension Plans [Member] | Entergy Louisiana [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service cost | 0 | 0 | 0 | 0 |
Amortization of loss | (1) | (1) | (2) | (3) |
Total | $ (1) | $ (1) | $ (2) | $ (3) |
Business Segment Information Bu
Business Segment Information Business Segment Information (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 7 Months Ended | 24 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2020 | Dec. 31, 2022 | |
Entergy Wholesale Commodities [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Asset Write-Offs, Impairments, And Related Charges | $ 7 | $ 16 | $ 12 | $ 90 | ||
Restructuring Charges | 17 | 22 | 38 | 56 | ||
Employee Retention and Severances Expenses and Other Benefits-Related Costs [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Restructuring Charges | 38 | |||||
Employee Retention and Severances Expenses and Other Benefits-Related Costs [Member] | Subsequent Event [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Restructuring Charges | $ 70 | $ 60 | ||||
Employee Retention and Severances Expenses and Other Benefits-Related Costs [Member] | Entergy Wholesale Commodities [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Restructuring Charges | $ 17 | $ 22 | $ 38 | $ 56 |
Business Segment Information (S
Business Segment Information (Segment Financial Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | |||||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 2,412,788 | $ 2,666,209 | $ 4,839,967 | $ 5,275,792 | |||
Segment Financial Information | |||||||
Income taxes (benefits) | 89,115 | 1,458 | 17,921 | 44,229 | |||
Consolidated net income | 365,113 | $ 123,294 | 240,533 | $ 258,646 | 488,406 | 499,180 | |
Assets | 53,365,302 | 53,365,302 | $ 51,723,912 | ||||
Utility [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,213,061 | 2,376,437 | 4,307,690 | 4,552,419 | |||
Segment Financial Information | |||||||
Income taxes (benefits) | 73,710 | 21,150 | 20,761 | 9,586 | |||
Consolidated net income | 348,902 | 334,752 | 672,751 | 568,900 | |||
Assets | 51,205,266 | 51,205,266 | 49,557,664 | ||||
Entergy Wholesale Commodities [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenue from Contract with Customer, Excluding Assessed Tax | 199,709 | 289,783 | 532,258 | 723,394 | |||
Segment Financial Information | |||||||
Income taxes (benefits) | 24,467 | (9,290) | (6,073) | 56,618 | |||
Consolidated net income | 85,178 | (25,382) | (25,251) | 71,697 | |||
Assets | 3,658,974 | 3,658,974 | 4,154,961 | ||||
All Other [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenue from Contract with Customer, Excluding Assessed Tax | 18 | 2 | 29 | 2 | |||
Segment Financial Information | |||||||
Income taxes (benefits) | (9,062) | (10,402) | 3,233 | (21,975) | |||
Consolidated net income | (37,069) | (36,939) | (95,298) | (77,620) | |||
Assets | 493,119 | 493,119 | 514,020 | ||||
Eliminations [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | (13) | (10) | (23) | |||
Segment Financial Information | |||||||
Income taxes (benefits) | 0 | 0 | 0 | 0 | |||
Consolidated net income | (31,898) | $ (31,898) | (63,796) | $ (63,797) | |||
Assets | $ (1,992,057) | $ (1,992,057) | $ (2,502,733) |
Business Segment Information _2
Business Segment Information Business Segment Information (Restructuring Costs) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | |
Employee Retention and Severances Expenses and Other Benefits-Related Costs [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Restructuring Charges | $ 38 | |||||||
Entergy Wholesale Commodities [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Restructuring Charges | $ 17 | $ 22 | 38 | $ 56 | ||||
Restructuring Reserve | 167 | 195 | 167 | 195 | $ 164 | $ 143 | $ 227 | $ 193 |
Payments for Restructuring | 14 | 54 | 14 | 54 | ||||
Asset Write-Offs, Impairments, And Related Charges | 7 | 16 | 12 | 90 | ||||
Entergy Wholesale Commodities [Member] | Employee Retention and Severances Expenses and Other Benefits-Related Costs [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Restructuring Charges | 17 | 22 | 38 | 56 | ||||
Restructuring Reserve | 153 | 181 | 153 | 181 | 150 | 129 | 213 | 179 |
Payments for Restructuring | 14 | 54 | 14 | 54 | ||||
Entergy Wholesale Commodities [Member] | Economic Development Costs [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Restructuring Charges | 0 | 0 | 0 | 0 | ||||
Restructuring Reserve | 14 | 14 | 14 | 14 | $ 14 | $ 14 | $ 14 | $ 14 |
Payments for Restructuring | $ 0 | $ 0 | $ 0 | $ 0 |
Risk Management and Fair Valu_3
Risk Management and Fair Values (Narrative) (Details) TWh in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2020USD ($)MMBTUGWh | Jun. 30, 2019USD ($) | Dec. 31, 2020TWh | Jun. 30, 2020USD ($)MMBTUGWh | Jun. 30, 2019USD ($) | Dec. 31, 2019USD ($) | |
Cash flow hedges relating to power sales as part of net unrealized gains | $ 48 | |||||
Reclassified from accumulated other comprehensive income (OCI) to operating revenues | 48 | |||||
Maturity of cash flow hedges, Tax | $ 5 | $ 1 | $ 25 | $ 12 | ||
Maximum length of time over which Company is currently hedging the variability in future cash flows for forecasted power transactions, years | 9 months | |||||
Total volume of natural gas swaps outstanding (MMBtu) | MMBTU | 37,862,000 | 37,862,000 | ||||
Total volume of fixed transmission rights outstanding | GWh | 129,379 | 129,379 | ||||
Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Asset and Liability Unrealized Gains (Loss) Included in Earnings | $ 3 | $ 1.4 | $ 4 | $ (3.5) | ||
Debt Securities, Available-for-sale, Allowance for Credit Loss | 0.4 | 0.4 | ||||
Letters Of Credit | 6 | 6 | ||||
Entergy Arkansas [Member] | ||||||
Letters of Credit Outstanding, Amount | $ 3.1 | $ 3.1 | ||||
Total volume of fixed transmission rights outstanding | GWh | 30,375 | 30,375 | ||||
Entergy Louisiana [Member] | ||||||
Letters of Credit Outstanding, Amount | $ 2.3 | $ 2.3 | ||||
Total volume of natural gas swaps outstanding (MMBtu) | MMBTU | 27,400,000 | 27,400,000 | ||||
Total volume of fixed transmission rights outstanding | GWh | 61,443 | 61,443 | ||||
Entergy Mississippi [Member] | ||||||
Letters of Credit Outstanding, Amount | $ 1.5 | $ 1.5 | $ 0.2 | |||
Total volume of natural gas swaps outstanding (MMBtu) | MMBTU | 10,462,000 | 10,462,000 | ||||
Total volume of fixed transmission rights outstanding | GWh | 14,461 | 14,461 | ||||
Entergy New Orleans [Member] | ||||||
Letters of Credit Outstanding, Amount | $ 0.5 | $ 0.5 | ||||
Total volume of fixed transmission rights outstanding | GWh | 5,873 | 5,873 | ||||
Entergy Texas [Member] | ||||||
Letters of Credit Outstanding, Amount | $ 0.4 | $ 0.4 | ||||
Total volume of fixed transmission rights outstanding | GWh | 16,793 | 16,793 | ||||
Entergy Wholesale Commodities [Member] | ||||||
Derivative, Collateral, Obligation to Return Cash | 1 | |||||
Letters of Credit Held | 98 | |||||
Gas Hedge Contracts [Member] | Entergy Louisiana [Member] | ||||||
Maximum Length of Time Hedged in Cash Flow Hedge | 3 years 9 months | |||||
Gas Hedge Contracts [Member] | Entergy Mississippi [Member] | ||||||
Maximum Length of Time Hedged in Cash Flow Hedge | 9 months | |||||
Entergy Wholesale Commodities [Member] | ||||||
Cash collateral posted | $ 6 | $ 6 | 11 | |||
Letters of Credit Held | 41 | 41 | ||||
Collateral Held | 1 | |||||
Letters Of Credit | $ 8 | $ 8 | ||||
Utility [Member] | ||||||
Letters of Credit Outstanding, Amount | $ 98 | |||||
Subsequent Event [Member] | ||||||
Planned generation sold forward from non utility nuclear power plants for the remainder of the period | 97.00% | |||||
Planned Generation From Non Nuclear Power Plants Sold Forward Under Financial Hedges | 61.00% | |||||
Total planned generation for remainder of the period | TWh | 7.2 |
Risk Management and Fair Valu_4
Risk Management and Fair Values (Fair Values Of Derivative Instruments) (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Utility [Member] | ||
Liabilities: | ||
Letters of Credit Outstanding, Amount | $ 98 | |
Entergy Wholesale Commodities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Cash collateral posted | $ 6 | 11 |
Liabilities: | ||
Letters of Credit Held | 41 | |
Other Non-Current Liabilities [Member] | Natural Gas Swaps [Member] | Utility [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Fair Value, Gross Liability | 2 | 2 |
Derivative, Collateral, Right to Reclaim Cash | 0 | 0 |
Derivative Liability | 2 | 2 |
Other Deferred Debits And Other Assets [Member] | Electricity Swaps And Options [Member] | Entergy Wholesale Commodities [Member] | Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset | 17 | |
Derivative Asset, Fair Value, Gross Asset | 17 | |
Derivative, Collateral, Obligation to Return Cash | 0 | |
Other Deferred Debits And Other Assets [Member] | Natural Gas Swaps [Member] | Utility [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset | 1 | 1 |
Derivative Asset, Fair Value, Gross Asset | 1 | 1 |
Derivative, Collateral, Obligation to Return Cash | 0 | |
Prepayments And Other [Member] | Electricity Swaps And Options [Member] | Entergy Wholesale Commodities [Member] | Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset | 45 | 91 |
Derivative Asset, Fair Value, Gross Asset | 49 | 92 |
Derivative, Collateral, Obligation to Return Cash | (4) | (1) |
Prepayments And Other [Member] | Electricity Swaps And Options [Member] | Entergy Wholesale Commodities [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset | 4 | 10 |
Derivative Asset, Fair Value, Gross Asset | 4 | 11 |
Derivative, Collateral, Obligation to Return Cash | 0 | (1) |
Prepayments And Other [Member] | Natural Gas Swaps [Member] | Utility [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset | 1 | |
Derivative Asset, Fair Value, Gross Asset | 1 | |
Derivative, Collateral, Obligation to Return Cash | 0 | |
Prepayments And Other [Member] | Fixed Transmission Rights (FTRs) [Member] | Utility and Entergy Wholesale Commodities [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset | 22 | 10 |
Derivative Asset, Fair Value, Gross Asset | 23 | 10 |
Derivative, Collateral, Obligation to Return Cash | (1) | 0 |
Other Current Liabilities [Member] | Electricity Swaps And Options [Member] | Entergy Wholesale Commodities [Member] | Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Fair Value, Gross Liability | 1 | 1 |
Derivative, Collateral, Right to Reclaim Cash | (1) | (1) |
Derivative Liability | 0 | 0 |
Other Current Liabilities [Member] | Electricity Swaps And Options [Member] | Entergy Wholesale Commodities [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Fair Value, Gross Liability | 3 | 2 |
Derivative, Collateral, Right to Reclaim Cash | (3) | (2) |
Derivative Liability | 0 | 0 |
Other Current Liabilities [Member] | Natural Gas Swaps [Member] | Utility [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Fair Value, Gross Liability | 6 | 5 |
Derivative, Collateral, Right to Reclaim Cash | 0 | 0 |
Derivative Liability | 6 | 5 |
Entergy Louisiana [Member] | ||
Liabilities: | ||
Letters of Credit Outstanding, Amount | 2.3 | |
Entergy Louisiana [Member] | Other Non-Current Liabilities [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Fair Value, Gross Liability | 2.2 | |
Derivative, Collateral, Right to Reclaim Cash | 0 | |
Derivative Liability | 2.2 | |
Entergy Louisiana [Member] | Other Deferred Debits And Other Assets [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset | 0.6 | 0.8 |
Derivative Asset, Fair Value, Gross Asset | 0.6 | 0.8 |
Derivative, Collateral, Obligation to Return Cash | 0 | 0 |
Entergy Louisiana [Member] | Prepayments And Other [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset | 0.8 | |
Derivative Asset, Fair Value, Gross Asset | 0.8 | |
Derivative, Collateral, Obligation to Return Cash | 0 | |
Entergy Louisiana [Member] | Prepayments And Other [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset | 12.5 | 4.5 |
Derivative Asset, Fair Value, Gross Asset | 12.7 | 4.5 |
Derivative, Collateral, Obligation to Return Cash | 0.2 | 0 |
Entergy Louisiana [Member] | Other Current Liabilities [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Fair Value, Gross Liability | 1.7 | 2.4 |
Derivative, Collateral, Right to Reclaim Cash | 0 | 0 |
Derivative Liability | 1.7 | 2.4 |
Entergy Mississippi [Member] | ||
Liabilities: | ||
Letters of Credit Outstanding, Amount | 1.5 | 0.2 |
Entergy Mississippi [Member] | Prepayments And Other [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset | 1.1 | 0.8 |
Derivative Asset, Fair Value, Gross Asset | 1.1 | 0.8 |
Derivative, Collateral, Obligation to Return Cash | 0 | 0 |
Entergy Mississippi [Member] | Other Current Liabilities [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Fair Value, Gross Liability | 4.3 | 2.3 |
Derivative, Collateral, Right to Reclaim Cash | 0 | 0 |
Derivative Liability | 4.3 | 2.3 |
Entergy New Orleans [Member] | ||
Liabilities: | ||
Letters of Credit Outstanding, Amount | 0.5 | |
Entergy New Orleans [Member] | Prepayments And Other [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset | 0.3 | |
Derivative Asset, Fair Value, Gross Asset | 0.3 | |
Derivative, Collateral, Obligation to Return Cash | 0 | |
Entergy New Orleans [Member] | Other Current Liabilities [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Fair Value, Gross Liability | 0.2 | |
Derivative, Collateral, Right to Reclaim Cash | 0 | |
Derivative Liability | 0.2 | |
Entergy New Orleans [Member] | Other Current Liabilities [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liability, Fair Value, Gross Liability | 0.3 | |
Derivative, Collateral, Right to Reclaim Cash | (0.5) | |
Derivative Liability | 0.2 | |
Entergy Arkansas [Member] | ||
Liabilities: | ||
Letters of Credit Outstanding, Amount | 3.1 | |
Entergy Arkansas [Member] | Prepayments And Other [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset | 6.1 | 3.3 |
Derivative Asset, Fair Value, Gross Asset | 6.3 | 3.4 |
Derivative, Collateral, Obligation to Return Cash | (0.2) | (0.1) |
Entergy Texas [Member] | ||
Liabilities: | ||
Letters of Credit Outstanding, Amount | 0.4 | |
Entergy Texas [Member] | Prepayments And Other [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | ||
Assets: | ||
Derivative Asset | 2.6 | 0.9 |
Derivative Asset, Fair Value, Gross Asset | 2.6 | 1 |
Derivative, Collateral, Obligation to Return Cash | $ 0 | $ 0.1 |
Risk Management and Fair Valu_5
Risk Management and Fair Values (Derivative Instruments Designated as Cash Flow Hedges On Consolidated Statements Of Income) (Details) - Competitive Businesses Operating Revenues [Member] - Electricity Swaps And Options [Member] - Cash Flow Hedging [Member] - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Effect of Derivative instruments designated as cash flow hedges on consolidated statements of income | ||||
Amount of gain (loss) recognized in AOCI (effective portion) | $ (7) | $ 126 | $ 60 | $ 152 |
Amount of gain reclassified from accumulated OCI into income (effective portion) | $ 25 | $ 6 | $ 120 | $ 57 |
Risk Management and Fair Valu_6
Risk Management and Fair Values (Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Competitive Businesses Operating Revenues [Member] | Electricity Swaps And Options [Member] | Not Designated As Hedging Instrument [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative, Gain (Loss) on Derivative, Net | $ (2) | $ (2) | $ (2) | $ 3 | |
Fuel, Fuel Related Expenses And Gas Purchased For Resale [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative, Gain (Loss) on Derivative, Net | (3) | (6) | (9) | (7) | |
Purchased Power Expense [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative, Gain (Loss) on Derivative, Net | 15 | 32 | 28 | 53 | |
Entergy Arkansas [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Letters of Credit Outstanding, Amount | 3.1 | 3.1 | |||
Entergy Arkansas [Member] | Purchased Power Expense [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative, Gain (Loss) on Derivative, Net | 4.8 | 3.6 | 9.4 | 12 | |
Entergy Louisiana [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Letters of Credit Outstanding, Amount | 2.3 | 2.3 | |||
Entergy Louisiana [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | Other Current Liabilities [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative Liability, Fair Value, Gross Liability | 1.7 | 1.7 | $ 2.4 | ||
Derivative, Collateral, Right to Reclaim Cash | 0 | 0 | 0 | ||
Derivative Liability | 1.7 | 1.7 | 2.4 | ||
Entergy Louisiana [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | Other Noncurrent Liabilities | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative Liability, Fair Value, Gross Liability | 2.2 | ||||
Derivative, Collateral, Right to Reclaim Cash | 0 | ||||
Derivative Liability | 2.2 | ||||
Entergy Louisiana [Member] | Fuel, Fuel Related Expenses And Gas Purchased For Resale [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative, Gain (Loss) on Derivative, Net | (2.7) | (1.3) | (1.9) | ||
Entergy Louisiana [Member] | Purchased Power Expense [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative, Gain (Loss) on Derivative, Net | 5.4 | 17.7 | 10.7 | 26.5 | |
Entergy Mississippi [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Letters of Credit Outstanding, Amount | 1.5 | 1.5 | 0.2 | ||
Entergy Mississippi [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | Other Current Liabilities [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative Liability, Fair Value, Gross Liability | 4.3 | 4.3 | 2.3 | ||
Derivative, Collateral, Right to Reclaim Cash | 0 | 0 | 0 | ||
Derivative Liability | 4.3 | 4.3 | 2.3 | ||
Entergy Mississippi [Member] | Fuel, Fuel Related Expenses And Gas Purchased For Resale [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative, Gain (Loss) on Derivative, Net | (2.5) | (3.5) | (7.7) | (5.2) | |
Entergy Mississippi [Member] | Purchased Power Expense [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative, Gain (Loss) on Derivative, Net | (0.4) | 2.2 | (0.5) | 3.3 | |
Entergy New Orleans [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Letters of Credit Outstanding, Amount | 0.5 | 0.5 | |||
Entergy New Orleans [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | Other Current Liabilities [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative Liability, Fair Value, Gross Liability | 0.3 | 0.3 | |||
Derivative, Collateral, Right to Reclaim Cash | 0.5 | 0.5 | |||
Derivative Liability | 0.2 | 0.2 | |||
Entergy New Orleans [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | Other Current Liabilities [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative Liability, Fair Value, Gross Liability | 0.2 | ||||
Derivative, Collateral, Right to Reclaim Cash | 0 | ||||
Derivative Liability | $ 0.2 | ||||
Entergy New Orleans [Member] | Fuel, Fuel Related Expenses And Gas Purchased For Resale [Member] | Natural Gas Swaps [Member] | Not Designated As Hedging Instrument [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative, Gain (Loss) on Derivative, Net | (0.4) | 0.2 | |||
Entergy New Orleans [Member] | Purchased Power Expense [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative, Gain (Loss) on Derivative, Net | 0.2 | 0.7 | 0.6 | 2.6 | |
Entergy Texas [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Letters of Credit Outstanding, Amount | 0.4 | 0.4 | |||
Entergy Texas [Member] | Purchased Power Expense [Member] | Fixed Transmission Rights (FTRs) [Member] | Not Designated As Hedging Instrument [Member] | |||||
Effect Of Derivative Instruments Not Designated As Hedging Instruments On The Consolidated Statements Of Income [Line Items] | |||||
Derivative, Gain (Loss) on Derivative, Net | $ 5.3 | $ 7.8 | $ 7.6 | $ 8.1 |
Risk Management and Fair Valu_7
Risk Management and Fair Values (Assets And Liabilities At Fair Value On A Recurring Basis) (Details) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | $ 879,958,000 | $ 391,480,000 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 35,000,000 | 47,000,000 |
Replacement Reserve Escrow | 420,000,000 | 459,000,000 |
Equity Securities, FV-NI | 879,000,000 | 905,000,000 |
Debt Securities | 3,123,000,000 | 2,963,000,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 7,895,000,000 | 7,430,000,000 |
Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 8,000,000 | 7,000,000 |
Common trust funds valued using Net Asset Value [Domain] | ||
Assets at fair value on a recurring basis | ||
Available-for-sale Securities | 2,485,000,000 | 2,536,000,000 |
Power Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 49,000,000 | 118,000,000 |
Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 2,000,000 | 1,000,000 |
Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 22,000,000 | 10,000,000 |
Fair Value Inputs Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 880,000,000 | 391,000,000 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 35,000,000 | 47,000,000 |
Replacement Reserve Escrow | 420,000,000 | 459,000,000 |
Equity Securities, FV-NI | 879,000,000 | 905,000,000 |
Debt Securities | 1,080,000,000 | 1,139,000,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 3,295,000,000 | 2,941,000,000 |
Fair Value Inputs Level 1 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 6,000,000 | 5,000,000 |
Fair Value Inputs Level 1 [Member] | Power Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Fair Value Inputs Level 1 [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 1,000,000 | 0 |
Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Replacement Reserve Escrow | 0 | 0 |
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 2,043,000,000 | 1,824,000,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 2,044,000,000 | 1,825,000,000 |
Fair Value, Inputs, Level 2 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 2,000,000 | 2,000,000 |
Fair Value, Inputs, Level 2 [Member] | Power Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 1,000,000 | 1,000,000 |
Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Replacement Reserve Escrow | 0 | 0 |
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 71,000,000 | 128,000,000 |
Fair Value, Inputs, Level 3 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Power Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 49,000,000 | 118,000,000 |
Fair Value, Inputs, Level 3 [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 22,000,000 | 10,000,000 |
Entergy New Orleans [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 30,450,000 | 5,991,000 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 1,538,000 | 1,989,000 |
Replacement Reserve Escrow | 83,000,000 | 82,600,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 115,000,000 | 90,900,000 |
Entergy New Orleans [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 200,000 | |
Entergy New Orleans [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 200,000 | |
Entergy New Orleans [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 300,000 | |
Entergy New Orleans [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 30,500,000 | 6,000,000 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 1,500,000 | 2,000,000 |
Replacement Reserve Escrow | 83,000,000 | 82,600,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 115,000,000 | 90,600,000 |
Entergy New Orleans [Member] | Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | |
Entergy New Orleans [Member] | Fair Value Inputs Level 1 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 200,000 | |
Entergy New Orleans [Member] | Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Replacement Reserve Escrow | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 0 | 0 |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 2 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Replacement Reserve Escrow | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 0 | 300,000 |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 200,000 | |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 3 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | |
Entergy New Orleans [Member] | Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 300,000 | |
Entergy Mississippi [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 70,172,000 | 51,590,000 |
Assets at fair value on a recurring basis | ||
Replacement Reserve Escrow | 80,400,000 | 80,200,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 151,700,000 | 132,600,000 |
Entergy Mississippi [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 4,300,000 | 2,300,000 |
Entergy Mississippi [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 1,100,000 | 800,000 |
Entergy Mississippi [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 70,200,000 | 51,600,000 |
Assets at fair value on a recurring basis | ||
Replacement Reserve Escrow | 80,400,000 | 80,200,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 150,600,000 | 131,800,000 |
Entergy Mississippi [Member] | Fair Value Inputs Level 1 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 4,300,000 | 2,300,000 |
Entergy Mississippi [Member] | Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Mississippi [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Replacement Reserve Escrow | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 0 | 0 |
Entergy Mississippi [Member] | Fair Value, Inputs, Level 2 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | 0 |
Entergy Mississippi [Member] | Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Mississippi [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Replacement Reserve Escrow | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 1,100,000 | 800,000 |
Entergy Mississippi [Member] | Fair Value, Inputs, Level 3 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | 0 |
Entergy Mississippi [Member] | Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 1,100,000 | 800,000 |
Entergy Louisiana [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 463,439,000 | 1,518,000 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 2,900,000 | 3,700,000 |
Replacement Reserve Escrow | 256,700,000 | 295,900,000 |
Equity Securities, FV-NI | 9,200,000 | 4,300,000 |
Debt Securities | 622,900,000 | 601,500,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 2,301,900,000 | 1,870,200,000 |
Entergy Louisiana [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 3,900,000 | 4,600,000 |
Entergy Louisiana [Member] | Common trust funds valued using Net Asset Value [Domain] | ||
Assets at fair value on a recurring basis | ||
Available-for-sale Securities | 932,900,000 | 958,000,000 |
Entergy Louisiana [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 1,400,000 | 800,000 |
Entergy Louisiana [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 12,500,000 | 4,500,000 |
Entergy Louisiana [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 463,400,000 | 1,500,000 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 2,900,000 | 3,700,000 |
Replacement Reserve Escrow | 256,700,000 | 295,900,000 |
Equity Securities, FV-NI | 9,200,000 | 4,300,000 |
Debt Securities | 164,400,000 | 180,800,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 897,400,000 | 486,200,000 |
Entergy Louisiana [Member] | Fair Value Inputs Level 1 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 1,700,000 | 2,400,000 |
Entergy Louisiana [Member] | Fair Value Inputs Level 1 [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 800,000 | 0 |
Entergy Louisiana [Member] | Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Replacement Reserve Escrow | 0 | 0 |
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 458,500,000 | 420,700,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 459,100,000 | 421,500,000 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 2 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 2,200,000 | 2,200,000 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 2 [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 600,000 | 800,000 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Replacement Reserve Escrow | 0 | 0 |
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 12,500,000 | 4,500,000 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 3 [Member] | Gas Hedge Contracts [Member] | ||
Liabilities at fair value on a recurring basis | ||
Liabilities, Fair Value Disclosure on Recurring Basis | 0 | 0 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 3 [Member] | Gas Hedge Contracts Assets [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Louisiana [Member] | Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 12,500,000 | 4,500,000 |
Entergy Arkansas [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 10,000 | 0 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 2,792,000 | 4,036,000 |
Equity Securities, FV-NI | 5,300,000 | 600,000 |
Debt Securities | 441,500,000 | 412,800,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 1,118,700,000 | 1,108,600,000 |
Entergy Arkansas [Member] | Common trust funds valued using Net Asset Value [Domain] | ||
Assets at fair value on a recurring basis | ||
Available-for-sale Securities | 663,000,000 | 687,900,000 |
Entergy Arkansas [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 6,100,000 | 3,300,000 |
Entergy Arkansas [Member] | Fair Value Inputs Level 1 [Member] | ||
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 2,800,000 | 4,000,000 |
Equity Securities, FV-NI | 5,300,000 | 600,000 |
Debt Securities | 107,900,000 | 108,700,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 116,000,000 | 113,300,000 |
Entergy Arkansas [Member] | Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Arkansas [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 333,600,000 | 304,100,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 333,600,000 | 304,100,000 |
Entergy Arkansas [Member] | Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Arkansas [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 6,100,000 | 3,300,000 |
Entergy Arkansas [Member] | Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 6,100,000 | 3,300,000 |
Entergy Texas [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 41,126,000 | 12,904,000 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 27,645,000 | 37,720,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 71,300,000 | 51,500,000 |
Entergy Texas [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 2,600,000 | 900,000 |
Entergy Texas [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 41,100,000 | 12,900,000 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 27,600,000 | 37,700,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 68,700,000 | 50,600,000 |
Entergy Texas [Member] | Fair Value Inputs Level 1 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Texas [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 0 | 0 |
Entergy Texas [Member] | Fair Value, Inputs, Level 2 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 0 | 0 |
Entergy Texas [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 0 |
Assets at fair value on a recurring basis | ||
Restricted Cash and Cash Equivalents, Current | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 2,600,000 | 900,000 |
Entergy Texas [Member] | Fair Value, Inputs, Level 3 [Member] | Fixed Transmission Rights (FTRs) [Member] | ||
Assets at fair value on a recurring basis | ||
Derivative Asset | 2,600,000 | 900,000 |
System Energy [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | 68,441,000 |
Assets at fair value on a recurring basis | ||
Equity Securities, FV-NI | 9,800,000 | 13,300,000 |
Debt Securities | 418,800,000 | 386,200,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 1,059,500,000 | 1,122,500,000 |
System Energy [Member] | Common trust funds valued using Net Asset Value [Domain] | ||
Assets at fair value on a recurring basis | ||
Available-for-sale Securities | 630,900,000 | 654,600,000 |
System Energy [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 68,400,000 | |
Assets at fair value on a recurring basis | ||
Equity Securities, FV-NI | 9,800,000 | 13,300,000 |
Debt Securities | 166,900,000 | 176,300,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 176,700,000 | 258,000,000 |
System Energy [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | |
Assets at fair value on a recurring basis | ||
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 251,900,000 | 209,900,000 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | 251,900,000 | 209,900,000 |
System Energy [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash Equivalents, at Carrying Value | 0 | |
Assets at fair value on a recurring basis | ||
Equity Securities, FV-NI | 0 | 0 |
Debt Securities | 0 | 0 |
Liabilities at fair value on a recurring basis | ||
Assets, Fair Value Disclosure | $ 0 | $ 0 |
Risk Management and Fair Valu_8
Risk Management and Fair Values (Reconciliation Of Changes In The Net Assets (Liabilities) For The Fair Value Of Derivatives Classified As Level 3 In The Fair Value Hierarchy) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | $ 49 | $ 49 | ||||||
Issuance of Financial Transmission Rights | 0 | $ 0 | 0 | $ 0 | ||||
Electricity Swaps And Options [Member] | ||||||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | 49 | 72 | 49 | 72 | $ 85 | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | 72 | 72 | $ 118 | $ (46) | $ (31) | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 16 | (2) | ||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Earnings | (2) | 3 | ||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Other Comprehensive Income (Loss) | 60 | |||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Other Comprehensive Income (Loss) | (7) | 126 | 152 | |||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included as Regulatory Liability/Asset | 0 | 0 | 0 | 0 | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Settlements | (45) | (127) | ||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Settlements | (6) | (52) | ||||||
Fixed Transmission Rights (FTRs) [Member] | ||||||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | 22 | 29 | 22 | 29 | 4 | 10 | 5 | 15 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 | |||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Earnings | 0 | |||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Other Comprehensive Income (Loss) | 0 | 0 | 0 | 0 | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included as Regulatory Liability/Asset | 10 | 21 | 17 | 32 | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Settlements | (15) | (32) | (28) | (53) | ||||
Issuance of Financial Transmission Rights | 23 | 35 | 23 | 35 | ||||
Fixed Transmission Rights (FTRs) [Member] | Entergy Arkansas [Member] | ||||||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | 6.1 | 8.2 | 6.1 | 8.2 | 1.1 | 3.3 | 1.1 | 3.4 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 7.2 | |||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included as Regulatory Liability/Asset | 1.1 | 5.7 | ||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included as Regulatory Liability/Asset | 3.3 | |||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Settlements | (4.8) | (3.6) | (9.4) | (12) | ||||
Issuance of Financial Transmission Rights | 6.5 | 9.6 | 6.5 | 9.6 | ||||
Fixed Transmission Rights (FTRs) [Member] | Entergy Louisiana [Member] | ||||||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | 12.5 | 15.6 | 12.5 | 15.6 | 1.9 | 4.5 | 2.8 | 8.3 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 15.1 | |||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included as Regulatory Liability/Asset | 2.8 | 11.8 | 5.5 | |||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Settlements | (5.4) | (17.7) | (10.7) | (26.5) | ||||
Issuance of Financial Transmission Rights | 13.2 | 18.7 | 13.2 | 18.7 | ||||
Fixed Transmission Rights (FTRs) [Member] | Entergy Mississippi [Member] | ||||||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | 1.1 | 2.8 | 1.1 | 2.8 | 0.3 | 0.8 | 0.7 | 2.2 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | |||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included as Regulatory Liability/Asset | (1) | 0.4 | (1.6) | |||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Settlements | (0.4) | (2.2) | (0.5) | (3.3) | ||||
Issuance of Financial Transmission Rights | 1.4 | 3.9 | 1.4 | 3.9 | ||||
Fixed Transmission Rights (FTRs) [Member] | Entergy New Orleans [Member] | ||||||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | 2 | 2 | 0 | 0.3 | 0.5 | 1.3 | ||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | (0.2) | (0.2) | ||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0.6 | |||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included as Regulatory Liability/Asset | (0.5) | |||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included as Regulatory Liability/Asset | 0.1 | 0.2 | ||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Settlements | (0.7) | (2.6) | ||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Settlements | (0.2) | 0.6 | ||||||
Issuance of Financial Transmission Rights | (0.1) | 2.7 | (0.1) | 2.7 | ||||
Fixed Transmission Rights (FTRs) [Member] | Entergy Texas [Member] | ||||||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | 2.6 | 0.6 | 2.6 | 0.6 | $ 0.3 | $ 0.9 | ||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | $ (0.3) | $ (0.5) | ||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Earnings | 9.1 | |||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included as Regulatory Liability/Asset | 5.2 | 6.9 | ||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included as Regulatory Liability/Asset | 8.6 | |||||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Settlements | (5.3) | (7.8) | (7.6) | (8.1) | ||||
Issuance of Financial Transmission Rights | $ 2.4 | $ 0.1 | $ 2.4 | $ 0.1 |
Risk Management and Fair Valu_9
Risk Management and Fair Values (Schedules Of Valuation Techniques) (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Range from Average Percentage for Fair Value of Electricity Swaps | 4.75% |
Effect of Significant Unobservable Inputs on Fair Value of Electricity Swaps | $ 5 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | $ 49 |
Gas Hedge Contracts [Member] | Entergy Louisiana [Member] | |
Maximum Length of Time Hedged in Cash Flow Hedge | 3 years 9 months |
Gas Hedge Contracts [Member] | Entergy Mississippi [Member] | |
Maximum Length of Time Hedged in Cash Flow Hedge | 9 months |
Decommissioning Trust Funds (Na
Decommissioning Trust Funds (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | Jan. 01, 2019 | |
Debt Securities, Trading, Measurement Input | $ 538,000 | $ 538,000 | $ 507,000 | |||
Decommissioning Trust Funds [Abstract] | ||||||
Accumulated Other Comprehensive Income (Loss), Financial Liability, Fair Value Option, after Tax | $ (6,806) | |||||
Deferred taxes on unrealized gains/(losses) recorded in OCI for non-regulated decommissioning trusts | 10,812 | $ 8,096 | 19,555 | $ 16,169 | ||
Amortized cost of debt securities | $ 2,381,000 | $ 2,381,000 | 2,366,000 | |||
Average coupon rate of debt securities | 3.19% | 3.19% | ||||
Average duration of debt securities, years | 7 years 29 days | |||||
Average maturity of debt securities, years | 10 years 5 months 12 days | |||||
Proceeds from the dispositions of debt securities | $ 276,000 | 361,000 | $ 676,000 | 726,000 | ||
Gains from dispositions of debt securities, gross | 15,000 | 6,000 | 29,000 | 8,000 | ||
Losses from dispositions of debt securities, gross | 1,000 | 1,000 | 4,000 | 3,000 | ||
Equity Securities, FV-NI, Unrealized Loss | 126,000 | |||||
Debt Securities, Available-for-sale, Allowance for Credit Loss | 400 | 400 | ||||
Equity Securities, FV-NI, Unrealized Gain | 508,000 | |||||
Debt Securities [Member] | ||||||
Decommissioning Trust Funds [Abstract] | ||||||
Deferred taxes on unrealized gains/(losses) recorded in OCI for non-regulated decommissioning trusts | 33,000 | 13,000 | ||||
Entergy Arkansas [Member] | ||||||
Decommissioning Trust Funds [Abstract] | ||||||
Amortized cost of debt securities | $ 411,600 | $ 411,600 | 405,400 | |||
Average coupon rate of debt securities | 2.72% | 2.72% | ||||
Average duration of debt securities, years | 7 years 2 months 4 days | |||||
Average maturity of debt securities, years | 8 years 7 months 13 days | |||||
Proceeds from the dispositions of debt securities | $ 17,700 | 22,300 | $ 66,400 | 33,200 | ||
Gains from dispositions of debt securities, gross | 1,300 | 100 | 5,800 | 100 | ||
Losses from dispositions of debt securities, gross | 100 | 18 | 200 | 100 | ||
Equity Securities, FV-NI, Unrealized Loss | 30,400 | |||||
Equity Securities, FV-NI, Unrealized Gain | 116,800 | |||||
Entergy Louisiana [Member] | ||||||
Decommissioning Trust Funds [Abstract] | ||||||
Amortized cost of debt securities | $ 573,300 | $ 573,300 | 573,000 | |||
Average coupon rate of debt securities | 3.84% | 3.84% | ||||
Average duration of debt securities, years | 7 years 2 months 15 days | |||||
Average maturity of debt securities, years | 12 years 11 months 15 days | |||||
Proceeds from the dispositions of debt securities | $ 34,100 | 39,500 | $ 101,500 | 95,700 | ||
Gains from dispositions of debt securities, gross | 2,000 | 1,400 | 4,900 | 1,700 | ||
Losses from dispositions of debt securities, gross | 100 | 50 | $ 700 | 200 | ||
Percentage Interest in River Bend | 30.00% | |||||
Equity Securities, FV-NI, Unrealized Loss | $ 40,100 | |||||
Equity Securities, FV-NI, Unrealized Gain | 160,800 | |||||
System Energy [Member] | ||||||
Decommissioning Trust Funds [Abstract] | ||||||
Amortized cost of debt securities | $ 386,700 | $ 386,700 | 371,400 | |||
Average coupon rate of debt securities | 2.97% | 2.97% | ||||
Average duration of debt securities, years | 7 years 4 months 20 days | |||||
Average maturity of debt securities, years | 11 years 2 months 8 days | |||||
Proceeds from the dispositions of debt securities | $ 73,600 | 87,700 | $ 165,600 | 129,800 | ||
Gains from dispositions of debt securities, gross | 5,400 | 1,500 | 7,000 | 1,900 | ||
Losses from dispositions of debt securities, gross | 200 | $ 300 | 400 | $ 400 | ||
Equity Securities, FV-NI, Unrealized Loss | 28,900 | |||||
Equity Securities, FV-NI, Unrealized Gain | 111,100 | |||||
Indian Point 3 [Member] | ||||||
Decommissioning Trust Funds [Abstract] | ||||||
Decommissioning Fund Investments, Fair Value | 945,000 | 945,000 | 930,000 | |||
Indian Point 1 [Member] | ||||||
Decommissioning Trust Funds [Abstract] | ||||||
Decommissioning Fund Investments, Fair Value | 565,000 | 565,000 | 556,000 | |||
Indian Point 2 [Member] | ||||||
Decommissioning Trust Funds [Abstract] | ||||||
Decommissioning Fund Investments, Fair Value | 715,000 | 715,000 | 701,000 | |||
Palisades [Member] | ||||||
Decommissioning Trust Funds [Abstract] | ||||||
Decommissioning Fund Investments, Fair Value | $ 528,000 | $ 528,000 | $ 498,000 |
Decommissioning Trust Funds (Se
Decommissioning Trust Funds (Securities Held) (Details) - Debt Securities [Member] - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | $ 2,585 | $ 2,456 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 206 | 96 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | 2 | 6 |
Entergy Arkansas [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 441.5 | 412.8 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 30 | 9.9 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | 0.1 | 2.6 |
Entergy Louisiana [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 622.9 | 601.5 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 50.1 | 29.3 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | 0.5 | 0.8 |
System Energy [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 418.8 | 386.2 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 32.4 | 15.1 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | $ 0.3 | $ 0.3 |
Decommissioning Trust Funds (Av
Decommissioning Trust Funds (Available For Sale Securities Continuous Unrealized Loss Position Fair Value) (Details) - Debt Securities [Member] - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Fair Value | $ 116 | $ 404 |
More than 12 months Fair Value | 5 | 38 |
Total Fair Value | 121 | 442 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 2 | 5 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | 1 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 2 | 6 |
Entergy Arkansas [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Fair Value | 14.6 | 104.8 |
More than 12 months Fair Value | 0 | 7.7 |
Total Fair Value | 14.6 | 112.5 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 0.1 | 2.5 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | 0.1 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 0.1 | 2.6 |
Entergy Louisiana [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Fair Value | 29.3 | 71.2 |
More than 12 months Fair Value | 0.8 | 7.9 |
Total Fair Value | 30.1 | 79.1 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 0.5 | 0.8 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 0.5 | 0.8 |
System Energy [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Fair Value | 15.4 | 56.9 |
More than 12 months Fair Value | 0 | 0.3 |
Total Fair Value | 15.4 | 57.2 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 0.3 | 0.3 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ 0.3 | $ 0.3 |
Decommissioning Trust Funds (Fa
Decommissioning Trust Funds (Fair Value Of Debt Securities By Contractual Maturities) (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Fair value of debt securities by contractual maturities | ||
Less than 1 year | $ 36 | $ 128 |
1 year - 5 years | 775 | 807 |
5 years - 10 years | 743 | 666 |
10 years - 15 years | 309 | 125 |
15 years - 20 years | 130 | 126 |
20 years+ | 592 | 604 |
Total | 2,585 | 2,456 |
Entergy Arkansas [Member] | ||
Fair value of debt securities by contractual maturities | ||
Less than 1 year | 21.9 | 44.1 |
1 year - 5 years | 104.2 | 109.1 |
5 years - 10 years | 178.2 | 156 |
10 years - 15 years | 67.9 | 31.3 |
15 years - 20 years | 29.5 | 23.8 |
20 years+ | 39.8 | 48.5 |
Total | 441.5 | 412.8 |
Entergy Louisiana [Member] | ||
Fair value of debt securities by contractual maturities | ||
Less than 1 year | 8.4 | 40.7 |
1 year - 5 years | 142.4 | 142 |
5 years - 10 years | 144 | 132.4 |
10 years - 15 years | 80.4 | 39.8 |
15 years - 20 years | 55.4 | 49.2 |
20 years+ | 192.3 | 197.4 |
Total | 622.9 | 601.5 |
System Energy [Member] | ||
Fair value of debt securities by contractual maturities | ||
Less than 1 year | 8.5 | |
1 year - 5 years | 166.7 | 154.6 |
5 years - 10 years | 103.4 | 92.3 |
10 years - 15 years | 27.4 | 13.4 |
15 years - 20 years | 6.5 | 14.4 |
20 years+ | 116.6 | 103 |
Total | 418.8 | $ 386.2 |
Debt Securities, Available-for-Sale, Maturity, Allocated and Single Maturity Date, within One Year, Negative Fair Value | $ (1.8) |
Income Taxes Income Taxes (Narr
Income Taxes Income Taxes (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Mar. 31, 2020 | Dec. 31, 2020 | Dec. 31, 2015 | Dec. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2020 | |
Permanent Tax Reduction Resulting From Certain Stock-Based Awards | $ 24.7 | |||||
Increase (Reduction) in income tax resulting from Act 55 financing settlement | 32 | |||||
Act 55 final recorded income tax reduction | 58 | |||||
Increase (Decrease) in Income Taxes | 26 | |||||
Regulatory Charge for Hurricane Isaac Act 55 Tax Obligation to Customers | 29 | |||||
Regulatory Charge for Hurricane Isaac Act 55 Tax Obligation to Customers (Net-of-tax) | 21 | |||||
Subsequent Event [Member] | ||||||
CARES Act Deferred Tax Expense | $ 64 | |||||
CARES Act annual payroll tax installment due resulting from deferred tax payments | $ 32 | $ 32 | ||||
Reduction in federal uncertain tax positions | $ 400 | |||||
Entergy Arkansas [Member] | ||||||
Permanent Tax Reduction Resulting From Certain Stock-Based Awards | 4.8 | |||||
Entergy Louisiana [Member] | ||||||
Permanent Tax Reduction Resulting From Certain Stock-Based Awards | 8.6 | |||||
Entergy Mississippi [Member] | ||||||
Permanent Tax Reduction Resulting From Certain Stock-Based Awards | 2.7 | |||||
Entergy New Orleans [Member] | ||||||
Permanent Tax Reduction Resulting From Certain Stock-Based Awards | 1.5 | |||||
System Energy [Member] | ||||||
Permanent Tax Reduction Resulting From Certain Stock-Based Awards | 1.3 | |||||
Change in accounting method for tax purposes, effect of change on taxable income | $ 1,200 | |||||
Entergy Texas [Member] | ||||||
Permanent Tax Reduction Resulting From Certain Stock-Based Awards | $ 2.7 |
Income Taxes Income Taxes (Redu
Income Taxes Income Taxes (Reduction to Regulatory Liability Due to Return of Unprotected Excess ADIT (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Reduction to regulatory liability due to return of unprotected excess accumulated deferred income taxes | $ 15 | $ 61 | $ 45 | $ 122 |
Entergy Arkansas [Member] | ||||
Reduction to regulatory liability due to return of unprotected excess accumulated deferred income taxes | 25 | 12 | 57 | |
Addition to regulatory liability due to return of unprotected excess accumulated deferred income taxes | (1) | |||
Entergy Louisiana [Member] | ||||
Reduction to regulatory liability due to return of unprotected excess accumulated deferred income taxes | 8 | 7 | 16 | 14 |
Entergy New Orleans [Member] | ||||
Reduction to regulatory liability due to return of unprotected excess accumulated deferred income taxes | 2 | 2 | 5 | 2 |
Entergy Texas [Member] | ||||
Reduction to regulatory liability due to return of unprotected excess accumulated deferred income taxes | 6 | 20 | 12 | 42 |
System Energy [Member] | ||||
Reduction to regulatory liability due to return of unprotected excess accumulated deferred income taxes | $ 0 | $ 7 | $ 0 | $ 7 |
Property, Plant, And Equipment
Property, Plant, And Equipment (Narrative) (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Construction expenditures in accounts payable | $ 281 | $ 406 |
Entergy Arkansas [Member] | ||
Construction expenditures in accounts payable | 48.4 | 67.9 |
Entergy Louisiana [Member] | ||
Construction expenditures in accounts payable | 74.2 | 115.1 |
Entergy Mississippi [Member] | ||
Construction expenditures in accounts payable | 21.7 | 34.2 |
Entergy New Orleans [Member] | ||
Construction expenditures in accounts payable | 13.2 | 18.4 |
Entergy Texas [Member] | ||
Construction expenditures in accounts payable | 46.7 | 88.1 |
System Energy [Member] | ||
Construction expenditures in accounts payable | $ 26.1 | $ 23.2 |
Variable Interest Entities (Nar
Variable Interest Entities (Narrative) (Details) - System Energy [Member] - Grand Gulf [Member] - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Variable Interest Entity [Line Items] | ||
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage | 11.50% | |
Payments on lease, including interest | $ 8.6 | $ 8.6 |
Revenue Recognition (Disaggrega
Revenue Recognition (Disaggregation of Revenue) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Revenue from Contract with Customer, Excluding Assessed Tax | $ 2,412,788 | $ 2,666,209 | $ 4,839,967 | $ 5,275,792 | |
Accounts Receivable, Allowance for Credit Loss, Current | 43,281 | 43,281 | $ 7,404 | ||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 38,400 | ||||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (8,600) | ||||
Accounts Receivable, Allowance for Credit Loss, Recovery | 6,000 | ||||
Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,190,557 | 2,345,727 | 4,241,196 | 4,466,751 | |
Natural Gas, US Regulated [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 22,495 | 30,699 | 66,471 | 85,647 | |
Competitive Businesses [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 199,736 | 289,783 | 532,300 | 723,394 | |
Residential [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 790,869 | 770,373 | 1,588,897 | 1,572,911 | |
Commercial [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 526,121 | 595,025 | 1,065,061 | 1,149,082 | |
Industrial [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 576,203 | 641,733 | 1,133,718 | 1,242,734 | |
Governmental [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 46,959 | 57,623 | 99,541 | 110,584 | |
Sales for Resale [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 52,761 | 75,318 | 106,487 | 159,753 | |
Other Electric [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 168,721 | 195,952 | 218,887 | 211,422 | |
Non-Customer [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 28,923 | 9,703 | 28,605 | 20,265 | |
Non-Customer [Member] | Competitive Businesses [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 24,016 | 9,385 | 140,577 | 82,525 | |
Competitive Business Sales [Member] | Competitive Businesses [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 175,720 | 280,398 | 391,723 | 640,869 | |
Billed Retail [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,940,152 | 2,064,754 | 3,887,217 | 4,075,311 | |
Customer | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,161,634 | 2,336,024 | 4,212,591 | 4,446,486 | |
Entergy Arkansas [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 491,767 | 542,929 | 973,679 | 1,088,741 | |
Accounts Receivable, Allowance for Credit Loss, Current | 7,340 | 7,340 | 1,169 | ||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 6,300 | ||||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (1,800) | ||||
Accounts Receivable, Allowance for Credit Loss, Recovery | 1,600 | ||||
Entergy Arkansas [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 491,767 | 542,929 | 973,679 | 1,088,741 | |
Entergy Arkansas [Member] | Natural Gas, US Regulated [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | 0 | 0 | |
Entergy Arkansas [Member] | Residential [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 171,171 | 157,714 | 390,859 | 367,581 | |
Entergy Arkansas [Member] | Commercial [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 106,104 | 125,555 | 217,349 | 250,133 | |
Entergy Arkansas [Member] | Industrial [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 106,254 | 118,913 | 207,342 | 240,491 | |
Entergy Arkansas [Member] | Governmental [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 4,344 | 4,971 | 8,374 | 9,869 | |
Entergy Arkansas [Member] | Sales for Resale [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 36,956 | 74,501 | 78,096 | 154,085 | |
Entergy Arkansas [Member] | Other Electric [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 63,537 | 58,209 | 65,134 | 60,514 | |
Entergy Arkansas [Member] | Non-Customer [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 3,401 | 3,066 | 6,525 | 6,068 | |
Entergy Arkansas [Member] | Billed Retail [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 387,873 | 407,153 | 823,924 | 868,074 | |
Entergy Arkansas [Member] | Customer | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 488,366 | 539,863 | 967,154 | 1,082,673 | |
Entergy Louisiana [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,011,652 | 1,106,317 | 1,942,299 | 2,065,647 | |
Accounts Receivable, Allowance for Credit Loss, Current | 14,516 | 14,516 | 1,902 | ||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 14,100 | ||||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (3,500) | ||||
Accounts Receivable, Allowance for Credit Loss, Recovery | 2,000 | ||||
Entergy Louisiana [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,001,601 | 1,094,259 | 1,914,142 | 2,030,952 | |
Entergy Louisiana [Member] | Natural Gas, US Regulated [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 10,051 | 12,058 | 28,157 | 34,695 | |
Entergy Louisiana [Member] | Residential [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 301,105 | 290,366 | 560,965 | 554,431 | |
Entergy Louisiana [Member] | Commercial [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 209,119 | 232,134 | 411,365 | 438,912 | |
Entergy Louisiana [Member] | Industrial [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 335,201 | 384,919 | 657,542 | 731,598 | |
Entergy Louisiana [Member] | Governmental [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 16,781 | 17,925 | 33,535 | 34,817 | |
Entergy Louisiana [Member] | Sales for Resale [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 82,698 | 83,208 | 161,228 | 167,164 | |
Entergy Louisiana [Member] | Other Electric [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 53,104 | 80,307 | 85,113 | 92,746 | |
Entergy Louisiana [Member] | Non-Customer [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 3,593 | 5,400 | 4,394 | 11,284 | |
Entergy Louisiana [Member] | Billed Retail [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 862,206 | 925,344 | 1,663,407 | 1,759,758 | |
Entergy Louisiana [Member] | Customer | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 998,008 | 1,088,859 | 1,909,748 | 2,019,668 | |
Entergy Mississippi [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 297,954 | 302,737 | 591,876 | 584,981 | |
Accounts Receivable, Allowance for Credit Loss, Current | 7,195 | 7,195 | 636 | ||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 7,000 | ||||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (1,200) | ||||
Accounts Receivable, Allowance for Credit Loss, Recovery | 800 | ||||
Entergy Mississippi [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 297,954 | 302,737 | 591,876 | 584,981 | |
Entergy Mississippi [Member] | Natural Gas, US Regulated [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | 0 | 0 | |
Entergy Mississippi [Member] | Residential [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 112,361 | 116,801 | 239,463 | 245,610 | |
Entergy Mississippi [Member] | Commercial [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 89,594 | 102,275 | 186,392 | 200,189 | |
Entergy Mississippi [Member] | Industrial [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 35,874 | 38,739 | 72,264 | 76,436 | |
Entergy Mississippi [Member] | Governmental [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 9,798 | 10,521 | 20,125 | 20,557 | |
Entergy Mississippi [Member] | Sales for Resale [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 18,426 | 4,994 | 32,848 | 9,808 | |
Entergy Mississippi [Member] | Other Electric [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 29,393 | 26,982 | 35,836 | 27,387 | |
Entergy Mississippi [Member] | Non-Customer [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,508 | 2,425 | 4,948 | 4,994 | |
Entergy Mississippi [Member] | Billed Retail [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 247,627 | 268,336 | 518,244 | 542,792 | |
Entergy Mississippi [Member] | Customer | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 295,446 | 300,312 | 586,928 | 579,987 | |
Entergy New Orleans [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 147,343 | 175,793 | 296,645 | 338,987 | |
Accounts Receivable, Allowance for Credit Loss, Current | 8,382 | 8,382 | 3,226 | ||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 5,500 | ||||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (1,000) | ||||
Accounts Receivable, Allowance for Credit Loss, Recovery | 700 | ||||
Entergy New Orleans [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 134,899 | 157,152 | 258,330 | 288,035 | |
Entergy New Orleans [Member] | Natural Gas, US Regulated [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 12,444 | 18,641 | 38,315 | 50,952 | |
Entergy New Orleans [Member] | Residential [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 53,420 | 58,621 | 104,319 | 110,697 | |
Entergy New Orleans [Member] | Commercial [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 36,401 | 53,981 | 81,905 | 99,723 | |
Entergy New Orleans [Member] | Industrial [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 3,066 | 8,490 | 10,413 | 15,740 | |
Entergy New Orleans [Member] | Governmental [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 10,475 | 18,984 | 26,326 | 34,886 | |
Entergy New Orleans [Member] | Sales for Resale [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 8,018 | 8,579 | 18,188 | 18,803 | |
Entergy New Orleans [Member] | Other Electric [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 3,999 | 7,263 | 4,763 | 5,556 | |
Entergy New Orleans [Member] | Non-Customer [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 19,520 | 1,234 | 12,416 | 2,630 | |
Entergy New Orleans [Member] | Billed Retail [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 103,362 | 140,076 | 222,963 | 261,046 | |
Entergy New Orleans [Member] | Customer | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 115,379 | 155,918 | 245,914 | 285,405 | |
Entergy Texas [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 372,194 | 363,580 | 711,530 | 704,054 | |
Accounts Receivable, Allowance for Credit Loss, Current | 5,848 | 5,848 | $ 471 | ||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 5,500 | ||||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (1,100) | ||||
Accounts Receivable, Allowance for Credit Loss, Recovery | 900 | ||||
Entergy Texas [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 372,194 | 363,580 | 711,530 | 704,054 | |
Entergy Texas [Member] | Natural Gas, US Regulated [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | 0 | 0 | |
Entergy Texas [Member] | Residential [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 152,811 | 146,871 | 293,291 | 294,592 | |
Entergy Texas [Member] | Commercial [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 84,904 | 81,080 | 168,050 | 160,125 | |
Entergy Texas [Member] | Industrial [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 95,809 | 90,672 | 186,157 | 178,470 | |
Entergy Texas [Member] | Governmental [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 5,560 | 5,222 | 11,180 | 10,455 | |
Entergy Texas [Member] | Sales for Resale [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 13,187 | 14,772 | 21,815 | 31,548 | |
Entergy Texas [Member] | Other Electric [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 20,039 | 24,656 | 30,742 | 28,153 | |
Entergy Texas [Member] | Non-Customer [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | (116) | 307 | 295 | 711 | |
Entergy Texas [Member] | Billed Retail [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 339,084 | 323,845 | 658,678 | 643,642 | |
Entergy Texas [Member] | Customer | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 372,310 | 363,273 | 711,235 | 703,343 | |
System Energy [Member] | Electricity [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 126,049 | $ 139,009 | $ 256,713 | $ 279,113 |
Uncategorized Items - etr-20200
Label | Element | Value |
AOCI Attributable to Parent [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | $ (446,920,000) |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | (563,979,000) |
Additional Paid-in Capital [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 5,951,431,000 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 6,564,436,000 |
Common Stock [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 2,616,000 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 2,700,000 |
Treasury Stock [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | (5,154,150,000) |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | (5,273,719,000) |
Subsidiaries Preferred Stock [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 0 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 35,000,000 |
Retained Earnings [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 8,727,956,000 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 9,257,190,000 |
Accounting Standards Updates 2017-08 and 2017-12 [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 0 |
Accounting Standards Updates 2017-08 and 2017-12 [Member] | AOCI Attributable to Parent [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | (6,806,000) |
Accounting Standards Updates 2017-08 and 2017-12 [Member] | Additional Paid-in Capital [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 0 |
Accounting Standards Updates 2017-08 and 2017-12 [Member] | Common Stock [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 0 |
Accounting Standards Updates 2017-08 and 2017-12 [Member] | Treasury Stock [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 0 |
Accounting Standards Updates 2017-08 and 2017-12 [Member] | Subsidiaries Preferred Stock [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 0 |
Accounting Standards Updates 2017-08 and 2017-12 [Member] | Retained Earnings [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 6,806,000 |
Accounting Standards Update 2016-13 [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | (419,000) |
Accounting Standards Update 2016-13 [Member] | AOCI Attributable to Parent [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 0 |
Accounting Standards Update 2016-13 [Member] | Additional Paid-in Capital [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 0 |
Accounting Standards Update 2016-13 [Member] | Common Stock [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 0 |
Accounting Standards Update 2016-13 [Member] | Treasury Stock [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 0 |
Accounting Standards Update 2016-13 [Member] | Subsidiaries Preferred Stock [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | 0 |
Accounting Standards Update 2016-13 [Member] | Retained Earnings [Member] | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest | $ (419,000) |